QTUM: A Safer Bet On The Quantum Theme (Archive)

QTUM quietly offers diversified tech and semiconductor upside while sidestepping quantum hype risk.

QTUM: A Safer Bet On The Quantum Theme (Archive)

This 5-Minute Pitch was originally published on Seeking Alpha before the launch of the Hunting Alphas website. It is shared here to showcase my previous work and track record. New 5-Minute Pitches published on this site will not be disseminated anywhere else.

Elevator Pitch

  • The Defiance Quantum ETF has benefited from net fund flows as it seems to have benefited from positive news sentiment around the quantum computing theme in December 2024.
  • In reality, QTUM has limited specific exposure to quantum computing stocks, which is favorable to avoid hype and overvaluation risks.
  • The Fund is actually a broad technology and semiconductors ETF in disguise. I think it may benefit from a positive semis outlook and lower rates in 2025.
  • Defiance Quantum ETF is trading at a relatively small premium vs. NAV, which is not unusual. Most importantly, it is a more reasonably priced way to get some exposure to quantum stocks.
  • QTUM vs. SPX500 shows a strong upside breakout, marking the start of a new bull market.

Read the full article here.

Disclosures and Disclaimers

Past performance ≠ future results. Not investment advice. See full Disclaimer.