(COWZ) Pacer US Cash Cows 100 - Ratings and Ratios

The Pacer US Cash Cows 100 ETF (COWZ) is designed to track an index that focuses on large and mid-cap US companies with high free cash flow yields, effectively targeting cash cows - businesses that generate significant cash from their operations. This ETF is part of the Mid-Cap Value category, suggesting its investment strategy is geared towards identifying undervalued companies with strong financial health.

By investing at least 80% of its assets in the component securities of its tracked index, COWZ provides a diversified portfolio that mirrors the performance of these cash-rich companies. The indexs rules-based methodology ensures that the selection of companies is based on objective criteria, reducing the impact of subjective biases. This approach is beneficial for investors seeking exposure to financially robust US companies.

From a technical standpoint, COWZ has shown a relatively stable performance, with its last price at $54.25. The ETF is currently trading above its 20-day Simple Moving Average (SMA20) of $53.75 and its 50-day SMA of $52.57, indicating a positive short to medium-term trend. However, it is below its 200-day SMA of $56.09, suggesting that the long-term trend is not as strong. The Average True Range (ATR) of 0.79, or 1.46%, indicates moderate volatility. Given its 52-week high of $60.84 and low of $47.46, COWZ has demonstrated its ability to navigate varying market conditions.

With an Assets Under Management (AUM) of $21.275 billion, COWZ is a substantial ETF, indicating strong investor interest. Its size can contribute to liquidity and potentially lower trading costs for investors.

Forecasting the future performance of COWZ involves analyzing both its technical and fundamental data. Given its current technical indicators and the overall market conditions, a potential short-term target could be a move towards its 52-week high, driven by the positive trend indicated by its SMA20 and SMA50. However, breaking through its 200-day SMA resistance at $56.09 could be a significant challenge. Fundamentally, the ETFs focus on companies with high free cash flow yields positions it well for potential long-term growth, as these companies are likely to continue generating significant cash. Assuming the US economy remains relatively stable, COWZ could be poised for growth, potentially reaching new highs as investor confidence in financially strong companies continues.