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U.S. Healthcare Sector Analysis

UpdatedJul 14, 2026
DataAggregated Company Financials
Companies1407
  • 7D-0.8%
  • 3M9.0%
  • 1Y21.8%
  • YTD5.0%

In the last week, Healthcare has been flat. The past year has been better, since the industry has gained 22% in that time. Earnings are forecast to grow by 18% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 14 Jul 2026US$6.9tUS$3.3tUS$122.0b25x56.5x2.1x
Thu, 11 Jun 2026US$6.5tUS$3.3tUS$122.2b22.7x53.3x2x
Sat, 09 May 2026US$6.2tUS$3.3tUS$123.8b22.9x50.2x1.9x
Mon, 06 Apr 2026US$6.2tUS$3.3tUS$127.9b22.2x48.4x1.9x
Wed, 04 Mar 2026US$6.6tUS$3.3tUS$126.5b25.3x52x2x
Fri, 30 Jan 2026US$6.5tUS$3.2tUS$126.3b27.2x51.4x2x
Sun, 28 Dec 2025US$6.6tUS$3.2tUS$135.2b26.5x48.5x2.1x
Tue, 25 Nov 2025US$6.4tUS$3.2tUS$133.7b25.9x47.5x2x
Thu, 23 Oct 2025US$6.0tUS$3.1tUS$140.7b25.3x43x1.9x
Sat, 20 Sep 2025US$5.7tUS$3.1tUS$137.6b23.9x41.6x1.8x
Mon, 18 Aug 2025US$5.7tUS$3.1tUS$136.9b23.2x41.3x1.8x
Wed, 16 Jul 2025US$5.5tUS$3.0tUS$127.9b23.4x43.4x1.8x
Fri, 13 Jun 2025US$5.6tUS$3.0tUS$127.2b24.1x43.6x1.8x
Sun, 11 May 2025US$5.4tUS$3.0tUS$126.6b24.2x42.4x1.8x
Tue, 08 Apr 2025US$5.2tUS$2.6tUS$82.2b24.9x63.5x2x
Thu, 06 Mar 2025US$5.8tUS$2.6tUS$79.2b27.5x73.3x2.2x
Sat, 01 Feb 2025US$6.2tUS$2.9tUS$85.1b27.8x72.5x2.1x
Mon, 30 Dec 2024US$5.8tUS$2.9tUS$78.3b26.8x74.4x2x
Wed, 27 Nov 2024US$6.1tUS$2.9tUS$77.1b28.4x79.1x2.1x
Fri, 25 Oct 2024US$6.1tUS$2.8tUS$58.7b29.5x104.2x2.2x
Sun, 22 Sep 2024US$6.3tUS$2.8tUS$60.1b30.1x104.6x2.2x
Tue, 20 Aug 2024US$6.2tUS$2.8tUS$56.0b32.1x109.9x2.2x
Thu, 18 Jul 2024US$6.4tUS$2.8tUS$61.0b31.8x105.1x2.3x
Sat, 15 Jun 2024US$6.2tUS$2.8tUS$62.4b29.9x99.4x2.2x
Mon, 13 May 2024US$6.1tUS$2.8tUS$64.0b30.6x95.5x2.2x
Wed, 10 Apr 2024US$6.1tUS$2.8tUS$85.3b32.7x72x2.2x
Fri, 08 Mar 2024US$6.3tUS$2.8tUS$83.1b32.2x75.9x2.3x
Sun, 04 Feb 2024US$6.4tUS$2.8tUS$76.5b31.9x84.1x2.3x
Tue, 02 Jan 2024US$6.2tUS$2.8tUS$91.5b32.8x68.1x2.2x
Thu, 30 Nov 2023US$5.8tUS$2.8tUS$91.4b28.2x63.7x2.1x
Sat, 28 Oct 2023US$5.5tUS$2.8tUS$99.5b24.1x55.6x2x
Mon, 25 Sep 2023US$5.9tUS$2.8tUS$98.6b27.7x60x2.1x
Wed, 23 Aug 2023US$6.1tUS$2.8tUS$99.0b28.1x61.6x2.2x
Fri, 21 Jul 2023US$6.1tUS$2.7tUS$110.8b26.6x55x2.2x
Price to Earnings Ratio

