#7 - iShares Semiconductor ETF (NASDAQ:SOXX)
As you can see, the chip sector is comprised of many companies that handle different functions in this broad sector. That's where ETFs such as the iShares PHLX Semiconductor ETF (NASDAQ: SOXX) come into play. This fund gives you exposure to the chips sector without having to choose individual stocks.
The SOXX fund does that for you by investing in approximately 30 companies in the chip sector. The fund is market-cap weighted, which means companies like NVIDIA with large market caps make up a higher percentage of the fund.
The fund does include some small-cap stocks that may not fit your personal investment style. And although the fund is up more than 19% in 2024 as of October 21, that’s below the 24% increase in the NASDAQ Composite index.
Nevertheless, the fund's low expense ratio of 0.35% makes it an attractive investment for investors looking for broad exposure to one of our economy's hottest sectors.
About iShares Semiconductor ETF
iShares PHLX Semiconductor ETF, formerly iShares PHLX SOX Semiconductor Sector Index Fund (the Fund), is an exchange-traded fund. The Fund seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the United States-listed semiconductor stocks as represented by the PHLX Semiconductor Sector Index (the Index).
Read More - Current Price
- $219.31
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 4 Buy Ratings, 4 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $268.45 (22.4% Upside)
One thing should be clear as you look at the stocks in this presentation. That is, when in doubt, zoom out. All of these stocks have had periods of volatility that may be uncomfortable for risk-averse investors. But over time, particularly in the last five years, the trend is for a move higher.
For all the reasons we've given in this presentation, the sector is likely closer to the beginning than the end of this current super cycle. And as you can see, your choices don't begin and end with NVIDIA.
However, as you can see, this is a broad sector that includes more names than the seven stocks in this presentation. One way that MarketBeat can help you find the stocks that fit your investment style and goals is with our Compare Stocks tool. This allows you to enter up to ten ticker symbols and see how they compare on their fundamentals, price, performance, and technical indicators.
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