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U.S. Healthcare Sector Analysis

UpdatedNov 28, 2024
DataAggregated Company Financials
Companies1401
  • 7D3.0%
  • 3M-4.9%
  • 1Y14.2%
  • YTD5.7%

In the last week, the Healthcare industry is up 3.0%, with Eli Lilly leading the way, up 4.6%. This means that the industry has gained 14% over the past year. As for the next few years, earnings are expected to grow by 22% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 28 Nov 2024US$6.1tUS$2.9tUS$77.1b28.5x79.4x2.1x
Sat, 26 Oct 2024US$6.1tUS$2.9tUS$59.1b29.1x102.6x2.1x
Mon, 23 Sep 2024US$6.3tUS$2.8tUS$60.1b30.1x104.6x2.2x
Wed, 21 Aug 2024US$6.2tUS$2.8tUS$55.9b31.9x110.8x2.2x
Fri, 19 Jul 2024US$6.4tUS$2.8tUS$60.8b31.3x105.5x2.3x
Sun, 16 Jun 2024US$6.2tUS$2.8tUS$62.4b29.9x99.1x2.2x
Tue, 14 May 2024US$6.1tUS$2.8tUS$63.9b30.6x95.7x2.2x
Thu, 11 Apr 2024US$6.2tUS$2.8tUS$85.2b32.1x72.4x2.2x
Sat, 09 Mar 2024US$6.3tUS$2.8tUS$82.9b32.5x75.9x2.3x
Mon, 05 Feb 2024US$6.4tUS$2.8tUS$76.4b31.9x84.1x2.3x
Wed, 03 Jan 2024US$6.3tUS$2.8tUS$90.3b32.5x69.9x2.2x
Fri, 01 Dec 2023US$5.8tUS$2.8tUS$91.4b28.4x63.8x2.1x
Sun, 29 Oct 2023US$5.5tUS$2.8tUS$99.5b24.1x55.6x2x
Tue, 26 Sep 2023US$5.9tUS$2.8tUS$98.5b27.9x60.2x2.1x
Thu, 24 Aug 2023US$6.1tUS$2.8tUS$99.0b28.4x61.8x2.2x
Sat, 22 Jul 2023US$6.2tUS$2.7tUS$110.9b26.9x55.5x2.2x
Mon, 19 Jun 2023US$6.0tUS$2.7tUS$109.9b26.4x54.8x2.2x
Wed, 17 May 2023US$6.0tUS$2.7tUS$114.6b24.3x52x2.2x
Fri, 14 Apr 2023US$6.0tUS$2.5tUS$123.2b24.7x48.9x2.4x
Sun, 12 Mar 2023US$5.5tUS$2.5tUS$123.0b23.4x44.9x2.2x
Tue, 07 Feb 2023US$6.0tUS$2.5tUS$133.6b23.5x44.6x2.4x
Thu, 05 Jan 2023US$6.0tUS$2.5tUS$135.5b22.7x44.4x2.5x
Sat, 03 Dec 2022US$6.2tUS$2.4tUS$133.7b24.1x46.2x2.5x
Mon, 31 Oct 2022US$5.9tUS$2.4tUS$149.1b23x39.6x2.4x
Wed, 28 Sep 2022US$5.5tUS$2.4tUS$155.8b20.5x35.1x2.3x
Fri, 26 Aug 2022US$5.9tUS$2.4tUS$157.1b23.5x37.7x2.5x
Sun, 24 Jul 2022US$5.9tUS$2.6tUS$164.7b24.9x35.9x2.3x
Tue, 21 Jun 2022US$5.4tUS$2.6tUS$165.4b23.1x32.6x2.1x
Thu, 19 May 2022US$5.9tUS$2.6tUS$165.0b25.3x35.5x2.3x
Sat, 16 Apr 2022US$6.5tUS$2.5tUS$175.7b29x37x2.6x
Mon, 14 Mar 2022US$6.1tUS$2.5tUS$170.7b27.4x35.6x2.5x
Wed, 09 Feb 2022US$6.3tUS$2.4tUS$161.6b30x39.2x2.6x
Fri, 07 Jan 2022US$6.6tUS$2.4tUS$145.5b31.3x45.1x2.7x
Sun, 05 Dec 2021US$6.5tUS$2.4tUS$146.5b30x44.2x2.7x
Price to Earnings Ratio

44.2x


Total Market Cap: US$6.5tTotal Earnings: US$146.5bTotal Revenue: US$2.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 59.6x202220232024
Current Industry PE
  • Investors are optimistic on the American Healthcare industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 79.4x which is higher than its 3-year average PE of 59.6x.
  • The industry is trading close to its 3-year average PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have declined 19% per year over the last three years.
  • Meanwhile revenues for these companies have grown 6.8% 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 Market1.63%
Healthcare3.01%
Healthtech7.90%
Biotech4.32%
Life Sciences3.89%
Pharma3.44%
Healthcare Services1.97%
Medical Equipment1.68%
Industry PE
  • Investors are most optimistic about the Life Sciences industry which is trading above its 3-year average PE ratio of 56.4x.
    • Analysts are expecting annual earnings growth of 18.8%, which is higher than its past year's earnings decline of 4.7% per year.
Forecasted Growth
  • Analysts are most optimistic on the Healthtech industry, expecting annual earnings growth of 31% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Medical Equipment industry is expected to see its earnings grow by 17% 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
LLY Eli LillyUS$788.194.6%
+US$31.3b		33.2%PE84.8x
ABBV AbbVieUS$183.089.1%
+US$27.1b		32.2%PE63.7x
MRK MerckUS$103.125.8%
+US$14.4b		2.0%PE21.5x
UNH UnitedHealth GroupUS$608.381.3%
+US$7.3b		13.7%PE39.1x
JNJ Johnson & JohnsonUS$155.401.5%
+US$5.5b		2.2%PE25.3x
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GILD

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Gilead Sciences

7D

4.3%

1Y

22.8%

SEM

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1Y

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AMGN

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GEHC

US$83.00

GE HealthCare Technologies

7D

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1Y

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SAVA

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Cassava Sciences

7D

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1Y

-80.6%

MRK

US$103.12

Merck

7D

5.8%

1Y

2.0%

ABT

US$118.95

Abbott Laboratories

7D

2.6%

1Y

14.8%

ABBV

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JNJ

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7D

3.6%

1Y

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LLY

US$788.19

Eli Lilly

7D

4.6%

1Y

33.2%

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UNH

US$608.38

UnitedHealth Group

7D

1.3%

1Y

13.7%

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TEVA

US$16.57

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7D

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1Y

71.0%

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THC

US$141.98

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7D

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1Y

110.7%

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HCA

US$325.47

HCA Healthcare

7D

-2.3%

1Y

30.7%

ISRG

US$538.55

Intuitive Surgical

7D

-0.6%

1Y

73.3%

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