EPOL: The Surging Dollar Weighs, But Value Remains

Nov. 26, 2024 12:54 AM ETiShares MSCI Poland ETF (EPOL)
(6min)

Summary

  • The iShares MSCI Poland ETF is rated a buy due to its low 7.1x P/E ratio and strong 21% EPS growth rate.
  • Despite recent underperformance and high volatility, EPOL offers significant income potential with a 5.0% yield and a diversified sector exposure.
  • The fund faces risks from currency fluctuations and sector concentration, particularly in Financials, but has technical support above $20.
  • Seasonal trends suggest caution entering early in the year, but the current valuation and technical setup present a favorable entry point.

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The US Dollar Index has been on a torrid rally over the past two months. Even before the US election, the greenback was on the ascent, pressuring ex-US stocks. Shares of European equities have come under particular pressure, with

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