Tesla Motors
TSLA
reported another quarter of record deliveries, underscoring its strong growth and defying the global automotive semiconductor shortage that is hampering car production across the globe.
The solid delivery data is likely to boost the ETFs having a substantial allocation to this luxury carmaker like
Simplify Volt Robocar Disruption and Tech ETF
VCAR
,
Consumer Discretionary Select Sector SPDR Fund
XLY
,
Vanguard Consumer Discretionary ETF
VCR
,
Fidelity MSCI Consumer Discretionary Index ETF
FDIS
and
MicroSectors FANG+ ETN
FNGS
.
Tesla Q4 Deliveries
The company delivered a record 308,600 (296,850 Model 3 and Y, and 11,750 Model S and X) vehicles. Deliveries surged 70% from the year-ago levels and 30% from Q3. In fact, Q4 is the sixth consecutive quarter that the world’s most valuable automaker posted record deliveries. With this, annual deliveries surged 87% year over year to 936,172 vehicles, marking the fastest pace of growth in many years.
The electric carmaker produced 305.840 (292,731 Model 3 and Y, and 13,109 Model S and X) vehicles during the quarter (read:
5 Top-Ranked ETFs That Outperformed Wall Street in 2021
).
The remarkable data came despite the several challenges, including semiconductor shortages, congestion at ports and rolling blackouts, that hurt production rates in the final quarter of the year.
Tesla hit the trillion-dollar market capitalization for the first time in October, following the biggest-ever order from Hertz and joined an exclusive club of mega-cap technology companies. The electric carmaker received an order for 100,000 of its electric vehicles, valued at $4.4 billion, from rental-car icon Hertz Global
Tesla has been outperforming the market, having gained 34.5% over the past three months. It has a Zacks Rank #2 (Buy) and a Growth Score of A.
ETFs in Focus
Simplify Volt Robocar Disruption and Tech ETF (VCAR)
Simplify Volt Robocar Disruption and Tech ETF is an actively managed ETF, seeking concentrated exposure to the leader of autonomous driving technology and then enhancing the concentrated exposure with options. It is heavily exposed to the Tesla stock and Tesla call options at 25% share.
Simplify Volt Robocar Disruption and Tech ETF seeks to boost its performance during extreme moves in Tesla, charging investors 0.95% in annual fees. It has accumulated $9.1 million in its asset base while trading in an average daily volume of 1,000 shares (read:
Best-Performing ETFs of Fourth Quarter
).
Consumer Discretionary Select Sector SPDR Fund (XLY)
Consumer Discretionary Select Sector SPDR Fund offers exposure to the broad consumer discretionary space by tracking the Consumer Discretionary Select Sector Index.
Consumer Discretionary Select Sector SPDR Fund is the largest and the most popular product in this space, with AUM of $23.7 billion and an average daily volume of around 7.9 million shares. Holding 61 securities in its basket, Tesla takes the second spot with 18.5% of assets. Consumer Discretionary Select Sector SPDR Fund charges 12 bps in annual fees and has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook.
Vanguard Consumer Discretionary ETF (VCR)
Vanguard Consumer Discretionary ETF currently follows the MSCI US Investable Market Consumer Discretionary 25/50 Index and holds 304 stocks in its basket. Of these, Tesla occupies the second position with a 15% allocation. Internet & direct marketing retail takes the largest share at 25.4% while automobile manufacturers, home improvement retail and restaurants round off the next two spots.
Vanguard Consumer Discretionary ETF charges investors 10 bps in annual fees, while volume is moderate at nearly 126,000 shares a day. The product has managed about $7.4 billion in its asset base and carries a Zacks ETF Rank #1 (Strong Buy) with a Medium risk outlook (read:
ETFs to Gain as US Consumer Confidence Improves in December
).
Fidelity MSCI Consumer Discretionary Index ETF (FDIS)
Fidelity MSCI Consumer Discretionary Index ETF tracks the MSCI USA IMI Consumer Discretionary Index, holding 297 stocks in its basket. Of these, TSLA takes the second spot with a 14.5% share. Internet & direct marketing retail makes up for the top sector with 25.2% share followed by specialty retail (20.1%), automobiles (17.4%) and hotels, restaurants & leisure (15.1%).
Fidelity MSCI Consumer Discretionary Index ETF has amassed $2 billion in its asset base while trading in a good volume of around 163,000 shares a day on average. Fidelity MSCI Consumer Discretionary Index ETF charges 8 bps in annual fees from investors and has a Zacks ETF Rank #2 with a Medium risk outlook.
MicroSectors FANG+ ETN (FNGS)
MicroSectors FANG+ ETN is linked to the performance of the NYSE FANG+ Index, which is an equal-dollar weighted index, designed to provide exposure to a group of highly traded growth stocks of next-generation technology and tech-enabled companies. It holds 10 equal-weighted stocks in its basket with Tesla accounting for 10% share.
MicroSectors FANG+ ETN has accumulated $78.8 million in its asset base and charges 58 bps in annual fees. It trades in an average daily volume of 23,000 shares and has a Zacks ETF Rank #3 (Hold).
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