|Bid||38.20 x 3000|
|Ask||38.21 x 900|
|Day's Range||38.15 - 38.46|
|52 Week Range||34.51 - 49.97|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.37|
|Expense Ratio (net)||0.35%|
Pharmaceutical ETFs invest in stocks of companies that are involved in the research, development, manufacture, sale or distribution of pharmaceuticals and drugs of all types. With Johnson and Johnson continuing ...
The Trump administration said if drugmakers disclose prices in TV ads costs will go down. But that may not necessarily be the case.
Shares of health companies were down Monday, with both the Health Care Select Sector SPDR Fund ETF and the SPDR S&P Pharmaceuticals ETF falling 0.6% in morning intraday trade. Shares of Cardinal Health Inc. led the losers in the S&P 500's health-care ETF, falling 3.1% after the company said CFO Jorge Gomez would leaving the company, followed by declines in shares of Incyte Corp , Alexion Pharmaceuticals Inc. , and Biogen Inc. , Regeneron Pharmaceuticals Inc. and Amgen Inc. . The dip in health-care stocks comes after President Trump's announcement Friday that he was planning to soon issue an executive order allowing the U.S. to buy drugs based on the lowest price paid by other developed countries. "Our guess is drug stocks may be initially pressured this week," Jefferies health-care trading desk strategist Jared Holz wrote in an email to clients on Sunday evening. However, "feedback already suggests investors believe the executive order, if it comes to pass, will only be relevant for a handful of drugs (those that are very significant in revenue and administered in a physician's office)... at least at the onset," he wrote. The drop in health shares comes amid a broader decline in U.S. stocks, as investors grapple with doubts about whether the Federal Reserve will still cut interest rates after a strong U.S. jobs report Friday. The S&P 500 was down 0.4% Monday morning. The index has gained 18.8% in the year to date.
President Donald Trump on Friday applied fresh pressure on the Federal Reserve over interest-rate policy, and told reporters he was considering an executive order over a citizenship question on the 2020 census.
AbbVie has agreed to buy Botox-maker Allergan for $63 billion in a cash-and-stock deal. The news has put the spotlight on a number of healthcare ETFs.
Pharmaceutical sector-specific exchange traded funds showed mixed results Tuesday after AbbVie (NYSE: ABBV) agreed to acquire Allergan (NYSE: AGN) for $63 billion. Among the largest pharma-specific ETFs, ...
Shares of drug makers were getting a nice boost in premarket trading Tuesday, after AbbVie Inc.'s deal to buy Allergan PLC for a 45% premium. The SPDR S&P Pharmaceuticals ETF rallied 2.2% ahead of the open. Besides the 31% jump in Allergan's stock, among other shares seeing nice gains in the premarket, Mylan N.V. rose 2.7%, Endo International PLC climbed 4.5%, Theravance Biopharma Inc. hiked up 4.2%, Mallinckrodt PLC tacked on 2.7% and Perrigo Co. PLC gained 2.2%. Meanwhile, Medicines Co.'s stock shed 4.6%, after the company announced late Monday the public offering of $150 million worth of common stock. The pharmaceuticals ETF has lost 7.7% over the past three months through Monday, while the S&P 500 has gained 5.3%.
The U.S. Food and Drug Administration on Monday approved Novo Nordisk's Victoza, a liraglutide injection, for the treatment of young patients 10 years or older with Type 2 diabetes. Although Victoza has been FDA-approved to treat adults with Type 2 diabetes since 2010, it is the only non-insulin drug approved for children other than metformin, which was approved for pediatric use in 2000. "Victoza has now been shown to improve blood sugar control in pediatric patients with Type 2 diabetes. The expanded indication provides an additional treatment option at a time when an increasing number of children are being diagnosed with this disease," said Lisa Yanoff, acting director of the Division of Metabolism and Endocrinology Products in the FDA's Center for Drug Evaluation and Research. Type 2 diabetes occurs when the pancreas is unable to make enough insulin to keep blood sugar at normal levels. It's the most common form of diabetes, normally occurring in patients 45 years or older. However, in the past two decades, its prevalence among younger patients has dramatically risen. More than 5,000 new cases of Type 2 diabetes are now diagnosed each year in the U.S. among people younger than age 20, according to the Centers for Disease and Control and Prevention. Shares of Novo Nordisk have gained 10.8% so far this year, while the SPDR S&P Pharmaceuticals ETF has gained 3%. The Dow Jones Industrial Average has gained 11.8% and the S&P 500 has gained 15.3%.
