Analysts Predict Upside for iShares U.S. Technology ETF

Analysts have pegged the iShares U.S. Technology ETF (IYW) with an 11.88% upside target price at $178.84, indicating a positive outlook. Key underlying holdings such as nCino Inc (NCNO), Unity Software Inc (U), and GlobalFoundries Inc (GFS) also show significant potential for growth.

Date: 20-05-2025

AI Rating: 7

The report highlights that the iShares U.S. Technology ETF (IYW) is currently valued at $159.86, which is substantially lower than the weighted average analyst target price of $178.84. This suggests an upside potential of approximately 11.88%, appealing to investors looking at short-term opportunities.

Underlying Holdings Analysis
Three notable underlying holdings within the IYW ETF display considerable upside: nCino Inc (NCNO), Unity Software Inc (U), and GlobalFoundries Inc (GFS). NCNO, priced at $24.75, has a compelling upside of 16.41% towards the analyst target of $28.81. Similarly, Unity Software (U) has a potential gain of 14.66%, moving from its recent price of $22.24 to an expected $25.50. Finally, GFS, currently at $39.13, is forecasted to appreciate by 13.87% to reach $44.56.

This projected upside presents an attractive scenario for investors. Even though the report lacks specific details on earnings metrics, understanding that estimates are made based on analyst sentiment regarding future price movements provides a basis for evaluating potential risks and returns.

However, caution must be taken when interpreting these targets. A high price target compared to a stock’s trading price may imply optimism. Still, it might also be indicative of unrealistic expectations that could lead to downgrades in the future.

Investor Considerations
Professional investors should conduct further research to validate or challenge these targets alongside broader market conditions and recent company developments. This analysis is essential to ensure that investments are based on sound fundamentals rather than speculative targets.

Stocks: IYW NCNO U GFS