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SOXY - ETF AI Analysis

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SOXY

YieldMax Target 12 Semiconductor Option Income ETF (SOXY)

Rating:72Outperform
Price Target:
SOXY’s rating suggests it is a solid but not risk‑free way to gain exposure to the semiconductor industry while generating option income. The fund is helped by strong core holdings like ASML, Micron, Nvidia, and Broadcom, which all benefit from robust financial performance and strategic positioning in AI and data center markets. However, the ETF is heavily concentrated in semiconductors and includes names with high valuations or bearish technical signals, such as ARM and some other holdings, which can add volatility and limit upside if growth expectations falter.
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered strong gains so far this year, showing solid recent momentum for investors.
Top Holdings with Strong Semiconductor Exposure
Many of the largest positions are well-known semiconductor companies that have shown strong or steady performance, helping drive the fund’s returns.
Focused Technology Exposure
The fund is heavily tilted toward the technology sector, giving investors targeted access to a key growth area of the market.
Negative Factors
High Expense Ratio
The ETF charges a relatively high fee, which can eat into long-term returns compared with lower-cost funds.
Sector Concentration Risk
With most assets in technology and semiconductors, the fund is vulnerable if this single sector experiences a downturn.
Limited Geographic Diversification
The portfolio is almost entirely invested in U.S. exposure, offering little protection if the U.S. market faces specific economic or regulatory challenges.

SOXY vs. SPDR S&P 500 ETF (SPY)

SOXY Summary

The YieldMax Target 12 Semiconductor Option Income ETF (SOXY) focuses on the semiconductor theme, investing mainly in chip-related technology companies instead of tracking a traditional index. It holds big names like Nvidia and Advanced Micro Devices (AMD), which make the chips that power AI, smartphones, data centers, and more. SOXY also uses options to try to generate extra income, which may appeal to investors seeking both potential growth and cash payouts. However, because it is heavily concentrated in semiconductor and tech stocks, its price can be very volatile and may rise or fall sharply with the chip sector.
How much will it cost me?The YieldMax Target 12 Semiconductor Option Income ETF (SOXY) has an expense ratio of 0.99%, which means you’ll pay $9.90 per year for every $1,000 invested. This is higher than average because it is actively managed and uses a specialized options strategy to generate income alongside sector-focused growth.
What would affect this ETF?The SOXY ETF, focused on the semiconductor industry, could benefit from growing demand for technologies like AI, 5G, and IoT, which drive the need for advanced chips. However, it may face challenges from rising interest rates, which can impact tech valuations, and geopolitical tensions affecting supply chains, especially given its reliance on U.S.-based companies and top holdings like Nvidia and TSMC. Regulatory changes or shifts in global trade policies could also influence the sector's performance.

SOXY Top 10 Holdings

SOXY is a pure play on the semiconductor boom, with nearly all its firepower aimed at U.S. and global chip leaders. Marvell and Micron are the current pace-setters, rising on AI and memory demand, while Nvidia and ASML provide steady support as core engines of the chip ecosystem. AMD is more mixed, and Broadcom has been lagging lately, occasionally acting as a brake on returns. Overall, the fund is heavily concentrated in big, AI-focused chip and equipment names, making it a high-octane bet on the semiconductor cycle.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Nvidia6.63%$4.10M$5.15T24.46%
76
Outperform
Advanced Micro Devices5.75%$3.56M$836.64B245.17%
73
Outperform
Marvell5.53%$3.42M$201.43B224.34%
76
Outperform
Micron4.95%$3.06M$1.05T478.78%
79
Outperform
ASML Holding4.78%$2.96M$612.35B83.68%
81
Outperform
United Micro4.59%$2.84M$56.11B226.52%
71
Outperform
Broadcom4.42%$2.74M$1.62T0.56%
76
Outperform
Lam Research4.21%$2.61M$336.89B113.20%
77
Outperform
ARM Holdings PLC ADR4.06%$2.51M$260.57B66.49%
69
Neutral
ACM Research3.72%$2.30M$4.51B92.00%
72
Outperform

SOXY Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
90.20
Negative
100DMA
92.21
Negative
200DMA
76.56
Positive
Market Momentum
MACD
-0.93
Negative
RSI
49.88
Neutral
STOCH
33.14
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SOXY, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 87.90, equal to the 50-day MA of 90.20, and equal to the 200-day MA of 76.56, indicating a neutral trend. The MACD of -0.93 indicates Negative momentum. The RSI at 49.88 is Neutral, neither overbought nor oversold. The STOCH value of 33.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SOXY.

SOXY Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$62.40M1.06%
72
Outperform
$57.17M0.35%
70
Outperform
$55.22M0.68%
69
Neutral
$51.23M1.24%
66
Neutral
$51.12M0.75%
65
Neutral
$40.85M0.75%
75
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SOXY
YieldMax Target 12 Semiconductor Option Income ETF
88.75
39.79
81.27%
PSR
Invesco Active U.S. Real Estate Fund
REIT
ALPS Active REIT ETF
GABF
Gabelli Financial Services Opportunities ETF
SRHR
SRH REIT Covered Call ETF
SEMI
Columbia Seligman Semiconductor and Technology ETF
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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