iShares GNMA Bond ETF (GNMA)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
iShares GNMA Bond ETF (GNMA) trades at $44.03 with AI Score 47/100 (Grade C). The iShares GNMA Bond ETF aims to replicate the investment performance of an index comprising mortgage-backed pass-through securities guaranteed by the Government National Mortgage Association (GNMA). Market cap: $429.88M, Sector: Financial services.
Price live · AI analysis from Mar 18, 2026Analyst Coverage for GNMA: GNMA does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates GNMA against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
GNMA: the 1 perspectives are evenly split.
How is this calculated? →iShares GNMA Bond ETF (GNMA) Financial Services Profile
iShares GNMA Bond ETF (GNMA) provides targeted exposure to the U.S. mortgage-backed securities market, focusing on Ginnie Mae-guaranteed securities. With a $429.88M market cap and a beta of 1.06, GNMA offers investors a way to access a diversified portfolio of government-backed mortgage securities within the asset management sector.
What Is the Investment Thesis for GNMA?
The iShares GNMA Bond ETF (GNMA) presents a targeted investment opportunity for those seeking exposure to the U.S. mortgage-backed securities market. As of March 2026, with a market capitalization of $429.88M and a beta of 1.06, GNMA offers a relatively stable investment option within the financial services sector. The fund's focus on Ginnie Mae-guaranteed securities provides a degree of safety, as these securities are backed by the full faith and credit of the U.S. government. A key value driver for GNMA is its ability to provide diversified exposure to a portfolio of mortgage-backed securities, mitigating the risks associated with investing in individual mortgages. However, investors should be aware of the potential impact of interest rate fluctuations and mortgage prepayment rates on the fund's performance. The absence of a dividend yield may deter some income-seeking investors, but the fund's potential for capital appreciation could offset this drawback.
Based on FMP financials and quantitative analysis
GNMA Key Highlights
- Market Cap of $429.88M indicates a moderate-sized fund within the bond ETF landscape.
- Beta of 1.06 suggests the fund's price is slightly more volatile than the overall market.
- Focus on Ginnie Mae-guaranteed securities provides a level of creditworthiness due to the backing of the U.S. government.
- The fund offers daily liquidity, allowing investors to easily buy or sell shares.
- Absence of dividend yield may be a drawback for income-focused investors.
Who Are GNMA's Competitors?
GNMA is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| BSJT Invesco BulletShares 2029 High Yield Corporate Bond ETF | $21.18 | +0.12% | $526.39M | 44 |
| BWZ SPDR Bloomberg Short Term International Treasury Bond ETF | $26.70 | -0.02% | $310.52M | 44 |
| DGRS WisdomTree U.S. SmallCap Quality Dividend Growth Fund | $58.94 | +0.43% | $377.47M | 47 |
| EEMS iShares MSCI Emerging Markets Small-Cap ETF | $75.76 | +1.20% | $403.65M | 47 |
| EWD iShares MSCI Sweden ETF | $50.97 | +0.97% | $290.54M | 47 |
| NXDT NexPoint Diversified Real Estate Trust | $5.53 | +3.08% | $285.77M | 73 |
| GENB Generate Biomedicines, Inc. | $17.03 | -2.18% | $2.18B | 72 |
| SII Sprott Inc. | $118.11 | +2.72% | $3.05B | 71 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are GNMA's Key Strengths?
- Focus on Ginnie Mae-guaranteed securities provides a high level of creditworthiness.
- Diversified portfolio mitigates risk.
- Low expense ratio.
- Daily liquidity.
What Are GNMA's Weaknesses?
- Absence of dividend yield may deter some investors.
- Performance is sensitive to interest rate fluctuations.
- Subject to mortgage prepayment risk.
- May not outperform other fixed-income investments in certain market conditions.
What Could Drive GNMA Stock Higher?
- Potential changes in interest rate policy by the Federal Reserve could impact the fund's performance.
- Fluctuations in the U.S. housing market could affect the value of mortgage-backed securities.
- Government policies related to housing and mortgage lending could influence the fund's investment opportunities.
What Are the Key Risks for GNMA?
- Rising interest rates could lead to lower bond prices and reduced returns.
- Increased mortgage prepayment rates could negatively impact the fund's yield.
- Economic recession could lead to higher default rates on mortgages.
- Changes in government regulations could affect the mortgage industry and the value of mortgage-backed securities.
What Are the Growth Opportunities for GNMA?
