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U.S. Pharma Industry Analysis

UpdatedJan 24, 2026
DataAggregated Company Financials
Companies315
  • 7D1.2%
  • 3M21.5%
  • 1Y27.6%
  • YTD1.7%

Over the last 7 days, the Pharma industry has risen 1.2%, driven by gains from Eli Lilly of 2.5%. In the last 12 months, the industry was up 28%. As for the next few years, earnings are expected to grow by 12% per annum.

Industry Valuation and Performance

Has the U.S. Pharma Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 24 Jan 2026US$2.3tUS$404.7bUS$73.2b19.8x31.7x5.7x
Mon, 22 Dec 2025US$2.2tUS$402.8bUS$71.4b19.8x31.3x5.5x
Wed, 19 Nov 2025US$2.1tUS$402.7bUS$71.5b19.4x29.6x5.2x
Fri, 17 Oct 2025US$1.9tUS$389.2bUS$63.5b18x29.6x4.8x
Sun, 14 Sep 2025US$1.8tUS$387.9bUS$60.9b18.9x29.3x4.6x
Tue, 12 Aug 2025US$1.6tUS$387.9bUS$60.7b18.5x27x4.2x
Thu, 10 Jul 2025US$1.7tUS$382.7bUS$61.3b18.1x28.4x4.6x
Sat, 07 Jun 2025US$1.7tUS$382.7bUS$61.2b17.1x27.9x4.5x
Mon, 05 May 2025US$1.8tUS$382.7bUS$63.7b17.2x27.8x4.6x
Wed, 02 Apr 2025US$1.9tUS$380.6bUS$41.2b16.2x45.2x4.9x
Fri, 28 Feb 2025US$1.9tUS$381.0bUS$39.4b16.4x49.1x5.1x
Sun, 26 Jan 2025US$1.8tUS$370.4bUS$30.5b18.4x59.1x4.9x
Tue, 24 Dec 2024US$1.8tUS$369.4bUS$31.1b16.7x57.2x4.8x
Thu, 21 Nov 2024US$1.8tUS$373.8bUS$30.6b20.1x58.1x4.7x
Sat, 19 Oct 2024US$2.0tUS$365.3bUS$23.7b18.6x85.8x5.6x
Mon, 16 Sep 2024US$2.0tUS$364.3bUS$25.4b18.8x80.2x5.6x
Wed, 14 Aug 2024US$2.0tUS$362.1bUS$22.0b17.4x89x5.4x
Fri, 12 Jul 2024US$2.0tUS$357.6bUS$13.8b15.9x144.8x5.6x
Sun, 09 Jun 2024US$1.9tUS$358.3bUS$14.1b15.6x136.8x5.4x
Tue, 07 May 2024US$1.8tUS$358.0bUS$13.8b21.1x133.7x5.1x
Thu, 04 Apr 2024US$1.9tUS$355.2bUS$22.7b24.6x82.9x5.3x
Sat, 02 Mar 2024US$1.9tUS$355.3bUS$22.5b24.1x83.8x5.3x
Mon, 29 Jan 2024US$1.8tUS$375.2bUS$33.9b24.6x52.1x4.7x
Wed, 27 Dec 2023US$1.7tUS$375.2bUS$33.9b31.8x49.3x4.4x
Fri, 24 Nov 2023US$1.6tUS$375.1bUS$33.9b25.9x48.2x4.4x
Sun, 22 Oct 2023US$1.7tUS$382.7bUS$44.7b17.6x37x4.3x
Tue, 19 Sep 2023US$1.7tUS$381.8bUS$43.9b18.5x39.1x4.5x
Thu, 17 Aug 2023US$1.8tUS$381.7bUS$44.0b19.1x40.2x4.6x
Sat, 15 Jul 2023US$1.7tUS$392.8bUS$60.2b18.3x27.7x4.2x
Mon, 12 Jun 2023US$1.7tUS$393.0bUS$60.5b18.6x28.4x4.4x
Wed, 10 May 2023US$1.7tUS$395.1bUS$56.8b19.4x30.7x4.4x
Fri, 07 Apr 2023US$1.7tUS$401.2bUS$69.4b15.9x23.8x4.1x
Sun, 05 Mar 2023US$1.6tUS$401.2bUS$69.4b16.9x22.5x3.9x
Tue, 31 Jan 2023US$1.6tUS$402.6bUS$69.4b17.8x23.7x4.1x
Price to Earnings Ratio

23.7x


Total Market Cap: US$1.6tTotal Earnings: US$69.4bTotal Revenue: US$402.6bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Pharma Industry Price to Earnings3Y Average 53.1x202420252026
Current Industry PE
  • Investors are pessimistic on the American Pharmaceuticals 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 31.7x which is lower than its 3-year average PE of 53.1x.
  • The 3-year average PS ratio of 4.8x is lower than the industry's current PS ratio of 5.7x.
Past Earnings Growth
  • Both revenue and earnings for companies in the Pharmaceuticals industry have remained mostly flat over the last three years.
  • This means that sales and the cost of doing business have remained relatively consistent over this period and subsequently, so have profits.

