For immediate release
Chicago, IL – April 22, 2022 – Zacks.com announces the list of stocks and ETFs featured in the analyst blog. Every day, Zacks Equity Research analysts discuss the latest news and events impacting stocks and financial markets. ETFs recently featured in the blog include: Simplify Volt Robocar Disruption and Tech ETF VCAR, Consumer Discretionary Select Sector SPDR Fund XLY, Fidelity MSCI Consumer Discretionary Index ETF FDIS, Vanguard Consumer Discretionary ETF VCR and MicroSectors FANG+ ETN FNGS.
Here are highlights from Thursday’s analyst blog:
Another record quarter for Tesla: ETFs to buy
After Wednesday’s closing bell, Tesla reported strong first-quarter results, beating earnings and revenue estimates. The electric car maker reported record quarterly revenue and a sharp rise in profit margins.
After stronger-than-expected results, Tesla shares jumped as much as 6% during secondary market hours. Investors should harness strength through ETFs with a substantial allocation to this luxury automaker.
Focus on first quarter earnings
Adjusted earnings per share came in at $3.22, easily beating Zacks’ consensus estimate of $2.15 and improving on earnings of 93 cents a year earlier. Revenue jumped 80.5% year-over-year to $18.7 billion and topped Zacks’ consensus estimate of $17.3 billion. Revenue growth was driven by an increase in the number of cars Tesla delivered and an increase in average selling prices.
Tesla delivered a record 310,048 vehicles (295,324 Model 3 and Y and 14,724 Model S and X). This represents a slight increase from the fourth quarter and a 68% increase from the prior year quarter. The electric carmaker produced 305,407 vehicles (291,189 Model 3s and Ys and 14,218 Models S and Xs) during the quarter (read: 5 ETFs to ride on Tesla’s record first-quarter deliveries).
ETFs to buy
Simplify Disruption Volt Robocar and Tech ETF
Simplify Volt Robocar Disruption and Tech ETF is an actively managed ETF, seeking concentrated exposure to the leader in self-driving technology. It uses a call option overlay to boost performance during extreme Tesla moves, while holding a tech index for diversification and put options as a hedge.
Simplify Volt Robocar Disruption and Tech ETF charges investors 0.95% annual fees. He has accumulated $8 million in his asset base while trading an average daily volume of 11,000 shares.
SPDR Consumer Discretionary Fund
Consumer Discretionary Select Sector SPDR Fund provides exposure to broad consumer discretionary by tracking the Consumer Discretionary Select Sector Index (read: US Consumer Sentiment Improves in April: Will ETFs Win?).
Consumer Discretionary Select Sector SPDR Fund is the largest and most popular product in this space, with an AUM of $19 billion and an average daily volume of around 12 million shares. Holding 60 stocks in its basket, Tesla takes second place with 21% of assets. The SPDR Consumer Discretionary Select Sector fund charges 10 basis points in annual fees and has a No. 2 (buy) rank Zacks ETF with a medium risk outlook.
Fidelity MSCI Consumer Discretionary Index ETF
The Fidelity MSCI Consumer Discretionary Index ETF tracks the MSCI USA IMI Consumer Discretionary Index, holding 329 stocks in its basket. Of these, TSLA takes second place with a 16% share. Internet retail and direct marketing is the largest sector with a share of 26%, followed by automotive (18.6%), specialized retail (17.7%) and hospitality, catering and leisure (17.1%).
The Fidelity MSCI Consumer Discretionary Index ETF amassed $1.4 billion in its asset base while trading a good volume of around 134,000 shares per day on average. The Fidelity MSCI Consumer Discretionary Index ETF charges 8 basis points in annual fees to investors and has a No. 2 Zacks ETF rating with a medium risk outlook.
Vanguard Consumer Discretionary ETF
The Vanguard Consumer Discretionary ETF currently tracks the MSCI US Investable Market Consumer Discretionary 25/50 Index and holds 305 stocks in its basket. Of these, Tesla ranks second with an allocation of 16.7%. Internet retail and direct marketing take the largest share with 25%, while car manufacturers, restaurants and home improvement retail round out the next two spots (read: 6 strong sector ETFs to buy now).
Vanguard Consumer Discretionary ETF charges investors 10 basis points in annual fees, while volume is moderate at nearly 118,000 shares per day. The product has managed approximately $6.1 billion in its asset base and carries a Zacks ETF Rank #2 with a medium risk outlook.
FANG+ ETN microsectors
MicroSectors FANG+ ETN is linked to the performance of the NYSE FANG+ Index, which is an equal dollar-weighted index designed to provide exposure to a group of highly traded growth stocks of next-generation technology and technology companies. He has 10 equally weighted stocks in his basket, with Tesla representing a 10% share.
MicroSectors FANG+ ETN has accumulated $62.9 million in its asset base and charges 58 basis points in annual fees. It trades in an average daily volume of 26,000 shares and has a Zacks ETF Rank #3 (Hold).
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Past performance is not indicative of future results. The potential for loss is inherent in any investment. This document is provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold any security. No recommendation or advice is given as to whether any investment is suitable for any particular investor. It should not be assumed that investments in the securities, companies, sectors or markets identified and described have been or will be profitable. All information is current as of the date hereof and is subject to change without notice. The views or opinions expressed may not reflect those of the company as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management of securities. These returns come from hypothetical portfolios composed of stocks with Zacks Rank = 1 that have been rebalanced monthly without transaction fees. These are not the returns of actual stock portfolios. The S&P 500 is an unmanaged index. To visit https://www.zacks.com/performance for more information on the performance figures displayed in this press release.
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SPDR Consumer Discretionary ETFs (XLY): ETF Research Reports
Vanguard Consumer Discretionary ETF (VCR): ETF Research Reports
ETF Fidelity MSCI Consumer Discretionary Index ETF (FDIS): ETF Research Reports
FANG ETN MicroSectors (FNGS): ETF Research Reports
Simplifying Volt Robocar Disruption and Tech ETF (VCAR): ETF Research Reports
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