WisdomTree Interest Rate Hedged High Yield Bond Fund (NASDAQ: HYZD)

Latest news for WisdomTree Interest Rate Hedged High Yield Bond Fund (NASDAQ:HYZD)

WisdomTree Interest Rate Hedged High Yield Bond Fund

The Fund employs a passive management or indexing investment approach designed to track the performance of the Index. The Fund generally uses a representative sampling strategy to achieve its investment objective, meaning it generally will invest in a sample of the securities in the Index whose risk, return and other characteristics resemble the risk, return and other characteristics of the Index as a whole. Under normal circumstances, at least 80 percent of the Funds total assets (exclusive of collateral held from securities lending) will be invested in the constituent securities of the Index and investments that have economic characteristics that are substantially identical to the economic characteristics of such constituent securities.

State Street Navigator Securities Lending Government Money Market Portfolio

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HYZD

How To Access Junk Bonds As Rates Rise

Needham analyst Mike Cikos maintains JFrog (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FROG#NASDAQ">FROG</a>) with a Buy and raises the price target from $36 to $39.

News

Price Target

Analyst Ratings

FROG

Needham Maintains Buy on JFrog, Raises Price Target to $39

Citigroup analyst Jason Bazinet reinstates Walt Disney (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DIS#NYSE">DIS</a>) with a Buy and announces $125 price target.

Initiation

Citigroup Reinstates Buy on Walt Disney, Announces $125 Price Target

Goldman Sachs analyst Lizzie Dove initiates coverage on Viking Holdings (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VIK#NYSE">VIK</a>) with a Neutral rating and announces Price Target of $49.

Goldman Sachs Initiates Coverage On Viking Holdings with Neutral Rating, Announces Price Target of $49

Emeren Group Sells 17 MW Solar Portfolio In Poland, Boosting Local Energy Transition And Sustainability Goals

Deutsche Bank analyst Bryan Kraft maintains Netflix (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NFLX#NASDAQ">NFLX</a>) with a Hold and raises the price target from $650 to $875.

NFLX

Deutsche Bank Maintains Hold on Netflix, Raises Price Target to $875

Needham analyst Mike Cikos maintains Cellebrite DI (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CLBT#NASDAQ">CLBT</a>) with a Buy and raises the price target from $21 to $28.

CLBT

Needham Maintains Buy on Cellebrite DI, Raises Price Target to $28

Contracts

KBR Secures Long-Term Contract To Boost Saudi Aramco's Energy Capacity And Sustainability Goals

For the second quarter of fiscal 2025, the company expects net sales of approximately $3.95 billion. GAAP EPS from continuing operations is expected to be approximately ($0.05), which includes a one-time non-cash tax charge due to changes in tax law in the second quarter of 2025. Adjusted EPS is expected to be approximately $1.96, up 5% year over year. Second quarter guidance includes $0.06 of currency exchange and tax headwinds compared to the prior year.

Guidance

TE Connectivity Expects Q2 Net Sales Of $3.95B Vs $4.07B Est, Adj EPS Of $1.96 Vs $1.98 Est

Needham analyst Mayank Tandon maintains Agilysys (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AGYS#NASDAQ">AGYS</a>) with a Buy and lowers the price target from $145 to $125.

AGYS

Needham Maintains Buy on Agilysys, Lowers Price Target to $125

F N B Says It Continues To Build On Momentum In 2025 With Expectation For Strong Revenue Growth And Return To Positive Operating Leverage

<ul>
<li>New Aptiv to be a High Growth, High Margin Provider of Full Sensor-to-Cloud Tech Solutions, Including Highly Engineered Interconnects and Components Serving Diverse End Markets</li>
<li>New EDS to be a Leading Global Supplier of Low Voltage and High Voltage Signal, Power, and Data Distribution Solutions for Automotive and Commercial Vehicle Markets with Multiple Levers for Revenue, Earnings and Cash Flow Growth</li>
<li>Separation Expected to be Effected Through Tax-Free Spin-Off of EDS to Aptiv Shareholders</li>
<li>Company Affirms Full Year 2024 Outlook</li>
</ul>

APTV

Aptiv To Spin Off Electrical Distribution Systems Business, Creating Two Independent High-Growth Companies By 2026; Reaffirms 2024 Outlook

Loop Capital analyst Chris Dankert upgrades Nordson (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NDSN#NASDAQ">NDSN</a>) from Hold to Buy and raises the price target from $255 to $280.

