The Case for and Against BMO Short-Term US Treasury Bond ETF (ZTS)

BMO Short-Term US Treasury Bond ETF (ZTS) is an interesting player in the Healthcare space, with a focus on Drugs – Generic. The stock has been active on the tape, currently trading at $82.85, down from yesterday’s close by -0.20%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

BMO Short-Term US Treasury Bond ETF (ZTS) currently trades with a market capitalization of $40.26 Billion. That value represents a market adjusting for revenues that have been growing by 10.97 % on a quarterly year/year basis as of the company’s last quarterly report.

You can get a sense of how sustainable that is by a levered free cash flow of $1.38 Billion over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of $0.69 on a per share basis this quarter. Perhaps, that suggests something about why 0.08% of the outstanding share supply is held by institutional investors.

Technical Analysis

It’s important to check the technicals to get a sense of how ZTS has been acting. Looking at the stock’s movement on the chart, BMO Short-Term US Treasury Bond ETF recorded a 52-week high of $86.38. It is now trading 3.53% off that level. The stock is trading $83.34 its 50-day moving average by 0.49000000000001%. The stock carved out a 52-week low down at $59.50.

In recent action, BMO Short-Term US Treasury Bond ETF (ZTS) has made a move of -3.63% over the past month, which has come on Strong relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 14.61, and it’s gotten there by action that has been less volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 1.07% with $482.51 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of ZTS.

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