IHI’s large caps remained flat
The large-cap stocks of the iShares US Medical Devices ETF (IHI) remained flat and gave an average return of 0.3%, replicating the performance of the fund itself. However, the large-cap stocks of IHI outperformed the broader market representative, the SPDR S&P 500 ETF (SPY), which gave a return of -0.1% as of November 5, 2015. The large cap stocks of IHI account for ~50% of IHI’s portfolio. As of November 5, 2015, IHI has 12 large cap stocks in its portfolio with a market cap of $10 billion and above. Among the 12 large-cap stocks, eight stocks gained marginally and four stocks lost marginally.
The above graph reflects the large-cap performance of IHI in comparison with IHI and SPY. Since October 26, 2015, IHI large-cap stocks have given a return of 6% while IHI has given a return of 5.2%. SPY has given a return of 1.3%.
Boston Scientific outperformed other large caps
Boston Scientific (BSX) gained 1.5% as of November 6, 2015. As per its press release, BSX “is scheduled to participate in the Canaccord Genuity 9th Annual Medical Technology and Diagnostics Forum on November 19, in New York City.” The forum will host a 30-minute question and answer session on BSX.
BSX closed at $18.94 and was trading above its 20-day, 50-day, and 100-day moving averages. The stock’s RSI (relative strength index) was at 67, indicating that the stock is neither oversold nor overbought. However, it is very close to being overbought. With its current price, the stock is trading at a price-to-book value (or PBV) of 3.97x. BSX has a weight of 4.6% in IHI’s portfolio.
The other large-cap stocks that performed well from IHI’s portfolio are Hologic (HOLX), Edwards Life Sciences (EW), and Becton Dickinson (BDX), which gave returns of 0.1%, 1.4%, and 0.8%, respectively.