GFLW Reconstitution Spotlights Astera Labs & GE Vernova Amid Shifting FCF Landscape

GFLW provides exposure to a portfolio of growth companies projected to compound free cash flow (FCF) over time. The Index that GFLW tracks is rebalanced and reconstituted quarterly, allowing the ETF to potentially capitalize on changes in emerging growth opportunities.

The rules-based, systematic Index screens in 100 high-quality, large-cap U.S. companies. Companies are included based on high FCF profitability and strong growth potential. Importantly, the constituents are weighted by absolute momentum.

The recent reconstitution introduced several intriguing changes within GFLW. Among them, two names stand out as noteworthy: Astera Labs (ALAB) and GE Vernova (GEV), both of which screened into GFLW during the June 2025 rebalance.

See more: Target Quality & Profitable Growth With GFLW

Astera Labs is a leading semiconductor company that designs and develops purpose-built connectivity solutions tailored specifically for artificial intelligence (AI) and cloud infrastructure. The company focuses on addressing and overcoming the critical performance bottlenecks that frequently arise in data centers. These bottlenecks, if unaddressed, can severely impede the rapid advancement and efficient operation of AI and machine learning (ML) applications, which are increasingly reliant on high-speed, low-latency data transfer.

Astera Labs demonstrates significant growth potential evidenced by its projected total assets growth rate, free cash flow growth and net debt decreasing over the next four years1. This growth trajectory suggests the company’s future FCF yield may become considerably more attractive as it scales and its solutions become more deeply integrated into the evolving AI and cloud landscape.

While Astera Labs currently has a small weight in GFLW, other leading FCF and growth benchmarks do not yet hold positions in the company.

Another new addition to GFLW, GE Vernova, which is a dynamic entity spun out of General Electric. The company specializes in providing cutting-edge natural gas turbines. This strategically positions it to potentially capitalize on the worldwide transition toward more sustainable and robust power infrastructure.

A key driver of GE Vernova’s growth is increasing global demand for electricity, fueled in particular by data centers and advancements in AI. This increased demand requires increased power generation as well as significant grid modernization efforts and seamless integration of renewable energy sources. Importantly, these are all areas where GE Vernova offers robust solutions.

As of June 30, 2025, GFLW held a 0.35% position in ALAB and 2.57% position in GEV.

¹Source: FactSet as of 8/5/2025

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