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

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 53.9x which is lower than its 3-year average PE of 65.4x. The industry is trading close to its 3-year average PS ratio of 2.1x.

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

Investors are most optimistic about the Life Sciences industry even though it's trading below its 3-year average PE ratio of 56.2x. Analysts are expecting annual earnings growth of 16.9%, which is higher than its past year's earnings growth of 5.2% per year.

U.S. Healthcare Sector Analysis

Date	Market Cap	Revenue	Earnings	PE	Absolute PE	PS
Sat, 27 Jun 2026	US$6.6t	US$3.3t	US$121.7b	24.3x	53.9x	2x
Mon, 25 May 2026	US$6.4t	US$3.3t	US$122.9b	23.4x	51.9x	1.9x
Wed, 22 Apr 2026	US$6.3t	US$3.3t	US$121.2b	23.6x	52x	1.9x
Fri, 20 Mar 2026	US$6.2t	US$3.3t	US$124.3b	22.8x	49.5x	1.9x
Sun, 15 Feb 2026	US$6.5t	US$3.3t	US$128.1b	26.5x	51.1x	2x
Tue, 13 Jan 2026	US$6.6t	US$3.2t	US$136.3b	26.6x	48.4x	2.1x
Thu, 11 Dec 2025	US$6.3t	US$3.2t	US$134.1b	26.2x	46.9x	2x
Sat, 08 Nov 2025	US$6.0t	US$3.2t	US$132.2b	25.5x	45.4x	1.9x
Mon, 06 Oct 2025	US$6.0t	US$3.1t	US$137.8b	24.7x	43.8x	2x
Wed, 03 Sep 2025	US$5.7t	US$3.1t	US$137.6b	23.3x	41.4x	1.8x
Fri, 01 Aug 2025	US$5.5t	US$3.1t	US$127.6b	23.4x	43.1x	1.8x
Sun, 29 Jun 2025	US$5.5t	US$3.0t	US$127.5b	24.8x	43.1x	1.8x
Tue, 27 May 2025	US$5.3t	US$3.0t	US$126.9b	22.6x	41.7x	1.7x
Thu, 24 Apr 2025	US$5.3t	US$2.7t	US$98.1b	24.8x	54x	2x
Sat, 22 Mar 2025	US$5.7t	US$2.6t	US$81.8b	26.6x	70x	2.2x
Mon, 17 Feb 2025	US$5.8t	US$2.6t	US$82.1b	26.7x	70.8x	2.2x
Wed, 15 Jan 2025	US$5.8t	US$2.9t	US$78.9b	28.1x	73.9x	2x
Fri, 13 Dec 2024	US$6.0t	US$2.9t	US$77.6b	28.6x	77x	2x
Sun, 10 Nov 2024	US$6.3t	US$2.9t	US$76.0b	28.3x	82.8x	2.2x
Tue, 08 Oct 2024	US$6.2t	US$2.8t	US$60.1b	30.3x	102.4x	2.2x
Thu, 05 Sep 2024	US$6.3t	US$2.8t	US$60.4b	31.6x	104.2x	2.2x
Sat, 03 Aug 2024	US$6.4t	US$2.9t	US$63.3b	31.8x	100.9x	2.2x
Mon, 01 Jul 2024	US$6.2t	US$2.8t	US$62.2b	30.5x	99.3x	2.2x
Wed, 29 May 2024	US$6.1t	US$2.8t	US$63.8b	30.3x	96.3x	2.2x
Fri, 26 Apr 2024	US$6.0t	US$2.8t	US$72.2b	30.4x	82.7x	2.1x
Sun, 24 Mar 2024	US$6.2t	US$2.8t	US$82.2b	31.8x	75.9x	2.2x
Tue, 20 Feb 2024	US$6.3t	US$2.8t	US$82.6b	30.1x	75.9x	2.2x
Thu, 18 Jan 2024	US$6.3t	US$2.8t	US$90.8b	32x	69.5x	2.2x
Sat, 16 Dec 2023	US$6.1t	US$2.8t	US$91.5b	32.3x	66.5x	2.2x
Mon, 13 Nov 2023	US$5.7t	US$2.8t	US$91.1b	26.3x	62.2x	2x
Wed, 11 Oct 2023	US$5.9t	US$2.8t	US$98.3b	26.9x	60.2x	2.1x
Fri, 08 Sep 2023	US$6.1t	US$2.8t	US$98.6b	26.9x	62x	2.2x
Sun, 06 Aug 2023	US$6.1t	US$2.8t	US$100.3b	28.8x	60.8x	2.2x
Tue, 04 Jul 2023	US$6.0t	US$2.7t	US$110.3b	26.4x	54.4x	2.2x


