For investors seeking momentum, the Goldman Sachs Future Health Care Equity ETF GDOC is probably on the radar now. The fund just hit a 52-week high and is up 31.1% from its 52-week low price of $28.34 per share.
But are there more gains in store for this ETF? Let’s take a quick look at the fund and its near-term outlook to get a better sense of where it might head.
GDOC in Focus
It offers exposure to U.S. and non-U.S. health care companies. The fund charges 75 basis points (bps) in annual fees (See: all Healthcare Equity ETFs here).
What Led to the Rise?
Factors such as an aging global population requiring more medical care, continued technological and medical advances such as artificial intelligence (AI) integration and precision medicine, and a rise in health care mergers and acquisitions (M&A) have likely contributed to the GDOC ETF reaching a new 52-week high. Moreover, pharma-giant Eli Lily LLY, which briefly surpassed the $1 trillion market cap mark on Nov. 21, holds the top spot in this fund and may have boosted GDOC’s price lately that led to this 52-week high.
More Gains Ahead?
GDOC may continue its strong performance in the near term, with a positive weighted alpha of 16.34 (as per Barchart.com), which suggests a further rally.
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Eli Lilly and Company (LLY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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