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U.S. Healthcare Sector Analysis

UpdatedMar 28, 2024
DataAggregated Company Financials
Companies1394
  • 7D1.1%
  • 3M8.0%
  • 1Y14.2%
  • YTD6.4%

Over the last 7 days, the Healthcare industry has risen 1.1%, driven by gains from Merck of 6.4%. This takes the industry's 12 month performance to a gain of 14%. As for the next few years, earnings are expected to grow by 18% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 28 Mar 2024US$6.3tUS$2.8tUS$82.3b32.4x77.1x2.3x
Sat, 24 Feb 2024US$6.3tUS$2.8tUS$85.6b31.1x73.9x2.3x
Mon, 22 Jan 2024US$6.3tUS$2.8tUS$90.8b32.4x69.5x2.2x
Wed, 20 Dec 2023US$6.1tUS$2.8tUS$91.5b32.7x67.1x2.2x
Fri, 17 Nov 2023US$5.8tUS$2.8tUS$90.4b27.7x64.1x2.1x
Sun, 15 Oct 2023US$5.9tUS$2.8tUS$98.8b25.7x59.3x2.1x
Tue, 12 Sep 2023US$6.1tUS$2.8tUS$98.6b27.8x61.5x2.2x
Thu, 10 Aug 2023US$6.2tUS$2.8tUS$99.6b28.2x62.2x2.2x
Sat, 08 Jul 2023US$5.9tUS$2.7tUS$110.3b26x53.1x2.1x
Mon, 05 Jun 2023US$6.0tUS$2.7tUS$110.4b25.2x53.9x2.2x
Wed, 03 May 2023US$6.0tUS$2.7tUS$117.7b24.2x50.9x2.2x
Fri, 31 Mar 2023US$5.7tUS$2.5tUS$124.2b24.2x45.9x2.3x
Sun, 26 Feb 2023US$5.7tUS$2.5tUS$123.7b24.4x46.4x2.3x
Tue, 24 Jan 2023US$6.0tUS$2.5tUS$135.9b23x44.3x2.4x
Thu, 22 Dec 2022US$6.0tUS$2.5tUS$135.7b23x44.5x2.5x
Sat, 19 Nov 2022US$5.9tUS$2.4tUS$134.4b23.4x44.2x2.4x
Mon, 17 Oct 2022US$5.5tUS$2.4tUS$155.7b21.3x35.4x2.3x
Wed, 14 Sep 2022US$6.0tUS$2.4tUS$156.3b23.4x38.2x2.5x
Fri, 12 Aug 2022US$6.0tUS$2.4tUS$158.5b24.7x38.1x2.5x
Sun, 10 Jul 2022US$6.0tUS$2.6tUS$165.3b24.7x36.1x2.3x
Tue, 07 Jun 2022US$5.8tUS$2.6tUS$165.7b25.3x35.1x2.2x
Thu, 05 May 2022US$5.9tUS$2.5tUS$156.2b27.6x37.9x2.4x
Sat, 02 Apr 2022US$6.5tUS$2.5tUS$174.3b29x37.5x2.6x
Mon, 28 Feb 2022US$6.3tUS$2.5tUS$171.7b28.9x36.5x2.5x
Wed, 26 Jan 2022US$6.1tUS$2.4tUS$146.7b29.8x41.6x2.5x
Fri, 24 Dec 2021US$6.9tUS$2.4tUS$145.6b32.5x47.4x2.9x
Sun, 21 Nov 2021US$6.8tUS$2.4tUS$145.7b33.3x46.4x2.8x
Tue, 19 Oct 2021US$6.6tUS$2.3tUS$119.7b33.4x54.9x2.8x
Thu, 16 Sep 2021US$6.9tUS$2.3tUS$119.4b28.9x57.4x3x
Sat, 14 Aug 2021US$6.8tUS$2.3tUS$121.2b32.8x56.3x2.9x
Wed, 09 Jun 2021US$6.3tUS$2.4tUS$101.8b32.3x61.9x2.6x
Price to Earnings Ratio

64.1x


Total Market Cap: US$6.0tTotal Earnings: US$93.5bTotal Revenue: US$2.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 51.3x202220232024
Current Industry PE
  • Investors are optimistic on the American Healthcare industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 77.1x which is higher than its 3-year average PE of 51.3x.
  • The industry is trading close to its 3-year average PS ratio of 2.4x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have declined 4.2% per year over the last three years.
  • Meanwhile revenues for these companies have grown 4.9% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

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

US Market0.38%
Healthcare1.06%
Medical Equipment2.23%
Pharma1.19%
Biotech0.93%
Healthcare Services0.60%
Healthtech0.036%
Life Sciences-0.24%
Industry PE
  • Investors are most optimistic about the Pharma industry which is trading above its 3-year average PE ratio of 41.3x.
    • Analysts are expecting annual earnings growth of 21.5%, which is higher than its past year's earnings decline of 0.5% per year.
Forecasted Growth
  • Analysts are most optimistic on the Healthtech industry, expecting annual earnings growth of 26% over the next 5 years.
  • This is better than its past earnings growth rate of 12% per year.
  • In contrast, the Healthcare Services industry is expected to see its earnings grow by 12% 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
MRK MerckUS$131.756.4%
+US$20.0b
25.6%PE914.2x
ABBV AbbVieUS$180.352.3%
+US$7.2b
14.1%PE66.3x
AMGN AmgenUS$286.304.9%
+US$7.1b
18.8%PE22.8x
JNJ Johnson & JohnsonUS$157.961.4%
+US$5.3b
3.0%PE28.6x
LLY Eli LillyUS$778.180.7%
+US$5.3b
131.7%PE133.8x
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Latest News

JNJ

US$157.96

Johnson & Johnson

7D

1.4%

1Y

3.0%

ABBV

US$180.35

AbbVie

7D

2.3%

1Y

14.1%

GILD

US$73.01

Gilead Sciences

7D

-1.3%

1Y

-10.2%

UNH

US$493.10

UnitedHealth Group

7D

-0.2%

1Y

5.7%

RGEN

US$184.75

Repligen

7D

-6.1%

1Y

9.1%

LEGN

US$56.93

Legend Biotech

7D

-5.2%

1Y

18.3%

BGNE

US$155.08

BeiGene

7D

-8.6%

1Y

-30.1%