US Market	-2.68%
Healthcare	4.33%
Life Sciences	8.95%
Biotech	5.05%
Pharma	4.07%
Healthcare Services	3.84%
Medical Equipment	2.15%
Healthtech	2.06%

Company	Last Price	7D	1Y	Valuation
ABBV AbbVie	US$243.14	12.3% +US$47.1b	30.2%	PE119.5x
JNJ Johnson & Johnson	US$244.88	7.2% +US$39.7b	61.1%	PE28x
MRK Merck	US$125.45	10.2% +US$28.6b	59.1%	PE34.7x
LLY Eli Lilly	US$1.13k	2.7% +US$26.0b	41.8%	PE39.8x
TMO Thermo Fisher Scientific	US$505.75	8.9% +US$15.3b	22.7%	PE27.4x

Announcement • 5h

Eli Lilly And Company Receives Positive Opinion From CHMP For Jaypirca For Treatment Of Adults With Chronic Lymphocytic Leukemia Across All Lines Of Therapy

Eli Lilly and Company has received a positive opinion from the European Medicines Agency's Committee for Medicinal Products for Human Use for Jaypirca (pirtobrutinib), a non-covalent Bruton tyrosine kinase inhibitor, for the treatment of adults with chronic lymphocytic leukemia across all lines of therapy and regardless of prior BTK inhibitor treatment. The positive opinion is based on results from the Phase 3 BRUIN CLL-313 and BRUIN CLL-314 trials, previously presented at the 2025 American Society of Hematology Annual Meeting and published in The Journal of Clinical Oncology. BRUIN CLL-313 is the first Phase 3 study to evaluate a non-covalent BTK inhibitor exclusively in patients with treatment-naïve CLL and BRUIN CLL-314 is the first Phase 3 CLL trial to compare non-covalent and covalent BTK inhibitors, as well as the first to compare any BTK inhibitors in the treatment-naïve setting. If granted marketing authorization, this would expand pirtobrutinib's indication as a treatment option for patients with CLL in the European Union across all lines of therapy. The application is now referred to the European Commission for final action. The European Commission's decision is expected in the next one to two months. Results from BRUIN CLL-313 and BRUIN CLL-314 were presented at the American Society of Hematology Annual Meeting and Exposition in December 2025 and published in The Journal of Clinical Oncology. Lilly has also submitted these results to the U.S. Food and Drug Administration for approval for adult patients with CLL, with a decision expected in the second half of 2026. BRUIN CLL-313 is a Phase 3, global, randomized, open-label study of pirtobrutinib versus chemoimmunotherapy (BR) in people with CLL/SLL without 17p deletions who have not been previously treated. The trial enrolled 282 patients who were randomized 1:1 to receive pirtobrutinib (200 mg orally, once daily) or BR per labeled doses. BR is a chemoimmunotherapy regimen used in the treatment of CLL. The primary endpoint is PFS as assessed by blinded IRC. Secondary endpoints include investigator and IRC assessed ORR, duration of response, and PFS, OS, time to next treatment, safety and tolerability and patient-reported outcomes. BRUIN CLL-314 is a Phase 3, randomized, open-label study of Jaypirca (pirtobrutinib) versus Imbruvica (ibrutinib) in patients with CLL/SLL who were either treatment-naïve, or who were previously treated and were BTK inhibitor-naïve. The trial enrolled 662 patients who were randomized 1:1 to receive pirtobrutinib (200 mg orally, once daily) or ibrutinib (420 mg orally, once daily). The primary endpoint is ORR as assessed by blinded IRC. Secondary endpoints include investigator and IRC-assessed PFS, duration of response and event-free survival, and time to next treatment, OS, safety and tolerability, and patient-reported outcomes. Jaypirca (pirtobrutinib, formerly known as LOXO-305) is a highly selective, non-covalent inhibitor of the enzyme BTK. BTK is a validated molecular target found across numerous B-cell leukemias and lymphomas including mantle cell lymphoma and chronic lymphocytic leukemia. Jaypirca is a U.S. FDA-approved oral prescription medicine, 100 mg or 50 mg tablets taken as a once-daily 200 mg dose with or without food until disease progression or unacceptable toxicity. CLL is a form of slow-growing non-Hodgkin lymphoma that develops from white blood cells known as lymphocytes. CLL is one of the most common types of leukemia in adults. There are roughly 100,000 new cases of CLL globally each year, and the overall incidence of CLL in Europe is approximately 4.92 cases per 100,000 persons per year. In CLL, the cancer cells are present in the blood. Indications for Jaypirca (pirtobrutinib) in the United States include adult patients with relapsed or refractory chronic lymphocytic leukemia or small lymphocytic lymphoma who have previously been treated with a covalent BTK inhibitor and adult patients with relapsed or refractory mantle cell lymphoma after at least two lines of systemic therapy, including a BTK inhibitor. This indication is approved under accelerated approval based on response rate. Continued approval for this indication may be contingent upon verification and description of clinical trial benefit in a confirmatory trial. Important safety information for Jaypirca includes infections, hemorrhage, cytopenias, cardiac arrhythmias, second primary malignancies, hepatotoxicity including drug-induced liver injury, embryo-fetal toxicity, and adverse reactions in patients who received Jaypirca. The most common adverse reactions in the pooled safety population of patients with hematologic malignancies were decreased neutrophil count, decreased hemoglobin, decreased leukocytes, fatigue, decreased platelets, decreased lymphocyte count, and calcium decreased. Serious adverse reactions occurred in 38% of patients with mantle cell lymphoma, with pneumonia, COVID-19, musculoskeletal pain, hemorrhage, pleural effusion, and sepsis occurring in 2% or more of patients. Fatal adverse reactions within 28 days of last dose occurred in 7% of patients, most commonly due to infections, including COVID-19. Dose modifications and discontinuations due to adverse reactions included dose reductions in 4.7%, treatment interruption in 32%, and permanent discontinuation of Jaypirca in 9% of patients. Most common adverse reactions and select laboratory abnormalities in mantle cell lymphoma included hemoglobin decreased, platelet count decreased, neutrophil count decreased, lymphocyte count decreased, creatinine increased, fatigue, musculoskeletal pain, calcium decreased, diarrhea, edema, dyspnea, AST increased, pneumonia, bruising, potassium decreased, sodium decreased, lipase increased, ALT increased, potassium increased, alkaline phosphatase increased.

