If there is a lingering risk to QCLN it is valuation, a frequent argument made against Tesla. QCLN has a P/E ratio of 27.44, well above the P/E of 16 sported by the PowerShares QQQ (NasdaqGS: QQQ). That does not mean QCLN’s will not continue, but it will likely be Tesla that determines the fund’s fortunes. Indeed, there is a fairly intimate correlation between the two. In the past week, shares of Tesla and QCLN are both down 3.7%.
First Trust NASDAQ Clean Edge Green Energy Index Fund
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of QQQ.