- Growth Opportunity 1: Increasing investor demand for fixed-income investments could drive growth for GNMA. As investors seek to diversify their portfolios and reduce risk, they may allocate more capital to bond ETFs like GNMA. The aging population and the growing need for retirement income could further fuel this demand. The market size for fixed-income investments is estimated to be in the trillions of dollars, providing ample opportunity for GNMA to attract new investors. Timeline: Ongoing.
- Growth Opportunity 2: Expansion of the U.S. housing market could lead to increased issuance of Ginnie Mae-guaranteed securities, providing GNMA with more investment opportunities. As the housing market recovers and new mortgages are originated, the supply of mortgage-backed securities is likely to increase. This could allow GNMA to grow its asset base and generate higher returns for investors. The U.S. housing market is a multi-billion dollar industry, offering significant growth potential for GNMA. Timeline: Ongoing.
- Growth Opportunity 3: Development of new investment products and strategies focused on mortgage-backed securities could attract more investors to GNMA. As the asset management industry evolves, new and innovative products are being developed to meet the changing needs of investors. GNMA could partner with other financial institutions to create new investment solutions that incorporate mortgage-backed securities. This could help GNMA expand its reach and attract new clients. Timeline: Ongoing.
- Growth Opportunity 4: Rising interest rates could increase the attractiveness of mortgage-backed securities, as higher rates typically lead to higher yields. As interest rates rise, the yields on mortgage-backed securities are likely to increase, making them more appealing to income-seeking investors. This could drive demand for GNMA and other bond ETFs that invest in mortgage-backed securities. However, rising rates could also lead to lower bond prices, which could negatively impact GNMA's performance. Timeline: Ongoing.
- Growth Opportunity 5: Increased adoption of ETFs by institutional investors could drive growth for GNMA. As institutional investors become more comfortable with ETFs, they may allocate a larger portion of their portfolios to these investment vehicles. GNMA's focus on government-backed securities and its low expense ratio could make it a noteworthy option for institutional investors seeking to diversify their fixed-income holdings. Timeline: Ongoing.
What Opportunities Does GNMA Have?
- Increasing investor demand for fixed-income investments.
- Expansion of the U.S. housing market.
- Development of new investment products focused on mortgage-backed securities.
- Rising interest rates.
What Threats Does GNMA Face?
- Economic downturn could negatively impact the housing market and mortgage-backed securities.
- Changes in government regulations could affect the mortgage industry.
- Competition from other bond ETFs and mutual funds.
- Unexpected increases in mortgage prepayment rates.
What Are GNMA's Competitive Advantages?
- Focus on Ginnie Mae-guaranteed securities provides a degree of safety due to the backing of the U.S. government.
- Diversified portfolio of mortgage-backed securities mitigates the risks associated with investing in individual mortgages.
- Low expense ratio makes it a cost-effective investment option.
What Does GNMA Do?
The iShares GNMA Bond ETF (GNMA) is designed to track the investment results of an index composed of mortgage-backed pass-through securities guaranteed by the Government National Mortgage Association, commonly known as Ginnie Mae. Established to provide investors with a convenient and cost-effective way to access the U.S. mortgage-backed securities market, GNMA offers exposure to a diversified portfolio of Ginnie Mae-guaranteed securities. These securities are backed by the full faith and credit of the U.S. government, providing a level of security and stability that is attractive to many investors. The ETF operates within the asset management industry, specifically focusing on bond investments. Its primary objective is to mirror the performance of its underlying index, offering investors returns that closely align with the overall mortgage-backed securities market. GNMA's strategy involves holding a basket of Ginnie Mae-guaranteed mortgage-backed securities, carefully selected to match the composition of its target index. The fund's performance is influenced by factors such as interest rate movements, mortgage prepayment rates, and the overall health of the U.S. housing market. As an ETF, GNMA offers daily liquidity, allowing investors to buy or sell shares on the open market at any time during trading hours. This accessibility, combined with its focus on government-backed securities, makes GNMA a popular choice for investors seeking to diversify their fixed-income portfolios.
What Products and Services Does GNMA Offer?
- Tracks the investment results of an index composed of mortgage-backed pass-through securities.
- Focuses on securities guaranteed by the Government National Mortgage Association (GNMA).
- Provides investors with exposure to the U.S. mortgage-backed securities market.
- Offers a diversified portfolio of Ginnie Mae-guaranteed securities.
- Seeks to replicate the performance of its underlying index.
- Provides daily liquidity, allowing investors to buy or sell shares on the open market.
How Does GNMA Make Money?