Upgrades

NDSN

Loop Capital Upgrades Nordson to Buy, Raises Price Target to $280

F N B (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FNB#NYSE">FNB</a>) reported quarterly earnings of $0.38 per share which beat the analyst consensus estimate of $0.33 by 15.15 percent. This is unchanged from the same period last year. The company reported quarterly sales of $373.14 million which missed the analyst consensus estimate of $408.00 million by 8.54 percent. This is a 10.69 percent increase over sales of $337.11 million the same period last year.

Earnings

Earnings Beats

Earnings Misses

F N B Q4 2024 Adj EPS $0.38 Beats $0.33 Estimate, Sales $373.14M Miss $408.00M Estimate

U.S. stocks could open on a positive note on Wednesday, continuing to rally after <a href="https://www.benzinga.com/government/regulations/25/01/43085323/trump-sworn-in-as-47th-president-declares-golden-age-of-america-begins-right-now">Donald Trump's inauguration</a> as the 47th President of the U.S. on Monday. Futures point to a second consecutive day of positive start to the Trump presidency.
As the new administration settles in, President Trump announced an ambitious $500 billion artificial intelligence project dubbed Stargate. This venture includes Oracle Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>), Microsoft Corp.-backed (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) OpenAI, and SoftBank Group (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SFTBY#OTC">SFTBY</a>).
<figure class="wp-block-table"> 
<table>
<tbody>
<tr>
<td>Futures</td>
<td>Change (+/-)</td>
</tr>
<tr>
<td>Nasdaq 100</td>
<td>0.84%</td>
</tr>
<tr>
<td>S&amp;P 500</td>
<td>0.40%</td>
</tr>
<tr>
<td>Dow Jones</td>
<td>0.17%</td>
</tr>
<tr>
<td>R2K</td>
<td>0.17%</td>
</tr>
</tbody>
</table>
</figure>
In premarket trading on Wednesday, the SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) gained 0.37% to $605.24 and the Invesco QQQ ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) rose 0.77% to $528.86, according to <a href="https://benzinga.grsm.io/lxquj26b2sag">Benzinga Pro data</a>.
Cues From Last Session:
U.S. stocks ended Tuesday on a positive note, with Dow Jones and S&amp;P 500 ending the day with major gains, while the Nasdaq closed 0.64% in the green.
Crude oil prices edged lower as traders await clarity about the new Trump administration's agenda.
Vistra Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VST#NYSE">VST</a>) and Oracle Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>) were among the top gainers on Tuesday, surging 8.48% and 7.17% during the session respectively.
On the economic data front, U.S. industrial production rose by 0.9% in December, ahead of estimates of a 0.3% increase. Housing starts rose by 15.8% from the previous month to an annualized rate of 1.499 million units in December.
Most sectors on the S&amp;P 500 closed on a positive note, with industrials, real estate, and healthcare stocks recording gains on Tuesday.
However, energy stocks bucked the overall market trend, closing the session lower.
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<table>
<tbody>
<tr>
<td>Index</td>
<td>Performance (+/-)</td>
<td>Value</td>
</tr>
<tr>
<td>Nasdaq Composite</td>
<td>0.64%</td>
<td>19,756.78</td>
</tr>
<tr>
<td>S&amp;P 500</td>
<td>0.88%</td>
<td>6,049.24</td>
</tr>
<tr>
<td>Dow Jones</td>
<td>1.24%</td>
<td>44,025.81</td>
</tr>
<tr>
<td>Russell 2000</td>
<td>1.85%</td>
<td>2,317.97</td>
</tr>
</tbody>
</table>
</figure>
Insights From Analysts:
Ryan Detrick, chief market strategist at Carson Global, underscored that there is a high possibility that 2025 could be a good year as far as equity markets are concerned.
"The year after an election year has been quite strong lately, with stocks higher 9 of the past 10 times going back to Reagan&#8217;s second term," he said.
