How The Pieces Add Up: The SPDR S&P MIDCAP 400 ETF Targets $379

&l;p&g;&l;img class=&q;dam-image getty size-large wp-image-1133168113&q; src=&q;https://specials-images.forbesimg.com/dam/imageserve/1133168113/960x0.jpg?fit=scale&q; data-height=&q;640&q; data-width=&q;960&q;&g; Getty

Looking at the underlying holdings of the ETFs in our coverage universe at &l;a href=&q;https://www.etfchannel.com/&q; target=&q;_blank&q;&g;ETF Channel&l;/a&g;, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself.&a;nbsp; For the SPDR S&a;amp;P MIDCAP 400 ETF, we found that the implied analyst target price for the ETF based upon its underlying holdings is $378.54 per unit.

With MDY trading at a recent price near $343.07 per unit, that means that analysts see 10.34% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of MDY&s;s underlying holdings with notable upside to their analyst target prices are Penn National Gaming, AutoNation and Oceaneering International. Although PENN has traded at a recent price of $23.22/share, the average analyst target is 39.97% higher at $32.50/share. Similarly, AN has 33.60% upside from the recent share price of $34.43 if the average analyst target price of $46.00/share is reached, and analysts on average are expecting OII to reach a target price of $18.50/share, which is 25.00% above the recent price of $14.80.

Below is a summary table of the current analyst target prices discussed above:

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&l;/p&g;&l;div class=&q;table-wrapper&q;&g;&l;table class=&q;hctblstyle&q; border=&q;0&q; cellspacing=&q;0&q; cellpadding=&q;0&q;&g;&l;tbody&g;&l;tr&g;&l;th&g;Name&l;/th&g; &l;th align=&q;center&q;&g;Symbol&l;/th&g; &l;th align=&q;right&q;&g;Recent Price&l;/th&g; &l;th align=&q;right&q;&g;Avg. Analyst 12-Mo. Target&l;/th&g; &l;th align=&q;right&q;&g;% Upside to Target&l;/th&g; &l;/tr&g;&l;tr&g;&l;td&g;&l;b&g;SPDR S&a;amp;P MIDCAP 400 ETF&l;/b&g;&l;/td&g; &l;td align=&q;center&q;&g;&l;b&g;MDY&l;/b&g;&l;/td&g; &l;td align=&q;right&q;&g;&l;b&g;$343.07&l;/b&g;&l;/td&g; &l;td align=&q;right&q;&g;&l;b&g;$378.54&l;/b&g;&l;/td&g; &l;td align=&q;right&q;&g;&l;b&g;10.34%&l;/b&g;&l;/td&g; &l;/tr&g;&l;tr&g;&l;td&g;Penn National Gaming Inc&l;/td&g; &l;td align=&q;center&q;&g;PENN&l;/td&g; &l;td align=&q;right&q;&g;$23.22&l;/td&g; &l;td align=&q;right&q;&g;$32.50&l;/td&g; &l;td align=&q;right&q;&g;39.97%&l;/td&g; &l;/tr&g;&l;tr&g;&l;td&g;AutoNation, Inc.&l;/td&g; &l;td align=&q;center&q;&g;AN&l;/td&g; &l;td align=&q;right&q;&g;$34.43&l;/td&g; &l;td align=&q;right&q;&g;$46.00&l;/td&g; &l;td align=&q;right&q;&g;33.60%&l;/td&g; &l;/tr&g;&l;tr&g;&l;td&g;Oceaneering International, Inc.&l;/td&g; &l;td align=&q;center&q;&g;OII&l;/td&g; &l;td align=&q;right&q;&g;$14.80&l;/td&g; &l;td align=&q;right&q;&g;$18.50&l;/td&g; &l;td align=&q;right&q;&g;25.00%&l;/td&g; &l;/tr&g;&l;/tbody&g;&l;/table&g;&l;/div&g;

Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock&s;s trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.

&l;a href=&q;http://www.etfchannel.com/slideshows/ten-etfs-with-most-upside/&q; target=&q;_blank&q;&g;Click here to find out 10 ETFs With Most Upside To Analyst Targets &a;raquo;&l;/a&g;