QUALCOMM Just Became SCHD's Largest Holding
If you hold the Schwab U.S. Dividend Equity ETF ($SCHD), the top of your fund looks very different this week. In the September quarterly rebalance, effective around September 21, 2026, the index that $SCHD tracks reset every holding's weight back toward its target. The result was one of the more dramatic reshuffles in recent memory, and it happened without a single stock being added or removed.
$QCOM (QUALCOMM) is the headline. It climbed from the 16th-largest position all the way to #1, with its weight jumping from 2.68% to 4.74%. Schwab added roughly 60% more $QCOM shares to hit that target. $TXN (Texas Instruments) made a similar leap, from 13th to #2, rising from 3.22% to 4.41% on a share count up about 32%. The fund's old top three, all healthcare names, were pushed down the list.
The Biggest Weight Increases
Weight change is shown in percentage points (pp) versus the September 9 snapshot. Cash and money-market lines are excluded.
| Company | Ticker | Weight | Change | Rank | Shares |
|---|---|---|---|---|---|
| Qualcomm | $QCOM | 2.68% → 4.74% | +2.06 pp | #16 → #1 | +60.0% |
| Texas Instrument Inc | $TXN | 3.22% → 4.41% | +1.19 pp | #13 → #2 | +31.8% |
| Procter & Gamble | $PG | 3.87% → 4.10% | +0.23 pp | #9 → #3 | +3.3% |
| Pepsico | $PEP | 3.65% → 3.82% | +0.17 pp | #11 → #12 | +10.4% |
| Accenture Plc Class A | $ACN | 2.70% → 2.86% | +0.16 pp | #15 → #16 | -0.2% |
| Home Depot | $HD | 3.77% → 3.87% | +0.10 pp | #10 → #9 | +6.9% |
The Biggest Weight Decreases
The fund's former leaders were trimmed hard as their weights snapped back toward target.
| Company | Ticker | Weight | Change | Rank | Shares |
|---|---|---|---|---|---|
| Merck & Co Inc | $MRK | 4.89% → 4.09% | -0.80 pp | #1 → #5 | -17.7% |
| Abbott Laboratories | $ABT | 4.59% → 3.87% | -0.72 pp | #2 → #10 | -14.1% |
| Amgen Inc | $AMGN | 4.40% → 3.68% | -0.72 pp | #3 → #13 | -16.9% |
| Conocophillips | $COP | 4.17% → 3.85% | -0.32 pp | #6 → #11 | -1.3% |
| Chevron | $CVX | 4.29% → 3.99% | -0.30 pp | #4 → #6 | -2.5% |
| Slb | $SLB | 2.14% → 1.93% | -0.21 pp | #21 → #21 | -0.6% |
The New Top 10
The order at the very top of the fund was completely reshuffled. $QCOM and $TXN leapfrogged everyone, and Merck fell from first to fifth.
| # | Ticker | Company | New Weight | Prev Weight | Change | Prev Rank |
|---|---|---|---|---|---|---|
| 1 | $QCOM | Qualcomm | 4.74% | 2.68% | +2.06 pp | #16 |
| 2 | $TXN | Texas Instrument Inc | 4.41% | 3.22% | +1.19 pp | #13 |
| 3 | $PG | Procter & Gamble | 4.10% | 3.87% | +0.23 pp | #9 |
| 4 | $KO | COCA-COLA | 4.09% | 4.23% | -0.14 pp | #5 |
| 5 | $MRK | Merck & Co Inc | 4.09% | 4.89% | -0.80 pp | #1 |
| 6 | $CVX | Chevron | 3.99% | 4.29% | -0.30 pp | #4 |
| 7 | $VZ | Verizon Communications Inc | 3.94% | 4.05% | -0.11 pp | #7 |
| 8 | $UNH | Unitedhealth Group | 3.92% | 3.96% | -0.04 pp | #8 |
| 9 | $HD | Home Depot | 3.87% | 3.77% | +0.10 pp | #10 |
| 10 | $ABT | Abbott Laboratories | 3.87% | 4.59% | -0.72 pp | #2 |
๐ Why Did This Happen? How SCHD's Rebalance Works
$SCHD tracks the Dow Jones U.S. Dividend 100 Index. That index picks its 100 stocks once a year at the annual reconstitution in the spring, and between those events no new names are added. That is why a September rebalance never brings in fresh tickers or removes anyone. It only moves the existing weights around.
Every quarter the index resets each holding back toward a target weight built on a modified market-cap-and-yield formula, with a roughly 4% cap per stock and a 25% cap per sector. Between resets, weights drift with price. When a stock runs up it floats overweight and gets trimmed. When a stock lags it drifts underweight and gets topped up. That is the whole story: $MRK, $ABT and $AMGN had appreciated and drifted overweight, so they were sold down, while $QCOM and $TXN had become relatively cheap for their yield and were bought.
The Sector Tilt: Semis Up, Healthcare Down
โฒ Semiconductors Got Bigger
โผ Healthcare Got Trimmed
Want to track every SCHD rebalance and dividend change across 100+ holdings โ plus every major dividend ETF? TopDividendETFsPro.com gives you daily yield and total return history on 139 tickers, self-updating watchlists, and side-by-side ETF comparisons in one dashboard.
Explore Pro Platform โญFull Holdings: Before vs After
All 100 line items, sorted by new weight. Search by ticker or company, and click any column header to sort. "ฮ pp" is the weight change in percentage points versus September 9. "ฮ Shares" is the change in share count.
| # | Ticker | Company | Weight | ฮ pp | Shares | ฮ Shares |
|---|
Weights are from Schwab's official SCHD holdings files dated 09/21/26 (post-rebalance) and 09/09/26 (pre-rebalance). Holdings change daily and reset at each rebalance โ verify against Schwab's official file before relying on this. See our full SCHD holdings list and $SCHD on StockAnalysis.