(FRI) First Trust S&P REIT - Ratings and Ratios

The First Trust S&P REIT Index Fund (FRI) is an exchange-traded fund that tracks the performance of the S&P United States REIT Index, which comprises publicly-traded real estate investment trusts (REITs) domiciled in the United States. By investing at least 90% of its net assets in the securities that make up the index, FRI provides investors with diversified exposure to the US REIT market.

The funds underlying index is designed to capture the performance of REITs that meet specific eligibility requirements, effectively providing a benchmark for the US REIT sector. As a result, FRI offers investors a convenient way to gain access to a broad range of REITs, including those involved in various property types such as residential, commercial, and industrial real estate.

From a technical analysis perspective, FRIs recent price action has been positive, with the funds last price of $27.07 exceeding its 20-day and 50-day simple moving averages (SMA) of $26.67 and $26.80, respectively. However, the funds 200-day SMA stands at $27.75, indicating potential resistance at this level. The average true range (ATR) of 0.63, or 2.31%, suggests moderate volatility. Given the current technical setup, a potential trading opportunity may arise if FRI breaks above its 52-week high of $29.61 or falls below its 52-week low of $23.61.

Combining technical and fundamental insights, a forecast for FRI can be made. With the funds assets under management (AUM) standing at $150.65M USD, it has a stable presence in the market. Considering the current technical indicators and the overall trend in the US REIT market, a potential price target for FRI could be between $28.50 and $30.50, representing a 5-12% increase from the current price. However, if the REIT market experiences a downturn, FRI could potentially decline to its 52-week low. Therefore, investors should closely monitor the funds price action and adjust their strategies accordingly.