Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.K. (FTSE) Healthcare Sector Analysis

UpdatedFeb 17, 2026
DataAggregated Company Financials
Companies82
  • 7D6.1%
  • 3M13.2%
  • 1Y28.5%
  • YTD12.4%

The Healthcare industry is up 6.1% in the last week, with AstraZeneca up 9.2%. During this same period, the Faron Pharmaceuticals Oy underperformed, falling 68%. In the last 12 months, the industry was up 28%. Earnings are forecast to grow by 10% annually.

Sector Valuation and Performance

Has the U.K. Healthcare Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 17 Feb 2026UK£389.9bUK£100.5bUK£15.7b25.9x24.8x3.9x
Thu, 15 Jan 2026UK£360.8bUK£100.2bUK£15.0b25.3x24.1x3.6x
Sat, 13 Dec 2025UK£342.7bUK£100.6bUK£15.0b22.5x22.8x3.4x
Mon, 10 Nov 2025UK£333.8bUK£101.3bUK£15.1b24.4x22.1x3.3x
Wed, 08 Oct 2025UK£325.2bUK£98.5bUK£12.1b28x26.9x3.3x
Fri, 05 Sep 2025UK£316.9bUK£101.0bUK£12.1b29.2x26.3x3.1x
Sun, 03 Aug 2025UK£295.7bUK£101.5bUK£11.8b29.7x25.1x2.9x
Tue, 01 Jul 2025UK£277.8bUK£96.1bUK£10.7b31.9x26x2.9x
Thu, 29 May 2025UK£287.3bUK£97.2bUK£10.8b28.3x26.7x3x
Sat, 26 Apr 2025UK£279.9bUK£97.0bUK£9.6b28.7x29x2.9x
Mon, 24 Mar 2025UK£307.1bUK£98.5bUK£9.7b27.6x31.8x3.1x
Wed, 19 Feb 2025UK£308.0bUK£99.4bUK£9.3b29.8x33.1x3.1x
Fri, 17 Jan 2025UK£253.8bUK£87.3bUK£7.8b30.2x32.6x2.9x
Sun, 15 Dec 2024UK£246.5bUK£85.7bUK£7.6b30.1x32.4x2.9x
Tue, 12 Nov 2024UK£241.0bUK£83.2bUK£7.5b26.7x32.3x2.9x
Thu, 10 Oct 2024UK£273.0bUK£82.6bUK£8.9b29x30.7x3.3x
Sat, 07 Sep 2024UK£295.7bUK£82.1bUK£8.8b32.8x33.4x3.6x
Mon, 05 Aug 2024UK£291.1bUK£83.2bUK£8.9b33x32.6x3.5x
Wed, 03 Jul 2024UK£282.4bUK£81.8bUK£9.4b29.8x30x3.5x
Fri, 31 May 2024UK£287.7bUK£81.6bUK£9.4b32.2x30.7x3.5x
Sun, 28 Apr 2024UK£283.4bUK£82.1bUK£9.9b30.2x28.5x3.5x
Tue, 26 Mar 2024UK£263.5bUK£81.0bUK£9.6b34x27.4x3.3x
Thu, 22 Feb 2024UK£255.7bUK£79.7bUK£9.4b37.6x27.1x3.2x
Sat, 20 Jan 2024UK£272.9bUK£84.0bUK£10.6b38.8x25.7x3.2x
Mon, 18 Dec 2023UK£261.7bUK£84.1bUK£10.7b40.2x24.5x3.1x
Wed, 15 Nov 2023UK£259.5bUK£84.8bUK£10.7b41.6x24.2x3.1x
Fri, 13 Oct 2023UK£281.4bUK£86.0bUK£10.3b40.4x27.4x3.3x
Sun, 10 Sep 2023UK£275.6bUK£84.9bUK£10.2b40.2x27x3.2x
Tue, 08 Aug 2023UK£273.6bUK£83.8bUK£10.1b43.4x27x3.3x
Thu, 06 Jul 2023UK£268.7bUK£82.7bUK£7.9b43.4x34.1x3.3x
Sat, 03 Jun 2023UK£286.7bUK£83.5bUK£8.0b48.4x35.9x3.4x
Mon, 01 May 2023UK£291.6bUK£83.1bUK£7.9b48.6x36.8x3.5x
Wed, 29 Mar 2023UK£276.2bUK£84.6bUK£7.0b39.9x39.7x3.3x
Fri, 24 Feb 2023UK£282.7bUK£85.6bUK£7.2b44.1x39.1x3.3x
Price to Earnings Ratio

39.1x


Total Market Cap: UK£282.7bTotal Earnings: UK£7.2bTotal Revenue: UK£85.6bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Healthcare Sector Price to Earnings3Y Average 29.5x202420252026
Current Industry PE
  • Investors are pessimistic on the British Healthcare industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 24.8x which is lower than its 3-year average PE of 29.5x.
  • The 3-year average PS ratio of 3.2x is lower than the industry's current PS ratio of 3.9x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have grown 30% per year over the last three years.
  • Revenues for these companies have grown 5.5% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.K. Healthcare sector?