55x


Total Market Cap: US$6.1tTotal Earnings: US$110.8bTotal Revenue: US$2.7tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 65.5x202420252026
Current Industry PE
  • Investors are pessimistic on the American 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 56.6x which is lower than its 3-year average PE of 65.5x.
  • The industry is trading close to its 3-year average PS ratio of 2.1x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have grown 3.3% per year over the last three years.
  • Revenues for these companies have grown 6.6% 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.S. Healthcare sector?

US Market-0.93%
Healthcare-0.85%
Healthcare Services2.10%
Life Sciences1.06%
Healthtech0.86%
Pharma-0.91%
Medical Equipment-1.70%
Biotech-3.11%
Industry PE
  • Investors are most optimistic about the Life Sciences industry even though it's trading below its 3-year average PE ratio of 56.0x.
    • Analysts are expecting annual earnings growth of 16.9%, which is higher than its past year's earnings growth of 5.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the Biotech industry, expecting annual earnings growth of 25% over the next 5 years.
  • However this is lower than its past earnings growth rate of 55% per year.
  • In contrast, the Pharma industry is expected to see its earnings grow by 15% 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
UNH UnitedHealth GroupUS$429.092.7%
+US$10.1b		42.8%PE32.4x
CI Cigna GroupUS$304.508.0%
+US$6.0b		0.5%PE12.8x
BMY Bristol-Myers SquibbUS$59.344.7%
+US$5.4b		25.3%PE16.7x
CVS CVS HealthUS$105.903.7%
+US$4.9b		64.5%PE46.1x
DHR DanaherUS$200.163.4%
+US$4.6b		1.2%PE38.5x

Latest News

BMY
US$59.34
Bristol-Myers Squibb
7D
4.7%
1Y
25.3%
CVS
US$105.90
CVS Health
7D
3.7%
1Y
64.5%
ISRG
US$407.12
Intuitive Surgical
7D
-5.9%
1Y
-21.2%
ABBV
US$248.00
AbbVie
7D
-2.7%
1Y
29.5%
UNH
US$429.09
UnitedHealth Group
7D
2.7%
1Y
42.8%
PFE
US$24.48
Pfizer
7D
3.2%
1Y
-3.4%
Seeking Alpha • Jul 11

Pfizer: The Post-Pandemic Turnaround Is Already Underway

Summary Pfizer is undervalued, trading at just over 8x 2026 earnings, with a 7% dividend yield and improving core business fundamentals. Core business excluding COVID drugs grew 7% in Q1, and newly launched/acquired products, especially from Seagen, are driving robust 20%+ growth. Seagen’s acquisition is reshaping PFE’s growth, with Padcev leading oncology momentum and a strong cost savings program underway. I assign Pfizer a buy, expecting mean reversion as cost cuts and new product pillars scale, despite patent cliffs and debt headwinds. Read the full article on Seeking Alpha
MRK
US$124.03
Merck
7D
-2.2%
1Y
48.2%
LLY
US$1,181.87
Eli Lilly
7D
-1.5%
1Y
47.9%
Narrative Update • Jul 10

LLY: GLP-1 Franchise And Retatrutide Data Will Support Balanced Future Outlook

Analysts have nudged their price targets on Eli Lilly higher, with fair value estimates moving from about $1,218.72 to roughly $1,243.43 as they point to resilient GLP-1 obesity and diabetes franchises, along with supportive recent data and previews around Zepbound, Mounjaro, Foundayo and retatrutide. Analyst Commentary Recent research updates on Eli Lilly show a cluster of higher price targets around the GLP-1 obesity and diabetes portfolio, with Zepbound, Mounjaro, Foundayo and retatrutide at the center of the discussion.
DHR
US$200.16
Danaher
7D
3.4%
1Y
1.2%
Seeking Alpha • Jul 10

