XBI tops the biotechnology ETFs
The positive US jobs figures have kept the Market positive. Biotechnology ETFs rose during the week ending April 1, 2016. The SPDR S&P Biotech ETF (XBI) and the iShares NASDAQ Biotechnology ETF (IBB) were the biggest gainers for the week, rising 6.2% and 5.0%, respectively. Both biotech ETFs outperformed the SPDR S&P 500 ETF (SPY), which rose 1.9%.
The above table provides the prices and returns of various biotech ETFs in comparison to the SPDR S&P 500 ETF. The iShares US Medical Devices ETF (IHI) turned positive during the week and has risen 1% year-to-date (YTD). It has performed the best among biotech ETFs. IHI closed at $123.77 on April 1, 2016, and was trading above its 100-day and 20-day moving averages. During the week, the ETF rose 3.2%.
Alder BioPharmaceuticals (ALDR) was the top performer, rising 50% during the week ending April 1. In a press conference on March 28, 2016, Alder BioPharmaceuticals announced “positive top-line data from two clinical trials evaluating ALD403, Alder’s proprietary monoclonal antibody product candidate for migraine prevention that targets calcitonin gene-related peptide (CGRP). Positive top-line data from a Phase 2b study of patients with a chronic migraine demonstrated that ALD403 acted rapidly and prevented a migraine over the entire 12 week study period, meeting both primary and secondary efficacy endpoints.”
Alder BioPharmaceuticals closed the week at $25.78 and was trading above its 20-day moving average. Although the stock rose 50%, it has fallen 22% YTD. Alder BioPharmaceuticals has a book value of $8.87 per share. At its current price, the stock is trading at a PBV (price-to-book value) ratio of 2.9x. Alder BioPharmaceuticals has a weight of 0.9% in XBI.