(NJUN) Innovator Growth-100 Power - Ratings and Ratios

The Innovator Growth-100 Power Buffer ETF - June (BATS:NJUN) is an exchange-traded fund that employs a unique investment strategy, allocating at least 80% of its net assets to FLexible Exchange Options (FLEX Options) that reference the Invesco QQQ Trust, Series 1, which tracks the Nasdaq-100 Index. This approach allows the fund to potentially benefit from the performance of the underlying index while mitigating potential losses through the customizable terms of the FLEX Options.

The funds use of FLEX Options, which are exchange-traded option contracts, provides the purchaser with the right to buy or sell the underlying asset at a predetermined price on a specified future date. By leveraging these customizable options, the fund aims to provide a buffered return profile, potentially reducing the impact of market downturns on its net asset value.

As a non-diversified fund, NJUNs investment focus is concentrated on the Nasdaq-100 Index, which comprises the 100 largest non-financial stocks listed on the Nasdaq, with a heavy weighting towards technology and growth-oriented companies. Given the funds investment strategy and the underlying indexs composition, it is likely to be sensitive to market fluctuations and sector-specific trends.

Analyzing the available technical data, NJUNs recent price action indicates a bullish trend, with the last price of $28.44 exceeding both its 20-day and 50-day simple moving averages (SMA20: $27.23, SMA50: $26.58). The Average True Range (ATR) of 0.40, representing a 1.39% daily volatility, suggests relatively contained price movements. Considering the 52-week high and low ($28.44 and $24.51, respectively), the fund has demonstrated resilience in maintaining its value above the lower end of its recent trading range.

Combining the technical analysis with fundamental data, the funds Assets Under Management (AUM) of $40.12 million indicate a relatively modest size, which may impact its liquidity and trading dynamics. However, the funds defined outcome strategy and buffer mechanism may attract investors seeking to balance growth potential with downside protection.

Forecasting NJUNs future performance, we can expect the fund to continue tracking the Nasdaq-100 Indexs movements, with its buffered return profile potentially mitigating losses during market downturns. Given the current technical trends and the funds investment strategy, a potential price target could be $30.00, representing a 5.5% increase from the current price, assuming the Nasdaq-100 Index continues its upward momentum. Conversely, a decline in the underlying index could lead to a price drop to $26.50, a 7% decrease from the current price, limited by the buffer mechanism. However, it is essential to monitor the funds performance and adjust expectations accordingly, as the actual outcome may vary based on various market and economic factors.