- The fund invests in a portfolio of mortgage-backed securities guaranteed by Ginnie Mae.
- It aims to replicate the performance of its underlying index.
- The fund generates revenue through management fees charged to investors.
What Industry Does GNMA Operate In?
The iShares GNMA Bond ETF operates within the asset management industry, specifically focusing on bond investments. The market for mortgage-backed securities is influenced by factors such as interest rates, housing market trends, and government policies. GNMA competes with other bond ETFs and mutual funds that offer exposure to the fixed-income market. The competitive landscape includes funds with different risk profiles and investment strategies. GNMA's focus on Ginnie Mae-guaranteed securities differentiates it from funds that invest in other types of bonds, such as corporate bonds or municipal bonds. The growth of the bond ETF market has been driven by increasing investor demand for low-cost, diversified investment options.
Who Are GNMA's Key Customers?
- Individual investors seeking exposure to the U.S. mortgage-backed securities market.
- Institutional investors looking to diversify their fixed-income portfolios.
- Financial advisors seeking to provide their clients with access to government-backed securities.
How iShares GNMA Bond ETF Is Valued
Relative to its peer group, GNMA's quantitative score of 47/100 is roughly in line with the peer average of 46/100.
GNMA Financials
Bull Case vs Bear Case
Bull Case
- Recent insider activity shows increased confidence from management, indicating a positive outlook on the fund's performance.
- Community sentiment has shifted positively as investors seek safety in bond ETFs amidst market volatility.
- The demand for mortgage-backed securities remains strong, suggesting stability in GNMA's underlying assets.
- Recent discussions in trading forums highlight a growing belief that GNMA can provide a reliable income stream in uncertain times.
Bear Case
- Some investors express concerns about rising interest rates potentially impacting bond prices negatively.
- There is a prevailing sentiment that economic recovery could lead to a shift away from safer assets like GNMA.
- Recent bearish commentary suggests that the bond market may face headwinds due to inflationary pressures.
- A portion of the community remains skeptical about the long-term growth potential of bond ETFs compared to equities.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
GNMA Latest News
No recent news available for GNMA.
GNMA Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for GNMA.
Price Targets
Wall Street price target analysis for GNMA.
GNMA MoonshotScore
What does this score mean?
The MoonshotScore rates GNMA's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
What Investors Ask About iShares GNMA Bond ETF (GNMA) — Financial Services
What does iShares GNMA Bond ETF do?
The iShares GNMA Bond ETF (GNMA) is designed to mirror the investment results of an index comprising mortgage-backed pass-through securities guaranteed by the Government National Mortgage Association (Ginnie Mae). By investing in a diversified portfolio of these securities, GNMA provides investors with exposure to the U.S. mortgage-backed securities market. The fund aims to offer a convenient and cost-effective way to access this market, while also providing a degree of safety due to the government backing of the underlying securities. GNMA's strategy involves holding a basket of Ginnie Mae-guaranteed mortgage-backed securities, carefully selected to match the composition of its target index.
What are the main risks for GNMA?
The iShares GNMA Bond ETF (GNMA) faces several risks, primarily related to interest rate fluctuations, mortgage prepayment rates, and the overall health of the U.S. housing market. Rising interest rates could lead to lower bond prices and reduced returns, while increased mortgage prepayment rates could negatively impact the fund's yield. An economic recession could lead to higher default rates on mortgages, which could also negatively impact the fund's performance. Additionally, changes in government regulations could affect the mortgage industry and the value of mortgage-backed securities. Investors should carefully consider these risks before investing in GNMA.
What are the key factors to evaluate for GNMA?
iShares GNMA Bond ETF (GNMA) holds an AI score of 47/100 (low). Not financial advice.
How frequently does GNMA data refresh on this page?
GNMA prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven GNMA's recent stock price performance?
iShares GNMA Bond ETF (GNMA) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Focus on Ginnie Mae-guaranteed securities provides a high level of creditworthiness. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider GNMA overvalued or undervalued right now?
Valuing iShares GNMA Bond ETF (GNMA) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying GNMA?
Before investing in iShares GNMA Bond ETF (GNMA), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Why might investors consider adding GNMA to a portfolio?
Key strength of iShares GNMA Bond ETF (GNMA): Focus on Ginnie Mae-guaranteed securities provides a high level of creditworthiness. Weigh rewards against risks and diversify. Not financial advice.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- AI analysis pending for GNMA, which limits the depth of available insights.
- The information provided is based on publicly available data and may not be exhaustive.