SOCL tracks the Solactive Social Media Index. That index “is designed to reflect the performance of companies involved in the social media industry, including companies that provide social networking, file sharing, and other web-based media applications,” according to Global X.
SEE MORE: Earnings and the Social Media ETF
Facebook and China’s Tencent are among the most important drivers of SOCL’s returns. Fortunately, analysts are most bullish on Facebook.
“Evercore ISI raised its price target on Facebook to $160 from $155, representing record-high territory for the shares. The stock is currently off 0.2% at $124.07, but touched an all-time peak of $128.33 as recently as July 28. Year-over-year, FB has been an absolute beast on the charts, advancing more than 30%.,” according to Schaeffer’s Investment Research.
For more information on the social media sector, visit our social media category.
Global X Social Media Index ETF