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 50.5x which is lower than its 3-year average PE of 65.5x. The 3-year average PS ratio of 2.1x is higher than the industry's current PS ratio of 1.9x.

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

Investors are most optimistic about the Medical Equipment industry even though it's trading below its 3-year average PE ratio of 54.7x. Analysts are expecting annual earnings growth of 16.2%, which is higher than its past year's earnings growth of 14.0% per year.

U.S. Healthcare Sector Analysis

Date	Market Cap	Revenue	Earnings	PE	Absolute PE	PS
Mon, 18 May 2026	US$6.2t	US$3.3t	US$122.3b	22.6x	50.5x	1.9x
Wed, 15 Apr 2026	US$6.3t	US$3.3t	US$127.2b	23.4x	49.3x	1.9x
Fri, 13 Mar 2026	US$6.4t	US$3.3t	US$124.5b	24.2x	51.1x	1.9x
Sun, 08 Feb 2026	US$6.6t	US$3.3t	US$125.4b	27.1x	52.4x	2x
Tue, 06 Jan 2026	US$6.5t	US$3.2t	US$135.6b	25.8x	47.8x	2x
Thu, 04 Dec 2025	US$6.4t	US$3.2t	US$133.5b	25.7x	48x	2x
Sat, 01 Nov 2025	US$5.9t	US$3.1t	US$134.3b	26.3x	44.3x	1.9x
Mon, 29 Sep 2025	US$5.7t	US$3.1t	US$137.6b	23.6x	41.1x	1.8x
Wed, 27 Aug 2025	US$5.7t	US$3.1t	US$137.2b	23.5x	41.2x	1.8x
Fri, 25 Jul 2025	US$5.6t	US$3.0t	US$129.1b	25.1x	43.4x	1.8x
Sun, 22 Jun 2025	US$5.5t	US$3.0t	US$127.4b	23.7x	42.8x	1.8x
Tue, 20 May 2025	US$5.4t	US$3.0t	US$126.1b	24x	42.9x	1.8x
Thu, 17 Apr 2025	US$5.4t	US$2.6t	US$90.0b	24.8x	59.5x	2x
Sat, 15 Mar 2025	US$5.6t	US$2.6t	US$74.8b	26.6x	74.8x	2.1x
Mon, 10 Feb 2025	US$5.9t	US$2.6t	US$89.8b	26.5x	65.5x	2.2x
Wed, 08 Jan 2025	US$5.8t	US$2.9t	US$79.3b	27.7x	73.4x	2x
Fri, 06 Dec 2024	US$6.2t	US$2.9t	US$77.4b	28.7x	79.5x	2.1x
Sun, 03 Nov 2024	US$6.2t	US$2.9t	US$71.3b	28.4x	86.4x	2.1x
Tue, 01 Oct 2024	US$6.2t	US$2.9t	US$70.6b	30.3x	87.9x	2.1x
Thu, 29 Aug 2024	US$6.3t	US$2.8t	US$54.0b	31.6x	116.3x	2.2x
Sat, 27 Jul 2024	US$6.3t	US$2.8t	US$61.0b	31.6x	104x	2.2x
Mon, 24 Jun 2024	US$6.2t	US$2.8t	US$62.5b	30x	99.2x	2.2x
Wed, 22 May 2024	US$6.2t	US$2.8t	US$64.2b	30.7x	96.7x	2.2x
Fri, 19 Apr 2024	US$5.9t	US$2.8t	US$84.4b	30x	70.2x	2.1x
Sun, 17 Mar 2024	US$6.2t	US$2.8t	US$84.5b	31.5x	73.7x	2.2x
Tue, 13 Feb 2024	US$6.2t	US$2.8t	US$76.4b	32x	81.2x	2.2x
Thu, 11 Jan 2024	US$6.4t	US$2.8t	US$90.1b	32.3x	70.9x	2.3x
Sat, 09 Dec 2023	US$6.0t	US$2.8t	US$91.4b	29.4x	65.1x	2.1x
Mon, 06 Nov 2023	US$5.7t	US$2.8t	US$88.4b	26.7x	65x	2x
Wed, 04 Oct 2023	US$5.8t	US$2.8t	US$98.2b	26.5x	59.2x	2.1x
Fri, 01 Sep 2023	US$6.1t	US$2.8t	US$98.8b	27.7x	61.6x	2.2x
Sun, 30 Jul 2023	US$6.1t	US$2.8t	US$115.6b	28x	52.5x	2.2x
Tue, 27 Jun 2023	US$6.0t	US$2.7t	US$109.8b	26.6x	54.5x	2.2x
Thu, 25 May 2023	US$5.9t	US$2.7t	US$110.9b	24x	53x	2.2x