Shares of Insys Therapeutics Inc. plunged 68% toward a record low in premarket trade Monday, after the specialty pharmaceutical company said it filed for bankruptcy. Insys said it plans to continue operating its business while it pursues the sale of substantially all of its assets. "After conducting a thorough review of available strategic alternatives, we determined that a court-supervised sale process is the best course of action to maximize the value of our assets and address our legacy legal challenges in a fair and transparent manner," said Chief Executive Andrew Long. As of Dec. 31, Insys had 226 full-time employees. The company reported a 2018 net loss of $124.3 million, or $1.68 a share, on revenue of $82.1 million, after a loss of $227.0 million, or $3.12 a share, on revenue of $140.7 million in 2017. The stock has lost 81% over the past 12 months through Friday, while the SPDR S&P Pharmaceuticals ETF has declined 13% and the S&P 500 has gained 3.4%.
Pharmaceutical ETFs may be in trouble with legal troubles looming over the industry. The drugmaker segment recently sold-off after an amended civil antitrust complaint brought by more than 40 state attorneys ...
Forty-four state attorneys general announced they had filed suit against 20 generic drugmakers, including Teva and Mylan.
Declining sales of blockbuster drug Copaxone dragged down first-quarter revenue at Teva Pharmaceuticals Industries Ltd.
The healthcare sector, the second-largest sector by exposure in the S&P 500, is in the midst of a dismal run. After ranking as the best-performing sector in the U.S. last year, healthcare is the worst-performing group in the S&P 500 in 2019.Just look at the Health Care Select Sector SPDR (NYSEARCA:XLV), the largest of healthcare ETFs by assets. XLV is down 0.84% year-to-date while the S&P 500 is higher by nearly 16%. XLV's year-to-date loss does not paint a complete picture of healthcare stocks' weakness. Investors' distaste for the sector has recently been increasing as highlighted by an April loss of more than 7% for XLV.While the long-term outlook for the healthcare sector remains solid, healthcare ETFs and stocks face myriad headwinds, including some that are politically-charged. As has been widely noted, the idea of Medicare For All has significant traction among several Democrats running for that party's 2020 presidential nomination and that is plaguing insurance providers and some more focused healthcare ETFs.InvestorPlace - Stock Market News, Stock Advice & Trading TipsMore recently, politicians from both parties continued assailing high pharmaceuticals prices, sending the S&P Pharmaceuticals Select Industry Index lower by more than 6% for the week ending April 18. * 10 High-Yielding Dividend Stocks That Won't Wilt In other words, healthcare ETFs face a lot of near-term headwinds, meaning it could be time to consider dumping these funds. SPDR S&P Pharmaceuticals ETF (XPH)Source: Shutterstock Expense ratio: 0.35% per year, or $35 on a $10,000 investment.The SPDR S&P Pharmaceuticals ETF (NYSEARCA:XPH) tracks the aforementioned S&P Pharmaceuticals Select Industry Index and even with the recent consternation over high drug prices, this healthcare ETF is maintaining a year-to-date gain of over 6%. That makes XPH one of the better-performing healthcare ETFs this year.The White House claims that it has affected favorable changes when it comes to drug prices, but with a presidential election year looming, the rhetoric on this issue is likely to increase, not abate, and that presents a potential headwind for a slew of healthcare ETFs, including XPH."Even if politicians truly wanted to lower drug prices, one complexity is that Medicare, which many candidates want to expand broadly, has no authority to negotiate thanks to a possibly ill-advised policy proposed by the Bush administration that has been in effect since 2006," according to CNBC.XPH and several other healthcare ETFs are front-and-center in the drug price debate. XPH's deteriorating technical health is another cause for concern with this healthcare ETF as the fund currently resides more than 10% below its 200-day moving average, a percentage that has recently been growing. Invesco S&P SmallCap Health Care ETF (PSCH)Source: Shutterstock Expense ratio: 0.29%The combination of small-cap stocks and the healthcare sector can be rewarding for investors when both of those elements are moving higher in unison. Small caps are doing their jobs this year, but healthcare is not, and that drag has recently been weighing on the Invesco S&P SmallCap Health Care ETF(NASDAQ:PSCH).PSCH, the small-cap counterpart to the aforementioned XLV, is a diversified healthcare ETF and its 69 holdings "are healthcare companies principally engaged in the business of providing healthcare-related products, facilities and services, including biotechnology, pharmaceuticals, medical technology and supplies," according to Invesco. * 7 Digital Ad Stocks That Deserve Your Attention Right Now In more sanguine environments for the healthcare sector, PSCH's diverse roster would be an advantage. For the time being, the opposite is true. PSCH's nearly 13% weight to pharmaceuticals stocks is a problem in its own right thanks to the drug price debate, but the real drag on this healthcare ETF is the 22.69% weight to the healthcare providers industry, meaning this healthcare ETF features significant exposure to the Medicare For All debate. First Trust Health Care AlphaDEX Fund (FXH)Source: Shutterstock Expense ratio: 0.63%Alternatively-weighted, or smart beta, funds have caught on with advisors and investors in recent years, but when it comes to the sector funds in this group, there are often two-fold reminders. When things are going well for that sector, smart beta sector funds can outperform their cap-weighted rivals. When that sector falls out of favor, there is little or no downside protection in alternatively-weighted sector funds.Meet the First Trust Health Care AlphaDEX Fund (NYSEARCA:FXH), a healthcare ETF that has recently been taken to task in significant fashion. This healthcare ETF uses a mix of growth and value traits to build its portfolio, a methodology that can lead to upside when the sector is performing well, but in the current environment, FXH is being hit on multiple fronts.A combined weight of 39.60% to biotechnology and pharmaceuticals stocks exposes FXH to the drug price debate. Second, this healthcare ETF has devotes 17.48% of its weight to healthcare providers, meaning Medicare For All is dinging this fund's performance as well. Put all that together and FXH is experiencing epic April showers with a month-to-date loss of 8.57%.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 High-Yielding Dividend Stocks That Won't Wilt * 4 Energy Stocks Soaring as Trump Tightens on Iran * 7 Tech Stocks With Too Much Risk, Not Enough Upside Compare Brokers The post 3 Healthcare ETFs to Sell Amid Political Headwinds appeared first on InvestorPlace.
