Invesco QQQ ETF: 1.03% Up in 5 Days, 11.84% in a Year

The Invesco QQQ ETF has risen 1.03% in the past 5 days and 11.84% over the past year. According to TipRanks' analyst consensus, QQQ is a Moderate Buy with an average price target of $590.16, implying a 6.91% upside. The top holdings with upside potential include Strategy (MSTR), Regeneron (REGN), and Adobe (ADBE), while those with downside potential include Palantir Technologies (PLTR), KLA Corporation (KLAC), and ON Semiconductor (ON). QQQ's Smart Score is 7, indicating a likely in-line performance with the market.

The Invesco QQQ ETF (QQQ) has seen a remarkable resurgence, rising 1.03% over the past five days and 11.84% over the past year. This performance has been driven by the Nasdaq-100's recovery from a bear market, which was triggered by President Trump's "Liberation Day" tariffs in April [2]. The index has since set a new record high, marking the beginning of a new bull market.

Analysts are cautiously optimistic about the QQQ ETF's future. TipRanks' analyst consensus rates it as a "Moderate Buy" with an average price target of $590.16, suggesting a 6.91% upside potential [2]. This positive sentiment is supported by the ETF's strong track record, with a compound annual return of 10.1% over the last 26 years and an accelerated annual return of 18.7% over the past decade [2].

The ETF's top holdings with upside potential include Strategy (MSTR), Regeneron (REGN), and Adobe (ADBE), while Palantir Technologies (PLTR), KLA Corporation (KLAC), and ON Semiconductor (ON) are seen as potential downside risks. Despite these risks, the ETF's Smart Score of 7 indicates a likely in-line performance with the broader market [2].

The QQQ ETF's performance can be attributed to its exposure to the technology sector, which has been a major driver of growth in recent years. The ETF holds a significant portion of its assets in the "Magnificent Seven" technology companies, which include Nvidia, Microsoft, Apple, Amazon, Alphabet, Meta Platforms, and Tesla [2]. These companies are well-positioned to benefit from the continued growth of AI and other emerging technologies.

Investors should consider the long-term potential of the QQQ ETF, given its strong track record and the positive sentiment from analysts. However, it is essential to conduct thorough research and consider the risks associated with the technology sector before making any investment decisions.

References:
[1] https://www.etf.com/sections/daily-etf-flows/vxf-attracts-770m-trump-tariffs-spark-selloff
[2] https://www.nasdaq.com/articles/nasdaq-just-entered-new-bull-market-it-too-late-buy-invesco-qqq-etf