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U.S. Pharma Industry Analysis

UpdatedMar 07, 2026
DataAggregated Company Financials
Companies319
  • 7D-4.9%
  • 3M7.1%
  • 1Y21.0%
  • YTD2.2%

Over the last 7 days, the Pharma industry has dropped 4.9%, driven by a pullback from Eli Lilly of 5.9%. Meanwhile, Liquidia actually outperformed within the industry, gaining 16% in the last week. Over the past 12 months, the industry was up 21%. As for the next few years, earnings are expected to grow by 11% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 08 Mar 2026US$2.3tUS$406.1bUS$71.9b18.8x32x5.7x
Tue, 03 Feb 2026US$2.3tUS$405.1bUS$73.9b20.7x31.1x5.7x
Thu, 01 Jan 2026US$2.3tUS$402.6bUS$71.5b19.8x31.6x5.6x
Sat, 29 Nov 2025US$2.3tUS$402.7bUS$71.4b20.6x31.6x5.6x
Mon, 27 Oct 2025US$1.9tUS$389.2bUS$63.5b17.7x29.7x4.8x
Wed, 24 Sep 2025US$1.8tUS$387.9bUS$60.9b18.4x29x4.6x
Fri, 22 Aug 2025US$1.8tUS$387.8bUS$61.0b19.7x28.7x4.5x
Sun, 20 Jul 2025US$1.7tUS$384.0bUS$62.1b17.7x28x4.5x
Tue, 17 Jun 2025US$1.8tUS$382.7bUS$61.2b18.3x29.1x4.7x
Thu, 15 May 2025US$1.7tUS$382.6bUS$61.1b16.6x27.1x4.3x
Sat, 12 Apr 2025US$1.6tUS$380.0bUS$40.6b15.5x39.6x4.2x
Mon, 10 Mar 2025US$1.9tUS$381.1bUS$39.2b16.5x49.1x5.1x
Wed, 05 Feb 2025US$1.9tUS$375.6bUS$38.5b18.3x48x4.9x
Fri, 03 Jan 2025US$1.8tUS$369.3bUS$31.3b16.5x57.1x4.8x
Sun, 01 Dec 2024US$1.9tUS$373.8bUS$30.6b19.4x61x5x
Tue, 29 Oct 2024US$2.0tUS$365.3bUS$23.7b18.1x83.2x5.4x
Thu, 26 Sep 2024US$2.0tUS$364.2bUS$25.3b18.4x80.3x5.6x
Sat, 24 Aug 2024US$2.0tUS$362.1bUS$21.8b17.9x93.7x5.6x
Mon, 22 Jul 2024US$2.0tUS$356.5bUS$13.1b15.9x149.1x5.5x
Wed, 19 Jun 2024US$1.9tUS$358.3bUS$14.1b15.5x137.3x5.4x
Fri, 17 May 2024US$1.9tUS$358.3bUS$14.0b18.3x134.9x5.3x
Sun, 14 Apr 2024US$1.8tUS$355.1bUS$23.9b21.4x76.5x5.2x
Tue, 12 Mar 2024US$1.9tUS$355.3bUS$22.4b22.4x83.2x5.2x
Thu, 08 Feb 2024US$1.8tUS$354.8bUS$23.1b28.5x79.4x5.2x
Sat, 06 Jan 2024US$1.7tUS$375.2bUS$33.8b27.5x51.7x4.7x
Mon, 04 Dec 2023US$1.7tUS$375.2bUS$33.9b27.2x48.7x4.4x
Wed, 01 Nov 2023US$1.6tUS$383.5bUS$46.5b13.6x34.3x4.2x
Fri, 29 Sep 2023US$1.7tUS$381.8bUS$43.7b18.5x37.8x4.3x
Sun, 27 Aug 2023US$1.8tUS$381.6bUS$44.1b20.5x40.2x4.6x
Tue, 25 Jul 2023US$1.7tUS$394.3bUS$60.5b18.6x28.6x4.4x
Thu, 22 Jun 2023US$1.7tUS$392.8bUS$60.1b18.9x29x4.4x
Sat, 20 May 2023US$1.7tUS$392.9bUS$60.5b19.1x28.5x4.4x
Mon, 17 Apr 2023US$1.7tUS$401.3bUS$68.5b17.5x24.3x4.2x
Wed, 15 Mar 2023US$1.5tUS$401.1bUS$69.3b16.6x22.3x3.9x
Price to Earnings Ratio

