(LABU) Direxion Daily S&P Biotech - Overview
ETF Category: Trading--Leveraged Equity | Exchange: NYSE ARCA (USA) | Market Cap: 529m USD | Total Return: 288.6% in 12m
Avg Turnover: 95.4M
Warnings
Volatile
Tailwinds
Rs Leader
The Direxion Daily S&P Biotech Bull 3X Shares (LABU) is a leveraged exchange-traded fund designed to provide 300% of the daily performance of the S&P Biotechnology Select Industry Index. To achieve this objective, the fund invests at least 80% of its net assets in a combination of swap agreements, index securities, and other ETFs. As a non-diversified financial instrument, LABU is intended for short-term trading rather than long-term investment due to the effects of daily rebalancing and compounding.
The underlying index focuses on the biotechnology sub-industry, a sector characterized by high research and development costs and long regulatory approval cycles through the FDA. Companies in this space often rely on intellectual property protections and clinical trial outcomes to drive market valuation. Investors may find ValueRay useful for deeper fundamental analysis of the specific holdings within this volatile sector.
- FDA approval cycles drive volatility within underlying small-cap biotech holdings
- Interest rate fluctuations impact financing costs for pre-revenue biotechnology companies
- Daily 3X leverage amplifies tracking error through compounding and volatility decay
- Mergers and acquisitions activity significantly influences underlying index constituent valuations
- Broad market sentiment shifts toward high-beta growth sectors dictate daily fund performance
As of May 29, 2026, the stock is trading at USD 191.66 with a total of 454,024 shares traded.
Over the past week, the price has changed by +9.34%,
over one month by +8.23%,
over three months by +10.98% and
over the past year by +288.60%.
Direxion Daily S&P Biotech has no consensus analysts rating.