tiprankstipranks
Advertisement

QTEC - ETF AI Analysis

Compare

Top Page

QTEC

First Trust NASDAQ-100 Technology Sector Index Fund (QTEC)

Rating:73Outperform
Price Target:
QTEC, the First Trust NASDAQ-100 Technology Sector Index Fund, earns a solid overall rating thanks to several strong chip and technology leaders like Analog Devices, Broadcom, Western Digital, and Marvell, which benefit from robust financial performance, AI-driven growth, and positive earnings commentary. These strengths are partly offset by weaker names such as Microchip and Intel, where profitability, cash flow, and valuation concerns weigh on the fund. The main risk factor is the fund’s concentration in high-valuation technology and semiconductor stocks, which can be more volatile and sensitive to shifts in growth expectations.
Positive Factors
Strong Recent Performance
The ETF has delivered strong gains so far this year and over the past month, showing solid momentum in its strategy.
Top Holdings with Strong Gains
Several of the largest positions, including major chip and hardware makers, have posted strong year-to-date gains that support the fund’s overall returns.
Focused but Still Sector-Diverse Tech Exposure
While centered on technology, the fund also holds communication services, consumer cyclical, and industrial names, adding some variety within its tech-heavy approach.
Negative Factors
High Technology Concentration
With the vast majority of assets in the technology sector, the fund is highly sensitive to downturns in tech stocks.
Limited Geographic Diversification
Almost all holdings are in U.S. companies, so the ETF offers little protection if the U.S. market weakens compared with other regions.
Above-Average Expense Ratio
The fund’s expense ratio is relatively high for an ETF, which means more of the returns are used to cover fees instead of going to investors.

QTEC vs. SPDR S&P 500 ETF (SPY)

QTEC Summary

QTEC is an exchange-traded fund (ETF) that follows the NASDAQ-100 Technology Sector Index, focusing mainly on U.S. technology companies. It holds well-known chip and hardware makers like Intel and Advanced Micro Devices (AMD), along with other firms involved in software, semiconductors, and digital equipment. Investors might consider QTEC if they want growth potential from a diversified basket of leading tech names instead of picking individual stocks. However, because it is heavily concentrated in technology, its price can rise and fall sharply with changes in the tech sector and overall stock market.
How much will it cost me?The expense ratio for QTEC is 0.55%, which means you’ll pay $5.50 per year for every $1,000 invested. This is slightly higher than average for ETFs because it is passively managed but focuses on a specific sector, which often involves more specialized research and management.
What would affect this ETF?QTEC’s focus on U.S. technology companies positions it to benefit from ongoing innovation in semiconductors, software, and hardware, as well as increased demand for digital solutions. However, it could face challenges from rising interest rates, which often impact growth-focused sectors like technology, and potential regulatory scrutiny on large tech firms. Global economic conditions and shifts in consumer spending could also influence the ETF’s performance.

QTEC Top 10 Holdings

QTEC is riding a powerful semiconductor wave, with names like Marvell, AMD, and Monolithic Power doing much of the heavy lifting as AI and data-center demand keep them rising. Storage players Western Digital and Seagate are also surging, adding extra fuel to returns. On the flip side, Microchip looks more mixed, with profitability issues keeping it from fully joining the rally, while Broadcom’s premium price tag makes it a steadier, less explosive contributor. Overall, this is a U.S.-heavy, chip-centric tech fund, not a broadly diversified market basket.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Intel3.70%$112.44M$414.43B314.38%
64
Neutral
Marvell3.44%$104.45M$143.68B169.52%
76
Outperform
Advanced Micro Devices3.17%$96.46M$567.05B247.16%
73
Outperform
ARM Holdings PLC ADR3.11%$94.67M$249.37B92.61%
69
Neutral
Monolithic Power2.83%$86.05M$80.16B171.28%
75
Outperform
Seagate Tech2.77%$84.10M$127.85B625.24%
68
Neutral
Texas Instruments2.75%$83.55M$252.33B65.91%
78
Outperform
Microchip2.63%$79.89M$48.40B84.73%
54
Neutral
Western Digital2.61%$79.35M$136.97B879.54%
77
Outperform
Broadcom2.57%$78.16M$2.00T117.28%
76
Outperform

QTEC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
231.62
Positive
100DMA
232.99
Positive
200DMA
228.70
Positive
Market Momentum
MACD
11.04
Negative
RSI
76.49
Negative
STOCH
96.82
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For QTEC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 246.35, equal to the 50-day MA of 231.62, and equal to the 200-day MA of 228.70, indicating a bullish trend. The MACD of 11.04 indicates Negative momentum. The RSI at 76.49 is Negative, neither overbought nor oversold. The STOCH value of 96.82 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for QTEC.

QTEC Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$3.07B0.55%
73
Outperform
$4.52B0.40%
71
Outperform
$2.42B0.60%
67
Neutral
$2.31B0.35%
66
Neutral
$1.75B0.35%
74
Outperform
$1.47B0.60%
72
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
QTEC
First Trust NASDAQ-100 Technology Sector Index Fund
271.52
88.80
48.60%
RSPT
Invesco S&P 500 Equal Weight Technology ETF
SKYY
First Trust Cloud Computing ETF
XSD
SPDR S&P Semiconductor ETF
XNTK
Spdr Nyse Technology Etf
FXL
First Trust Technology AlphaDEX Fund
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
Table of Contents
Advertisement