|Bid||0.00 x 3000|
|Ask||0.00 x 1000|
|Day's Range||0.00 - 0.00|
|52 Week Range|
|PE Ratio (TTM)||N/A|
|YTD Daily Total Return||21.16%|
|Beta (3Y Monthly)||1.52|
|Expense Ratio (net)||0.35%|
Biotechnology stocks have been outperforming over the past month, but ETF investors seem disinterested and are even trimming exposure to this sector. In a weekly update on the flow of money in and out of stock funds, PiperJaffray analyst Christopher J. Raymond pointed out that investors pulled a net $99 million out of healthcare and biotech-related funds in the one-week period ended on Wednesday, Barron's reports. The latest redemptions seems surprising given the recent outperformance of the biotechnology sector.
The healthcare sector, which has been the second-worst performer among the 11 major S&P 500 sectors this year, took the center stage this month with some outperformance compared to other sectors.
Kevin Cook joins us to help walk us through the maze that is the healthcare industry. We touch on everything from the hottest trends all the way down to how to pick a winning stock!
Venture capitalists are pouring cash into U.S. biotechs at a rate set to replicate 2018’s record deal count, according to PitchBook and the National Venture Capital Association’s third-quarter Venture Monitor report. In the first three quarters alone, VCs struck 609 biopharma deals — the majority of which were Series A or B — and contributed $11.5 billion in investments. Compared to the stretch between 2005 and 2011, VC investments more than tripled to strike $2.3 billion between 2012 and 2018. What Does The VC Landscape Look Like?
Here is a look at ETFs that currently offer attractive short selling opportunities. The ETFs included in this list are rated as sell candidates for two reasons. First, each of these funds is deemed to be in a downtrend based on the fact that its 50-day moving average is below its 200-day moving average, which are popular indicators for gauging long-term and medium-term trends, respectively. Second, each of these ETFs is also trading above its 20-day moving average, thereby offering a near-term 'sell on the pop' opportunity given the longer-term downtrend at hand. Note that this prospects list also features a liquidity screen by excluding ETFs with average trading volumes below the one million shares mark. As always, investors of all experience levels are advised to use stop-loss orders and practice disciplined profit-taking techniques. To get access to all ETFdb.com premium content, sign up for a free 14-day trial to ETFdb.com Pro.
Traders are always on the lookout for the next short squeeze candidate. Short squeezes can send share prices skyrocketing in a matter of minutes and hours, and traders who are along for the ride can make ...
Let's face it: The stock market is infuriating. Valuations are high, global growth is slow, and President Donald Trump's trade war with China has brought elevated volatility to stocks. Meanwhile, bonds, the only sensible alternative, are at near-record high prices and thus offer puny yields.What's an investor to do? One partial remedy is to increase your investment in health care stocks.Health care, which comprises more than 15% of Standard & Poor's 500-stock index, is the only broad market sector that can hold its own in both bull and bear markets. Although, no question, its best performance relative to the overall stock market comes during selloffs. In 2018, for instance, while the S&P; 500 retreated by 4.6% on a total-return basis (price plus dividends), the health care sector gained 5.6%.Which would you rather have: a shiny new BMW or your health? To ask the question is to answer it. If you're really sick, you'll do whatever it takes to recover, no matter the cost. You'll skip the new car, if necessary. Demand for health care is virtually inelastic. What's more, as baby boomers age, they're requiring more medical care. Simultaneously, breakthrough advances in the treatments of diseases - often expensive treatment - continue at a rapid clip.Below are my six best health care funds, in no particular order. SEE ALSO: The 19 Best ETFs for a Prosperous 2019
Hexo (NYSE:HEXO) stock is down 20% year-to-date. This is while the S&P 500 is up more than 10% and the SPDR S&P Biotech ETF (NYSEARCA:XBI) is flat. So clearly, investors have shied away from buying HEXO stock specifically.Source: Shutterstock This is not necessarily alarming because investors are already nervous from extraneous factors. Wall Street has good reason to be hesitant to buy even proven stocks right now with so much uncertainty is looming. So they are not rushing into risky ones either.During such uncertain times, stocks like HEXO, which are relatively frothy don't get bid up. If investors are nervous they usually prefer buying strong fundamentals not hopium. Since it sells at 270 time its sales, the Hexo stock price has a lot of forward potential baked into it -- even down here.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Trading HEXO StockSo, under such uncertain conditions, I would only trade HEXO from a tactical vantage point. And that's the opportunity we will study today.HEXO stock is down 50% since the end of April. Clearly the bears are in control of it, but there is hope for the bulls. Last week when it was under severe selling pressure, it held the July bottom. So as long as the HEXO bulls can maintain the higher-low trend, they will have an opportunity to regain control of the price action. This is also happening inside a pivotal zone and those are usually supportive.To do that, HEXO stock price needs to rise above $4.50. This is a moving target so I consider it more of a range rather than a hard line in the sand.If the buyers are able to do this then HEXO could run another $1 from there. This would almost be the halfback retracement of the whole correction from $8.20 per share. * 7 Deeply Discounted Energy Stocks to Buy Since I deem this opportunity as tactical, it also means that the trade should have tight stops. This would eliminate the temptation of turning a trade into an investment.However, if traders know the company and expect its fundamentals to eventually blossom then this same opportunity here would also be a good long-term entry point. But in either case and with so much uncertainty, it is best to do it in stages and not a full position all at one.There is a technical caution from the weekly chart. The HEXO stock price pattern is expanding and testing the lower ends of the range. If the trend line breaks then they could target $3 per share. While this is not the obvious scenario unfolding, it is one that exists.The bottom line is that Wall Street is on edge so they won't have a lot of appetite to buy iffy stocks. HEXO is one that would likely need the general market help to find footing and recover higher levels. If it does then I'd trail profits near $5.50 then again at $6.30 per share.Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. Join his live chat room for free here. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Deeply Discounted Energy Stocks to Buy * 7 Stocks to Buy In a Flat Market * 10 Stocks to Buy to Ride China's Emerging Wealth The post Hexo Stock Is Down -- But Not Out appeared first on InvestorPlace.
