The impact of recent eBay (EBAY) news on exchange traded funds (ETFs) heavily weighted in the company will be something to keep an eye on this year.
Earlier this week, the company announced that its CEO, Meg Whitman, will be stepping down on March 31. Throughout her ten years with the company, it went from a wobbly startup to a household name, reports Amanda Fehd for the Associated Press. Whitman will remain on the board of directors.
Her successor will be John Donahoe, and Whitman’s hope is that the changing of hands will lead to "a new perspective and a new vision."
eBay is a large component of two internet-related ETFs: the Internet HOLDRs (HHH) (25.8%), and the First Trust Dow Jones Internet Index (FDN) (10.1%).
Will this hoped-for fresh perspective keep eBay on top and have a positive impact on these funds? Either way, they could use it.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.