Thomson Reuters Corp vs Materials Select Sector SPDR Fund — how do they compare? Thomson Reuters Corp trades at $100.95 (market cap $43.21B), while Materials Select Sector SPDR Fund trades at $49.23 (market cap $7.86B). The key difference: Thomson Reuters Corp is far larger — about 5.5× Materials Select Sector SPDR Fund's market cap, and Thomson Reuters Corp pays a 2.64% dividend while Materials Select Sector SPDR Fund pays none. Which is the better fit depends on your goals — on Pluang, investors hold Thomson Reuters Corp for 63 Days and Materials Select Sector SPDR Fund for 70 Days on average.
| TRI | XLB | |
|---|---|---|
Market Cap | $43.21B | $7.86B |
Volume | 1,017,653 | 9,786,394 |
Sector | Industrials | — |
52-Week High | $163.45 | $53.67 |
52-Week Low | $76.55 | $42.23 |
Typical Hold Time | 63 Days | 70 Days |
Enterprise Value | $45.82B | — |
Dividend Yield | 2.64% | — |
Signals from Pluang's Aura AI — not financial advice
Thomson Reuters (TRI) stock trades at $101.55, up 3.53% today, showing strong momentum amid positive technical signals and fundamental strength. The company demonstrates robust profitability with 75.7% gross margins and 21.22% net income margins, supported by 10% organic growth in core businesses. Recent developments include the successful divestment of its printing unit and the launch of proprietary AI technology, positioning TRI for continued growth in the legal and professional information markets.
With analyst consensus pointing to 31% upside to the $133.25 price target and strong institutional buying, TRI presents a compelling growth opportunity. However, investors should monitor execution risks around AI integration and potential cybersecurity vulnerabilities following recent incidents. The stock's current valuation at 26.16x P/E appears reasonable given the company's recurring revenue model and market leadership position.
XLB trades at $48.98, down 1.51% for the day, with a bearish technical signal from moving averages. The materials sector ETF faces headwinds amid September's broader market weakness outside of technology. Recent analysis indicates the portfolio is heavily concentrated in chemicals (49% of assets) with construction materials appearing moderately overvalued. The fund offers low-cost exposure to large-cap U.S. materials companies but faces cyclical pricing pressures.
The materials sector shows potential from infrastructure and manufacturing trends, though much of the cyclical recovery appears priced in. Key risks include sector concentration, economic sensitivity, and competition from China in critical minerals. Analyst sentiment remains cautious with limited near-term upside potential despite long-term infrastructure tailwinds.
Trailing returns across standard periods
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Thomson Reuters is the result of the $17.6 billion megamerger of Canada's Thomson and the United Kingdom's Reuters Group in 2008 and the 2018 carve-out of its finance and risk business, Refinitiv, in which it holds a 45% stake. In 2019, the company agreed to exchange its 45% stake in Refinitiv for a 15% stake in LSE, which closed in early 2021. Since the divestiture, the company is more concentrated on selling its flagship legal data and software, Westlaw, and its tax accounting software, Onesource. Reuters sees roughly 80% of revenue and 70% of expenses attributed to the United States, while the remainder (largely through the global print and Reuters News segments) is distributed across Latin America, Europe, the Middle East, Africa, and Asia-Pacific.
Read more on TRI →In seeking to track the performance of the index, the fund employs a replication strategy. It generally invests substantially all, but at least 95%, of its total assets in the securities comprising the index. The index includes securities of companies from the following industries: chemicals; metals and mining; paper and forest products; containers and packaging; and construction materials. The fund is non-diversified.
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