For investors seeking momentum, SoFi Select 500 ETF (SFY Quick QuoteSFY - Free Report) is probably on the radar now. The fund just hit a 52-week high and is up 27.6% from its 52-week low price of $120.23 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.  

SFY in Focus

It tracks the performance of 500 of the largest U.S.-listed companies weighted based on a proprietary mix of their market capitalization and fundamental factors. The product charges 5 basis points (bps) in annual fees (See: All Style-Box Large-Cap Growth ETFs here).

What Led to the Rise?

Because SFY uses a growth-oriented weighting methodology — allocating larger weights to companies with strong top-line revenue growth — it benefits disproportionately from major megacap tech rallies. Furthermore, recent softer labor market data lowered rate expectations, fueling a market-wide surge in high-growth equities and lifting SFY to a new 52-week peak.

More Gains Ahead?

SFY may continue its strong performance in the near term, with a positive weighted alpha of 26.68 (as per Barchart.com), which suggests a further rally.