Are you looking to invest in the pharmaceutical sector but unsure where to start? Look no further than the iShares U.S. Pharmaceuticals ETF (IHE). While this ETF may not be as popular as some of the other growth ETFs on the market, it has shown significant potential for growth in recent months.
Since hitting a fresh all-time high in July 2015, IHE has managed to climb 9%. While this may not seem as impressive as the S&P 500’s 155% gain over the same period, the recent performance of IHE is worth noting.
One of the key reasons to consider investing in IHE is the potential bullish pattern that has been forming since 2015. Despite some volatility and trading range challenges, the ETF has shown signs of breaking out in recent months. With holdings like Eli Lilly (LLY) and Johnson & Johnson (JNJ) accounting for nearly half of the ETF, the performance of these stocks will significantly impact IHE’s overall performance.
Two stocks within the IHE that investors should keep an eye on are Merck (MRK) and Innoviva (INVA). MRK has shown a consistent uptrend over the years, with the potential for a breakout to $143. INVA, on the other hand, has recently broken out of a large inverse head & shoulders pattern and has the potential to reach highs around the $21 level.
Overall, while IHE may not be the most talked-about ETF in the market, its recent performance and potential for growth make it a strong contender for investors looking to diversify their portfolio. Keep an eye on the key holdings within the ETF and the potential breakout patterns forming to make informed investment decisions.
At Extreme Investor Network, we provide unique insights and analysis to help investors make informed decisions and stay ahead of market trends. Stay tuned for more expert advice on investing in the pharmaceutical sector and other lucrative opportunities in the market.