VanEck Pharmaceutical ETF

PPH

Market cap $1.19B

Looking for broad exposure to the Healthcare - Pharma segment of the equity market? You should consider the VanEck Pharmaceutical ETF (PPH), a passively managed exchange traded fund launched on December 20, 2011.

The price cuts will save Medicare billions of dollars in prescription-drug spending.

The healthcare sector's renewed momentum offers fertile ground for investors wanting to outperform by picking the best stocks from the broader indexes. Goldman Sachs identified 29 healthcare stocks in the Russell 1000 universe with positive recent consensus revisions to 2026 EPS estimates and that trade at attractive valuations. Goldman sees "more opportunity for alpha than beta" as wide return dispersion and increasing M&A activity in healthcare may favor selected winners.

The healthcare sector has experienced one of its most significant de-ratings in 35 years, with valuations now at a 30% discount to the broader market. Healthcare trades at historical valuation discounts across multiple metrics.

Pharma's strong pipelines, reduced policy risks, and demand growth drive renewed investor interest. PPH offers targeted access to top innovators like Eli Lilly and Merck.

Pharmaceutical stocks are having a moment. The S&P 500 Pharmaceuticals Index recently rose 11% during five trading days, its best weekly gain since 2022.

The final trades of the day with the Fast Money traders.

Pharma's Trump-Pfizer boost sparks momentum, making ETFs PPH, IHE, PJP & XPH attractive for defensive, undervalued growth plays.

What unnerves investors is a lack of clarity on drug pricing.

Drugmakers have been bracing for levies and sought to get ahead of them with pledges to invest billions more on domestic manufacturing.