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Technology ETF (IGM) Hits New 52-Week High

This technology ETF hits a new 52-week high. Are more gains in store for this ETF?

This story originally appeared on Zacks

For investors seeking momentum, iShares Expanded Tech Sector ETF IGM is probably on radar now. The fund just hit a 52-week high, and is up roughly 48% from its 52-week low price of $290.44/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 on where it might be headed:

- Zacks

IGM in Focus

This fund offers broad exposure to the technology sector, and technology-related companies in the communication services and consumer discretionary sectors. It has key holdings in interactive media & services, semiconductors, systems software, application software, and data processing & outsourced services. The product charges 43 bps in fees per year (see: all the Technology ETFs here).

Why the Move?

The technology corner of the broad U.S. stock market has been an area to watch lately given that the tech-laden Nasdaq is hitting record highs. Most of the rally has been powered by renewed buying in the high-growth tech giants on easing of tapering fears as well as optimism over a sustained economic recovery.

More Gains Ahead?

Currently, IGM has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook. Therefore, it is hard to get a handle on its future returns one way or the other. However, many of the segments that make up this ETF have a strong Zacks Industry Rank. So, there is definitely some promise for those who want to ride this surging ETF a little further.

More Stock News: This Is Bigger than the iPhone!

It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market.

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iShares Expanded Tech Sector ETF (IGM): ETF Research Reports


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