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TMED - ETF AI Analysis

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TMED

T. Rowe Price Health Care ETF (TMED)

Rating:64Neutral
Price Target:
TMED, the T. Rowe Price Health Care ETF, has a solid overall rating that reflects a portfolio anchored by strong, established healthcare leaders like Eli Lilly and UnitedHealth, which bring robust financial performance and supportive long-term growth stories. Gilead Sciences and Danaher further strengthen the fund with healthy cash flows and favorable earnings outlooks, while some holdings such as Alnylam and Insulet introduce added risk through high leverage, overvaluation, and bearish technical signals. The main risk factor is the fund’s concentrated exposure to the healthcare sector, which can make performance more sensitive to industry-specific challenges and regulatory changes.
Positive Factors
Strong Recent Performance
The ETF has delivered strong gains so far this year and over the past few months, showing solid recent momentum.
Leading Health Care Names
Top holdings like Eli Lilly, UnitedHealth, and Gilead have shown positive performance, helping support the fund’s returns.
Focused Health Care Exposure
The fund is heavily invested in health care companies, which can benefit investors who want targeted exposure to this sector.
Negative Factors
High Stock Concentration
A small number of holdings, especially Eli Lilly, make up a large share of the portfolio, increasing the impact if these stocks struggle.
Many Top Holdings Are Weak
Several major positions, including Thermo Fisher, Intuitive Surgical, and others, have shown weak performance this year, which could drag on future returns.
Limited Geographic Diversification
Almost all assets are invested in U.S. companies, offering little protection if the U.S. market or health care sector faces a downturn.

TMED vs. SPDR S&P 500 ETF (SPY)

TMED Summary

TMED is the T. Rowe Price Health Care ETF, an actively managed fund that focuses on health care companies rather than tracking a fixed index. It mainly holds U.S. health care stocks, including well-known names like Eli Lilly and UnitedHealth, along with drug makers, medical device firms, and health care service providers. Someone might invest in TMED to tap into the long-term growth of medical innovation and to diversify within the health care sector. However, because it is concentrated in health care, its value can go up or down sharply if that sector falls out of favor or faces regulation changes.
How much will it cost me?The T. Rowe Price Health Care ETF (TMED) has an expense ratio of 0.44%, which means you’ll pay $4.40 per year for every $1,000 invested. This is higher than the average for ETFs because it is actively managed, with experts carefully selecting and adjusting the fund’s holdings to try to outperform traditional health care sector indices.
What would affect this ETF?The TMED ETF could benefit from advancements in biotechnology and medical innovation, as well as increasing global demand for health care services driven by aging populations and emerging markets. However, it may face challenges from regulatory changes, patent expirations, or economic downturns that could impact health care spending and the profitability of its top holdings. Additionally, fluctuations in interest rates could affect the broader market and investor sentiment toward health care stocks.

TMED Top 10 Holdings

TMED is heavily tilted toward big health care names, with Eli Lilly and UnitedHealth setting much of the tone. Lilly has been a key engine over the past few months, even if it’s catching its breath lately, while UnitedHealth continues to provide a steady backbone despite some recent wobbling. On the tools-and-services side, Thermo Fisher and Agilent are rising and helping offset weakness. The real drag comes from more volatile biotech and device names like Alnylam and Insulet, which have been losing steam. Overall, it’s a globally diversified but sector-concentrated bet on health care innovation.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Eli Lilly & Co16.43%$4.31M$1.14T56.06%
72
Outperform
UnitedHealth6.07%$1.59M$381.94B68.88%
72
Outperform
Gilead Sciences4.43%$1.16M$164.79B16.91%
78
Outperform
Thermo Fisher4.31%$1.13M$214.22B23.32%
72
Outperform
Alnylam Pharma4.02%$1.06M$38.27B-47.61%
60
Neutral
Danaher3.53%$926.78K$138.13B-0.50%
75
Outperform
Cencora3.28%$860.31K$61.99B9.14%
70
Neutral
Insulet2.67%$701.20K$11.82B-42.55%
70
Outperform
Agilent2.64%$693.00K$39.63B20.82%
73
Outperform
Dyne Therapeutics2.59%$678.27K$4.61B161.22%
43
Neutral

TMED Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price
Price Trends
50DMA
33.02
Positive
100DMA
31.31
Positive
200DMA
30.40
Positive
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For TMED, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 34.50, equal to the 50-day MA of 33.02, and equal to the 200-day MA of 30.40, indicating a neutral trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TMED.

TMED Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$27.35M0.44%
64
Neutral
$46.24M0.50%
58
Neutral
$42.28M0.80%
62
Neutral
$17.69M0.85%
66
Neutral
$11.29M0.55%
67
Neutral
$9.28M0.65%
65
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TMED
T. Rowe Price Health Care ETF
33.88
9.58
39.42%
FMED
Fidelity Disruptive Medicine ETF
MEDI
Harbor Health Care ETF
MEDX
Horizon Kinetics Medical ETF
BMED
Future Health ETF
JDOC
JPMorgan Healthcare Leaders ETF
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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