Invesco Next Gen Media and Gaming ETF

GGME

Market cap $44.2M

Nvidia (NVDA) reports earnings after the bell today, sparking widespread anticipation across global equity markets. While core semiconductor components are already moving on the news — with Advanced Micro Devices (AMD) and Intel (INTC) seeing early trading volume — the traditional route of pure-play semiconductor ETFs exposes financial advisors to intense single-stock concentration risk.

Invesco Next Gen Media and Gaming ETF invests in global public equity markets, focusing on the media, entertainment, and communication services sectors. The fund tracks the STOXX World AC NexGen Media Index using a full replication technique, investing at least 90% of its assets in index securities. It includes growth and value stocks across diversified market capitalizations, aiming to capture future media technologies and products.

You have probably seen This or That games across social media. This is a just-for-fun version for ETF fans that covers some of the biggest themes among equity ETFs.

As companies allocate more of their marketing budgets to digital platforms, digital advertising stocks show promise for future expansion. In 2024, the digital advertising market is valued at close to $670 billion.

Netflix (NFLX) topped both earnings and revenue estimates and delivered its strongest first-quarter customer additions since the pandemic. However, it issued disappointing second-quarter revenue guidance, which dragged the stock down.

Netflix has risen about 26% over the past three months and has a reasonable chance to beat earnings estimates.

Given the bullishness, many ETFs, having a solid Zacks ETF Rank #1 (Strong Buy) or 2 (Buy), touched new 52-week high and are expected to soar further.

Netflix logged its best weekly performance in over a year last week on upbeat outlook and strong subscriber growth in Q4 of 2023. However, since the stock looks pricey at the current level, investors may play Netflix-heavy ETFs to tap the winning momentum.

The streaming giant Netflix (NFLX) reported mixed Q4 results. But it added strong subscriber base and offered moderately upbeat guidance.

The start of 2024 brings renewed consumer confidence in the U.S. economy, backed by decreasing inflation expectations and solid consumer spending.