4 Best ETF Charts Of Q1 Earnings

The Q1 reporting cycle has effectively come to an end, with earnings of 97.9% of the S&P 500 market capitalization that has reported so far down 12.7% on 1.3% higher revenues. Notably, 66.3% surpassed EPS estimates and 57.8% beat top-line expectations.
This is weaker than the same group of companies in other recent periods and reflects the pandemic-related lockdowns that started coming into effect toward the end of the quarter. However, six sectors came up with earnings growth.

Given this, several equity ETFs have impressed with their performances and generated handsome returns over the trailing two months. While there are winners in many corners of the space, below are four ETFs that buoyed up on strong earnings results. In addition, we have given a chart for their two-month performance and compared them with the broad market fund (SPY - Free Report) and the broad sector.

Amplify Online Retail ETF (IBUY - Free Report)

This ETF offers global exposure to companies that derive 70% or more revenues from online and virtual retail. Even though earnings for the retail sector have been weak due to COVID-19 driven lockdowns, online sales drove revenues for most players engaged in digital services.Notably, Q1 earnings and revenue growth as well as earnings beat ratio are historically lower for the same group of retailers, while the revenue beat ratio is much higher. IBUY skyrocketed 68.3% in two months and carries a Zacks ETF Rank #2 (Buy).

WisdomTree Cloud Computing Fund (WCLD - Free Report)

This fund offers exposure to emerging companies focused on delivering cloud-based software to customers. The cloud-computing companies reported better-than-expected revenues in the first quarter buoyed by stay-at-home orders that boosted demand for work and entertainment from home. In particular, cloud revenues jumped 52% from the year-ago quarter for Alphabet (GOOGL - Free Report), 59% for Microsoft (MSFT - Free Report), 33% for Amazon (AMZN - Free Report) and 19% for International Business Machines (IBM - Free Report). The optimism has led to strong trading in the ETF, which is up 65% over the past two months and has a Zacks ETF Rank #2.

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