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<blockquote class="twitter-tweet" data-width="500" data-dnt="true">The year after an election year has been quite strong lately, with stocks higher 9 of the past 10 times going back to Reagan&#39;s second term. <a href="https://t.co/Nkx8DDehQ8">pic.twitter.com/Nkx8DDehQ8</a>
&mdash; Ryan Detrick, CMT (@RyanDetrick) <a href="https://twitter.com/RyanDetrick/status/1881724906460868653?ref_src=twsrc%5Etfw">January 21, 2025</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
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In 2017, the first year of Trump's previous term, the Dow and S&amp;P 500 delivered a return of 19.4%. Likewise, in Biden's first year in office, the return stood at 26.9%.
Jeremy Siegel, Wharton professor and senior economist at WisdomTree, underscored the resilient U.S. economy and positive indicators going into 2025.
"The outlook for Q4 GDP growth is strong, with estimates ranging between 2.5% and 3%, a testament to the underlying strength of the economy as we transition into 2025," he said.
He also has a word of caution about the impact of Trump's tariff plans, but noted that they are "likely months away."
"The S&amp;P 500 thus far remains resilient, but I maintain my call for a correction this year as bond yields rise further, which could pressure valuations. This presents opportunities for less richly priced stocks, sectors, and strategies."
See Also: <a href="https://www.benzinga.com/money/how-to-trade-futures" target="_blank" rel="noreferrer noopener">How To Trade Futures</a>
Upcoming Economic Data
Here's what investors will keep an eye on for Wednesday and the rest of the week:
<ul>
<li>On Wednesday, leading economic indicator data will be released at 10:00 a.m., ET.</li>
<li>On Thursday, initial jobless claims data will be released at 8:30 a.m. ET.</li>
<li>On Friday, S&amp;P flash services PMI and manufacturing PMI will be released at 9:45 a.m. ET.</li>
<li>Existing home sales and consumer sentiment data will be released at 10 a.m., ET.</li>
</ul>
Stocks In Focus:
<ul>
<li>Oracle Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>) stock gained over 8% in premarket trade on Wednesday after President Trump announced the Stargate AI joint venture, comprising Oracle, OpenAI, and SoftBank.</li>
<li>Netflix Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NFLX#NASDAQ">NFLX</a>) surged over 14% after stunning the Street with 20 million new subscribers and a price hike amid its best quarterly performance ever.</li>
<li>Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Arm Holdings Plc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARM#NASDAQ">ARM</a>) and other chip stocks gained in pre-market after Trump's AI announcement.</li>
<li>Investors are awaiting earnings results from Abbott Laboratories (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ABT#NYSE">ABT</a>), The Procter &amp; Gamble Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PG#NYSE">PG</a>), and Johnson &amp; Johnson (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JNJ#NYSE">JNJ</a>) today.</li>
</ul>
Commodities, Bonds And Global Equity Markets:
Crude oil futures fell in the early New York session, declining by 0.42% to hover around $75.51 per barrel.
The 10-year Treasury note yield edged higher to 4.585%.
Most of the major Asian markets were mixed on Wednesday, while European markets were in the green in early trading.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/25/01/43118541/bitcoin-ethereum-dogecoin-rally-amid-secs-plans-to-establish-crypto-regulations-top-trader-issues-bold-3000-target-for-btc-this-cycle">Bitcoin, Ethereum Rally Amid SEC&#8217;s Plans To Establish Crypto Regulations: Top Trader Issues $300,000 Target For BTC This Cycle</a></li>
</ul>
Photo courtesy: Shutterstock

