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U.S. Healthcare Sector Analysis

UpdatedMay 14, 2026
DataAggregated Company Financials
Companies1403
  • 7D0.3%
  • 3M-3.2%
  • 1Y17.1%
  • YTD-4.3%

Over the last 7 days, the Healthcare industry has remained flat, although notably UnitedHealth Group gained 9.2%. As for the the longer term, the industry is up 15% over the past 12 months. 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, 14 May 2026US$6.2tUS$3.3tUS$123.8b22.2x50.5x1.9x
Sat, 11 Apr 2026US$6.3tUS$3.3tUS$127.3b22.7x49.3x1.9x
Mon, 09 Mar 2026US$6.4tUS$3.3tUS$125.5b24.9x50.6x1.9x
Wed, 04 Feb 2026US$6.5tUS$3.2tUS$126.5b26.2x51.6x2x
Fri, 02 Jan 2026US$6.5tUS$3.2tUS$135.6b25.8x47.8x2x
Sun, 30 Nov 2025US$6.5tUS$3.2tUS$133.5b26.5x48.9x2.1x
Tue, 28 Oct 2025US$6.1tUS$3.1tUS$140.4b26.2x43.3x2x
Thu, 25 Sep 2025US$5.7tUS$3.1tUS$137.6b23.6x41.5x1.8x
Sat, 23 Aug 2025US$5.7tUS$3.1tUS$137.2b23.7x41.4x1.8x
Mon, 21 Jul 2025US$5.4tUS$3.0tUS$128.8b22.7x42x1.8x
Wed, 18 Jun 2025US$5.5tUS$3.0tUS$127.4b22.6x43.5x1.8x
Fri, 16 May 2025US$5.2tUS$3.0tUS$125.8b23.2x41.7x1.7x
Sun, 13 Apr 2025US$5.3tUS$2.6tUS$82.2b24.9x64.7x2x
Tue, 11 Mar 2025US$5.8tUS$2.6tUS$78.7b27.4x74x2.2x
Thu, 06 Feb 2025US$5.9tUS$2.6tUS$88.1b27.5x67.1x2.2x
Sat, 04 Jan 2025US$5.8tUS$2.9tUS$79.3b27.3x72.7x2x
Mon, 02 Dec 2024US$6.2tUS$2.9tUS$77.3b28.8x79.8x2.1x
Wed, 30 Oct 2024US$6.1tUS$2.8tUS$66.3b29.5x91.3x2.1x
Fri, 27 Sep 2024US$6.2tUS$2.8tUS$60.0b29.9x103.2x2.2x
Sun, 25 Aug 2024US$6.3tUS$2.8tUS$56.4b31.6x111.1x2.2x
Tue, 23 Jul 2024US$6.3tUS$2.8tUS$60.7b31.9x103.5x2.2x
Thu, 20 Jun 2024US$6.2tUS$2.8tUS$62.5b29.9x98.5x2.2x
Sat, 18 May 2024US$6.2tUS$2.8tUS$64.2b30.5x97x2.2x
Mon, 15 Apr 2024US$6.0tUS$2.8tUS$85.4b31.9x70x2.1x
Wed, 13 Mar 2024US$6.3tUS$2.8tUS$85.3b32.4x73.6x2.3x
Fri, 09 Feb 2024US$6.2tUS$2.8tUS$76.5b31.3x80.6x2.2x
Sun, 07 Jan 2024US$6.3tUS$2.8tUS$90.0b30.9x70.1x2.2x
Tue, 05 Dec 2023US$5.9tUS$2.8tUS$91.4b29.2x65x2.1x
Thu, 02 Nov 2023US$5.6tUS$2.8tUS$93.3b24.6x60x2x
Sat, 30 Sep 2023US$5.9tUS$2.8tUS$98.6b27.6x59.8x2.1x
Mon, 28 Aug 2023US$6.1tUS$2.8tUS$99.0b27.7x61.6x2.2x
Wed, 26 Jul 2023US$6.1tUS$2.7tUS$110.1b27x55.6x2.2x
Fri, 23 Jun 2023US$6.0tUS$2.7tUS$109.8b26.6x54.8x2.2x
Sun, 21 May 2023US$6.0tUS$2.7tUS$110.8b24.2x53.9x2.2x
Price to Earnings Ratio

