Investors seeking momentum may have iShares U.S. Home Construction ETF (ITB Quick QuoteITB - Free Report) on radar now. The fund recently hit a new 52-week high. Shares of ITB are up approximately 48.9% from their 52-week low of $53.73/share.

But could there be more gains ahead for this ETF? Let’s take a look at the fund and the near-term outlook to get a better idea of where it might be headed.

Home Construction ETF ITB

The underlying Dow Jones U.S. Select Home Builders Index is a subset of the Dow Jones U.S. Household Goods Index. It is a free-float adjusted market capitalization-weighted index. It measures the performance of the home construction sector of the U.S. equity market. iShares U.S. Home Construction ETF charges 41 bps in fees.

Why The Move?

The thirst for home buying has risen even in the face of increasing housing prices and supply-chain disturbances, thus benefiting homebuilders. Rates have slumped lately on Omicron variant of the COVID-19 fear. This goes in favor of the rate-sensitive sectors like housing. Plus, the existing home sales data for the month of October have also been upbeat.

More Gains Ahead?

The fund has a positive weighted alpha of 41.07. So, there is a decent outlook ahead for those who want to ride this surging ETF a shade further.