The stock market's rebound this year may leave investors wondering if there's any gas left in the tank. CLS Investments offers three 'resilient' ETF ideas.
Big pharmaceutical companies were on the hot seat at Capitol Hill today with CVS Health, Cigna, Prime Therapeutics, Humana, and UnitedHealthcare's OptumRx testifying before the Senate Finance Committee on the rising cost of prescription drugs. Among the topics discussed included rebates paid by drug makers contributing to the high costs and the drug industry's pursuit of profits--all to shift the blame from the pharmaceutical companies to the drug makers. U.S. President Donald Trump has already lambasted the pharmaceutical industry for the rising costs associated with prescription drugs.
Pharmaceutical sector-related ETFs stood out Thursday after Horizon Pharma (HZNP) revealed positive test results for its treatment of thyroid eye disease, or TED. Among the better performing non-leveraged ETFs of Thursday, the First Trust Nasdaq Pharmaceuticals ETF (FTXH) rose 1.8%, Invesco Dynamic Pharmaceuticals ETF (PJP) gained 1.5% and SPDR Pharmaceuticals ETF (XPH) increased 2.3%. Horizon Pharma shares surged 32.5% Thursday following the release of positive test results in its Phase 3 trial of its thyroid eye disease drug, teprotumumab, TheStreet reports.
Biotech stocks, which have fallen 20% from last year's high based on the iShares Nasdaq Biotechnology ETF (IBB), could face more declines in the year ahead. A combination of negative headwinds including weak sales growth, earnings revisions and other forces are likely to plague the once-red hot sector.
What to Expect from Bristol-Myers Squibb's Acquisition of Celgene (Continued from Prior Part) ## Strategic benefits The acquisition of Celgene (CELG) by Bristol-Myers Squibb (BMY) brings together both the company’s leading franchises. The acquisition also brings together both the companies’ robust clinical pipelines. Bristol-Myers Squibb and Celgene together bring the leading oncology franchises together. Bristol-Myers Squibb’s leading oncology drugs include Opdivo and Yervoy, while Celgene’s leading oncology drugs include Revlimid and Pomalyst. The acquisition also brings together the leading immunology and inflammation products on one platform. The leading immunology and inflammation products include Bristol-Myers Squibb’s Orencia and Celgene’s Otezla. The combined company is expected to have nine products with annual sales figures of above $1.0 billion. Bristol-Myers Squibb (BMY) and Celgene hold a robust pipeline with significant potential in different disease areas such as oncology, cardiovascular diseases, inflammation, and immunology. The combined company presently has six products that could be launched in the near term. The products in clinical trials that could be approved in the near term include two investigational immunology and inflammation products, TYK2 and ozanimod, and four hematology products: viz. luspatercept, liso-cell, bb2121, and fedratinib. The approval of the above drug candidates that are presently in trials could significantly strengthen the product portfolio of Bristol-Myers Squibb. The drug approvals could also significantly boost the revenue growth of the combined company. The revenue growth of Bristol-Myers Squibb could boost the SPDR S&P Pharmaceuticals ETF (XPH). Bristol-Myers Squibb makes up ~4.36% of XPH’s total portfolio holding. ## Financial benefits The combined company of Bristol-Myers Squibb and Celgene (CELG) is expected to have strong returns. The acquisition transaction’s internal rate of return is expected to be much higher compared to Bristol-Myers Squib’s and Celgene’s cost of capital. After the closure of the transaction, Bristol-Myers Squibb anticipates that the combined company will generate over $45.0 billion in free cash flow during the first three years. Browse this series on Market Realist: * Part 1 - Bristol-Myers Squibb to Acquire Celgene * Part 2 - How Celgene Is Positioned Now * Part 3 - How Bristol-Myers Squibb Stands Now