SPMO: Momentum Faces Pressure, But AI-Fueled Growth Still Makes It A Buy

Invesco S&P 500 Momentum ETF remains a buy with strong double-digit returns expected as AI continues to drive market momentum. SPMO's portfolio is heavily weighted toward Technology at 55% with recent rebalancing increasing exposure to AI beneficiaries like Micron and Intel. Despite short-term risks from inflation and potential Fed rate hikes, long-term upside is seen as the AI market is forecast to grow at a 30% CAGR.