Equities

Futures

Economics

Federal Reserve

Pre-Market Outlook

MSFT

NVDA

ORCL

SFTBY

US Stocks Likely To Open Higher As President Trump Announces $500 Billion AI Project: Oracle, Netflix, Nvidia Among Top Stocks To Watch

Commerce Bancshares (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CBSH#NASDAQ">CBSH</a>) reported quarterly earnings of $1.01 per share which beat the analyst consensus estimate of $0.94 by 7.45 percent. The company reported quarterly sales of $422.083 million which beat the analyst consensus estimate of $416.387 million by 1.37 percent. This is a 7.32 percent increase over sales of $393.300 million the same period last year.

CBSH

Commerce Bancshares Q4 2024 GAAP EPS $1.01 Beats $0.94 Estimate, Sales $422.083M Beat $416.387M Estimate

Needham analyst Laura Martin maintains Netflix (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NFLX#NASDAQ">NFLX</a>) with a Buy and raises the price target from $800 to $1150.

Needham Maintains Buy on Netflix, Raises Price Target to $1150

TE Connectivity Q1 2025 Adj. EPS $1.95 Beats $1.89 Estimate, Sales $3.836B Miss $3.905B Estimate

Certain law enforcement officials from California are seemingly impressed by Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) vehicles customized for police use by vehicle customizer Unplugged Performance. 
What Happened: Unplugged Performance in December held an event where law enforcement executives tried out the <a href="https://www.benzinga.com/top-stories/24/04/38257550/tesla-model-y-enters-anaheim-police-fleet-in-new-pilot-initiative">Tesla vehicles upgraded</a> by the company. 
The officials drove the Tesla vehicles around at an EVOC facility and also compared it to a Ford Explorer PIU (Police Interceptor Utility SUV) with some concluding that the Tesla is way more fun to drive than the Explorer. 
Feedback From Law Enforcement Officials:&nbsp;&#8220;I think the difference between the two vehicles is just absolutely staggering. So after doing roughly you know 20/30 laps in the Tesla handling that course and then I jumped in the Explorer, did the same course, and I can tell you right off the bat I pretty much didn&#8217;t want to be in the Explorer anymore,&#8221; one of the officers said in the video premiered on YouTube on Tuesday.
An official, who had previously never driven a Tesla, said that the experience changed his perspective positively.
&#8220;I&#8217;d never driven one until today and I have a different mindset here at 2 p.m. than I did this morning at 6 a.m.,&#8221; he said. 
Why It Matters: Unplugged Performance,<a href="https://www.benzinga.com/news/24/06/39240046/tesla-customizer-upfits-cybertruck-for-the-police-forces-elon-musk-thinks-its-cool"> based out of California</a>, has been enhancing Tesla vehicles since 2013 and is located next to the company's design studio. 
According to Unplugged Performance, an upgraded Model Y AWD Patrol vehicle will cost $92,580, including upfitting costs, marginally higher than the Ford Police Interceptor Utility AWD Hybrid priced at $89,600. 
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<iframe loading="lazy" title="Can UP.FIT Tesla Vehicles Handle Police Duty? This EVOC Trial Might Change Your Mind." width="500" height="281" src="https://www.youtube.com/embed/jaRObrWstTc?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen></iframe>
</div>
</figure>
Check out more of Benzinga's Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link.</a>
Read Next:
<ul>
<li><a href="https://www.benzinga.com/tech/25/01/43090016/which-evs-might-lose-7500-ev-tax-credit-under-trump-administration" target="_blank" rel="noreferrer noopener">Here Are The EVs Which Could Lose $7,500 EV Tax Credit Under Trump Administration</a></li>
</ul>
Image via Shutterstock

Tech

TSLA

California Law Enforcement Impressed By Upfitted Tesla Police Vehicle: 'I Pretty Much Didn't Want To Be In The Explorer Anymore'

Headquartered in San Mateo, Calif., QuSecure is a privately held company founded in 2019.&nbsp;

Accenture Reveals Strategic Investment, Through Accenture Ventures, In Post-quantum Cybersecurity Company QuSecure; Terms Not Disclosed

Barclays analyst Benjamin Theurer upgrades Hormel Foods (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HRL#NYSE">HRL</a>) from Equal-Weight to Overweight and raises the price target from $35 to $36.

