Investors seeking momentum may have iShares U.S. Pharmaceuticals ETF (IHE Quick QuoteIHE - Free Report) on radar now. The fund recently hit a new 52-week high. Shares of IHE are up approximately 14.8% from their 52-week low of $166.99/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.

IHE In Focus

The underlying Dow Jones U.S. Select Pharmaceuticals Index is free-float adjusted market capitalization-weighted index. It includes pharmaceutical companies such as manufacturers of prescription or over-the-counter drugs or vaccines, but excludes producers of vitamins. The fund charges 39 bps in fees.

Why The Move?

The healthcare sector is a foundation of any economy, providing essential services irrespective of market conditions. From pharmaceutical giants developing life-saving drugs to companies advancing medical technologies, the healthcare sector offers a breadth of investment opportunities.

Amid ongoing challenges about the credit rating downgrade of the United States and a few U.S. banks as well as still-uncertain economic recovery, this healthcare ETF offers value and safe proposition.

More Gains Ahead?

The fund has a positive weighted alpha of 4.90. So, there is a decent outlook ahead for those who want to ride this surging ETF a shade further.