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U.S. Healthcare Sector Analysis

UpdatedJun 21, 2026
DataAggregated Company Financials
Companies1404
  • 7D-1.8%
  • 3M5.1%
  • 1Y15.5%
  • YTD-2.8%

Over the last 7 days, the Healthcare industry has dropped 1.8%, driven by pullbacks in Eli Lilly and Johnson & Johnson of 3.0% and 5.2%, respectively. In contrast, Moderna has gained 28%. This takes the industry's 12 month performance to a gain of 15%. 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
Mon, 22 Jun 2026US$6.4tUS$3.3tUS$121.7b23.3x52.2x1.9x
Wed, 20 May 2026US$6.2tUS$3.3tUS$122.5b23x50.4x1.9x
Fri, 17 Apr 2026US$6.3tUS$3.3tUS$121.3b23.8x51.8x1.9x
Sun, 15 Mar 2026US$6.2tUS$3.3tUS$124.6b24x49.9x1.9x
Tue, 10 Feb 2026US$6.6tUS$3.3tUS$125.4b27.2x52.4x2x
Thu, 08 Jan 2026US$6.6tUS$3.2tUS$135.9b26.6x48.6x2.1x
Sat, 06 Dec 2025US$6.4tUS$3.2tUS$133.6b25.9x47.9x2x
Mon, 03 Nov 2025US$6.0tUS$3.1tUS$134.4b26.1x44.4x1.9x
Wed, 01 Oct 2025US$5.7tUS$3.1tUS$137.6b24x41.2x1.8x
Fri, 29 Aug 2025US$5.7tUS$3.1tUS$137.2b23.2x41.5x1.8x
Sun, 27 Jul 2025US$5.6tUS$3.1tUS$128.1b24.6x43.8x1.8x
Tue, 24 Jun 2025US$5.4tUS$3.0tUS$127.5b23.8x42.4x1.8x
Thu, 22 May 2025US$5.5tUS$3.0tUS$126.3b22.9x43.4x1.8x
Sat, 19 Apr 2025US$5.3tUS$2.6tUS$97.6b24.8x54.1x2x
Mon, 17 Mar 2025US$5.7tUS$2.6tUS$74.8b26.6x75.6x2.1x
Wed, 12 Feb 2025US$5.9tUS$2.6tUS$84.7b26x69.3x2.2x
Fri, 10 Jan 2025US$5.9tUS$2.9tUS$79.4b27.3x74x2x
Sun, 08 Dec 2024US$6.1tUS$2.9tUS$77.6b28.7x78.2x2.1x
Tue, 05 Nov 2024US$6.2tUS$2.9tUS$71.2b28.1x86.5x2.1x
Thu, 03 Oct 2024US$6.2tUS$2.8tUS$60.0b30.1x104x2.2x
Sat, 31 Aug 2024US$6.3tUS$2.8tUS$54.1b32.3x116.2x2.2x
Mon, 29 Jul 2024US$6.4tUS$2.8tUS$60.8b31.7x105x2.2x
Wed, 26 Jun 2024US$6.2tUS$2.8tUS$62.4b30.3x99.7x2.2x
Fri, 24 May 2024US$6.2tUS$2.8tUS$64.3b30.2x97x2.2x
Sun, 21 Apr 2024US$5.9tUS$2.8tUS$84.6b30.2x70.1x2.1x
Tue, 19 Mar 2024US$6.2tUS$2.8tUS$84.7b31.5x73.4x2.2x
Thu, 15 Feb 2024US$6.1tUS$2.8tUS$82.0b31.1x74.6x2.2x
Sat, 13 Jan 2024US$6.4tUS$2.8tUS$90.8b32.2x70.2x2.3x
Mon, 11 Dec 2023US$6.0tUS$2.8tUS$91.4b29.4x65.2x2.1x
Wed, 08 Nov 2023US$5.8tUS$2.8tUS$86.9b25.8x66.6x2.1x
Fri, 06 Oct 2023US$5.8tUS$2.8tUS$98.3b26.7x59.1x2.1x
Sun, 03 Sep 2023US$6.1tUS$2.8tUS$98.7b27.4x61.9x2.2x
Tue, 01 Aug 2023US$6.1tUS$2.7tUS$115.7b28x52.5x2.2x
Thu, 29 Jun 2023US$6.0tUS$2.7tUS$109.9b26.3x54.2x2.2x
Price to Earnings Ratio

54.2x


Total Market Cap: US$6.0tTotal Earnings: US$109.9bTotal Revenue: US$2.7tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 65.4x202420252026
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 52.2x 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.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have grown 3.5% per year over the last three years.
  • Revenues for these companies have grown 7.0% 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 Market1.39%
Healthcare-1.82%
Biotech1.34%
Life Sciences-0.82%
Medical Equipment-1.05%
Healthtech-1.38%
Healthcare Services-2.38%
Pharma-3.84%
Industry PE
  • Investors are most optimistic about the Medical Equipment industry even though it's trading below its 3-year average PE ratio of 53.7x.
    • Analysts expect its future annual earnings growth (16.2%) to be largely in line with prior year's earnings growth.
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
MRNA ModernaUS$63.9628.2%
+US$5.6b		146.9%PS11.4x
NTRA NateraUS$231.419.1%
+US$2.8b		34.7%PS13.3x
HIMS Hims & Hers HealthUS$35.4732.3%
+US$2.0b		-44.8%PS3.5x
RVMD Revolution MedicinesUS$162.995.9%
+US$1.9b		311.0%PB23.1x
VRTX Vertex PharmaceuticalsUS$451.631.5%
+US$1.7b		2.4%PE26.4x

Latest News

MRNA
US$63.96
Moderna
7D
28.2%
1Y
146.9%
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BMY
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Bristol-Myers Squibb
7D
-5.5%
1Y
15.2%
CYTK
US$78.78
Cytokinetics
7D
12.3%
1Y
142.9%
JNJ
US$228.39
Johnson & Johnson
7D
-5.2%
1Y
52.5%
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PFE
US$25.21
Pfizer
7D
-3.8%
1Y
5.2%
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uniQure
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67.9%
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NTRA
US$231.41
Natera
7D
9.1%
1Y
34.7%
Analysis Article • Jun 20

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ABBV
US$216.49
AbbVie
7D
-4.9%
1Y
16.8%
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MRK
US$113.87
Merck
7D
-4.4%
1Y
44.0%
HIMS
US$35.47
Hims & Hers Health
7D
32.3%
1Y
-44.8%
UNH
US$400.96
UnitedHealth Group
7D
-1.9%
1Y
32.8%
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LLY
US$1,098.57
Eli Lilly
7D
-3.0%
1Y
44.0%
EW
US$87.36
Edwards Lifesciences
7D
2.6%
1Y
18.3%
Narrative Update • Jun 17

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AMGN
US$337.60
Amgen
7D
-5.0%
1Y
16.7%
VRTX
US$451.63
Vertex Pharmaceuticals
7D
1.5%
1Y
2.4%
Narrative Update • Jun 17

VRTX: Kidney Franchise And Pipeline Expansion Will Drive Future Stock Upside

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RVMD
US$162.99
Revolution Medicines
7D
5.9%
1Y
311.0%