FDCF - ETF AI Analysis

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Fidelity Disruptive Communications ETF (FDCF)

Rating:72Outperform

Price Target:―

The Fidelity Disruptive Communications ETF (FDCF) benefits from strong contributions by top holdings like Alphabet (GOOGL) and TSMC (TSM), both of which are supported by robust financial performance and strategic investments in AI and advanced technologies. However, weaker holdings such as Warner Bros. Discovery (WBD), which faces valuation concerns and mixed financial performance, slightly weigh on the fund’s overall rating. Investors should also note the ETF's concentration in high-growth tech companies, which could introduce volatility during market downturns.

Positive Factors

Strong Top Holdings

Several top positions, such as TSM, Sea, and Warner Bros, have delivered strong year-to-date performance, supporting the ETF's overall returns.

Sector Focus on Growth Areas

The ETF is heavily weighted in Communication Services and Technology, sectors known for innovation and long-term growth potential.

Reasonable Expense Ratio

The fund's expense ratio of 0.5% is competitive for a specialized ETF, helping investors retain more of their returns.

Negative Factors

High Geographic Concentration

With over 92% exposure to U.S. companies, the ETF lacks diversification across global markets.

Underperforming Holdings

Some holdings, like Amazon and T-Mobile, have shown weak year-to-date performance, which could drag on overall returns.

Sector Overweight Risk

Nearly half of the portfolio is concentrated in Communication Services, increasing vulnerability to sector-specific downturns.

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

AUM106.23M

RegionGlobal

Expense Ratio0.50%

Beta1.17

IssuerFidelity

Inception DateJun 12, 2023

Dividend Yield0.03%

Asset ClassEquity

Index TrackedNo Underlying Index

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume12,974

30 Day Avg. Volume13,226

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

58.77

Price Target Upside― Downside

Rating ConsensusStrong Buy

Number of Analyst Covering37

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

FDCF Summary

The Fidelity Disruptive Communications ETF (FDCF) is an investment fund focused on companies driving innovation in communication technologies, such as cloud platforms and next-generation Internet infrastructure. It includes well-known companies like Meta Platforms (META) and Alphabet (GOOGL), making it a great option for investors interested in the growth of digital communication and technology. This ETF offers exposure to a fast-evolving sector that plays a key role in the global digital economy. However, new investors should be aware that its performance can be heavily influenced by the tech sector, which tends to experience significant ups and downs.

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

The Fidelity Disruptive Communications ETF is riding the wave of innovation in communication technologies, with Alphabet and TSMC leading the charge thanks to their strong focus on AI and cloud advancements. Meta Platforms and Nvidia, while steady in their strategic pursuits, have shown mixed recent performance, hinting at valuation concerns and market caution. Warner Bros. Discovery has been a surprise bright spot, benefiting from streaming and box office success. However, laggards like Sea Limited and T-Mobile are holding back momentum. The fund is heavily concentrated in Communication Services and Technology, offering a global mix of cutting-edge players.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
TSM	TSMC	8.94%	$9.50M	$1.39T	61.89%	81 Outperform
GOOGL	Alphabet Class A	8.20%	$8.71M	$4.02T	69.78%	85 Outperform
META	Meta Platforms	6.49%	$6.89M	$1.56T	1.31%	76 Outperform
NVDA	Nvidia	5.25%	$5.58M	$4.55T	35.83%	76 Outperform
AMZN	Amazon	5.05%	$5.36M	$2.55T	5.42%	71 Outperform
ANET	Arista Networks	4.83%	$5.14M	$164.45B	8.87%	83 Outperform
WBD	Warner Bros	4.43%	$4.70M	$70.61B	200.21%	68 Neutral
SE	Sea	3.97%	$4.22M	$73.41B	7.75%	69 Neutral
RDDT	Reddit Inc Class A	3.33%	$3.54M	$43.35B	30.47%	75 Outperform
ROKU	Roku	3.31%	$3.51M	$15.51B	38.32%	65 Neutral

FDCF Technical Analysis

Technical Analysis Sentiment

Neutral

Last Price―

Price Trends

50DMA

47.53

Positive

100DMA

48.18

Negative

200DMA

44.84

Positive

Market Momentum

MACD

0.22

Positive

RSI

47.05

Neutral

STOCH

10.25

Positive

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FDCF, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 48.33, equal to the 50-day MA of 47.53, and equal to the 200-day MA of 44.84, indicating a neutral trend. The MACD of 0.22 indicates Positive momentum. The RSI at 47.05 is Neutral, neither overbought nor oversold. The STOCH value of 10.25 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FDCF.

FDCF Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
FDCF	―	―	$106.23M	0.50%	―
BKGI	―	―	$474.95M	0.55%	―
CCNR	―	―	$354.85M	0.39%	―
WGMI	―	―	$349.67M	0.75%	―
ALAI	―	―	$294.86M	0.55%	―
ILDR	―	―	$226.39M	0.75%	―

Performance Comparison

FDCF

Fidelity Disruptive Communications ETF

47.94

8.46

21.43%

BKGI

BNY Mellon Global Infrastructure Income ETF

―

CCNR

CoreCommodity Natural Resources ETF

―

WGMI

Valkyrie Bitcoin Miners ETF

―

ALAI

Alger AI Enablers & Adopters ETF

―

ILDR

First Trust Innovation Leaders 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.

Disclaimer

This 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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