Announcement • 18h

Merck & Co., Inc. Announces FDA Approval Of KEYTRUDA (Pembrolizumab) And KEYTRUDA QLEX (Pembrolizumab And Berahyaluronidase Alfa-Pmph), Each In Combination With Gilead Sciences, Inc.'s Trodelvy (Sacituzumab Govitecan-Hziy) As First-Line Treatment Of PD-L1+ (CPS =10) Advanced Triple-Negative Breast Cancer

Merck & Co., Inc. announced the U.S. Food and Drug Administration (FDA) approved KEYTRUDA (pembrolizumab) and KEYTRUDA QLEX (pembrolizumab and berahyaluronidase alfa-pmph), each in combination with Trodelvy (sacituzumab govitecan-hziy), Gilead’s Trop-2-directed antibody-drug conjugate (ADC), for the first-line treatment of adult patients with unresectable locally advanced or metastatic triple-negative breast cancer (TNBC) whose tumors express PD-L1 (Combined Positive Score [CPS] =10) as determined by an FDA-authorized test. These approvals represent the first PD-1 inhibitors plus Trop-2-directed ADC regimen in advanced TNBC. These approvals are based on data from the Phase 3 KEYNOTE-D19/ASCENT-04 trial demonstrating that KEYTRUDA plus Trodelvy reduced the risk of disease progression or death by 35% (HR=0.65 [95% CI, 0.51-0.84]; p=0.0009) versus KEYTRUDA plus chemotherapy (paclitaxel, nab-paclitaxel, or gemcitabine and carboplatin) for the first-line treatment of adult patients with PD-L1+ (CPS =10) unresectable locally advanced or metastatic TNBC. KEYTRUDA plus Trodelvy resulted in a median progression-free survival (PFS) of 11.2 months [95% CI, 9.3-16.7] versus 7.8 months [95% CI, 7.3-9.3] with KEYTRUDA plus chemotherapy. The objective response rate (ORR) was higher with KEYTRUDA plus Trodelvy (61% [95% CI, 55-68]) than with KEYTRUDA plus chemotherapy (55% [95% CI, 48-62]), and complete responses occurred in 12% and 8% of patients, respectively. The effectiveness of KEYTRUDA QLEX for its approved indications has been established based upon evidence from the adequate and well-controlled studies conducted with KEYTRUDA and additional data from MK-3475A-D77 comparing the pharmacokinetic, efficacy and safety profiles of KEYTRUDA QLEX and KEYTRUDA. KEYTRUDA QLEX is contraindicated in patients with known hypersensitivity to berahyaluronidase alfa, hyaluronidase or to any of its excipients. KEYTRUDA and KEYTRUDA QLEX are associated with the following Warnings and Precautions: severe and fatal immune-mediated adverse reactions in any or multiple organs, which can occur during or after treatment, including pneumonitis, colitis, hepatitis, endocrinopathies, nephritis, dermatologic reactions, solid organ transplant rejection, other transplant (including corneal graft) rejection; severe and life-threatening infusion or injection-related reactions; fatal and other serious complications in patients who receive allogeneic hematopoietic stem cell transplantation before or after beginning treatment; embryo-fetal toxicity; and increased mortality in patients with multiple myeloma when KEYTRUDA or KEYTRUDA QLEX is added to a thalidomide analogue plus dexamethasone, which is not recommended outside of controlled trials. Immune-mediated adverse reactions listed here may not include all such possible severe or fatal reactions. Pembrolizumab (KEYTRUDA) in combination with sacituzumab govitecan-hziy (Trodelvy) is recommended by the National Comprehensive Cancer Network (NCCN) Clinical Practice Guidelines in Oncology (NCCN Guidelines) for Breast Cancer as a category 1 preferred first-line treatment option for certain patients with recurrent unresectable (local or regional) or stage IV (M1) triple-negative breast cancer (TNBC) whose tumors