Vanguard Health Care ETF

VHT

Market cap $17.6B

With well-publicized losses for companies including UnitedHealth Group NYSE: UNH, Elevance Health NYSE: ELV, and Wegovy and Ozempic maker Novo Nordisk NYSE: NVO, the healthcare sector failed to outperform the broad market last year.

After a late-2025 rebound eased policy fears, healthcare ETFs like IXJ are gaining attention as investors position for a sector comeback in 2026.

In the last three months of 2025, the tech sector experienced what some called a “correction”.

Health care ETFs could emerge as one of the stronger performers in 2026 as investors grow cautious about pricey AI stocks.

The approval of Novo Nordisk's (NYSE: NVO)oral Wegovy is bringing new interest to health care and pharmaceutical ETFs that provide access to the growing GLP-1 market without requiring investors to choose one specific company.

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.

Launched on January 26, 2004, the Vanguard Health Care ETF (VHT) is a passively managed exchange traded fund designed to provide a broad exposure to the Healthcare - Broad segment of the equity market.

LLY's expanding AI alliances highlight how pharma-tech partnerships are transforming healthcare and lifting key sector ETFs like XLV.

As National Alzheimer's Awareness Month spotlights new treatments, healthcare ETFs like XLV and VHT might gain fresh investor appeal.

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.