Aerospace and Defense ETF (ITA) Hits New 52-Week High
Investors seeking momentum may have iShares U.S. Aerospace & Defense ETF ITA on radar now. The fund recently hit a new 52-week high. Shares of ITA are up approximately 34.9% from the 52-week low of $142.7/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.
ITA in Focus
ITA focuses on providing exposure to the Aerospace and Defense companies in the U.S. equity market. It charges 44 basis points in fees per year and has top holdings in Boeing BA, United Technologies Corp UTX and Lockheed Martin Corp LMT with 10.98%, 7.83% and 7.81% allocation, respectively (as of August 14, 2017) (see all Industrials ETFs here).
Why the Move?
Lately, the defense sector has been in the spotlight. Following threats from the North Korean premier Kim Jong-Un, President Donald Trump pledged that the threats will be met with “fire and fury”. Increasing tensions between the two regions have brought these sector ETFs into play again. Moreover, the earnings season has also been quite impressive for companies in this sector.
More Gains Ahead?
Currently, ITA has a Zacks ETF Rank #1 (Strong Buy) with a Medium Risk outlook. Moreover, the ETF has a weighted alpha of 29.10. So, there is a promising outlook ahead for those who want to ride this surging ETF a shade further.
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Boeing Company (The) (BA) : Free Stock Analysis Report
Lockheed Martin Corporation (LMT) : Free Stock Analysis Report
United Technologies Corporation (UTX) : Free Stock Analysis Report
ISHARS-US AEROS (ITA): ETF Research Reports
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