express PD-L1 (CPS =10). The median duration of exposure to KEYTRUDA was 8.5 months (range 1 day to 26.8 months). Fatal adverse reactions occurred in 3.2% of patients receiving KEYTRUDA in combination with sacituzumab govitecan-hziy, including death due to unknown cause (0.9%), and completed suicide, neutropenic sepsis, sepsis, pneumonia and pulmonary embolism (0.5% each). Serious adverse reactions occurred in 38% of patients receiving KEYTRUDA in combination with sacituzumab govitecan-hziy. Serious adverse reactions in =2% of patients were febrile neutropenia (7%), neutropenia (6%), diarrhea (5%), fatigue and pneumonia (2.3% each). Permanent discontinuation of KEYTRUDA due to an adverse reaction occurred in 9% of patients. The adverse reactions which resulted in permanent discontinuation of KEYTRUDA most commonly (=1%) were pneumonitis and rash (1.4% each). Dosage interruptions of KEYTRUDA due to adverse reactions occurred in 67% of patients. Adverse reactions which required dosage interruption in =2% of patients included neutropenia (36%), diarrhea (7%), upper respiratory tract infection (4.5%), anemia (4.1%), fatigue (4.1%), increased alanine aminotransferase (ALT) (3.2%), cough (2.7%), leukopenia (2.7%), nausea (2.7%), pyrexia (2.7%), rash (2.7%), vomiting (2.7%) and COVID-19 (2.3%). The most common (=25%) adverse reactions, including laboratory abnormalities, occurring in patients treated with KEYTRUDA in combination with sacituzumab govitecan-hziy were decreased neutrophil count and decreased hemoglobin (86% each), decreased leukocyte count (84%), diarrhea (72%), nausea (68%), decreased lymphocyte count (61%), fatigue (58%), alopecia (52%), increased alkaline phosphatase and increased glucose (50% each), increased ALT (47%), constipation (41%), increased aspartate aminotransferase (40%), rash (37%), decreased potassium (35%), increased lactate dehydrogenase (34%), vomiting (29%), abdominal pain, headache, and increased eosinophils (26% each) and decreased albumin (25%). KEYTRUDA and KEYTRUDA QLEX, each in combination with sacituzumab govitecan-hziy, are indicated for the first-line treatment of adult patients with unresectable locally advanced or metastatic TNBC whose tumors express PD-L1 (CPS =10) as determined by an FDA-authorized test.

U.S. Healthcare Sector Analysis

Sector Valuation and Performance

Industry Trends

Top Stock Gainers and Losers

Latest News

Axsome Therapeutics Initiates FOCUS-3 Phase 3 Trial Of Solriamfetol In Adolescents With Attention Deficit Hyperactivity Disorder

Amgen Continues To Perform

Eli Lilly And Company Receives Positive Opinion From CHMP For Jaypirca For Treatment Of Adults With Chronic Lymphocytic Leukemia Across All Lines Of Therapy

AbbVie Inc. to Report Q2, 2026 Results on Jul 31, 2026

Thermo Fisher Divests Microbiology Unit as Portfolio Reshaping Accelerates

Zoetis Inc. to Report Q2, 2026 Results on Aug 06, 2026

Pfizer Inc. Declares Quarterly Dividend for Third-Quarter of 2026, Payable on September 1, 2026

Boston Scientific's Fall From Penthouse To Doghouse Creates A Value Opportunity

New major risk - Share price stability

Danaher Corporation to Report Q2, 2026 Results on Jul 21, 2026

IDEXX Laboratories Rolls Out Tapeworm Detection and SDMA Integration for Veterinarians

ISRG: Sector Reset And Recalls Will Temper Strong Utilization Outlook

DexCom Gains FDA Approval for Pediatric Over-the-Counter Glucose Monitor

UnitedHealth Plans $3 Billion AI Spend and Moves to Settle FTC Insulin Case

Johnson & Johnson Commits Over $1 Billion for Jacksonville Contact Lens Facility Expansion