Increasing M&A deals, growing AI dominance and favorable regulatory tidings continue to boost the biotech stocks. Accordingly, we take a look at biotech ETFs gaining more than 10% year to date.
ETF investors may look to tactical strategies as a way to construct sector-based investment ideas for the current market environment. Recent sector flows and trends reveal a shift away from healthcare, along with greater interest for the real estate, technology and financial sectors.
The healthcare sector is struggling this year. In 2018, the group was the best-performing sector in the S&P 500. This year, it's the worst. The Dow Jones U.S. Health Care Index is up just 10.20% year-to-date, but there are some pockets of strength and potential growth opportunities in the S&P 500's third-largest sector weight.Source: Shutterstock Biotechnology is one of those groups. Some biotech ETFs aren't setting the market ablaze this year, but broadly speaking, biotech ETFs are outperforming diversified healthcare funds. For example, the iShares Nasdaq Biotechnology ETF (NASDAQ:IBB), the largest biotech ETF by assets, is up almost 10% year-to-date.The current market environment, marked by lower interest rates and escalating trade tensions, could actually favor biotech ETFs due to the groups' emphasis on the U.S. economy. Plus, the broader healthcare sector looks inexpensive relative to other defensive sectors.InvestorPlace - Stock Market News, Stock Advice & Trading Tips"Health care, the worst-performing sector this year, trades at 15 times forward earnings, below the 17 times multiple on the S&P 500. By comparison, staples, utilities and REITs trade closer to 20 times earnings," reports CNBC. * 10 Generation Z Stocks to Buy Long Here are some biotech ETFs to consider right here, right now. SPDR S&P Biotech ETF (XBI)Expense ratio: 0.35% per year, or $35 on a $10,000 investment.The SPDR S&P Biotech ETF (NYSEARCA:XBI) is home to $4.15 billion in assets under management, making it one of the largest biotech ETFs, but XBI's size is not why it is being highlighted here. For active traders, XBI is worth a look right now because during the week starting Monday, Aug 5, half of XBI's 119 holdings report earnings, so there are plenty of catalysts that could move this fund in the near term.XBI is an equal weight ETF and as such tilts toward smaller biotech names as highlighted by an average market value of $10.6 billion for the fund's components, putting it in mid-cap territory. XBI status as an imminent earnings play is relevant because FactSet expects second-quarter earnings for the healthcare sector to rise an average of 2.1%, the second-best growth rate among the 11 S&P 500 sectors.What could be a challenge for XBI and other biotech ETFs over the near term is campaign-trail chatter about drug prices (many XBI components are considered pharmaceuticals makers), but in the fund's corner are decent valuations and status of many of its holdings as credible takeover targets. Invesco Dynamic Biotechnology & Genome ETF (PBE)Source: Shutterstock Expense ratio: 0.59%The Invesco Dynamic Biotechnology & Genome ETF (NYSEARCA:PBE) is an ideal biotech ETF for investors looking for a smart beta approach to the space. PBE, which turned 14 years old in June, tracks the Dynamic Biotech & Genome Intellidex Index.That benchmark "is designed to provide capital appreciation by thoroughly evaluating companies based on a variety of investment merit criteria, including price momentum, earnings momentum, quality, management action, and value," according to Invesco. * 7 A-Rated Stocks Under $10 Smart beta is not always perfect, but its applications in the biotech ETF space are notable. Over the past three years, PBE has beaten a major cap-weighted index of biotechnology stocks by a margin of better than 3-to-1 with only slightly higher volatility. ALPS Medical Breakthroughs ETF (SBIO)Source: Shutterstock Expense ratio: 0.50% per yearThe ALPS Medical Breakthroughs ETF (NYSEARCA:SBIO) has long been a unique alternative to traditional biotech ETFs and with its emphasis on small-cap and smaller mid-cap stocks, SBIO can also be an alternative for risk-tolerant investors looking to replace standard small equity exposure.In addition to capping components' market values at the time of entry at $5 billion, SBIO's underlying index requires that those companies have at least one drug or therapy in Phase II or III Food and Drug Administration (FDA) trials. So while there can be no guarantees that SBIO holdings will become the next Amgen or Gilead, at least investors know the fund is not chock full of financially flimsy fly-by-night biotech stocks.And speaking of finances, SBIO components must have enough cash to survive at least two years to be included in the fund. That's a stiffer requirement than is found on standard small-cap ETFs, perhaps explaining why over the past three years SBIO is not just one of the best biotech ETFs, but one