For investors seeking momentum, First Trust Large Cap Core AlphaDEX Fund (FEX - Free Report) is probably on radar. The fund just hit a 52-week high and is up 29.8% from its 52-week low price of $48.89 per 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:
FEX in Focus
This ETF provides exposure to the large-cap segment of the broader market and employs the AlphaDEX stock selection methodology to select stocks from the NASDAQ US 500 Large Cap Index. It has a well-diversified portfolio with key holdings in financials, industrials, consumer cyclicals and information technology. The fund charges 61 bps in annual fees (read: all the Large Cap Blend ETFs here).
Why the Move?
The broader U.S. market has been an area to watch lately given the new record highs logged by the major bourses. The dual tailwinds of renewed trade optimism and stronger-than-expected corporate earnings are driving the stock market. Additionally, the Fed slashed interest rates once again by 25 basis points last month, representing the third rate cut for the year. Lower interest rates have made borrowings cheaper, providing a boost to both investment in new projects and repayment of a higher-rate debt. A spate of better-than-expected data has added to the strength.
More Gains Ahead?
Currently, FEX has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook, suggesting continued outperformance in the months ahead. Further, many of the segments that make up this ETF have a strong Zacks Industry Rank. So, there is definitely some promise for those who want to ride this surging ETF a little further.
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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, First Trust Large Cap Core AlphaDEX Fund (FEX - Free Report) is probably on radar. The fund just hit a 52-week high and is up 29.8% from its 52-week low price of $48.89 per 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:
FEX in Focus
This ETF provides exposure to the large-cap segment of the broader market and employs the AlphaDEX stock selection methodology to select stocks from the NASDAQ US 500 Large Cap Index. It has a well-diversified portfolio with key holdings in financials, industrials, consumer cyclicals and information technology. The fund charges 61 bps in annual fees (read: all the Large Cap Blend ETFs here).
Why the Move?
The broader U.S. market has been an area to watch lately given the new record highs logged by the major bourses. The dual tailwinds of renewed trade optimism and stronger-than-expected corporate earnings are driving the stock market. Additionally, the Fed slashed interest rates once again by 25 basis points last month, representing the third rate cut for the year. Lower interest rates have made borrowings cheaper, providing a boost to both investment in new projects and repayment of a higher-rate debt. A spate of better-than-expected data has added to the strength.
More Gains Ahead?
Currently, FEX has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook, suggesting continued outperformance in the months ahead. Further, many of the segments that make up this ETF have a strong Zacks Industry Rank. So, there is definitely some promise for those who want to ride this surging ETF a little further.
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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