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5 Top-Ranked ETFs That Have Outperformed S&P 500 Since April Low
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Key Takeaways
The S&P 500 has rallied 18% from the April 7 low on U.S. trade deal hopes and solid corporate earnings.
SMHX, XAR, AIVC, DAT and DRUP have outperformed the S&P 500 over the past month.
It remains to be seen what lies ahead as the Fed warns of a higher risk of unemployment and inflation.
Wall Street staged a solid comeback after a steep dive in early April triggered by President Trump's "Liberation Day" tariff announcement. The S&P 500 has rallied about 18% from the April 7 low. Rising hopes of a U.S. trade deal with major partners and solid corporate earnings from leading tech players have led to renewed optimism in the stock market.
The rally has been broad-based across all segments, with the technology sector being the biggest winner. We have highlighted five ETFs from different corners of the stock market that have gained more than the S&P 500 over the past month and have a solid Zacks ETF Rank #1 (Strong Buy) or 2 (Buy) (read: 5 Best Stocks of the S&P 500 ETF in the Past Month).
These include VanEck Fabless Semiconductor ETF (SMHX - Free Report) , SPDR S&P Aerospace & Defense ETF (XAR - Free Report) , Amplify Bloomberg AI Value Chain ETF (AIVC - Free Report) , ProShares Big Data Refiners ETF (DAT - Free Report) and GraniteShares Nasdaq Select Disruptors ETF (DRUP - Free Report) .
Factors Driving Stocks Higher
Trump has announced potential trade deals with major trading partners, aiming to convert his tariff policy into trade agreements. He also announced that top U.S. officials would meet with their Chinese counterparts this weekend to discuss trade. The meeting would be the first major talks between the countries since Trump raised tariffs on imports from China to 145% last month.
Strong quarterly earnings reports from software giant Microsoft (MSFT) and Facebook parent Meta Platforms (META) spread strong optimism not only in the tech sector but the entire market. The dual earnings outperformance underscores that strong demand for AI is helping both companies navigate tariff-driven economic uncertainty. Amazon (AMZN) and Apple (AAPL) also came up with earnings and revenue beats. However, Apple warned of a $900 million tariff headwind in the ongoing quarter, while Amazon also issued a cautious outlook due to uncertain consumer demand in the face of shifting tariff policies.
Meanwhile, April's labor market data offered some reassurance. The economy added better-than-expected 177,000 jobs while the unemployment rate held steady at 4.2%. This suggests the labor market remains relatively strong despite ongoing trade disruptions. Though the U.S. economy contracted in the first quarter for the first time in three years, the decline was due to a significant surge in pre-tariff imports. Excluding tariff impact, the economy paints a stable picture (read: Upbeat April Jobs Data Put Focus on 3 Sector ETFs & Stocks).
We have profiled the abovementioned ETFs in detail below:
VanEck Fabless Semiconductor ETF offers exposure to companies involved in semiconductor production and is classified as a fabless. It follows the MarketVector US Listed Fabless Semiconductor Index and holds 23 stocks in its basket. VanEck Fabless Semiconductor ETF has accumulated $38.4 million in its asset base. It charges 35 bps in annual fees and trades in a volume of 52,000 shares. SMHX has a Zacks ETF Rank #1 (read: Tariff Relief Talks Lift Tech ETFs, Stocks: What's Ahead?).
SPDR S&P Aerospace & Defense ETF offers equal-weight exposure to 36 companies in the aerospace & defense segment. It follows the S&P Aerospace & Defense Select Industry Index, charging 35 bps in annual fees. SPDR S&P Aerospace & Defense ETF has been able to manage $2.8 billion in its asset base and trades in an average daily volume of 128,000 shares. It has a Zacks ETF Rank #2.
Amplify Bloomberg AI Value Chain ETF (AIVC - Free Report) – Up 18.3%
Amplify Bloomberg AI Value Chain ETF offers direct exposure to a cross-section of companies that are the backbone of the AI revolution, including cloud computing, semiconductors and hardware. It follows the Bloomberg AI Value Chain Index and holds 44 stocks in its basket. Amplify Bloomberg AI Value Chain ETF has gathered $22.3 million in its asset base and trades in an average daily volume of $22.3 million shares. It charges 59 bps in annual fees and has a Zacks ETF Rank #2.
