(VAMO) Cambria Value Momentum - Ratings and Ratios

The Cambria Value and Momentum ETF (VAMO) is an actively managed exchange-traded fund that focuses on U.S. exchange-listed equity securities, aiming to achieve its investment objective by allocating at least 80% of its net assets to this asset class. The fund employs a flexible strategy, allowing it to hedge up to 100% of its long portfolio to mitigate potential losses. With a diversified approach, VAMO invests in various industries, capping sector allocation at 25% to minimize exposure to any particular market segment.

The funds investment universe includes a broad range of equity securities, and it may also invest up to 20% of its net assets in high-quality debt securities, money market instruments, or other ETFs, which can be denominated in U.S. dollars or other currencies. This flexibility enables the fund to adapt to changing market conditions and capitalize on opportunities in different asset classes. By maintaining a disciplined investment approach, VAMO seeks to deliver a balanced portfolio that combines value and momentum strategies.

Analyzing the funds recent performance and technical indicators, we observe that the last price is $29.90, with short-term moving averages (SMA20: $29.44, SMA50: $29.18) indicating a positive trend. The Average True Range (ATR) of 0.23 represents a daily volatility of 0.76%, suggesting relatively stable price movements. Given the current price is near the SMA200 ($29.48), it indicates a potential support level. With the 52-week high and low being $32.16 and $26.77, respectively, the fund has demonstrated resilience in a range-bound market.

Combining the technical analysis with fundamental data, we note that the funds Assets Under Management (AUM) stand at $52.71 million. Considering the current market conditions and the funds strategy, a forecast for VAMO could be derived from its ability to balance value and momentum. If the market continues to exhibit a moderate level of volatility, as indicated by the ATR, and the overall trend remains positive, VAMO is likely to maintain its current price level or potentially edge higher towards the $30.50-$31.00 range, representing a 2-3% increase from the current price. However, a downturn in the market could test the support level around $29.00, making it essential to monitor the funds hedging strategy and overall market conditions.