As earnings season approaches, fintech companies could finally have their moment in the spotlight. The Global X FinTech ETF (FINX) has been underperforming the market for some time, but technical analyst Rob Ginsberg believes that the ETF is looking attractive after a recent decline.
With over $300 million in assets, FINX has shown signs of a rebound in 2024. However, there are still financial companies with upcoming potential catalysts to watch out for. Some of the top holdings in the FINX ETF, such as PayPal, have yet to announce their quarterly results.
Ginsberg highlights positive technical indicators for the ETF, including an uptrend since October and strong trendline support. While there is still some risk that earnings reports could impact financial technology stocks and the fund, investors should be aware of the ETF’s expense ratio of 0.68%.
Overall, earning season presents a significant opportunity for fintech companies and FINX to shine in the financial sector. As smaller players in the industry, they often get overshadowed by larger Wall Street firms. This could be a turning point for these companies and provide them with much-needed exposure to investors.
Investors should keep an eye on how well fintech companies perform during earnings season and whether this leads to increased adoption of their products and services. If FINX can break through its current slump and see significant growth, it could pave the way for more success for other fintech companies as well.
Overall, earning season could be a crucial event for both fintech companies and investors who are interested in this rapidly growing industry. With many exciting developments on the horizon, it’s clear that there is plenty to look forward to in this dynamic sector.
