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BATS:ITA
IShares Aero & Def. ETF (ITA)
Financials 
Technical Analysis 
Jun 16, 2026, 12:00 amThis summary was created by AI, based on 5 opinions in the last 12 months.
The iShares Aero & Defense ETF (ITA-N) has garnered favorable reviews from various experts who highlight its position as a leading option in the defense sector. The ETF is preferred for its ability to spread out risks associated with contracts, especially in light of fluctuating defense budgets influenced by political dynamics. The sector has shown impressive technical performance, marked by higher highs and higher lows, indicating strong growth potential. Experts anticipate continued demand for defense spending globally, spurred by geopolitical conflicts and military investment among nations, notably the US, Canada, and Germany. Despite its 27x forward P/E ratio being viewed as somewhat pricey, given the current market sentiment and trend, many analysts believe this ETF provides an advantageous entry point into the aerospace and defense market.
Seasonally you normally see defence stocks doing very well from about October right through until about the end of the year, and then they tend to take a bit of a break from January through to March. They then take another move to the upside until May. Technically, it is currently running into some overhead resistance with a small downward trend.
This has always been a thematic type of investment. There are times you want to own, and there are times when you don’t. The 5-year chart shows it is really on the highs and breaking out a little. He doesn’t like breakout kinds of stories because they fail more often than they don’t. Also, it depends on who wins the election. If Trump wins, this might be a very strong sector for a little while.
The period of seasonal strength for this sector is from mid-October right through until early January, and also from March until May of each year. Today there were a number of stocks within the sector that broke to new highs. This is happening because there are terrorist activities going on, which means there is going to be more military equipment that is purchased by all the major countries globally, who want to fight against ISIS.
Mike Lyons CA, CFAMike Lyons CA, CFA
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Aerospace defense is doing well and terrorism is not going away. That is going to keep these stocks doing very well. Wait for a pull back. He does not buy a stock on a day it is up.