GB Market0.71%
Healthcare6.06%
Pharma6.45%
Medical Equipment2.38%
Healthcare Services1.08%
Biotech-2.63%
Healthtech-5.70%
Life Sciences-6.44%
Industry PE
  • Investors are most optimistic about the Healthtech industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 26.6%, which is lower than the prior year's growth of 68.0% per year.
Forecasted Growth
  • Analysts are most optimistic on the Life Sciences industry, expecting annual earnings growth of 48% over the next 5 years.
  • This is better than its past earnings decline of 70% per year.
  • In contrast, the Pharma industry is expected to see its earnings grow by 9.7% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
AZN AstraZenecaUK£151.609.2%
+UK£19.7b		29.4%PE31.3x
HLN HaleonUK£4.073.6%
+UK£1.3b		3.2%PE23.8x
GSK GSKUK£21.841.2%
+UK£1.0b		53.9%PE15.3x
SN. Smith & NephewUK£13.213.7%
+UK£403.7m		28.0%PE31.1x
HIK Hikma PharmaceuticalsUK£15.692.3%
+UK£79.7m		-32.3%PE12.8x

Latest News

SBTX
UK£0.06
SkinBioTherapeutics
7D
-70.0%
1Y
-70.0%
AZN
UK£151.60
AstraZeneca
7D
9.2%
1Y
29.4%
GSK
UK£21.84
GSK
7D
1.2%
1Y
53.9%

GSK (LON:GSK) Will Pay A Larger Dividend Than Last Year At £0.18

Feb 13
GSK (LON:GSK) Will Pay A Larger Dividend Than Last Year At £0.18
HLN
UK£4.07
Haleon
7D
3.6%
1Y
3.2%
AVCT
UK£0.56
Avacta Group
7D
-9.8%
1Y
33.4%
HVO
UK£0.088
hVIVO
7D
45.5%
1Y
-50.8%

HVO: Expanded Respiratory Challenge Platform Will Support Future Upside Potential

Analysts have raised their fair value estimate for hVIVO from £0.17 to £0.18 per share, citing updated assumptions around discount rates, revenue growth, profit margins, and future P/E multiples. Analyst Commentary Bullish Takeaways Bullish analysts view the move from £0.17 to £0.18 per share as support for a slightly higher fair value range.
IDHC
US$0.67
Integrated Diagnostics Holdings
7D
4.7%
1Y
70.5%

IDHC: Higher Margins And Lower Future P/E Will Support Upside Potential

Analysts have adjusted their price target for Integrated Diagnostics Holdings slightly lower, citing a modestly higher discount rate, a reduced revenue growth assumption of 17.27%, and a lower future P/E of 11.07x, partly offset by a small uplift in the expected profit margin to 20.37%. Valuation Changes Fair Value Estimate: Unchanged at 0.80175, indicating no revision to the overall valuation output from the model inputs provided.
OXB
UK£7.99
Oxford Biomedica
7D
-3.7%
1Y
105.4%

OXB: Upgraded Rating Will Likely Expose Vulnerable Execution Assumptions

Analysts have lifted their price target on Oxford Biomedica to £7.35 from £3.80, citing a higher quality business following the company's transition and reflecting modest tweaks to the discount rate, revenue growth and profit margin assumptions, along with a slightly lower future P/E multiple. Analyst Commentary Recent research points to a business that analysts view as higher quality following Oxford Biomedica's transition, with the new £7.35 price target reflecting updated assumptions on discount rate, revenue and margin profiles, and a revised future P/E multiple.
GNS
UK£30.25
Genus
7D
-0.8%
1Y
65.5%

GNS: Gene Editing Progress And China JV Will Shape Balanced Medium Term Outlook

Genus's updated analyst price target reflects a modest uplift in estimated fair value to £30.82, supported by higher assumed revenue growth and a richer future P/E multiple, even as analysts factor in a slightly higher discount rate and softer profit margins. Analyst Commentary Recent Street research on Genus points to a generally constructive stance, with analysts revisiting their models and price targets as they reassess the company’s growth potential and execution risks.
HIK
UK£15.69
Hikma Pharmaceuticals
7D
2.3%
1Y
-32.3%

HIK: Leadership Reset And New Guidance Will Support Earnings Outlook

Analysts have adjusted their price targets for Hikma Pharmaceuticals within a wide £1,600 to £2,400 range, reflecting differing views on management clarity, strategic direction, and available catalysts for the shares. Analyst Commentary Recent research on Hikma Pharmaceuticals shows a split between analysts who see upside potential and those who are more cautious, which helps explain the wide spread in price targets.
AGY
UK£0.11
Allergy Therapeutics
7D
-1.8%
1Y
56.0%
SN.
UK£13.21
Smith & Nephew
7D
3.7%
1Y
28.0%

Do Smith & Nephew's (LON:SN.) Earnings Warrant Your Attention?

Jan 24
Do Smith & Nephew's (LON:SN.) Earnings Warrant Your Attention?
ONT
UK£1.29
Oxford Nanopore Technologies
7D
-8.6%
1Y
1.1%
CRW
UK£14.30
Craneware
7D
-6.5%
1Y
-32.4%
FARN
UK£0.54
Faron Pharmaceuticals Oy
7D
-67.6%
1Y
-68.1%
IMM
UK£0.093
ImmuPharma
7D
46.5%
1Y
137.2%