Average Daily Volume
2.71M
Fund Overview
The Pacer US Cash Cows 100 ETF (COWZ) is an exchange-traded fund that focuses on high free cash flow yield companies within the U.S. equity market. The fund seeks to track the performance of the Pacer US Cash Cows 100 Index, which selects 100 companies from the Russell 1000 Index with the highest free cash flow yield. Free cash flow yield is a financial ratio that indicates how much free cash flow a company generates relative to its share price, often seen as a sign of financial health and efficiency. COWZ provides investors with exposure to companies that are generating significant cash flows, which can be used for dividends, share buybacks, debt reduction, or reinvestment in the business. The fund is rebalanced quarterly to ensure it maintains its focus on high free cash flow yield companies.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
Yes
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 2.03 %
- Currency Hedged
-
No
- Portfolio Turnover
-
77 %
- Dividend Date
-
Why Invest in the COWZ ETF?
Potential Benefits
- Focuses on companies with high free cash flow yield, which may indicate strong financial health and efficiency.
- Provides exposure to companies that can potentially sustain dividends, buybacks, or reinvest in growth.
- Rebalanced quarterly to maintain focus on high free cash flow yield companies.
- Lower expense ratio compared to some actively managed funds with similar objectives.
- Diversified across sectors, reducing concentration risk.
Potential Risks
- Concentrated in companies with high free cash flow yield, which may underperform in certain market conditions.
- Sector biases may lead to underperformance if certain sectors fall out of favor.
- Market risk: The fund is subject to the volatility of the U.S. equity market.
- Free cash flow yield as a metric may not always predict future performance accurately.
- Limited international exposure, as the fund focuses solely on U.S. companies.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+3.5%
|
+4.3%
|
-3.4%
|
+1.5%
|
+2.3%
|
-4.1%
|
+7.6%
|
+7.8%
|
-6.9%
|
+1.1%
|
-
|
-
|
| 2025 |
+2.8%
|
-1.4%
|
-4.0%
|
-5.3%
|
+3.4%
|
+3.1%
|
+1.0%
|
+4.4%
|
-0.6%
|
+0.8%
|
+3.2%
|
+1.6%
|
| 2024 |
-0.5%
|
+4.4%
|
+8.1%
|
-5.6%
|
+2.5%
|
-2.5%
|
+6.1%
|
0.0%
|
+0.5%
|
-1.6%
|
+6.9%
|
-6.8%
|
| 2023 |
+7.6%
|
-4.2%
|
-1.0%
|
-0.4%
|
-5.1%
|
+8.3%
|
+6.8%
|
-0.4%
|
-2.3%
|
-3.4%
|
+5.1%
|
+4.2%
|
| 2022 |
+0.1%
|
+1.8%
|
+4.0%
|
-3.6%
|
+4.8%
|
-14.0%
|
+7.6%
|
-2.6%
|
-8.6%
|
+13.2%
|
+6.5%
|
-5.8%
|
| 2021 |
+3.6%
|
+3.7%
|
+13.2%
|
+3.2%
|
+2.6%
|
-0.4%
|
+2.3%
|
+2.9%
|
-3.0%
|
+3.1%
|
-1.1%
|
+6.4%
|
| 2020 |
-5.3%
|
-7.9%
|
-17.2%
|
+14.1%
|
+4.5%
|
+2.2%
|
+3.3%
|
+4.8%
|
-2.0%
|
-2.3%
|
+16.8%
|
+5.0%
|
| 2019 |
+12.5%
|
+2.0%
|
-1.5%
|
+3.0%
|
-11.3%
|
+9.1%
|
+2.1%
|
-5.7%
|
+4.8%
|
+2.3%
|
+4.9%
|
+1.2%
|
| 2018 |
+5.7%
|
-3.0%
|
-2.4%
|
+0.4%
|
+1.7%
|
+1.2%
|
+2.6%
|
+1.8%
|
-0.6%
|
-8.5%
|
+1.9%
|
-10.2%
|
| 2017 |
+2.1%
|
+4.5%
|
-0.8%
|
+0.3%
|
-1.1%
|
+1.6%
|
+1.6%
|
-0.9%
|
+3.8%
|
-0.1%
|
+3.9%
|
+3.8%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
T
|
AT&T INC |
2.3 % |
|
MO
|
ALTRIA GROUP INC |
2.3 % |
|
XOM
|
EXXON MOBIL CORP |
2.2 % |
|
HCA
|
HCA HEALTHCARE INC |
2.2 % |
|
COP
|
CONOCOPHILLIPS |
2.2 % |
|
VZ
|
VERIZON COMMUNICATIONS INC |
2.2 % |
|
JNJ
|
JOHNSON & JOHNSON |
2.1 % |
|
BKNG
|
BOOKING HOLDINGS INC |
2.1 % |
|
F
|
FORD MOTOR CO |
2.1 % |
|
GILD
|
GILEAD SCIENCES INC |
2.1 % |
Top 10 holdings shown, out of 101 total holdings.