Barclays Upgrades Hormel Foods to Overweight, Raises Price Target to $36

High-yield corporate bonds are often of as vulnerable to rising interest rates, but some exchange-traded funds can help investors maintain junk bond exposure in the face of higher U.S. borrowing costs.
The WisdomTree Interest Rate Hedged High Yield Bond Fund (NYSE:<a class="ticker" href="/stock/HYZD#NYSE">HYZD</a>) can help investors mitigate interest rate risk while providing a source of income even as interest rates move higher. HYZD, which debuted in late 2013, provides an alternative to the traditional ways fixed income investors look to hedge interest rate risk.
<h3>Honing Into HYZD's Strengths</h3>
&ldquo;All else being equal, investors typically reduce interest rate risk (as measured by <a href="https://www.wisdomtree.com/blog/glossary#Duration">duration</a>) in three simple ways: reduce <a href="https://www.wisdomtree.com/blog/glossary#Maturity">maturity</a>, swap fixed <a href="https://www.wisdomtree.com/blog/glossary#Coupon">coupon</a> bonds for <a href="https://www.wisdomtree.com/blog/glossary#Floating%20Rate%20Treasury%20Note">floating rate</a> or decrease <a href="https://www.wisdomtree.com/blog/glossary#Credit">credit</a> quality,&rdquo; said WisdomTree <a href="https://www.wisdomtree.com/blog/2017-03-23/playing-better-defense-with-rate-hedged-high-yield-bonds">in a note out Thursday</a>. &ldquo;Given that the market tends to require that riskier borrowers pay higher coupon rates than <a href="https://www.wisdomtree.com/blog/glossary#Investment%20Grade">investment-grade (IG)</a> borrowers, bonds with the same maturity tend to have a lower duration. Additionally, given that yields also tend to be higher, investors also have a greater amount of &ldquo;cushion&rdquo; that can be used to dampen losses from rising interest rates. Therefore, high yield tends to outperform as rates rise.&rdquo;
<h3>What About Rate Risk?</h3>
For investors concerned about rate risk, HYZD makes sense. The ETF has an effective duration of just 0.06 years, according to issuer data. By comparison, the largest high-yield bond ETF has an effective duration of almost four years.
Even with a significantly lower duration, HYZD does not skimp on income. The ETF&#39;s 30-day SEC yield is 4.88 percent, which is not far off the 5.14 percent found on the largest junk bond ETF.
&ldquo;If investors are seeking to protect their portfolio from rising rates by increasing allocations to high yield, we feel it&rsquo;s counterintuitive to own a bond strategy simply because it&rsquo;s going to lose less than an IG strategy,&rdquo; said WisdomTree. &ldquo;In our view, exchange-traded funds can be used as powerful tools to help isolate credit risk in a bond portfolio through interest rate-hedged bond strategies like HYZD.&rdquo;
In terms of credit quality, just over 82 percent of HYZD&#39;s holdings are rated either BB or B. Just over 11 percent are rated CCC.
Related Links:
<a href="https://www.benzinga.com/analyst-ratings/analyst-color/17/02/9001666/warming-up-to-junk-bond-etfs-in-2017">Warming Up To Junk Bond ETFs In 2017</a>
<a href="https://www.benzinga.com/news/17/03/9163527/index-shake-ups-boosts-shares-of-amd-raymond-james">Index Shake-Ups Boosts Shares Of AMD, Raymond James</a>

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WisdomTree Interest Rate Hedged High Yield Bond Fund

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Latest news for WisdomTree Interest Rate Hedged High Yield Bond Fund (NASDAQ:HYZD)

Friday, March 24, 2017

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