Credit: Shutterstock photoFor investors looking for momentum, Ultra Technology ETF ROM is probably on your radar now. The fund just hit a new 52-week high. Shares of ROM are up roughly 96.8% from their 52-week low price of $66.93/share.
But could more gains be ahead for this ETF? Let's take a quick look at the fund and the near-term outlook to get a better idea on where it might be headed:
ROM in Focus
ROM focuses on providing 2x leveraged exposure to the technology equities in the U.S. It charges 95 basis points in fees per year. It has top holdings in Apple Inc AAPL , Microsoft Corp MSFT , and Facebook Inc FB with 17.72%, 11.96%, and 7.86% allocation, respectively (as of March 31, 2017) (see all Technology ETFs here ).
The fund has AUM of $153.4 million and trades in average volumes of 9,200 shares.
Why the Move?
The move can mainly be attributed to the tech sector's strong earnings results. The tech heavy Nasdaq was up over 3.6% in the past month, owing to better-than-expected sector revenues and earnings. As per CSI market , the sector recorded 8.14% revenue growth year over year and almost 19.9% net income growth. Therefore, investors are confident and are looking at this sector as a potential investment.
More Gains Ahead?
Currently, ROM has a low 14-day volatility of 15.16% and an impressive weighted alpha of 87.34 . 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 >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Facebook, Inc. (FB): Free Stock Analysis Report
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
PRO-ULT TECH (ROM): ETF Research Reports
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
