This Robot-Run ETF Cut Tesla Stake In January And Initiated Positions In These 2 Tech Giants

The Qraft AI-Enhanced U.S. Large Cap Momentum ETF AMOM  — an exchange-traded fund driven by artificial intelligence — has acquired new stakes in Alphabet Inc. GOOG GOOGL and Meta Platforms Inc. FB, while entirely divesting its holdings in Tesla Inc. TSLA, Adobe Inc. ADBE and Shopify Inc. SHOP.

What Happened: The ETF’s latest portfolio after rebalancing in early February showed it has also entirely divested its holdings in Salesforce.com Inc. CRM and Qualcomm Inc. QCOM.

The fund, which has assets under management of $30.1 million, has a history of accurately predicting the price movements of Tesla’s shares.

The ETF now has Google parent Alphabet as its largest investment with an 8.5% weighting, followed by Meta Platforms with a weighting of 8.0% and graphics chip maker Nvidia Corp. NVDA with 6.9% weighting.

The other two stocks that now make up the top-five holdings in the AMOM portfolio are Home Depot Inc. HD and Costco Wholesale Corp. COST.

The ETF had Tesla, Nvidia, Home Depot, Adobe and Shopify as its five largest holdings in January.

Why It Matters: AMOM, a product of South Korea-based fintech group Qraft, tracks 50 large-cap U.S. stocks and reweighs its holdings each month.

The fund’s latest rebalancing shows that it is most bullish on Alphabet, Meta and Nvidia.

Alphabet reported better-than-expected results for the fourth quarter, helped by strong growth in advertising and Cloud business revenue. The tech giant also announced a 20-for-1 stock split.

Meta reported better-than-expected revenue for the fourth quarter, while earnings missed estimates amid stiff competition from short-video app TikTok. However, Meta is attempting to take on TikTok with Reels, a short-form video platform on its Instagram subsidiary.

Nvidia, which officially released its Omniverse metaverse platform in January, has recently abandoned the proposed acquisition of chip designer Arm Ltd. amid stiff opposition from regulators.

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