5 Cheap ETFs to Invest in For Beginners

3. The Gen Z ETF (NASDAQ:ZGEN)

The Gen Z ETF (NASDAQ:ZGEN) is an actively-managed exchange-traded fund that invests in the top 50 American listed securities that rank the highest on the Gen Z scoring methodology, which considers factors including use, values, innovation, and disruption. This determines a company’s position and weightage within The Gen Z ETF (NASDAQ:ZGEN). The fund was established at the end of 2021 and has net assets of $1.9 million, with an expense ratio of 0.60%. 

The largest stock in The Gen Z ETF (NASDAQ:ZGEN)’s portfolio is Enphase Energy, Inc. (NASDAQ:ENPH), a distributor of home energy solutions for the solar photovoltaic industry in the United States. On June 10, BMO Capital analyst Ameet Thakkar raised the price target on Enphase Energy, Inc. (NASDAQ:ENPH) to $240 from $215 and reiterated an Outperform rating on the stock. Enphase Energy, Inc. (NASDAQ:ENPH) can gain significant market share in the scattered European installer market, while increasing utility prices, higher consumption, and energy security leave E.U. customers with limited options but to shift to solar, the analyst told investors.

According to Insider Monkey’s database, 57 hedge funds were bullish on Enphase Energy, Inc. (NASDAQ:ENPH) at the conclusion of Q1 2022, up from 50 funds in the previous quarter. Bruce Emery’s Greenvale Capital is a prominent shareholder of the company, with 500,000 shares worth about $101 million. 

Here is what ClearBridge Investments Sustainability Leaders Strategy has to say about Enphase Energy, Inc. (NASDAQ:ENPH) in its Q1 2022 investor letter:

“Enphase Energy (NASDAQ:ENPH) is a key solar holding that should be able to take advantage of greater incentives for solar installations in many geographies. The company was also a strong contributor for the quarter, overcoming pressures of a higher discount rate on their strong projected future earnings, raw material inflation and supply chain challenges as their long-term value was reaffirmed.”