Cheap and Expensive Sector ETFs | Page 2 of 2 | ETF Trends

However, the Market Vectors Steel ETF (NYSEArca: SLX) is the most undervalued ETF, according to Morningstar metrics. SLX has plunged 21.0% year-to-date as a slowing Chinese economy weighed on metals demand.

On the other hand, stocks that exhibited greater momentum and growth characteristics have been steadily gaining and now appear expensive. For instance, the iShares MSCI USA Momentum Factor ETF (NYSEArca: MTUM), Powershares DWA Momentum Portfolio (NYSEArca: PDP) and First Trust Large Cap Growth AlphaDEX Fund (NYSEArca: FTC) are among the most expensive ETFs, according to Morningstar.

Additionally, looking at individual sectors, tech sector ETFs, including the iShares North American Tech-Software ETF (NYSEArca: IGV) and Market Vectors Semiconductor ETF (NYSEArca: SMH), topped the list, along with healthcare ETFs, including the Guggenheim S&P Equal Weight Healthcare ETF (NYSEArca: RYH) and First Trust Health Care AlphaDEX Fund (NYSEArca: FXH).

For more information on the market sectors, visit our sector ETFs category.

Max Chen contributed to this article.