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FDCF - ETF AI Analysis

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FDCF

Fidelity Disruptive Communications ETF (FDCF)

Rating:73Outperform
Price Target:
FDCF, the Fidelity Disruptive Communications ETF, earns a solid overall rating thanks to major positions in leaders like TSMC, Alphabet, and Arista Networks, which all show strong financial performance and are investing heavily in AI and cloud technologies that support long-term growth. The fund is held back somewhat by weaker names like Roku, Warner Bros. Discovery, and Twilio, where high valuations, profitability challenges, and mixed financial trends add uncertainty. A key risk is the ETF’s concentration in high-growth, tech-focused communication and AI businesses, which can be more volatile and sensitive to shifts in sentiment and valuation.
Positive Factors
Strong Leading Holdings
Several of the largest positions, including major chipmakers and big tech names, have shown strong gains this year, helping support the fund’s overall results.
Focused Growth Sectors
Heavy exposure to communication services and technology targets areas that can benefit from long-term growth in digital and data-driven businesses.
Moderate Fund Size
The fund’s asset base is large enough to be established but still small enough that it can adjust its holdings without moving the market too much.
Negative Factors
High Stock Concentration
A small group of top holdings makes up a large share of the portfolio, which increases the impact if any of these companies run into trouble.
Mixed Recent Performance
The ETF’s year-to-date return is slightly negative and a few sizable holdings have been weak, which has dragged on overall performance despite some strong winners.
Narrow U.S. and Sector Focus
With most assets in U.S. stocks and heavily tilted toward communication services and technology, the fund is vulnerable if these areas fall out of favor.

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

FDCF Summary

Fidelity Disruptive Communications ETF (FDCF) is a thematic fund that focuses on companies driving the future of internet and communication technology, rather than tracking a traditional index. It holds well-known names like Alphabet (Google), Meta Platforms (Facebook), Nvidia, and Amazon, along with other firms building cloud services, digital networks, and next‑generation internet infrastructure. An investor might choose this ETF for growth potential and easy diversification across many innovative communication and tech companies in one purchase. However, it is heavily tilted toward technology and communication stocks, so its price can swing a lot and may fall sharply if these sectors struggle.
How much will it cost me?The Fidelity Disruptive Communications ETF (FDCF) has an expense ratio of 0.50%, meaning you’ll pay $5 per year for every $1,000 invested. This is higher than average for ETFs because it is actively managed, focusing on a niche sector with specialized investments. Active management typically involves more research and oversight, which increases costs.
What would affect this ETF?The Fidelity Disruptive Communications ETF (FDCF) could benefit from continued advancements in communication technologies, such as 5G expansion and increased demand for cloud-based platforms, which align with its focus on the Internet sector. However, potential risks include regulatory challenges for major tech companies like Meta and Alphabet, as well as economic uncertainty that could impact consumer spending and technology adoption globally. The ETF's global exposure and reliance on high-growth sectors make it sensitive to shifts in interest rates and market sentiment.

FDCF Top 10 Holdings

FDCF is leaning heavily into global internet and communications giants, with Taiwan’s TSMC and U.S. heavyweights Alphabet and Nvidia doing most of the heavy lifting as their shares continue to climb on the back of AI and cloud demand. Amazon has been a steady contributor, while Meta looks more like it’s catching its breath, losing some steam recently. On the media side, Warner Bros has been lagging, acting as a bit of a speed bump. Overall, the fund is tightly tied to tech and communication services, with a broadly global footprint.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
TSMC10.86%$11.18M$1.86T110.71%
81
Outperform
Alphabet Class A9.38%$9.65M$4.62T127.32%
85
Outperform
Meta Platforms6.07%$6.25M$1.55T-2.68%
76
Outperform
Nvidia6.04%$6.21M$5.21T64.01%
76
Outperform
Amazon5.58%$5.75M$2.86T32.50%
71
Outperform
Arista Networks4.94%$5.09M$193.95B68.89%
83
Outperform
Warner Bros4.05%$4.17M$67.77B200.33%
68
Neutral
Roku3.95%$4.06M$18.53B81.93%
65
Neutral
Twilio2.83%$2.91M$28.52B65.55%
70
Neutral
T Mobile US2.81%$2.89M$207.21B-21.17%
76
Outperform

FDCF Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
46.60
Positive
100DMA
46.68
Positive
200DMA
47.26
Positive
Market Momentum
MACD
0.66
Positive
RSI
60.15
Neutral
STOCH
62.66
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FDCF, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 49.00, equal to the 50-day MA of 46.60, and equal to the 200-day MA of 47.26, indicating a bullish trend. The MACD of 0.66 indicates Positive momentum. The RSI at 60.15 is Neutral, neither overbought nor oversold. The STOCH value of 62.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FDCF.

FDCF Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$103.96M0.50%
73
Outperform
$834.56M0.75%
56
Neutral
$679.55M0.99%
60
Neutral
$453.50M0.85%
56
Neutral
$404.94M0.58%
66
Neutral
$394.43M0.75%
56
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FDCF
Fidelity Disruptive Communications ETF
49.41
8.44
20.60%
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ALAI
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WGMI
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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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