Related ETFs: COWZ vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
COWZ tracks the Pacer US Cash Cows 100 Index, which selects 100 companies from the Russell 1000 Index with the highest free cash flow yield. The index methodology is rules-based and rebalanced quarterly to ensure it consistently targets companies with strong cash generation. Free cash flow yield is calculated as free cash flow divided by enterprise value, providing a measure of how much cash a company generates relative to its valuation. The fund primarily holds common stocks of U.S. large- and mid-cap companies, with a focus on those that demonstrate consistent and high free cash flow. The quarterly rebalancing helps maintain the fund's focus on companies that meet its criteria, adjusting for changes in market conditions and company performance.
Frequently Asked Questions
What is free cash flow yield?
Free cash flow yield is a financial metric calculated as free cash flow divided by enterprise value. It measures how much cash a company generates relative to its valuation, often used to identify financially healthy companies.
How often is COWZ rebalanced?
COWZ is rebalanced quarterly to ensure it maintains its focus on companies with the highest free cash flow yield within the Russell 1000 Index.
Does COWZ pay dividends?
COWZ may pay dividends, as many of its holdings are companies with strong cash flows that can support dividend payments. However, the fund's primary focus is on free cash flow yield rather than dividend yield.
How does COWZ differ from a traditional value ETF?
While traditional value ETFs often focus on metrics like price-to-book or low P/E ratios, COWZ specifically targets companies with high free cash flow yield, which may include firms reinvesting cash into growth or buybacks rather than paying dividends.
What sectors are most represented in COWZ?
COWZ's sector composition varies with market conditions but often includes significant exposure to sectors like healthcare, technology, and industrials, where companies tend to generate high free cash flow.
Industry Overview
The Pacer US Cash Cows 100 ETF (COWZ) is part of the growing trend of factor-based investing, specifically targeting companies with high free cash flow yield. Free cash flow is a critical metric for investors, as it represents the cash a company generates after accounting for capital expenditures. Companies with high free cash flow yields are often considered financially stable and capable of returning value to shareholders through dividends or buybacks. COWZ provides a unique approach to value investing by focusing on this metric, differentiating itself from traditional broad-market or dividend-focused ETFs. The fund is particularly relevant in environments where investors prioritize cash-generating companies over high-growth but cash-burning firms.
Alternative Comparison
Compared to broad-market ETFs like SPY or IVV, COWZ offers a more concentrated exposure to companies with high free cash flow yield, which may appeal to value-oriented investors. Unlike dividend-focused ETFs such as SCHD or VIG, COWZ prioritizes free cash flow over dividend payouts, potentially capturing companies that reinvest cash into growth or buybacks rather than paying dividends. Another peer, FCFY (the FCF US Quality ETF), also focuses on free cash flow but uses a different methodology, highlighting COWZ's unique approach to selecting and weighting its holdings. COWZ's expense ratio is competitive within its niche, making it an attractive option for investors seeking exposure to cash-generating companies.
Issuer Overview
Pacer ETFs is the issuer of COWZ, known for its innovative and rules-based ETF strategies. The firm specializes in creating ETFs that track proprietary indices, often focusing on specific investment themes or factors. Pacer ETFs has gained recognition for its transparent and systematic approach to investing, offering products that cater to both retail and institutional investors. The firm's emphasis on free cash flow yield in COWZ aligns with its broader philosophy of identifying financially healthy companies through quantitative metrics.
Conclusion
The Pacer US Cash Cows 100 ETF (COWZ) provides a unique and systematic approach to investing in U.S. companies with high free cash flow yield. Its focus on financially healthy companies makes it an appealing option for value-oriented investors seeking exposure to firms with strong cash generation capabilities. While the fund carries typical market risks and sector concentration biases, its quarterly rebalancing and rules-based methodology offer a disciplined investment strategy. COWZ stands out among its peers by emphasizing free cash flow yield, differentiating itself from both broad-market and dividend-focused ETFs.
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