ProShares Big Data Refiners ETF (DAT - Free Report) – Up 18%
ProShares Big Data Refiners ETF offers exposure to companies that provide services related to analytics, software, hardware, and computing infrastructure for managing and extracting information from large structured and unstructured data sets. It tracks the FactSet Big Data Refiners Index and holds 31 stocks in its basket. ProShares Big Data Refiners ETF has amassed $6.3 million in its asset base and charges 58 bps in annual fees. It trades in an average daily volume of 2,000 shares and has a Zacks ETF Rank #2.
GraniteShares Nasdaq Select Disruptors ETF provided exposure to the most disruptive large-cap companies in the U.S. market by tracking the Nasdaq US Large Cap Select Disruptors Index. It holds 51 stocks in its basket and charges 60 bps in annual fees. GraniteShares Nasdaq Select Disruptors ETF has AUM of $53.3 million and trades in a volume of 7,000 shares. It has a Zacks ETF Rank #2.
What Lies Ahead?
The latest escalation in Trump’s tariffs could reignite volatility in the stock market. Trump announced a 100% tariff on movies produced outside the United States and signaled tariffs on pharmaceuticals over the next two weeks, aimed at reducing regulatory hurdles for pharmaceutical manufacturing in the United States. Additionally, fresh conflict between India and Pakistan could take a toll on stocks if it turns into a major war (read: Here's Why You Should Buy Top-Ranked Mid-Cap ETFs Now).
Further, some rounds of data suggest a slowdown in the economy. U.S. manufacturing activity shrank the most since November in April, while consumer confidence hit a five-year low. The decline was due to tumbling consumers’ expectations related to business conditions, employment prospects and future income, reflecting pessimism about the economy.
The Fed Chair Jerome Powell warned of a higher risk of unemployment and inflation due to Trump’s tariff policies in its latest policy meeting after keeping interest rates steady in the range of 4.25% to 4.5% for the third time in a row.
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5 Top-Ranked ETFs That Have Outperformed S&P 500 Since April Low
Key Takeaways
Wall Street staged a solid comeback after a steep dive in early April triggered by President Trump's "Liberation Day" tariff announcement. The S&P 500 has rallied about 18% from the April 7 low. Rising hopes of a U.S. trade deal with major partners and solid corporate earnings from leading tech players have led to renewed optimism in the stock market.
The rally has been broad-based across all segments, with the technology sector being the biggest winner. We have highlighted five ETFs from different corners of the stock market that have gained more than the S&P 500 over the past month and have a solid Zacks ETF Rank #1 (Strong Buy) or 2 (Buy) (read: 5 Best Stocks of the S&P 500 ETF in the Past Month).
These include VanEck Fabless Semiconductor ETF (SMHX - Free Report) , SPDR S&P Aerospace & Defense ETF (XAR - Free Report) , Amplify Bloomberg AI Value Chain ETF (AIVC - Free Report) , ProShares Big Data Refiners ETF (DAT - Free Report) and GraniteShares Nasdaq Select Disruptors ETF (DRUP - Free Report) .
Factors Driving Stocks Higher
Trump has announced potential trade deals with major trading partners, aiming to convert his tariff policy into trade agreements. He also announced that top U.S. officials would meet with their Chinese counterparts this weekend to discuss trade. The meeting would be the first major talks between the countries since Trump raised tariffs on imports from China to 145% last month.
Strong quarterly earnings reports from software giant Microsoft (MSFT) and Facebook parent Meta Platforms (META) spread strong optimism not only in the tech sector but the entire market. The dual earnings outperformance underscores that strong demand for AI is helping both companies navigate tariff-driven economic uncertainty. Amazon (AMZN) and Apple (AAPL) also came up with earnings and revenue beats. However, Apple warned of a $900 million tariff headwind in the ongoing quarter, while Amazon also issued a cautious outlook due to uncertain consumer demand in the face of shifting tariff policies.
