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U.S. Healthcare Sector Analysis

UpdatedApr 11, 2025
DataAggregated Company Financials
Companies1409
  • 7D-5.5%
  • 3M-7.8%
  • 1Y-9.0%
  • YTD-6.7%

Over the last 7 days, the Healthcare industry has dropped 5.5%, driven by a pullback from Eli Lilly of 8.6%. In contrast, UnitedHealth Group has gained 10.0%. Overall the industry is down 9.0% in 12 months. As for the next few years, earnings are expected to grow by 17% per annum.

Sector Valuation and Performance

Has the U.S. Healthcare Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 11 Apr 2025US$5.4tUS$2.6tUS$81.7b24.8x65.9x2x
Sun, 09 Mar 2025US$5.8tUS$2.6tUS$79.0b27.5x73.7x2.2x
Tue, 04 Feb 2025US$6.1tUS$2.9tUS$85.2b27.1x72x2.1x
Thu, 02 Jan 2025US$5.8tUS$2.9tUS$79.4b27.5x72.6x2x
Sat, 30 Nov 2024US$6.2tUS$2.9tUS$77.3b28.8x79.8x2.1x
Mon, 28 Oct 2024US$6.0tUS$2.8tUS$59.1b29.1x102.2x2.1x
Wed, 25 Sep 2024US$6.3tUS$2.8tUS$60.1b30.2x104x2.2x
Fri, 23 Aug 2024US$6.2tUS$2.8tUS$56.4b30.8x110.8x2.2x
Sun, 21 Jul 2024US$6.3tUS$2.8tUS$60.7b31.7x103.5x2.2x
Tue, 18 Jun 2024US$6.2tUS$2.8tUS$62.5b30.2x99x2.2x
Thu, 16 May 2024US$6.1tUS$2.8tUS$64.0b30.9x96.1x2.2x
Sat, 13 Apr 2024US$6.1tUS$2.8tUS$85.3b31.4x71.2x2.2x
Mon, 11 Mar 2024US$6.3tUS$2.8tUS$85.3b32.5x73.8x2.3x
Wed, 07 Feb 2024US$6.3tUS$2.8tUS$84.0b31.5x75.2x2.3x
Fri, 05 Jan 2024US$6.3tUS$2.8tUS$90.0b31.7x70x2.2x
Sun, 03 Dec 2023US$5.9tUS$2.8tUS$91.4b28.8x65x2.1x
Tue, 31 Oct 2023US$5.6tUS$2.8tUS$99.5b24.7x55.9x2x
Thu, 28 Sep 2023US$5.9tUS$2.8tUS$98.5b27.4x59.7x2.1x
Sat, 26 Aug 2023US$6.1tUS$2.8tUS$99.0b27.7x61.6x2.2x
Mon, 24 Jul 2023US$6.2tUS$2.7tUS$110.9b26.9x55.5x2.2x
Wed, 21 Jun 2023US$6.0tUS$2.7tUS$109.9b26.2x54.8x2.2x
Fri, 19 May 2023US$5.9tUS$2.7tUS$110.8b24.2x53.6x2.2x
Sun, 16 Apr 2023US$6.0tUS$2.5tUS$123.8b24.2x48.3x2.4x
Tue, 14 Mar 2023US$5.6tUS$2.5tUS$123.0b23.8x45.4x2.3x
Thu, 09 Feb 2023US$6.0tUS$2.5tUS$132.1b23.8x45.1x2.4x
Sat, 07 Jan 2023US$6.0tUS$2.5tUS$135.4b22.7x44.4x2.5x
Mon, 05 Dec 2022US$6.2tUS$2.4tUS$133.7b24.1x46.2x2.5x
Wed, 02 Nov 2022US$5.9tUS$2.4tUS$149.1b23.6x39.6x2.4x
Fri, 30 Sep 2022US$5.5tUS$2.4tUS$156.1b21.3x35.6x2.3x
Sun, 28 Aug 2022US$5.8tUS$2.4tUS$157.1b22.9x36.9x2.4x
Tue, 26 Jul 2022US$5.9tUS$2.6tUS$164.6b24.9x35.9x2.3x
Thu, 23 Jun 2022US$5.6tUS$2.6tUS$165.4b23.4x33.9x2.2x
Sat, 21 May 2022US$5.8tUS$2.6tUS$165.0b25.8x35.2x2.2x
Mon, 18 Apr 2022US$6.5tUS$2.5tUS$175.5b28.8x37x2.6x
Price to Earnings Ratio

37x


Total Market Cap: US$6.5tTotal Earnings: US$175.5bTotal Revenue: US$2.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 63.5x202320242025
Current Industry PE
  • Investors are relatively neutral on the American Healthcare industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 63.5x.
  • The industry is trading close to its 3-year average PS ratio of 2.2x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have declined 22% per year over the last three years.
  • Meanwhile revenues for these companies have grown 2.0% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

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

US Market-2.48%
Healthcare-5.47%
Healthcare Services3.78%
Healthtech-3.98%
Medical Equipment-4.97%
Biotech-7.97%
Life Sciences-8.87%
Pharma-8.99%
Industry PE
  • Investors are most optimistic about the Life Sciences industry even though it's trading below its 3-year average PE ratio of 60.0x.
    • Analysts are expecting annual earnings growth of 15.6%, which is higher than its past year's earnings decline of 3.9% per year.
Forecasted Growth
  • Analysts are most optimistic on the Biotech industry, expecting annual earnings growth of 28% over the next 5 years.
  • However this is lower than its past earnings growth rate of 40% per year.
  • In contrast, the Medical Equipment industry is expected to see its earnings grow by 12% 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$594.4010.0%
+US$49.4b		34.6%PE37.7x
HUM HumanaUS$290.259.3%
+US$3.0b		-8.2%PE29x
DXCM DexComUS$67.3012.5%
+US$2.9b		-50.6%PE45.6x
CVS CVS HealthUS$68.972.2%
+US$2.0b		-1.1%PE18.9x
BNTX BioNTechUS$93.125.8%
+US$1.2b		7.7%PS7.3x
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1Y

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1Y

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BMY

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PFE

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R&D And Savings Programs Will Strengthen Future Outlook

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HUM

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Humana

7D

9.3%

1Y

-8.2%

NTRA

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Natera

7D

3.3%

1Y

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MRK

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Merck

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1Y

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1Y

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