Internet-related exchange traded funds will be tested this week as downtrodden social media names try to turn around their losing streak this earnings season.
After the bell Tuesday, Twitter (NYSE: TWTR), which has declined almost 40% over the past year, will report earnings. Jack Dorsey stepped in as Twitter’s CEO in June and promptly fired 8% of the staff. Nevertheless, the company shakeup may not be enough as the market anticipates a loss of 27 cents a share, compared with 29 cents for the same quarter year-over-year, reports Ari Levy for CNBC.
Yelp (NYSE: YELP), which plunged 8% Tuesday and plummeted 58.9% over the past year, will reveal earnings Wednesday, October 28. Analysts remain negative on the internet company, estimating a year-over-year decline in earnings, reports Amanda Gomez for TheStreet.
Additionally, LinkedIn (NYSE: LNKD), which is down 19 over the past six months, will reveal its earnings Thursday, October 29. Investors will be watching for an update on the integration of Lynda.com and how it is working out for the company, reports Daniel Sparks for TheMotleyFool.
ETF investors, on the other hand, can track the broad industry through social media and internet ETFs. For instance, the Global X Social Media Index ETF (NasdaqGM: SOCL) focuses on social media companies, including a 8.9% position in LNKD, 3.1% TWTR and 2.5% YELP. SOCL includes large positions in other social media giants like Facebook (NasdaqGS: FB) 13.7% and China’s Tencent Holdings 10.2%.