53.9x


Total Market Cap: US$6.0tTotal 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 49.8x 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 1.8x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have grown 3.7% 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 Market0.55%
Healthcare0.34%
Healthcare Services7.28%
Pharma0.84%
Biotech-0.53%
Medical Equipment-2.51%
Life Sciences-4.73%
Healthtech-6.28%
Industry PE
  • Investors are most optimistic about the Medical Equipment industry even though it's trading below its 3-year average PE ratio of 54.8x.
    • Analysts are expecting annual earnings growth of 16.0%, which is higher than its past year's earnings growth of 14.0% per year.
Forecasted Growth
  • Analysts are most optimistic on the Biotech industry, expecting annual earnings growth of 25% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Pharma industry is expected to see its earnings grow by 14% 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$401.169.2%
+US$30.8b		30.2%PE30.2x
LLY Eli LillyUS$1.02k2.9%
+US$25.6b		42.0%PE35.8x
CVS CVS HealthUS$98.1113.0%
+US$14.4b		63.4%PE42.7x
JNJ Johnson & JohnsonUS$230.422.6%
+US$14.0b		57.4%PE26.4x
HUM HumanaUS$304.8523.8%
+US$7.0b		32.3%PE32.4x

Latest News

ZTS
US$74.34
Zoetis
7D
-33.2%
1Y
-52.0%
JNJ
US$230.42
Johnson & Johnson
7D
2.6%
1Y
57.4%
CVS
US$98.11
CVS Health
7D
13.0%
1Y
63.4%
INSM
US$117.99
Insmed
7D
-13.9%
1Y
79.8%
ISRG
US$432.27
Intuitive Surgical
7D
-4.3%
1Y
-23.6%
TMO
US$446.03
Thermo Fisher Scientific
7D
-5.7%
1Y
9.8%
ABT
US$83.83
Abbott Laboratories
7D
-2.9%
1Y
-34.8%
Narrative Update • May 12

ABT: Medtech Pipeline And Dividend Record Will Support Future Repricing

Analysts have trimmed Abbott Laboratories' consolidated price target by $1, reflecting a slightly higher discount rate, a marginally lower revenue growth outlook, a very small adjustment to profit margin assumptions, and a modestly lower future P/E multiple in light of several recent target cuts and a removal from a conviction list. Analyst Commentary Recent Street research on Abbott Laboratories has tilted more cautious, with a series of price target reductions and a removal from a major conviction list.
ABBV
US$208.50
AbbVie
7D
1.7%
1Y
17.5%
MTD
US$1,025.53
Mettler-Toledo International
7D
-22.7%
1Y
-8.3%
LLY
US$1,015.75
Eli Lilly
7D
2.9%
1Y
42.0%
BSX
US$53.06
Boston Scientific
7D
-5.3%
1Y
-48.5%
Seeking Alpha • May 11

Boston Scientific: Poised To Rebound With The Healthcare Sector, But When?

Summary Boston Scientific Corporation is a leading medtech innovator facing recent share price underperformance due to market share erosion in electrophysiology and sector-wide sentiment shifts. Despite competitive pressures, BSX maintains strong leadership in PFA, with Watchman and neuromodulation as promising growth drivers and a robust pipeline supported by strategic M&A. Management has improved operating and net margins, reduced short-term debt, and achieved ROIC above WACC, signaling efficient capital allocation and resilience despite slowing revenue growth. At historically low valuations and with sector sentiment near troughs, I rate BSX a Hold for now, favoring patience until EP market share stabilizes and sector rotation materializes. Read the full article on Seeking Alpha
VRTX
US$453.06
Vertex Pharmaceuticals
7D
5.9%
1Y
7.6%
DHR
US$165.99
Danaher
7D
-5.1%
1Y
-11.6%
HUM
US$304.85
Humana
7D
23.8%
1Y
32.3%
UNH
US$401.16
UnitedHealth Group
7D
9.2%
1Y
30.2%
ELV
US$399.64
Elevance Health
7D
6.7%
1Y
6.8%