For investors looking for momentum, First Trust Nasdaq Artificial Intelligence and Robotics ETF ROBT is probably a suitable pick. The fund just hit a 52-week high and is up 96.8% from its 52-week low price of $22.51/share.

Let’s take a look at the fund and its near-term outlook to gain an insight into where it might be headed:

ROBT in Focus

This ETF seeks investment results that correspond generally to the price and yield, before the fees and expenses of the Nasdaq CTA Artificial Intelligence and Robotics Index. It has AUM of $137.5 million and charges 65 basis points in annual fees.

Why the Move?

Due to the coronavirus outbreak, the robotics market is flooded with opportunities as robots are being used for jobs such as sanitizing hospitals, homes and workplaces along with monitoring, surveying, handling, and delivering food and medicines. The current conditions seem favorable for the robotic markets in government applications, such as health, security and defense. Also, with the reopening of the U.S. economy, it is believed that robots will see increased usage in industrial, manufacturing, healthcare, logistics, inspection and maintenance, automotive, electronics, and food and beverage areas. This is making funds like ROBT an attractive investment option.

More Gains Ahead?

It seems like the fund will remain strong, with a positive weighted alpha of 40.97, which gives cues of further rally.

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
 
First Trust NASDAQ Artificial Intelligence and Robotics ETF (ROBT): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research
 
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

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

(Excerpt) Read more Here | 2020-11-21 22:36:00
Image credit: source