iShares Select Dividend ETF

DVY

Market cap $22.5B

The iShares Select Dividend ETF earns a Hold rating due to modest yields and limited defensive or growth appeal in the current regime. DVY's 3.38% yield and stable dividend growth are insufficient to offset risks or outperform Treasuries, making its income case only partially compelling. Risk-adjusted returns lag broader markets, with DVY underperforming in rallies and offering only modest alpha during tech rotations or drawdowns.

iShares Select Dividend ETF (NASDAQ:DVY | DVY Price Prediction) is one of the older income-focused funds on the market.

Designed to provide broad exposure to the Large Cap Value segment of the US equity market, the iShares Select Dividend ETF (DVY) is a passively managed exchange traded fund launched on November 3, 2003.

A smart beta exchange traded fund, the iShares Select Dividend ETF (DVY) debuted on 11/03/2003, and offers broad exposure to the Style Box - Large Cap Value category of the market.

A million dollars sounds like the finish line. For dividend investors in 2026, it is the starting point for a specific question: how much income does it generate, and is that enough to live on?

I'm mostly a tech investor, but I like to keep some dividend holdings as well.

The market has been going through a visible rotation. Dividend payers have been outperforming so far this year as investors rotate from large-cap AI names into “old economy” stocks. If you own software names that depend on pricing power through expensive licensing, you need to revisit your thesis. Higher energy prices would ultimately filter through to consumer and producer prices, leaving central banks scrambling to reassess their interest rate trajectory.

Raisin is paying savers up to $1,500 in cash bonuses with code ‘HEADSTART' just for opening and funding a new high-yield savings or CD account through its platform.

Consumer sentiment hit 56.4 in January 2026, which falls below the 60-point threshold that historically marks recessionary territory.

I am upgrading iShares Select Dividend ETF to a buy, citing its ability to capture capital rotation out of technology into value sectors. DVY's heavy Utilities allocation positions it to benefit from AI-driven data center growth, offering both resilience and exposure to a major secular trend. DVY has outperformed the S&P 500 over the last six months, delivering an 8.19% total return versus SPY's 1.89%, driven by sector rotation and dividend growth.