Meanwhile, April's labor market data offered some reassurance. The economy added better-than-expected 177,000 jobs while the unemployment rate held steady at 4.2%. This suggests the labor market remains relatively strong despite ongoing trade disruptions. Though the U.S. economy contracted in the first quarter for the first time in three years, the decline was due to a significant surge in pre-tariff imports. Excluding tariff impact, the economy paints a stable picture (read: Upbeat April Jobs Data Put Focus on 3 Sector ETFs & Stocks).
We have profiled the abovementioned ETFs in detail below:
VanEck Fabless Semiconductor ETF (SMHX - Free Report) – Up 24.3%
VanEck Fabless Semiconductor ETF offers exposure to companies involved in semiconductor production and is classified as a fabless. It follows the MarketVector US Listed Fabless Semiconductor Index and holds 23 stocks in its basket. VanEck Fabless Semiconductor ETF has accumulated $38.4 million in its asset base. It charges 35 bps in annual fees and trades in a volume of 52,000 shares. SMHX has a Zacks ETF Rank #1 (read: Tariff Relief Talks Lift Tech ETFs, Stocks: What's Ahead?).
SPDR S&P Aerospace & Defense ETF (XAR - Free Report) – Up 21.1%
SPDR S&P Aerospace & Defense ETF offers equal-weight exposure to 36 companies in the aerospace & defense segment. It follows the S&P Aerospace & Defense Select Industry Index, charging 35 bps in annual fees. SPDR S&P Aerospace & Defense ETF has been able to manage $2.8 billion in its asset base and trades in an average daily volume of 128,000 shares. It has a Zacks ETF Rank #2.
Amplify Bloomberg AI Value Chain ETF (AIVC - Free Report) – Up 18.3%
Amplify Bloomberg AI Value Chain ETF offers direct exposure to a cross-section of companies that are the backbone of the AI revolution, including cloud computing, semiconductors and hardware. It follows the Bloomberg AI Value Chain Index and holds 44 stocks in its basket. Amplify Bloomberg AI Value Chain ETF has gathered $22.3 million in its asset base and trades in an average daily volume of $22.3 million shares. It charges 59 bps in annual fees and has a Zacks ETF Rank #2.
ProShares Big Data Refiners ETF (DAT - Free Report) – Up 18%
ProShares Big Data Refiners ETF offers exposure to companies that provide services related to analytics, software, hardware, and computing infrastructure for managing and extracting information from large structured and unstructured data sets. It tracks the FactSet Big Data Refiners Index and holds 31 stocks in its basket. ProShares Big Data Refiners ETF has amassed $6.3 million in its asset base and charges 58 bps in annual fees. It trades in an average daily volume of 2,000 shares and has a Zacks ETF Rank #2.
GraniteShares Nasdaq Select Disruptors ETF (DRUP - Free Report) – Up 17.8%
GraniteShares Nasdaq Select Disruptors ETF provided exposure to the most disruptive large-cap companies in the U.S. market by tracking the Nasdaq US Large Cap Select Disruptors Index. It holds 51 stocks in its basket and charges 60 bps in annual fees. GraniteShares Nasdaq Select Disruptors ETF has AUM of $53.3 million and trades in a volume of 7,000 shares. It has a Zacks ETF Rank #2.
What Lies Ahead?
The latest escalation in Trump’s tariffs could reignite volatility in the stock market. Trump announced a 100% tariff on movies produced outside the United States and signaled tariffs on pharmaceuticals over the next two weeks, aimed at reducing regulatory hurdles for pharmaceutical manufacturing in the United States. Additionally, fresh conflict between India and Pakistan could take a toll on stocks if it turns into a major war (read: Here's Why You Should Buy Top-Ranked Mid-Cap ETFs Now).
Further, some rounds of data suggest a slowdown in the economy. U.S. manufacturing activity shrank the most since November in April, while consumer confidence hit a five-year low. The decline was due to tumbling consumers’ expectations related to business conditions, employment prospects and future income, reflecting pessimism about the economy.
The Fed Chair Jerome Powell warned of a higher risk of unemployment and inflation due to Trump’s tariff policies in its latest policy meeting after keeping interest rates steady in the range of 4.25% to 4.5% for the third time in a row.