(POCT) Innovator SP500 Power - Ratings and Ratios

Innovator S&P500 Power Buffer October (POCT) is an exchange-traded fund (ETF) that employs a defined outcome strategy, investing at least 80% of its net assets in Flexible Exchange Options (FLEX Options) that reference the SPDR S&P500 ETF Trust. This underlying ETF is designed to track the performance of the S&P500 Index, providing broad exposure to the US stock market.

The funds investment approach is centered around FLEX Options, which are customized options contracts that can be tailored to meet specific investment objectives. By utilizing these options, POCT aims to provide a buffered return, potentially mitigating downside risk while still allowing for upside participation. The funds non-diversified nature means it may be more susceptible to significant price movements, as its investments are focused on a specific set of securities.

Analyzing the funds technical data, we observe that the current price is $40.40, slightly above its 20-day simple moving average (SMA) of $40.34, indicating a potential bullish trend. The 50-day and 200-day SMAs are $39.44 and $39.41, respectively, further supporting this trend. The average true range (ATR) is $0.30, representing a 0.75% daily price movement, suggesting relatively moderate volatility. Given the current price is near its 52-week high of $40.70, we can anticipate potential resistance at this level.

With an assets under management (AUM) of $809.03 million, POCT has a substantial presence in the market. Considering the S&P500 Indexs historical performance and the current market conditions, we can forecast that POCT may continue to move upwards, potentially reaching new 52-week highs. However, if the market experiences a downturn, the funds buffered nature may help mitigate losses. Based on the technical and fundamental data, a potential price target for POCT could be around $41.50, representing a 2.7% increase from its current price. Conversely, a decline to the 50-day SMA of $39.44 could be a potential support level.