Industry Trends

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

US Market-0.39%
Healthcare1.06%
Pharma1.23%
Pharma1.23%
Industry PEThere are no additional sub-industries under this industry.
Forecasted GrowthThere are no additional sub-industries under this industry.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
LLY Eli LillyUS$1.06k2.5%
+US$23.2b		35.5%PE51.8x
JNJ Johnson & JohnsonUS$220.140.7%
+US$3.6b		49.9%PE19.8x
RGC Regencell Bioscience HoldingsUS$31.4114.5%
+US$2.0b		24,774.1%PB3195.7x
CORT Corcept TherapeuticsUS$43.9826.6%
+US$973.0m		-26.7%PE44.2x
AXSM Axsome TherapeuticsUS$185.964.9%
+US$438.1m		80.4%PS16.7x

Latest News

BHC
US$5.91
Bausch Health Companies
7D
-15.3%
1Y
-23.4%
OCUL
US$10.27
Ocular Therapeutix
7D
-8.9%
1Y
28.9%
MRK
US$108.18
Merck
7D
-0.6%
1Y
13.2%

MRK: M&A Pipeline And Gardasil Policy Shifts Will Shape Future Risk Balance

Analysts lifted their Merck fair value estimate by about $8.50 to $115.11 per share as they factor in a higher future P/E multiple, recent price target increases from several firms, and growing confidence in the company being added to BofA's "US 1 List." Analyst Commentary Recent research on Merck gives you a mix of confidence in the company’s execution and some clear areas to watch. Here is how the current commentary breaks down.
VTRS
US$13.21
Viatris
7D
2.7%
1Y
17.9%

VTRS: Capital Returns And Affordable Medicines Theme Will Support Upside Potential

Narrative Update: Viatris Analysts have lifted their price target on Viatris to US$16 from US$14, citing a slightly lower discount rate, updated assumptions for modestly higher revenue growth, a recalibrated profit margin outlook, and a higher future P/E multiple supported by recent research highlighting expected buybacks, debt reduction, and continued interest in the affordable medicines theme heading into 2026. Analyst Commentary Bullish analysts are leaning into a more constructive view on Viatris, pointing to capital allocation plans and the appeal of the affordable medicines theme as key supports for the current investment case.
AXSM
US$185.96
Axsome Therapeutics
7D
4.9%
1Y
80.4%

AXSM: Late-Stage CNS Franchise And Alzheimer’s Agitation Decision Will Drive Upside

Analysts have lifted their blended price target on Axsome Therapeutics by about $14, reflecting updated models that factor in recent Q4 revenue outperformance for Auvelity and Sunosi, an increased assumed revenue growth rate to 51.70%, and a higher future P/E of 20.59x. Analyst Commentary Recent Street research on Axsome Therapeutics has been active, with several bullish analysts lifting price targets following Q3 and preliminary Q4 updates for Auvelity and Sunosi, while one bearish analyst trimmed expectations.
BMY
US$54.65
Bristol-Myers Squibb
7D
-1.1%
1Y
-8.4%

BMY: 2026 Pipeline Readouts Will Likely Cap Near Term Upside

Analysts have lifted their blended price target on Bristol Myers Squibb by roughly US$2 to reflect higher estimated fair value and profitability, citing a rich set of 2026 pipeline readouts and what they view as underappreciated upside in several late-stage assets. Analyst Commentary Recent Street research on Bristol Myers Squibb points to a mixed but generally constructive stance, with several firms lifting price targets into the US$53 to US$65 range and highlighting what they see as meaningful 2026 data catalysts across eight late stage assets.
ZTS
US$124.05
Zoetis
7D
-0.5%
1Y
-26.4%

ZTS: Fair Outlook Balances OA Pain Headwinds With New Antibody Approvals

Narrative update on Zoetis The analyst fair value estimate for Zoetis has been reset from US$153 to US$130 as analysts factor in slower expected revenue growth, a slightly higher discount rate, lower assumed future P/E multiples, and ongoing competitive and product launch headwinds highlighted in recent research. Analyst Commentary Recent research on Zoetis has tilted more cautious, with several bearish analysts resetting expectations around growth, execution, and what investors are willing to pay for the stock.
CORT
US$43.98
Corcept Therapeutics
7D
26.6%
1Y
-26.7%
JNJ
US$220.14
Johnson & Johnson
7D
0.7%
1Y
49.9%
RPRX
US$40.40
Royalty Pharma
7D
2.1%
1Y
30.1%

RPRX: Pending XenoTherapeutics Deal And Hold Downgrade Will Limit Near-Term Upside

Analysts have trimmed their price expectations for Royalty Pharma, citing a revised fair value of $38.00 per share. This reflects updated views on revenue growth, profit margins, and future P/E multiples following the announced acquisition by XenoTherapeutics and the recent downgrade to Hold.
LLY
US$1,064.29
Eli Lilly
7D
2.5%
1Y
35.5%
NBY
US$4.71
NovaBay Pharmaceuticals
7D
-68.1%
1Y
556.4%
TERN
US$34.33
Terns Pharmaceuticals
7D
-6.2%
1Y
662.9%
CRNX
US$53.18
Crinetics Pharmaceuticals
7D
-5.0%
1Y
37.1%
RGC
US$31.41
Regencell Bioscience Holdings
7D
14.5%
1Y
24,774.1%
BLTE
US$164.58
Belite Bio
7D
6.1%
1Y
177.0%