Danaher Is Getting Better, But The Stock Still Isn't Cheap

Summary Danaher Corporation remains slightly overvalued despite recent share price declines and ongoing operational improvements. Q1/26 results showed modest core revenue growth of 0.5%, with bioprocessing as the primary growth driver and diagnostics continuing to struggle. Current valuation multiples—37x earnings and 25.8x FCF—exceed long-term averages, with intrinsic value estimated at $172.91 per share. I maintain a cautious stance and rate DHR as a hold, citing uncertain long-term double-digit growth prospects and reliance on improved segment performance. Read the full article on Seeking Alpha
CRNX
US$83.67
Crinetics Pharmaceuticals
7D
99.1%
1Y
153.4%
Narrative Update • Jul 10

CRNX: Takeover Offer And Delayed Rival Entry Will Shape Endocrine Outlook

Crinetics Pharmaceuticals' analyst fair value estimate has been trimmed from $97 to $90 as analysts recalibrate expectations around the $85 per share cash acquisition by Vertex Pharmaceuticals and the cluster of rating downgrades to Hold or Neutral that now anchor views closer to the agreed deal price. Analyst Commentary Analysts covering Crinetics Pharmaceuticals are now largely treating the stock as a merger arbitrage situation, with ratings concentrated around Hold or Neutral and price targets aligning closely with the agreed US$85 per share cash offer from Vertex Pharmaceuticals.
MRNA
US$67.01
Moderna
7D
-18.1%
1Y
103.9%
TMO
US$528.51
Thermo Fisher Scientific
7D
2.1%
1Y
24.3%
Narrative Update • Jul 09

TMO: AI Tools And Biopharma Collaborations Will Drive Future Performance

Thermo Fisher Scientific's analyst price target has been trimmed slightly, with the fair value estimate moving from $611.56 to about $590.77 as analysts factor in a modestly higher discount rate and slightly softer long term revenue growth and margin assumptions, alongside a mix of cautious sector views and continued confidence in the company's role across life science tools and diagnostics. Analyst Commentary Recent research on Thermo Fisher Scientific shows a mix of optimism and caution, with several firms updating price targets, ratings, and sector views as they reassess growth drivers, capital spending trends, and long term organic growth expectations.
VRTX
US$480.25
Vertex Pharmaceuticals
7D
-9.3%
1Y
1.7%
Narrative Update • Jul 08

VRTX: Rich Crinetics Deal Will Weigh On Future Risk Reward Profile

Vertex Pharmaceuticals' fair value estimate has been adjusted higher by about $9.69 to $423.75 as analysts factor in updated assumptions on revenue growth, margins, and future P/E following the Crinetics acquisition and a series of upward price target revisions, including recent moves to $570 at RBC Capital and $350 at Baird. Analyst Commentary Recent research on Vertex Pharmaceuticals clusters around the planned Crinetics acquisition and how it reshapes the company’s pipeline mix, capital deployment, and earnings profile.
ABT
US$92.11
Abbott Laboratories
7D
-3.7%
1Y
-30.2%
HCA
US$390.74
HCA Healthcare
7D
-6.3%
1Y
2.7%
Seeking Alpha • Jul 08

HCA Healthcare's Fall Shouldn't Be Construed As Failing Health

Summary HCA Healthcare remains a soft 'buy' despite recent underperformance, with fundamentals improving and shares attractively priced on an absolute basis. HCA's revenue and profitability continue to grow, driven by Medicare/Medicaid, increased equivalent admissions, and higher revenue per admission, even as the physical footprint shrinks. Management sustains shareholder returns through dividends and aggressive buybacks, with a 6.9% reduction in share count and $9.18 billion in remaining buyback capacity. Guidance for FY2026 anticipates revenue of $76.5–$80 billion and EBITDA of $15.55–$16.45 billion, supporting a bullish long-term outlook. Read the full article on Seeking Alpha
CI
US$304.50
Cigna Group
7D
8.0%
1Y
0.5%