$SCHD ETF Outpaces S&P 500 by 16% Year-to-Date

The Schwab U.S. Dividend Equity ETF ($SCHD+WL) has delivered a notable 28.99% return year-to-date through September 1, outpacing the SPDR S&P 500 ETF Trust (SPY) by approximately 16.68 percentage points. This outperformance occurred despite $SCHD+WL not holding any of the 'Magnificent Seven' stocks that previously dominated market gains. $SCHD+WL's strategy focuses on companies with a minimum of 10 consecutive years of dividend payments, screened by metrics including free cash flow to total debt, return on equity, dividend yield, and five-year dividend growth. The ETF has an expense ratio of 0.06% and a 30-day SEC yield of 3.15%, offering diversification away from the S&P 500's technology and growth concentration. $SCHD+WL's sector allocation includes 14.9% in consumer staples, 12.2% in healthcare, and 12.1% in energy.

### Story Arc / How We Got Here

This follows our earlier coverage ([TSLA Stock Dips 6% on Cybercab Launch Disappointment](/explore/tsla-stock-dips-6-on-cybercab-launch-disappointment)) on 2026-09-04. Tesla shares fell 6% after Wells Fargo stated the Cybercab robotaxi launch likely disappointed investors. The firm reiterated its 'Underweight' rating and $130 price target, signaling significant downside potential. · - Wells Fargo reiterated an 'Underweight' rating and $130 price target on Tesla, indicating a significant downside potential. - Investors are advised to monitor Tesla's ability to meet profitability expectations, especially given the Cybercab launch's perceived lack of investor surprises.