For investors seeking momentum, Pacer US Small Cap Cash Cows 100 ETF (CALF Quick QuoteCALF - Free Report) is probably on radar. The fund just hit a 52-week high and is up 33.4% from its 52-week low price of $31.93/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 of where it might be headed:

CALF in Focus

The underlying Pacer US Small Cap Cash Cows Index uses an objective, rules-based methodology to provide exposure to small-capitalization U.S. companies with high free cash flow yields. The fund charges 59 bps in fees.

Why the Move?

The pint-sized stocks tend to gain momentum in 2H due to the better-than-expected U.S. economic recovery, a resilient consumer base, a fall in inflation and the likelihood of a less-hawkish Fed. Investors should note that most eminent brokerage houses like Goldman Sachs and Bank of America have been cutting their U.S. recessionary expectations. This is great for small-cap stocks as the capitalization is mostly tied to the domestic economy.

More Gains Ahead?

The fund might continue its strong performance given a positive weighted alpha of 20.33.