Big Pharma Is Buying — Why Biotech Stocks Could Outperform in 2026

Biotech is quietly stepping into a leadership role here in early 2026 — and the move is not happening in a vacuum. After years of underperformance from 2021 through much of 2024, the sector began a powerful rebound in the second half of 2025.

See It Market • 4 hours ago

Should You Invest in the iShares Biotechnology ETF (IBB)?

Designed to provide broad exposure to the Healthcare - Biotech segment of the equity market, the iShares Biotechnology ETF (IBB) is a passively managed exchange traded fund launched on February 5, 2001.

Zacks Investment Research • Feb 17, 2026

Revenge Of The Dividend Stocks

Dividend stocks have sharply outperformed AI-related tech stocks since November 2025, reversing a multi-year trend. I see the rally in dividend ETFs like SCHD as overextended, prompting a pause in new purchases despite recent gains. AI is likely to benefit users more than makers, with sectors like banks, energy, and consumer staples positioned as early winners.

Seeking Alpha • Feb 7, 2026

This Wealth Manager Just Dumped Its Entire $3.5 Million Stake in the iShares Biotech ETF

Sold 24,270 shares of IBB; estimated trade value of $3.50 million based on quarterly average pricing. Net position value decreased by $3.50 million.

The Motley Fool • Jan 27, 2026

IBB: Beyond The 2025 Surge, Biotech Breakout

iShares Biotechnology ETF is rated a BUY, offering a balanced entry into biotech with large-cap stability and strong recent performance. IBB benefits from catalysts including accelerating M&A and AI-driven R&D efficiencies and more dovish Fed policy, positioning the sector for outperformance in 2026. The fund's market cap-weighted structure emphasizes cash-flow positive giants, better managing idiosyncratic risk compared to equal-weighted biotech peers.

Seeking Alpha • Jan 27, 2026

IBB: Biotech's Hot Streak May Cool

iShares Biotechnology ETF (IBB) earns a reiterated hold rating as it consolidates near all-time highs with balanced risk/reward. IBB's valuation is fair at a 19x P/E and low 3% EPS growth, resulting in an unimpressive PEG ratio. Technical momentum has slowed, with potential consolidation around $180 and long-term support near $150.

Seeking Alpha • Jan 26, 2026

Nvidia–Eli Lilly Tie-Up Shows Why AI Drug Discovery Is The Next ETF Battleground

NVIDIA Corp.'s (NASDAQ: NVDA) and Eli Lilly and Co.'s (NYSE: LLY) newly announced $1 billion AI co-innovation lab underscores how artificial intelligence is spreading beyond data centers into medicine, and ETF investors are beginning to price that into thematic funds.

Benzinga • Jan 14, 2026

Funding for Risky Biotechs Is Returning

Publicly traded drug developers sold more than $13 billion of shares in the fourth quarter, the most in more than four years.

WSJ • Jan 12, 2026

Here's Why Biotech ETFs Are Rallying Hard

Biotech rally gains steam on valuations, rate cuts, FDA wins & M&A. IBB, XBI, CANC and IDNA are ETFs near one-year highs.

Zacks Investment Research • Jan 9, 2026

Pharma stocks are set to take off this year, says UBS' Michael Yee

Michael Yee, global head of biotech research at UBS, joins CNBC's ‘Squawk on the Street' to explain why he is bullish on biopharma stocks this year, the pharma M&A outlook, and more.

CNBC Television • Jan 8, 2026