Barron's has introduced a tracking index of stocks favored by younger consumers.
Though the combined performance on the group of 50 stocks smashed the returns of the S&P 500 over the last five years, this year it lags slightly so far.
As expected, the price-earnings ratio of the Barron's Next 50 Index skews higher due to the focus on longer-term millennial growth.
Some of the companies making the initial list are Amazon (NASDAQ:AMZN), Barnes & Noble Education (NYSE:BNED), Boston Beer (NYSE:SAM), Chipotle (NYSE:CMG), Etsy (NASDAQ:ETSY), GameStop (NYSE:GME), GoPro (NASDAQ:GPRO), GrubHub (NYSE:GRUB), Kate Spade (NYSE:KATE), Live Nation (NASDAQ:LIVE), Lululemon (NASDAQ:LULU), MasterCard (NYSE:MA), Match Group (NASDAQ:MTCH), Monster Beverage (NASDAQ:MNST), Shake Shack (NYSE:SHAK), Square (NYSE:SQ), and Yelp (NYSE:YELP).
A millennial-focused ETF launched last spring, the Global X Millennial Thematic ETF (NASDAQ:MILN), has outperformed the S&P 500 Index over its brief history.