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Dividend Income ETF (DIVZ) Touches New 52-Week High

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For investors seeking momentum, the Opal Dividend Income ETF (DIVZ - Free Report) is probably on the radar now. The fund just hit a 52-week high and is up 24.2% from its 52-week low price of $30.37 per share.  

But are there more gains in store for this ETF? Let’s take a quick look at the fund and its near-term outlook to get a better sense of where it might head.

DIVZ in Focus

It offers exposure to dividend-paying companies that tend to be more established businesses with high cash flow, stable revenue streams, and more disciplined capital reinvestment, thereby helping investors experience lower volatility relative to the overall equity market. The fund charges 65 basis points (bps) in annual fees (See: all Style-Box All-Cap Value ETFs here).

What Led to the Rise?

DIVZ reached a new 52-week high, driven by a "flight to quality" following Kevin Warsh’s Fed nomination. As tech volatility spiked, investors shifted to DIVZ’s concentrated portfolio of high-cash-flow leaders like Philip Morris, Chevron and NextEra Energy. The fund’s heavy allocation to Energy and Utilities provided a defensive cushion, while its active management captured gains from dividend-growers poised to thrive if Warsh’s policies prioritize productivity and disinflation over speculative growth.

More Gains Ahead?

DIVZ may continue its strong performance in the near term, with a positive weighted alpha of 14.44 (as per Barchart.com), which suggests a further rally. 


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