22.3x


Total Market Cap: US$1.5tTotal Earnings: US$69.3bTotal Revenue: US$401.1bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Pharma Industry Price to Earnings3Y Average 53.4x202420252026
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 53.4x.
  • The 3-year average PS ratio of 4.9x 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-2.31%
Healthcare-4.72%
Pharma-4.92%
Pharma-4.92%
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
LQDA LiquidiaUS$36.0316.2%
+US$476.2m		143.1%PS20.1x
OCUL Ocular TherapeutixUS$10.2714.9%
+US$289.5m		36.2%PS43x
TRVI Trevi TherapeuticsUS$13.3011.6%
+US$177.0m		209.3%PB9x
AVIR Atea PharmaceuticalsUS$5.8925.9%
+US$103.6m		97.0%PB1.7x
LXRX Lexicon PharmaceuticalsUS$1.7116.3%
+US$102.5m		336.4%PS14.7x

Latest News

JNJ
US$240.40
Johnson & Johnson
7D
-3.2%
1Y
44.2%
LLY
US$990.33
Eli Lilly
7D
-5.9%
1Y
13.9%
AVIR
US$5.89
Atea Pharmaceuticals
7D
25.9%
1Y
97.0%
LQDA
US$36.03
Liquidia
7D
16.2%
1Y
143.1%
MRK
US$115.79
Merck
7D
-6.5%
1Y
22.3%

MRK: Keytruda Cliff And M&A Uncertainty Will Likely Curb Long Term Upside

Analysts have lifted their Merck fair value estimate from $83.00 to about $101.04, pointing to broad price target hikes across the Street and citing confidence in upcoming product launches, Phase 3 readouts, and management's approach to the Keytruda loss of exclusivity. Analyst Commentary Recent research coverage on Merck has tilted positive, with several firms lifting price targets and starting the stock with favorable ratings.
BMY
US$60.29
Bristol-Myers Squibb
7D
-3.3%
1Y
-1.3%

BMY: 2026 Late-Stage Pipeline Readouts Will Shape Re-Rating Potential

Analysts have lifted their Bristol Myers Squibb fair value estimate from $68.00 to $75.00, citing higher Street price targets and an increased focus on pipeline catalysts such as the Phase III milvexian data and a dense slate of 2026 readouts. Analyst Commentary Recent Street research on Bristol Myers Squibb clusters around a more constructive view of the pipeline, especially the 2026 readout slate and the Phase III milvexian program, with several firms revisiting their valuation frameworks in light of these potential catalysts.
ZTS
US$121.43
Zoetis
7D
-7.4%
1Y
-28.7%

ZTS: Fair View Balances Growth Concerns With Innovation Air Pocket Risk

Zoetis's analyst price target holds steady at $130, as analysts balance concerns about organic growth and an innovation "air pocket" with stable margin expectations and a lower future P/E assumption. Analyst Commentary Recent Street research on Zoetis points to a more cautious tone, with several bearish analysts questioning the near term growth setup and how that lines up with the current valuation.
LXRX
US$1.71
Lexicon Pharmaceuticals
7D
16.3%
1Y
336.4%
TRVI
US$13.30
Trevi Therapeutics
7D
11.6%
1Y
209.3%

Chronic Cough Platform And Strong Cash Runway Will Support Future Upside Potential

Catalysts About Trevi Therapeutics Trevi Therapeutics is a clinical stage biopharmaceutical company developing Haduvio, an extended release formulation of nalbuphine, for multiple chronic cough indications where there are currently no FDA approved therapies. What are the underlying business or industry changes driving this perspective?
TEVA
US$31.05
Teva Pharmaceutical Industries
7D
-8.3%
1Y
102.1%

TEVA: Affordable Medicines And 2026 Pipeline Catalysts Will Drive Bullish Outlook

Analysts have nudged their price target for Teva Pharmaceutical Industries up to $38 from $37, reflecting a slightly higher fair value estimate and updated assumptions around long term revenue growth, margins, and the potential for duvakitug to reach $3b in peak sales following recent Phase 2 data with Sanofi. Analyst Commentary Recent research updates on Teva Pharmaceutical Industries highlight a mix of enthusiasm around the pipeline and affordability theme, alongside caution around execution risk and legal overhangs.
EOLS
US$5.53
Evolus
7D
28.6%
1Y
-59.3%
OCUL
US$10.27
Ocular Therapeutix
7D
14.9%
1Y
36.2%

OCUL: Higher Sanofi Bid And SOL-1 Data Will Drive Bullish Repricing

The analyst price target for Ocular Therapeutix has been adjusted from $20 to $18 as analysts factor in updated fair value estimates, along with views that Axpaxli data from the SOL-1 trial supports potential durability and safety in the large wet AMD market. Analyst Commentary Recent Street research reflects a mixed but generally supportive stance toward Ocular Therapeutix following the SOL-1 trial readout.
PFE
US$27.05
Pfizer
7D
-2.2%
1Y
1.2%
ELAN
US$23.36
Elanco Animal Health
7D
-11.5%
1Y
109.7%
MANE
US$48.56
Veradermics
7D
5.9%
1Y
n/a
CNTX
US$3.12
Context Therapeutics
7D
38.7%
1Y
289.3%