IBB’s top ten outperformed XLV’s top ten
Going by market cap, the top ten stocks of the iShares Nasdaq Biotechnology ETF (IBB) outperformed the top ten stocks of the Health Care Select Sector SPDR ETF (XLV). The IBB top ten stocks gave an average return of 3.3% while the top ten stocks of XLV gave an average return of 2.3% on October 15, 2015. IBB’s top ten has a combined weight of 58.5% of IBB’s portfolio while XLV’s top ten combined weight stood at 54% of XLV’s portfolio.
IBB’s top ten include stocks like Gilead Sciences (GILD), Amgen (AMGN), and Celgene (CELG), which gave returns of 3.3%, 3.2%, and 3.4%, respectively. XLV’s top ten include stocks like Johnson & Johnson (JNJ), Pfizer (PFE), and Merck (MRK), which gave returns of 2.8%, 3.2%, and 2.4%, respectively.
The above graph shows the performance of IBB’s and XLV’s top ten in comparison with SPY. The trend indicates that in a falling market, SPY performs better, but when the markets are moving up, IBB and XLV tend to outperform SPY.
Alexion drove IBB’s top ten
Alexion Pharmaceuticals (ALXN) rose by 5.5% and closed at $161.07. ALXN broke its four-day losing streak and moved into the green. As per the press release on October 12, ALXN “announced that researchers presented new data from the extension phase of an ongoing, open-label Phase 2 study in children with hypophosphatasia (or HPP) who were treated with Strensiq (asfotase alfa) for at least five years.”
ALXN is trading below its 50-day and 100-day moving averages, but above its 20-day moving average. ALXN has a weight of 4.1% in IBB’s portfolio.