5 Best Healthcare ETFs To Buy Now

4. iShares U.S. Healthcare Providers ETF (NYSE:IHF)

5-year Share Price Performance as of March 19: 57.06%

iShares U.S. Healthcare Providers ETF (NYSE:IHF) ranks 4th on our list of the best healthcare ETFs. iShares U.S. Healthcare Providers ETF (NYSE:IHF) aims to replicate the performance of the Dow Jones U.S. Select Healthcare Providers Index, consisting of U.S. equities in the healthcare providers sector. It offers exposure to companies in the United States providing health insurance, diagnostics, and specialized treatment. As of March 18, 2024, iShares U.S. Healthcare Providers ETF (NYSE:IHF) holds net assets totaling $836 million with an expense ratio of 0.40%. Its portfolio consists of 67 stocks. 

Elevance Health, Inc. (NYSE:ELV) is one of the top holdings of the iShares U.S. Healthcare Providers ETF (NYSE:IHF). Elevance Health, Inc. (NYSE:ELV) is a health benefits company operating in the United States through four segments: Health Benefits, CarelonRx, Carelon Services, and Corporate & Other. On January 30, the company declared a quarterly dividend of $1.63 per share quarterly dividend, a 10.1% increase from its prior dividend of $1.48. The dividend is payable on March 22, to shareholders on record as of March 8. 

According to Insider Monkey’s fourth quarter database, 83 hedge funds were bullish on Elevance Health, Inc. (NYSE:ELV), same as the prior quarter. Jean-Marie Eveillard’s First Eagle Investment Management is the leading stakeholder of the company, with 1.7 million shares worth $838.6 million. 

ClearBridge Large Cap Value Strategy made the following comment about Elevance Health, Inc. (NYSE:ELV) in its Q3 2023 investor letter:

“Our health care positioning also fared well. We continue to maintain an overweight position to managed care companies via long-term holdings in UnitedHealth and Elevance Health, Inc. (NYSE:ELV), as we believe the short cycle nature of their insurance franchises allows them to reprice their book of business in a relatively short time frame, even if health care costs come in higher than previously anticipated.”