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Alphabet's Stock Jumps as Antitrust Fears Ease: ETFs in Focus

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Shares of Alphabet (GOOGL - Free Report) jumped about 6% in pre-market hours on Wednesday, following a federal court ruling. On Wednesday, according to CNBC, U.S. District Judge Amit Mehta overruled the harsh penalties proposed by the U.S. Department of Justice (DOJ) against Google, which would have forced the tech giant to divest Chrome.

GOOGL, which belongs to the Zacks Internet - Services industry, has a Zacks Rank #3 (Hold). The tech giant, having a strong Growth and Momentum Score of B, has gained about 12% year to date and about 46% since early April.

More Into the Court Decision

As per CNBC, according to the recent ruling of the federal court, which averted the worst possible outcome for Google, the tech would not be required to forcefully sell Chrome and can continue paying companies to preload its products. However, the ruling bars exclusive contracts tied to payments or licensing.

According to the CNBC article, the federal court’s ruling allows Google to keep paying Apple billions to remain the default iPhone search engine and exempts Google from divesting the Android operating system, which it develops.

The federal court ruling is viewed as largely positive for Google.

ETFs to Explore

The legal developments are likely to give the company’s shares a boost. Here, we have highlighted ETFs with exposure to Alphabet.

IShares Global Comm Services ETF (IXP - Free Report)

IShares Global Comm Services ETF seeks to track the performance of the S&P Global 1200Communication Services 4.5/22.5/45 Capped Index with a basket of 71 securities. The fund has amassed an asset base of $589.1 million and charges an annual fee of 0.40%.

IShares Global Comm Services ETF has an exposure of 14.49% in GOOGL.

Fidelity MSCI Communication Services Index ETF (FCOM - Free Report)

Fidelity MSCI Communication Services Index ETF seeks to track the performance of MSCI USA IMI Communication Services 25/50 Index, with a basket of 106 securities. The fund has amassed an asset base of $1.72 billion and charges an annual fee of 0.08%.

Fidelity MSCI Communication Services Index ETF has an exposure of 13.90% in GOOGL.

Vanguard Communication Services ETF (VOX - Free Report)

Vanguard Communication Services ETF seeks to track the performance of the MSCI US Investable Market Communication Services 25/50 Index with a basket of 120 securities. The fund has amassed an asset base of $5.52 billion and charges an annual fee of 0.09%.

Vanguard Communication Services ETF has an exposure of 13.32% in GOOGL.

Communication Services Select Sector SPDR Fund (XLC - Free Report)

Communication Services Select Sector SPDR Fund seeks to track the performance of the Communication Services Select Sector Index, with a basket of 24 securities. The fund has amassed an asset base of $25.17 billion and charges an annual fee of 0.08%.

Communication Services Select Sector SPDR Fund has an exposure of 12.14% in GOOGL.

MicroSectors FANG+ ETN (FNGS - Free Report)

MicroSectors FANG+ ETN seeks to track the performance of the NYSE FANG+ Index, with a basket of 10 securities. The fund has amassed an asset base of $490.7 million and charges an annual fee of 0.58%.

MicroSectors FANG+ ETN has an exposure of 10% in GOOGL.

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