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ESPO - ETF AI Analysis

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ESPO

VanEck Video Gaming and eSports ETF (ESPO)

Rating:56Neutral
Price Target:
ESPO, the VanEck Video Gaming and eSports ETF, has a solid but not outstanding rating, reflecting a mix of strong gaming leaders and some more challenged names. High-quality holdings like NetEase and Tencent support the fund with robust financial performance and growth in gaming and technology, while companies such as Roblox and Unity face profitability, valuation, and leverage issues that weigh on the overall assessment. A key risk is the fund’s concentration in the video gaming and eSports sector, which makes it sensitive to industry-specific trends and volatility.
Positive Factors
Global Gaming Exposure
The fund invests in video gaming and eSports companies across several major markets, including the U.S., Japan, and Hong Kong, giving investors broad international exposure to the industry.
Focused Industry Theme
By concentrating on video gaming and eSports, the ETF offers targeted access to a long-term growth theme that may benefit from rising digital entertainment and online gaming demand.
Meaningful U.S. Allocation
A large portion of the portfolio is invested in U.S.-listed companies, which can provide investors with exposure to some of the most established names in the gaming space.
Negative Factors
High Industry Concentration
Most of the fund is invested in communication services and consumer cyclical gaming companies, so performance is heavily tied to the health of a single niche sector.
Weak Recent Performance
The ETF has delivered negative returns so far this year, and several of its largest holdings have been weak, which has dragged down overall results.
Above-Average Fees
The expense ratio is relatively high for an ETF, meaning more of the fund’s returns are used to cover costs instead of going to investors.

ESPO vs. SPDR S&P 500 ETF (SPY)

ESPO Summary

The VanEck Video Gaming and eSports ETF (ESPO) is a fund that follows the MVIS Global Video Gaming & eSports Index, focusing on companies tied to video games, consoles, and competitive gaming. It holds well-known names like Nintendo and Electronic Arts, along with other game makers and platforms from around the world. Someone might invest in ESPO to tap into the long-term growth of the global gaming and eSports industry while getting diversification across many gaming companies. A key risk is that it is heavily focused on the gaming sector, so its price can swing a lot and may fall if the gaming industry slows down.
How much will it cost me?The VanEck Video Gaming and eSports ETF (ESPO) has an expense ratio of 0.56%, which means you’ll pay $5.60 per year for every $1,000 invested. This is slightly higher than average because it’s a specialized, sector-focused fund that requires more active management to target companies in the video gaming and eSports industry.
What would affect this ETF?The VanEck Video Gaming and eSports ETF (ESPO) could benefit from continued growth in the global gaming and eSports industry, driven by increasing consumer demand for digital entertainment and advancements in technology. However, potential risks include regulatory changes in key markets like China, where Tencent has significant exposure, and economic downturns that may reduce discretionary spending on gaming. Additionally, competition within the gaming sector could impact the performance of top holdings like Nintendo and Roblox.

ESPO Top 10 Holdings

ESPO is a pure play on global gaming, with a heavy tilt toward Asian powerhouses like Tencent and NetEase, which have been losing steam and acting as a headwind for the fund. Japanese names such as Nintendo and Bandai Namco are also lagging, keeping a lid on returns despite their strong franchises. On the brighter side, U.S. publishers like Electronic Arts and Take-Two, along with Australia’s Aristocrat Leisure, have been more steady to rising, helping offset some of the drag. Overall, it’s a concentrated bet on video games, not a broad tech basket.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
NetEase7.55%$18.85M$82.70B1.22%
81
Outperform
Tencent Holdings 7.14%$17.82MHK$4.20T-12.49%
75
Outperform
Nintendo Co6.87%$17.14M¥9.21T-44.95%
63
Neutral
Take-Two6.42%$16.03M$46.08B11.09%
53
Neutral
Electronic Arts6.10%$15.23M$52.73B37.44%
70
Outperform
Roblox6.08%$15.16M$35.89B-64.68%
51
Neutral
Capcom Co5.68%$14.18M¥1.77T-18.41%
69
Neutral
Aristocrat Leisure 5.48%$13.67MAU$39.33B2.98%
67
Neutral
BANDAI NAMCO Holdings5.15%$12.86M$19.00B-17.22%
62
Neutral
Unity Software4.95%$12.34M$13.99B-0.06%
65
Neutral

ESPO Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
90.16
Positive
100DMA
90.64
Positive
200DMA
97.53
Negative
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For ESPO, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 92.29, equal to the 50-day MA of 90.16, and equal to the 200-day MA of 97.53, indicating a neutral trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ESPO.

ESPO Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$249.89M0.55%
56
Neutral
$992.70M0.47%
61
Neutral
$937.18M0.75%
73
Outperform
$935.63M0.40%
61
Neutral
$907.42M0.49%
67
Neutral
$723.40M0.85%
52
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ESPO
VanEck Video Gaming and eSports ETF
94.19
-10.65
-10.16%
IHAK
iShares Cybersecurity & Tech ETF
IVES
Dan IVES Wedbush AI Revolution ETF
GII
SPDR S&P Global Infrastructure ETF
TRFK
Pacer Data and Digital Revolution ETF
NUKZ
Range Nuclear Renaissance Index ETF
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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