ETFs in Focus as IBM Reviews Combined Q3 Outcomes

After the closing bell on Oct. 23, Worldwide Enterprise Machines IBM reported combined third-quarter 2024 outcomes. It beat estimates for earnings however lagged the identical for revenues. IBM shares slipped as a lot as 8% in aftermarket hours following the outcomes and tumbled greater than 4% in pre-market commerce right now on the time of writing.

ETFs with the very best allocation to this tech big have been in focus. These funds are First Belief NASDAQ Know-how Dividend Index Fund TDIV, FT Vest Know-how Dividend Goal Earnings ETF TDVI, FT Vest DJIA Canines 10 Goal Earnings ETF DOGG, Invesco Dow Jones Industrial Common Dividend ETF DJD and Morningstar Dividend Leaders Index Fund FDL.

IBM’s earnings per share got here in at $2.30, surpassing the Zacks Consensus Estimate of $2.27 and bettering from the year-ago earnings of $2.20. Revenues grew 2% 12 months over 12 months to $14.97 billion however fell wanting the consensus estimate of $15.19 billion. Consulting revenues had been flat from the year-ago quarter, whereas software program revenues grew 10%.

IBM continues to give attention to increasing its synthetic intelligence (AI) capabilities, with the generative AI enterprise now accounting for $3 billion in bookings, up from $2 billion within the earlier quarter (see: all the Technology ETFs here).

IBM expects fourth-quarter gross sales to develop at an identical price to the third quarter. It additionally maintained its forecast without spending a dime money circulation of $12 billion for the complete 12 months.

ETFs in Focus

First Belief NASDAQ Know-how Dividend Index Fund (TDIV)

First Belief NASDAQ Know-how Dividend Index Fund supplies publicity to dividend payers inside the expertise and telecommunication sector by monitoring the Nasdaq Know-how Dividend Index. It prices 50 bps in annual charges and holds about 86 securities in its basket. Of those corporations, IBM takes the third spot, making up 8.9% of the property.

First Belief NASDAQ Know-how Dividend Index Fund has amassed $2.9 billion in its asset base whereas buying and selling in a quantity of round 97,000 shares per day.

FT Vest Know-how Dividend Goal Earnings ETF (TDVI)

FT Vest Know-how Dividend Goal Earnings ETF is an actively managed fund that seeks to spend money on U.S. securities contained within the Nasdaq Know-how Dividend Index and make the most of an “possibility technique” consisting of writing(promoting) name choices on the Nasdaq-100 Index and/or the S&P 500 Index, or ETFs that observe the Nasdaq-100 Index or the S&P 500 Index. It holds 86 securities in its basket, with IBM taking the highest spot at 8.9% share.

FT Vest Know-how Dividend Goal Earnings ETF has gathered $41.4 million in its asset base and trades in a quantity of 17,000 shares per day on common. It prices 75 bps in annual charges.

FT Vest DJIA Canines 10 Goal Earnings ETF (DOGG)

FT Vest DJIA Canines 10 Goal Earnings ETF seeks to supply present earnings with a secondary goal of offering capital appreciation. It supplies publicity to the “Canines of the Dow,” the ten highest dividend-yielding shares within the Dow Jones Industrial Common on an annual foundation. DOGG holds 41 shares in its basket, with IBM occupying the second place at 5.7% share.

FT Vest DJIA Canines 10 Goal Earnings ETF has gathered $36.1 million in its asset base and trades in a quantity of 16,000 shares. It prices 75 bps in charges and bills.

Invesco Dow Jones Industrial Common Dividend ETF (DJD)

Invesco Dow Jones Industrial Common Dividend ETF presents publicity to dividend-paying firms included within the Dow Jones Industrial Common by their 12-month dividend yield over the prior 12 months. It holds 28 shares in its basket, with IBM occupying the fifth place, accounting for five.7% (learn: ETFs to Tap as Dow Scales New Highs).

Invesco Dow Jones Industrial Common Dividend ETF has managed property price $319.7 million whereas buying and selling in a quantity of 14,000 shares a day on common. It prices 7 bps in annual charges and has a Zacks ETF Rank #3 (Maintain).

First Belief Morningstar Dividend Leaders Index Fund (FDL)

First Belief Morningstar Dividend Leaders Index Fund presents publicity to shares which have proven the very best dividend consistency and dividend sustainability by monitoring the Morningstar Dividend Leaders Index. It holds 100 shares in its basket, with IBM taking the sixth spot at 4.8% share.

With AUM of $4.5 billion, First Belief Morningstar Dividend Leaders Index Fund prices 45 bps in annual charges from buyers and trades in a strong quantity of about 401,000 shares a day. It has a Zacks ETF Rank #3 (Maintain) with a Medium threat outlook.