QTEC - ETF AI Analysis

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

Rating:73Outperform

Price Target:―

QTEC, the First Trust NASDAQ-100 Technology Sector Index Fund, has a solid overall rating driven mainly by high-quality tech names like Adobe, which benefits from strong profits, healthy cash flow, and a clear focus on AI innovation. Other key holdings such as KLA and Applied Materials also support the fund’s quality through strong financial performance and growth in advanced chip-related technologies, though their high valuations and exposure to trade and export-control risks, along with similar concerns for names like AppLovin and Workday, introduce some volatility and sector-specific risk. Because the fund is concentrated in technology, investors should be aware that shifts in tech valuations or regulation can meaningfully impact performance.

Positive Factors

Strong Semiconductor Holdings

Many of the largest positions in chip-related companies have shown strong gains this year, helping support the fund’s overall results.

Focused Tech Exposure

The ETF is heavily tilted toward technology and related industries, giving investors targeted access to a key growth area of the market.

Meaningful Asset Base

The fund manages a sizable pool of assets, which can help with trading liquidity and overall fund stability for investors.

Negative Factors

High Sector Concentration

With most of its assets in technology stocks, the ETF is vulnerable to downturns in the tech sector.

Almost Entirely U.S.-Focused

The portfolio is invested almost entirely in U.S. companies, offering very little geographic diversification.

Above-Average Expense Ratio

The fund’s expense ratio is relatively high for a passive ETF, which can modestly reduce investors’ net returns over time.

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

AUM2.64B

RegionNorth America

Expense Ratio0.55%

Beta1.51

IssuerFirst Trust

Inception DateApr 19, 2006

Dividend YieldN/A

Asset ClassEquity

Index TrackedNASDAQ-100 Technology Sector Index

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume232,110

30 Day Avg. Volume244,041

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

300.85

Price Target Upside― Downside

Rating ConsensusStrong Buy

Number of Analyst Covering45

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

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 names like Intel and Advanced Micro Devices (AMD), along with other firms in software, hardware, and semiconductors. Someone might invest in QTEC if they want growth potential from leading tech businesses and a simple way to spread that bet across many companies instead of picking individual stocks. A key risk is that it is heavily concentrated in technology, so its price can rise or fall sharply with the tech sector.

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 a tech-heavy, U.S.-focused fund where semiconductor names like KLA and Applied Materials are doing the heavy lifting, with rising share prices helping offset weakness elsewhere. On the flip side, software and platform players such as Adobe, Workday, and AppLovin have been losing steam, turning into mild drags on performance. DoorDash has also been lagging, adding to the headwinds. Overall, the ETF is clearly concentrated in technology, with its fortunes closely tied to whether chip makers can keep outrunning the softer patches in software and internet services.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
ARM	ARM Holdings PLC ADR	2.60%	$66.20M	$157.99B	67.86%	69 Neutral
MRVL	Marvell	2.57%	$65.61M	$95.76B	114.72%	76 Outperform
PDD	PDD Holdings	2.48%	$63.09M	$140.48B	0.90%	70 Outperform
TXN	Texas Instruments	2.43%	$61.80M	$181.56B	29.49%	78 Outperform
AAPL	Apple	2.39%	$60.99M	$3.80T	42.65%	79 Outperform
AMD	Advanced Micro Devices	2.39%	$60.99M	$358.98B	163.25%	73 Outperform
NXPI	NXP Semiconductors	2.39%	$60.88M	$49.80B	20.69%	70 Neutral
ADI	Analog Devices	2.37%	$60.40M	$159.82B	91.06%	78 Outperform
ASML	ASML Holding	2.36%	$60.11M	$511.30B	111.74%	81 Outperform
MPWR	Monolithic Power	2.35%	$59.79M	$57.96B	141.50%	75 Outperform

QTEC Technical Analysis

Technical Analysis Sentiment

Neutral

Last Price―

Price Trends

50DMA

225.69

Negative

100DMA

229.29

Negative

200DMA

225.32

Negative

Market Momentum

MACD

-2.31

Negative

RSI

50.89

Neutral

STOCH

74.74

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For QTEC, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 220.29, equal to the 50-day MA of 225.69, and equal to the 200-day MA of 225.32, indicating a neutral trend. The MACD of -2.31 indicates Negative momentum. The RSI at 50.89 is Neutral, neither overbought nor oversold. The STOCH value of 74.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for QTEC.

QTEC Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
QTEC	―	―	$2.64B	0.55%	73 Outperform
RSPT	―	―	$3.98B	0.40%	71 Outperform
SKYY	―	―	$2.36B	0.60%	67 Neutral
XSD	―	―	$1.64B	0.35%	66 Neutral
XNTK	―	―	$1.47B	0.35%	74 Outperform
FXL	―	―	$1.30B	0.60%	72 Outperform

Performance Comparison

QTEC

First Trust NASDAQ-100 Technology Sector Index Fund

221.79

50.52

29.50%

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: ―

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