US Market	-0.26%
Healthcare	0.055%
Healthcare Services	1.93%
Pharma	1.36%
Medical Equipment	0.076%
Biotech	-1.84%
Life Sciences	-3.68%
Healthtech	-5.93%

Company	Last Price	7D	1Y	Valuation
LLY Eli Lilly	US$1.00k	3.9% +US$33.8b	33.1%	PE35.5x
ABBV AbbVie	US$210.39	3.8% +US$13.4b	13.3%	PE103.4x
JNJ Johnson & Johnson	US$226.71	2.4% +US$12.7b	48.7%	PE25.9x
SYK Stryker	US$306.76	8.6% +US$9.3b	-22.3%	PE35.2x
UNH UnitedHealth Group	US$393.85	2.4% +US$8.5b	24.7%	PE29.7x

Announcement • May 15

Beone Medicines Ltd. Announces FDA Approval of Beqalzi for Relapsed or Refractory Mantle Cell Lymphoma

BeOne Medicines Ltd. announced that the U.S. Food and Drug Administration has granted accelerated approval to BEQALZI (sonrotoclax), a foundational, next-generation BCL2 inhibitor, for the treatment of adult patients with relapsed or refractory mantle cell lymphoma after at least two lines of systemic therapy, including a Bruton’s tyrosine kinase inhibitor. BEQALZI was designed to enhance BCL2 inhibition—with greater potency, selectivity, and a pharmacologic profile with potential to improve efficacy, tolerability, and convenience over others in the class. The accelerated approval of BEQALZI is supported by efficacy and safety data from the Phase 1/2 study, BGB-11417-201, which was presented at the 67th American Society of Hematology Annual Meeting & Exposition. The study included an independent review of efficacy data and demonstrated: Overall response rate (ORR): 52% (95% CI, 42-62); Complete response (CR) rate: 16% (95% CI, 9.1-24.0); Median time to response (TTR): 1.9 months; Median duration of response (DOR): 15.8 months (95% CI, 7.4 months-NE) at a median response follow-up of 11.9 months (has yet to reach full maturity); Safety: treatment with sonrotoclax monotherapy was generally well tolerated. Continued approval for this indication is contingent upon confirmation of clinical benefit in the confirmatory CELESTIAL-RRMCL trial, which is underway. The U.S. FDA granted Breakthrough Therapy Designation for sonrotoclax in this indication, as well as Fast Track Designation and Orphan Drug Designation. BEQALZI is also approved in China for the treatment of relapsed or refractory mantle cell lymphoma, as well as adult patients with chronic lymphocytic leukemia/small lymphocytic lymphoma who have previously received at least one systemic therapy, including a Bruton’s tyrosine kinase inhibitor. Data from the Phase 1/2 study of sonrotoclax in relapsed or refractory mantle cell lymphoma is also under review by the European Medicines Agency and other regulatory agencies. The U.S. FDA also granted sonrotoclax Fast Track Designation for Waldenström macroglobulinemia, as well as Orphan Drug Designation for the treatment of adult patients with Waldenström macroglobulinemia, multiple myeloma, acute myeloid leukemia, and myelodysplastic syndrome. Sonrotoclax is currently being studied in combination with other therapeutics, including zanubrutinib, as a potential treatment for chronic lymphocytic leukemia, with updated data expected to be presented at the 2026 American Society of Clinical Oncology Annual Meeting. BEQALZI (sonrotoclax) is a foundational, next-generation and potentially best-in-class B-cell lymphoma 2 inhibitor with a unique pharmacokinetic and pharmacodynamic profile. Preclinical and clinical studies in early drug development have shown that sonrotoclax is a highly potent and specific BCL2 inhibitor with a short half-life and no drug accumulation. Sonrotoclax has shown promising clinical activity across a range of B-cell malignancies, including