FDN - ETF AI Analysis
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First Trust Dow Jones Internet Index Fund (FDN)
Rating:72Outperform
Price Target:―
Positive Factors
Large, Established Internet Leaders
The fund’s biggest positions include well-known, financially strong internet and technology companies, which can provide a solid core for long-term growth.
Exposure to Several Strong-Performing Tech Stocks
Holdings like Cisco, Arista Networks, Snowflake, Alphabet, and Amazon have shown strong or steady performance this year, helping support the ETF despite some weaker names.
Focused but Still Sector-Diverse Internet Portfolio
While the fund targets internet-related businesses, it spreads investments across technology, communication services, and consumer cyclical sectors, which can help reduce the impact of weakness in any single industry.
Negative Factors
High Concentration in a Few Large Holdings
A small group of companies, including Meta, Amazon, Cisco, and Alphabet, make up a large share of the portfolio, increasing the fund’s sensitivity to news and price swings in those stocks.
Several Key Holdings Have Weak Recent Performance
Important positions such as Meta, Booking Holdings, Salesforce, and Oracle have been lagging this year, which has weighed on the ETF’s overall results.
Heavy U.S. Focus and Above-Average Fees
Almost all assets are invested in U.S. companies and the expense ratio is on the higher side for an ETF, which limits geographic diversification and slightly reduces net returns for investors.
FDN vs. SPDR S&P 500 ETF (SPY)
AUM5.05B
RegionNorth America
Expense Ratio0.49%
Beta1.26
IssuerFirst Trust
Inception DateJun 19, 2006
Dividend YieldN/A
Asset ClassEquity
Index TrackedDJ Internet Composite
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume420,127
30 Day Avg. Volume413,264
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
328.88Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering41
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
FDN Summary
FDN is an ETF that follows the Dow Jones Internet Composite Index, focusing on companies that make most of their money from internet-based businesses. It holds well-known names like Amazon and Meta Platforms, along with other firms involved in e-commerce, online services, social media, and cloud computing. Someone might invest in FDN to seek growth from the continued expansion of the internet and to get diversified exposure to many leading online companies in a single fund. A key risk is that it is heavily tilted toward technology and internet stocks, so its price can rise and fall sharply with that sector.
How much will it cost me?FDN has an expense ratio of 0.49%, which means you’ll pay $4.90 per year for every $1,000 invested. This is slightly higher than average because it is a sector-focused ETF that requires active management to track the Dow Jones Internet Composite Index and maintain exposure to leading internet companies.
What would affect this ETF?FDN could benefit from continued growth in internet usage, e-commerce, and digital transformation, especially as its top holdings like Amazon, Meta, and Alphabet are leaders in these areas. However, rising interest rates or regulatory scrutiny on big tech companies could negatively impact the fund's performance, as these factors may increase costs or limit growth opportunities. Additionally, economic slowdowns could reduce consumer spending in sectors like e-commerce and online services, affecting the ETF's key holdings.
FDN Top 10 Holdings
FDN is essentially a bet on the U.S. internet economy, with heavy exposure to Big Tech and cloud infrastructure. Cisco and Arista Networks have been the steady engines, rising on strong networking and AI-related demand, while Snowflake has turned into a surprise bright spot as its data-cloud story gains traction. On the flip side, Meta and Alphabet have been mixed, losing some momentum lately, and Netflix plus Booking Holdings are clearly lagging, acting as a drag. Overall, the fund leans hard into tech and consumer internet, almost entirely U.S.-based.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Amazon | 9.73% | $491.97M | $2.44T | 0.59% | 71 Outperform | |
| Meta Platforms | 9.29% | $469.37M | $1.49T | -30.31% | 76 Outperform | |
| Cisco Systems | 8.16% | $412.17M | $443.33B | 66.80% | 77 Outperform | |
| Booking Holdings | 5.33% | $269.14M | $155.98B | -12.23% | 63 Neutral | |
| Alphabet Class A | 5.12% | $258.73M | $4.11T | 73.87% | 85 Outperform | |
| Arista Networks | 4.99% | $252.13M | $198.92B | 38.79% | 83 Outperform | |
| Salesforce | 4.68% | $236.55M | $154.28B | -30.05% | 80 Outperform | |
| Snowflake | 4.18% | $211.01M | $98.05B | 33.38% | 54 Neutral | |
| Alphabet Class C | 4.13% | $208.56M | $4.11T | 73.02% | 82 Outperform | |
| Netflix | 3.95% | $199.64M | $306.59B | -36.89% | 73 Outperform |
FDN Technical Analysis
Positive
―
Price Trends
269.67
Negative
260.95
Positive
262.68
Positive
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FDN, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 269.62, equal to the 50-day MA of 269.67, and equal to the 200-day MA of 262.68, 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 FDN.
FDN Peer Comparison
Comparison Results
Performance Comparison
FDN
First Trust Dow Jones Internet Index Fund
274.79
10.06
3.80%
THRO
Ishares U.S. Thematic Rotation Active Etf
―
―
―
IFRA
iShares U.S. Infrastructure ETF
―
―
―
JTEK
JPMorgan U.S. Tech Leaders ETF
―
―
―
USCA
Xtrackers MSCI USA Climate Action Equity ETF
―
―
―
USCL
iShares Climate Conscious & Transition MSCI USA 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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