50% off Premium Yearly
Ishares Nasdaq BiotechnologyIBBBUYSep 17, 2015Stock price when the opinion was issued
As of Jun 18, 2026. Market Open.
Healthcare sector outlook The sector has had a great bounce since March lows. A good way to play the COVID vaccine race. IBB is the best-known biotech ETF, but he does the XBI, because it's equal-weighted. XBI has had a great bounce. It's a great sector with reasonable valuations. The race for a COVID vaccine is a tailwind, of course. Biotech is a slow-growth area, which benefit from interest rates staying very low for the long term.
The biotech space continues to be impressive, when you look at the aging demographics globally and what is happening with the growth in the pipelines in some of these companies. He prefers picking individual names that are growing 20%-25%-30% EPS growth rates. However, this is a great way to own an ETF that will give you the entire sector.