chronic lymphocytic leukemia, and is in development as a monotherapy and in combination with other therapeutics, including zanubrutinib. To date, more than 2,200 patients have been enrolled across the broad sonrotoclax global development program. BEQALZI (sonrotoclax) is a BCL-2 inhibitor indicated for the treatment of adult patients with relapsed or refractory mantle cell lymphoma after at least two lines of systemic therapy, including a Bruton’s tyrosine kinase inhibitor. This indication is approved under accelerated approval based on response rate and duration of response. Continued approval for this indication may be contingent upon verification and description of clinical benefit in a confirmatory trial(s). BEQALZI is contraindicated with strong CYP3A inhibitors at initiation and during the ramp-up phase due to the potential for an increased risk of tumor lysis syndrome. BEQALZI can cause rapid tumor reduction and changes in blood chemistries consistent with tumor lysis syndrome, which may be serious or life-threatening and require prompt management. Tumor lysis syndrome may occur as early as 4 hours after the first dose, with dose increases, or upon reinitiation following treatment interruption. Laboratory or clinical tumor lysis syndrome occurred in 7% of patients who followed the recommended dose ramp-up. Assess all patients for tumor lysis syndrome risk and initiate prophylaxis, including adequate hydration and antihyperuricemics. For patients at high risk of tumor lysis syndrome, consider hospitalization with intravenous hydration and employ frequent monitoring. Monitor blood chemistries closely and manage abnormalities promptly. Interrupt BEQALZI for tumor lysis syndrome; upon reinitiation, follow dose modification guidance in the Prescribing Information. BEQALZI can cause fatal or serious infections. Serious infections occurred in 14% of patients; Grade 3-4 occurred in 17% (fatal: 2.6%). The most common Grade 3 or greater infection was pneumonia (10%). Monitor for signs and symptoms of infection and treat appropriately. Consider prophylactic antimicrobials and immunoglobulins. Interrupt, reduce dose, or permanently discontinue BEQALZI based on severity. BEQALZI can cause serious or severe cytopenias, including neutropenia. Grade 3 or 4 decreases in neutrophils occurred in 18% of patients (Grade 4: 6%); febrile neutropenia occurred in 1.7% of all patients. Monitor complete blood counts throughout treatment. Interrupt treatment, reduce the dose, or permanently discontinue BEQALZI based on severity. BEQALZI can cause fetal harm when administered to pregnant women. Advise patients of the potential risk to a fetus. Verify pregnancy status prior to initiation. Advise females to use effective contraception and males with female partners of reproductive potential to use effective contraception during treatment and for 1 week after the last dose. The most common adverse reactions (=15%) are pneumonia (16%) and fatigue (16%). The most common Grade 3-4 laboratory abnormalities (=15%) are decreases in lymphocytes (29%) and neutrophils (18%). Concomitant use of strong or moderate CYP3A inhibitors increases BEQALZI exposure. Avoid use of strong CYP3A inhibitors during BEQALZI initiation and ramp-up. Avoid use of moderate CYP3A inhibitors at the 1 mg and 2 mg doses; for all other doses, reduce the BEQALZI dose with concomitant use. Concomitant use of strong or moderate CYP3A inducers decreases BEQALZI exposure. Avoid use. Advise women not to breastfeed during treatment with BEQALZI and for 1 week after the last dose.

