NYSEARCA:XLV

Health Care Select Sector SPDR Fund (XLV)

167.37
-1.01 (0.60%)
as of Aug 14, 2026, 8:00:00 pm Market Open.
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Investor Insights
star iconAug 16, 2026, 12:00 am

This summary was created by AI, based on 3 opinions in the last 12 months.

The Health Care Select Sector SPDR Fund (XLV) has garnered positive reviews from multiple experts, showcasing its ability to outperform the S&P 500 index significantly, with a notable 12% excess return over the past three months and a year-to-date return of 26.8%. It is perceived as a safe and steady investment choice, highlighted by its low beta of 0.51, which implies lower volatility compared to the broader market. The current market trend indicates a shift away from AI sectors, giving healthcare stocks a prime opportunity for growth. Experts suggest that there is potential for short-term alpha in the healthcare sector, influenced by ongoing developments in health treatments, such as GLP-1 medications. While predictions for 2026 suggest continued growth, the current year's substantial increase makes XLV an attractive prospect for investors seeking stability amidst market fluctuations.

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Consensus
Buy
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Valuation
Fair Value
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Similar
PFE
DON'T BUY

Better to buy the holdings? He doesn't buy ETFs, because he's an active manager. He'd rather buy the individual stocks, and he doesn't know what's in this ETF, though Thermo-Fisher, a key holding, is a fine company. In this sector, he owns Anthem, Abbvie and CVS, for example. Healthcare isn't in the sun now, but you can do well if you pick the right stocks.

TOP PICK
There's been talk of change of the US healthcare system for years, but Covid is making it difficult to do that right now and makes healthcare protected from attack. Strong seasonal period right now. Elective surgeries coming back. Huge opportunity for an uptick at least until August. Yield is 1.39%.
PAST TOP PICK
(A Top Pick May 07/20, Up 8%) Healthcare sector is a bit exhausted right now, and seeing relative weakness. He's walked back from it a bit. Coming up to an election, healthcare can become a political football.
TOP PICK
The healthcare sector has outperformed the S&P since February. There is a lot of money going into this sector. It tends to do well this time of year also. We also have to be more cautious in election years but it will be harder for this sector to be kicked back and forth like a football.
PAST TOP PICK
(A Top Pick May 09/19, Up 4%) Seasonality ends Oct. 24. It's been faltering lately. The US election campaign is a headwind and will continue to overhang. He may exit this.
PAST TOP PICK
(A Top Pick Sep 12/18, Down 1%) He was stopped out of this. The medical devices space is good. Biotech services, are under huge pressure. This ETF was a little too inclusive so he exited.
COMMENT

US Healthcare For knee replacements and implants he likes SNN-N. He does not prefer the ETFs, such as XLV-N, because they hold too broad of an array of companies, including the big drug companies that are under pressure. He would focus on the tool and device space instead.

PAST TOP PICK
(A Top Pick Aug 07/18, Up 1%) He was stopped out a while ago. Managed care got hit and became politicized. The sector went neutral, so he went into medical devices instead.
TOP PICK
It is defensive with a seasonal period from May first to the beginning of August. Investors get attracted to this sector at this time of the year because it is defensive. It has started to outperform the market. It is less exposed to the China/US trade deal. It is not a bad place to be. It is a place to hide out in.
TOP PICK
Buying beta. Can drop with the market but high quality market exposure. Tends to have high cash flow, large cap, robust companies, well diversified. Yield 1.6%.
TOP PICK
You want to focus your portfolio on leadership. He likes healthcare late cycle. These tend to have a higher cap. This is the largest diversified exposure in his portfolio.
TOP PICK

It's the largest by far in this space and cheap at 0.13% MER. Carries the biggies in healthcare with J&J, Pfizer as the top two holdings. It's highly liquid. He wants US dollars now, which is another plus. Also likes ZUB-T, but he prefers U.S. dollars.

TOP PICK

He feels the market is near the late stages of the bull run, but feels this balanced portfolio will continue to work well.

TOP PICK

This tends to be late stage and has been growing rapidly in the last 3-to-4 months. It is just starting to break out. Within the underlying sector, more industries are starting to do well pharma, services, distributors and hospitals are all improving and the US-based policy risk seems to be toning down. (Analysts’ price target was not provided)

BUY

A US healthcare ETF? He would buy one of the Spider sector ETF's. This one has very, very low costs, and is very liquid. It is well diversified. If you want something that has Canadian hedging, then you can buy ZUH-T from the Bank of Montréal.

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