of the best small-cap funds, too. Global X Genomics & Biotechnology ETF (GNOM) Source: Shutterstock Expense ratio: 0.68%Having debuted in April, the Global X Genomics & Biotechnology ETF (NASDAQ:GNOM) is one of the newest biotech ETFs on the market. Rookie status aside, this Global X fund addresses a compelling, fast-growing corner of the healthcare market."There are several segments within the genomics field that stand to benefit from falling genetic testing costs, the rise of precision medicine ever-increasing amounts of genetic data, and other trends fueling genomics' disruption of health care," according to Global X research. * 10 High-Yield Monthly Dividend Stocks to Buy As an industry, genomics is not nearly as old some other healthcare groups, but the upside of that is that the industry offers plenty of growth potential via areas such as gene sequencing, gene editing, computational genomics and genetic diagnostics and more. Home to 40 stocks, a decent-sized lineup for a niche ETF like this, GNOM touches many of the exciting corners of the genomics investment thesis. ROBO Global Healthcare Technology and Innovation ETF (HTEC)Source: Shutterstock Expense ratio: 0.68%Having debuted in late June, the ROBO Global Healthcare Technology and Innovation ETF (NYSEARCA:HTEC) is the newest of biotech ETFs highlighted here and to be clear, it is not a dedicated biotech ETF. Rather, HTEC is designed as a play on the themes of healthcare disruption and innovation, but that can and should some biotechnology exposure. HTEC targets the ROBO Global Healthcare Technology and Innovation Index. "We anticipate that this technology revolution should profoundly transform the healthcare industry, offering a potential opportunity to investors over the next decade," according to ROBO Global. "It is about shifting the model from caring for the sick to one of prevention, prediction and eradication of diseases. It is about enhancing physicians' accuracy and therapies' efficacy. Finally, it is about lowering costs. The expected result: longer, healthier lifespans."HTEC has a broad lineup at 85 components, but a good percentage of those names dwell in the genomics and pharmaceuticals arenas, giving this fund some credibility as a biotech ETF. Importantly, the intersection of healthcare and artificial intelligence (AI), one of HTEC's points of emphasis, is real and growing."A.I. in health care could balloon to a $6.6 billion industry by 2021 form the $600 million back in 2014. A.I. funding has almost doubled to $2.3 billion in 2018, compared to $1.2 billion in 2017," according to ETF Trends. ARK Genomic Revolution Multi-Sector ETF (ARKG)Source: Shutterstock Expense ratio: 0.75%For those looking for active management with their genomics investments, an advisable strategy in many instances, the ARK Genomic Revolution Multi-Sector ETF (NYSEARCA:ARKG) is one of the best funds to consider. "Companies within ARKG are focused on and are expected to substantially benefit from extending and enhancing the quality of human and other life by incorporating technological and scientific developments and advancements in genomics into their business," according to ARK Investment Management.ARKG usually holds 30 to 50 stocks, but the fund typically spans into a half dozen fast-growing corners of the biotech space, including CRISPIR, bioinformatics, molecular diagnostics and more. * 10 Small-Cap Stocks to Buy Before They Grow Up Past performance is never a guarantee of future returns, but the ARK team are excellent stock pickers. Over the past three years, ARKG is beating the largest biotech ETF by a margin of more than 8-to-1. Invesco S&P SmallCap Health Care ETF (PSCH)Source: Shutterstock Expense ratio: 0.29%The Invesco S&P SmallCap Health Care ETF (NASDAQ:PSCH) is an almost biotech ETF. "Almost" because as its name implies, it's a diverse healthcare ETF, but when small-cap and healthcare stocks come together, biotechnology is usually involved.PSCH confirms as much as nearly 29% of its holdings, its largest industry weight, are biotechnology names. Earlier, I mentioned that healthcare stocks are trading at attractive valuations, but that's not the case with PSCH, which trades at 34x earnings. However, for investors that can stomach the added volatility, PSCH is worth the lofty multiples.Over the past three years, this biotech ETF was 320 basis points more volatile than the S&P SmallCap 600 Index, but the Invesco funds outperformed that index by nearly 2-to-1.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Generation Z Stocks to Buy Long * 5 Growth Stocks to Buy After the Rate Cut * 5 Dependable Dividend ETFs to Invest In The post 7 Biotech ETFs That Should Remain Healthy appeared first on InvestorPlace.
Biotech stocks went about in a steady manner this week amid a slew of big pharma and biotech earnings announcements, a handful of FDA approvals and a few clinical trial readouts. Lexicon Pharmaceuticals, ...