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Improving#35 of 115 by 1M spread

Real Estate sector vs S&P 500 (XLRE): is it outperforming?

Over the past month, XLRE has outperformed the S&P 500 by 3.4 points. Here is where that puts it in the sector rotation — updated daily.

1M spread vs SPY
+3.4 pts
Quadrant
Improving
Momentum
Weakening
RS health
Strong
Holdings P/E
59.7×

Where XLRE sits on the rotation map

Real Estate highlighted against the 11 broad S&P 500 sectors. Vertical: 1-month spread vs the S&P 500. Horizontal: the longer, time-shifted window — the methodology explains the math.

XLRE vs SPY: head-to-head returns

XLRE (real estate) and SPY (the S&P 500) side by side over every window Zensei tracks. The spread is the difference — positive means XLRE won that window.

Window
XLRE
SPY
Spread
1 week+1.0%−1.0%+2.0 pts
2 weeks+0.3%−0.0%+0.3 pts
1 month+3.5%+0.1%+3.4 pts
3 months+4.5%+5.4%−0.9 pts
6 months+11.1%+9.1%+2.0 pts
1 year+8.9%+20.2%−11.2 pts

Data as of 2026-07-22 · computed from daily adjusted closes · how we measure

The read

Real Estate (XLRE) has just turned the corner. Over the longer, time-shifted window it trailed the S&P 500 by 4.3 points, but over the past month it has moved clearly ahead of the market — a 3.4-point edge that puts it in the improving quadrant. Ranked by one-month spread, it currently stands #35 of the 115 groups Zensei tracks.

On the shorter tape, XLRE's momentum is weakening: the intraday trend that carried the move is cooling across the shorter windows. XLRE's relative-strength line — its price ratio against the S&P 500 — is trading above its moving averages, the healthiest configuration we track. The longer trend remains healthier than the recent tape suggests — the kind of divergence worth rechecking in a week.

The exposure comes via Real Estate Select Sector SPDR, whose 31 tracked holdings are led by WELLTOWER INC, PROLOGIS INC and EQUINIX INC. Weighted by portfolio, the fund's holdings trade at roughly 59.7× earnings and 9.4× sales. The thing to watch from here is confirmation: improving groups that hold a positive one-month spread long enough for the longer window to turn are the classic early-rotation entries — the ones that fail fall back quickly.

What's inside XLRE

Top 10 of 31 tracked holdings, by portfolio weight.

Holding
Weight
1M
WELLWELLTOWER INC
11.1%+18.6%
PLDPROLOGIS INC
9.0%+3.0%
EQIXEQUINIX INC
6.8%−5.8%
AMTAMERICAN TOWER CORP
5.3%−5.7%
SPGSIMON PROPERTY GROUP INC
4.9%+7.0%
DLRDIGITAL REALTY TRUST INC
4.6%−5.2%
VTRVENTAS INC
4.6%+19.8%
OREALTY INCOME CORP
4.6%+8.4%
PSAPUBLIC STORAGE
4.4%−2.0%
CBRECBRE GROUP INC CLASS A
4.2%+4.2%
21 more holdings — each measured against the sector, with momentum and relative strengthSee the full breakdown

Real Estate vs the market — common questions

Is real estate outperforming the S&P 500?

Right now, yes: over the past month XLRE has outperformed the S&P 500 by 3.4 points. This page updates daily, so the answer reflects current market data rather than a dated article.

What is XLRE?

XLRE is Real Estate Select Sector SPDR, the fund Zensei uses to measure the real estate group against the S&P 500 benchmark (SPY).

Which stocks are in XLRE?

XLRE's largest tracked positions are WELLTOWER INC, PROLOGIS INC, EQUINIX INC, AMERICAN TOWER CORP, SIMON PROPERTY GROUP INC — 31 holdings in total. The full list, with each stock measured against the group, is available with a free Zensei account.

What quadrant is real estate in right now?

As of the latest daily data, real estate is in the improving quadrant — behind the market over the longer window, but ahead over the past month. The quadrant rules are documented on the Zensei methodology page.

Related sectors

Track real estate against the whole market

Zensei Edge maps 100+ sectors and themes against the S&P 500 — with the stocks inside each one, rotation history and alerts when leadership changes hands.