For investors seeking momentum, ProShares UltraPro QQQ (TQQQ - Free Report) is probably on the radar now. The fund just hit a 52-week high and is up about 122.9% from its 52-week low of $82.43/share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
TQQQ in Focus
This ETF offers triple-leverage exposure to the daily performance of the NASDAQ-100 Index. The index is heavy on Information Technology (61.1%), Consumer Discretionary (20.8%) and Health Care (10.2%). The fund charges investors 95 basis points a year in fees (see: all Leveraged Equity ETFs here).
Why the Move?
The Nasdaq has been an area to watch lately given the upbeat sentiment prevailing around Wall Street, courtesy of the one-and-a-half-year high job additions in February.
Bond yields have been rising as prospects of higher interest rates this year started being baked in at the current level.
Since Nasdaq-100 is heavy on cyclical sectors like Technology and Consumer Discretionary, which perform well in a rising rate environment, gains in TQQQ are self-explanatory.
More Gains Ahead?
It seems that this fund might stay strong given a positive weighted alpha of 115.63. There is still some promise for investors who want to gain from this surging ETF.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
For investors seeking momentum, ProShares UltraPro QQQ (TQQQ - Free Report) is probably on the radar now. The fund just hit a 52-week high and is up about 122.9% from its 52-week low of $82.43/share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
TQQQ in Focus
This ETF offers triple-leverage exposure to the daily performance of the NASDAQ-100 Index. The index is heavy on Information Technology (61.1%), Consumer Discretionary (20.8%) and Health Care (10.2%). The fund charges investors 95 basis points a year in fees (see: all Leveraged Equity ETFs here).
Why the Move?
The Nasdaq has been an area to watch lately given the upbeat sentiment prevailing around Wall Street, courtesy of the one-and-a-half-year high job additions in February.
Bond yields have been rising as prospects of higher interest rates this year started being baked in at the current level.
Since Nasdaq-100 is heavy on cyclical sectors like Technology and Consumer Discretionary, which perform well in a rising rate environment, gains in TQQQ are self-explanatory.
More Gains Ahead?
It seems that this fund might stay strong given a positive weighted alpha of 115.63. There is still some promise for investors who want to gain from this surging ETF.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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