iShares US Pharmaceuticals ETF

IHE

Market cap $951M

5 ETFs to buy in January: momentum, small caps, chips, defense and healthcare shine as markets rally early in 2026 -- IWM, MTUM, SMH, XAR and IHE.

Looking for broad exposure to the Healthcare - Pharma segment of the equity market? You should consider the iShares U.S. Pharmaceuticals ETF (IHE), a passively managed exchange traded fund launched on May 1, 2006.

XLV and similar healthcare ETFs are gaining momentum as strength in biotech, increased AI adoption, and rising defensive demand position the sector for year-end leadership.

As big pharmaceutical companies are set to finalize a deal with the U.S. government to bring down prices for some prescription drugs, another old question is coming into focus for investors: how much damage can Washington really do to Big Pharma's bottom line?

Pharma ETFs like IHE are gaining traction as drugmakers pledge $370 billion to U.S. projects, fueling a new investment super-cycle heading into 2026.

Dividend ETFs may be the best investment you can make today.

Pharma ETFs like IHE are poised to surge as the UK-US zero-tariff deal raises UK drug prices and strengthens major U.S. players' outlook.

iShares U.S. Pharmaceuticals ETF is rated a buy, driven by strong growth and dividends from top holdings like Eli Lilly, JNJ, and Merck. IHE's top holdings, particularly LLY, JNJ, and MRK, offer diverse product lines, robust earnings, and expanding dividends, supporting future performance. Despite IHE's high expense ratio and sector concentration, the growth and profitability of its largest components outweigh these drawbacks.

Pharma ETFs like IHE and PPH are rallying as strong Q3 earnings across major pharmaceutical companies lift sector sentiment.

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.