Announcement • May 13

Pfizer Inc Approves Hympavzi for Treatment of Adults and Adolescents with Hemophilia A or B with Inhibitors

Pfizer Inc. announced that the European Commission (EC) has granted marketing authorization to expand the approved indication for HYMPAVZI (marstacimab) to include patients 12 years of age and older weighing at least 35 kg with hemophilia A (congenital factor VIII [FVIII] deficiency) with FVIII inhibitors or hemophilia B (congenital factor IX [FIX] deficiency) with FIX inhibitors. HYMPAVZI offers a combination of superior bleed protection compared to on-demand (OD) treatment that is well-tolerated with a straightforward, once-weekly subcutaneous injection administration that does not require routine treatment-related lab monitoring for this difficult-to-treat inhibitor patient population 12 years of age and older. Inhibitors limit treatment options for people living with hemophilia and are associated with an increased risk of uncontrolled bleeding. These inhibitory antibodies neutralize factor replacement therapies and render them ineffective. Of the more than 800,000 people in the world living with hemophilia A or hemophilia B, approximately 20% of those with hemophilia A and 3% of those with hemophilia B are unable to continue taking factor replacement therapies because they developed inhibitors to FVIII and FIX, respectively, and these therapies no longer prevent or stop bleeding episodes, particularly in individuals who are refractory to immune tolerance induction therapy. This indication extension is based on results from the Phase 3 BASIS trial (NCT03938792) that evaluated the efficacy and safety of HYMPAVZI in adults and adolescents 12 years and older with severe hemophilia A or moderately severe to severe hemophilia B with inhibitors: In the active treatment period of the study, HYMPAVZI treatment resulted in a statistically significant and clinically meaningful 93% reduction in the mean treated annualized bleeding rate (ABR) (1.39 [95% CI: 0.85-2.29] vs. 19.78 [95% CI: 16.12-24.27]; pAbout HYMPAVZI. Discovered by Pfizer scientists, HYMPAVZI has a unique mechanism of action that is differentiated from FVIII and FIX replacement treatments. Instead of replacing missing or insufficient clotting factors, HYMPAVZI is intentionally designed to target tissue factor pathway inhibitor (TFPI), one of the body’s natural mechanisms that inhibits the initiation of blood clotting. By targeting the Kunitz 2 domain of TFPI, HYMPAVZI may help re-establish balance between bleeding and blood clot formation with the goal of offering a combination of bleed protection and straightforward administration. HYMPAVZI is a hemophilia treatment that has received regulatory approvals in more than 40 countries for eligible patients living with hemophilia A without factor VIII inhibitors, or hemophilia B without factor IX inhibitors. HYMPAVZI was the first anti-TFPI approved in the U.S. and EU for the treatment of hemophilia A or B and the first hemophilia medicine approved in the U.S. and EU to be administered via a pre-filled auto-injector pen. For eligible people living with hemophilia B, it is the first once-weekly subcutaneous prophylactic treatment. HYMPAVZI is a subcutaneous treatment option with a once-weekly dosing schedule and minimal preparation required for each individual administration. Pfizer is also conducting BASIS KIDS, an open-label study investigating the safety and efficacy of HYMPAVZI in children About the BASIS Clinical Trial. The pivotal BASIS study is a global, Phase 3, open-label, multicenter study to evaluate the efficacy data and safety profile of HYMPAVZI in adolescent and adult participants ages 12 to About Hemophilia. Hemophilia is a family of rare genetic blood diseases caused by a clotting factor deficiency (FVIII in hemophilia A, FIX in hemophilia B), which prevents normal blood clotting. Hemophilia is diagnosed in early childhood and impacts more than 800,000 people worldwide. The inability of the blood to clot properly can increase the risk of painful bleeding, including inside the joints, which can cause joint scarring and damage. People living with hemophilia can suffer permanent joint damage following repeated bleeding episodes. For decades, the most common treatment approach for hemophilia A and B has been factor replacement therapy, which replaces the missing clotting factors. Factor replacement therapies increase the amount of clotting factor in the body to levels that improve clotting, resulting in less bleeding. The burden of intravenous infusions is believed to be a barrier to treatment adherence for some people living with hemophilia due in part to inconvenience, time constraints, and poor venous access. Approximately 20% of people with hemophilia A and 3% of people with hemophilia B are unable to continue taking factor replacement therapies because they develop inhibitors to FVIII and FIX, respectively. These patients often have higher treatment burden, including potential complications from bleeding such as hospitalization and death, as well as higher treatment-related costs.

U.S. Healthcare Sector Analysis

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