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FMED - ETF AI Analysis

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FMED

Fidelity Disruptive Medicine ETF (FMED)

Rating:58Neutral
Price Target:
FMED, the Fidelity Disruptive Medicine ETF, has a mid-range overall rating that reflects a mix of strong innovators and higher-risk names in its portfolio. High-quality holdings like Intuitive Surgical and Argenx support the fund with solid financial performance, strong growth pipelines, and positive momentum, while weaker positions such as Cogent Biosciences and Insmed, which face significant financial and profitability challenges, weigh on the rating. The main risk factor is the fund’s focus on disruptive medicine companies, which often come with high valuations, cash flow pressures, and sector-specific volatility.
Positive Factors
Focused Exposure to Disruptive Medicine
The fund concentrates on innovative health care companies, giving investors targeted access to potential long-term growth in medical technologies and treatments.
Strong Performance from Select Holdings
Some top positions, such as Cogent Biosciences, Bio-Techne, and Moderna, have shown strong gains this year, helping offset weaker names in the portfolio.
Recent Short-Term Momentum
The ETF has delivered a strong gain over the past month, suggesting improving short-term sentiment despite weaker results over longer periods.
Negative Factors
High Sector Concentration in Health Care
With the vast majority of assets in the health care sector, the fund is heavily exposed to swings in one industry rather than being broadly diversified.
Several Weak Top Holdings
Key positions such as Danaher, Intuitive Surgical, Alnylam Pharma, and Insmed have shown weak performance this year, dragging on overall returns.
Negative Year-to-Date Performance with Moderate Fees
The ETF has delivered a weak year-to-date return while charging a mid-range expense ratio, which may feel costly to investors given recent underperformance.

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

FMED Summary

The Fidelity Disruptive Medicine ETF (FMED) focuses on innovative healthcare companies, especially in areas like biotechnology, digital health, genomics, and precision medicine. It does not track a traditional index, but instead follows the theme of “disruptive medicine,” aiming to invest in firms driving the future of medical treatments and technology. Well-known holdings include Danaher and Intuitive Surgical, along with Moderna. Someone might invest in FMED for long-term growth potential and to tap into medical breakthroughs. A key risk is that it is heavily concentrated in healthcare stocks, so its price can swing sharply with that sector.
How much will it cost me?The Fidelity Disruptive Medicine ETF (FMED) has an expense ratio of 0.50%, which means you’ll pay $5 per year for every $1,000 invested. This is higher than average because the fund is actively managed, focusing on innovative healthcare companies that require more research and expertise to select.
What would affect this ETF?The Fidelity Disruptive Medicine ETF (FMED) could benefit from ongoing advancements in biotechnology, genomics, and digital health, as well as increased global demand for innovative healthcare solutions. However, it may face challenges from regulatory changes, high research and development costs, and potential market volatility in the healthcare sector. Its global exposure and focus on disruptive medicine make it sensitive to both breakthroughs and setbacks in medical innovation.

FMED Top 10 Holdings

FMED is a pure play on disruptive healthcare, with nearly all its firepower aimed at global biotech and medical-technology names. Moderna has been the star of the show lately, with its rebound helping to pull the fund higher, while Bio-Techne and Argenx are also rising and adding some welcome momentum. On the flip side, Danaher and Alnylam have been losing steam, acting as a drag on returns, and Intuitive Surgical has been more mixed than magical. Overall, performance hinges on a handful of innovative but volatile names.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Intuitive Surgical3.80%$2.22M$170.78B-8.37%
78
Outperform
Danaher3.72%$2.18M$125.45B-7.80%
75
Outperform
3.45%$2.02M
Cogent Biosciences3.37%$1.97M$5.97B645.52%
37
Underperform
Alnylam Pharma3.17%$1.85M$40.77B21.06%
60
Neutral
Lifestance Health Group2.75%$1.61M$2.75B11.33%
61
Neutral
Argenx Se2.74%$1.60M$48.29B26.21%
79
Outperform
Bio-Techne2.64%$1.54M$8.48B9.67%
64
Neutral
Insmed2.54%$1.49M$29.18B94.65%
43
Neutral
Moderna2.54%$1.48M$20.12B77.35%
59
Neutral

FMED Technical Analysis

Technical Analysis Sentiment
Negative
Last Price
Price Trends
50DMA
25.19
Negative
100DMA
26.20
Negative
200DMA
25.73
Negative
Market Momentum
MACD
0.07
Positive
RSI
43.00
Neutral
STOCH
7.06
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FMED, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 25.30, equal to the 50-day MA of 25.19, and equal to the 200-day MA of 25.73, indicating a bearish trend. The MACD of 0.07 indicates Positive momentum. The RSI at 43.00 is Neutral, neither overbought nor oversold. The STOCH value of 7.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FMED.

FMED Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$58.44M0.50%
58
Neutral
$27.42M0.80%
62
Neutral
$19.35M0.44%
66
Neutral
$17.87M0.85%
65
Neutral
$11.00M0.65%
67
Neutral
$10.23M0.55%
65
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FMED
Fidelity Disruptive Medicine ETF
24.76
0.84
3.51%
MEDI
Harbor Health Care ETF
TMED
T. Rowe Price Health Care ETF
MEDX
Horizon Kinetics Medical ETF
JDOC
JPMorgan Healthcare Leaders ETF
BMED
Future Health 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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