The broadband exchange traded fund (ETF) has been quietly putting up some pretty decent numbers lately.
The Broadband HOLDRs (BDH) are up 2.4% year-to-date, and 12.8% in the last two weeks. The strength of top holding Qualcomm (QCOM), 52.3% of the fund, could have something to do with it.
Last week, the communications technology company reported third-quarter revenues of $2.8 billion for an increase of 19% from one year ago, reports Godwin Gwetu for 123jump.
There is also news that Qualcomm has been working with Google for an Android phone system, in the hopes that the technology will create a worthy competitor to Apple’s iPhone, reports Jonathan Sidener for the San Diego Union-Tribune.
Another top holding, Motorola (MOT), 11.3% of BDH, reported a return to profitability for the second quarter. The news was a surprise to Wall Street analysts, reports Miriam Marcus for Market Scan. One analyst, though, foresees continued problems with the company based on the information that the company’s handset sales are running at a slower rate than other vendors’.
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.