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U.S. Healthcare Sector Analysis

UpdatedDec 07, 2022
DataAggregated Company Financials
Companies1571
  • 7D1.1%
  • 3M5.4%
  • 1Y-8.3%
  • YTD-10.9%

In the last week, the Healthcare industry is up 1.1%, with UnitedHealth Group leading the way, up 2.1%. During this same period, the Veeva Systems underperformed, falling 7.6%. However, the industry is down 5.5% over the past year. Looking forward, earnings are forecast to grow by 13% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 07 Dec 2022US$6.0tUS$2.4tUS$133.7b23.3x45.2x2.5x
Fri, 04 Nov 2022US$5.8tUS$2.4tUS$150.0b22.3x38.7x2.4x
Sun, 02 Oct 2022US$5.5tUS$2.4tUS$155.7b21.2x35.2x2.3x
Tue, 30 Aug 2022US$5.7tUS$2.4tUS$157.1b22.7x36.5x2.4x
Thu, 28 Jul 2022US$6.0tUS$2.6tUS$164.3b24.8x36.4x2.3x
Sat, 25 Jun 2022US$5.8tUS$2.6tUS$165.7b24.2x35x2.2x
Mon, 23 May 2022US$5.8tUS$2.6tUS$165.1b25.8x35.2x2.2x
Wed, 20 Apr 2022US$6.5tUS$2.5tUS$175.1b29.1x36.9x2.6x
Fri, 18 Mar 2022US$6.3tUS$2.5tUS$170.8b28.9x37.1x2.6x
Sun, 13 Feb 2022US$6.3tUS$2.5tUS$161.9b30.4x38.8x2.5x
Tue, 11 Jan 2022US$6.6tUS$2.4tUS$145.2b32.1x45.4x2.7x
Thu, 09 Dec 2021US$6.7tUS$2.4tUS$146.5b32x45.7x2.8x
Sat, 06 Nov 2021US$6.9tUS$2.4tUS$140.2b33.8x48.9x2.9x
Mon, 04 Oct 2021US$6.6tUS$2.3tUS$119.9b34.6x55.2x2.9x
Wed, 01 Sep 2021US$7.0tUS$2.3tUS$121.1b33.8x57.5x3x
Thu, 08 Jul 2021US$6.6tUS$2.3tUS$113.6b32.4x57.7x2.9x
Wed, 31 Mar 2021US$6.0tUS$2.4tUS$93.5b29x64.1x2.5x
Sat, 02 Jan 2021US$5.8tUS$2.3tUS$87.0b29.3x66.5x2.5x
Tue, 06 Oct 2020US$5.1tUS$2.3tUS$104.6b28.7x49.1x2.3x
Fri, 10 Jul 2020US$4.8tUS$2.4tUS$101.2b31.4x47.4x2x
Thu, 02 Apr 2020US$3.9tUS$2.4tUS$99.2b28.8x39x1.6x
Sun, 05 Jan 2020US$4.5tUS$2.3tUS$100.0b29.1x44.5x1.9x
Price to Earnings Ratio

44.5x


Total Market Cap: US$4.5tTotal Earnings: US$100.0bTotal Revenue: US$2.3tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 48.1x20212022
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 48.1x.
  • The industry is trading close to its 3-year average PS ratio of 2.4x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have grown 10% per year over the last three years, while revenues have remained mostly flat.
  • This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.

Industry Trends

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

US Market-0.36%
Healthcare1.08%
Biotech1.87%
Healthcare Services1.83%
Life Sciences0.94%
Medical Equipment0.56%
Pharma0.52%
Healthtech-1.01%
Industry PE
  • Investors are most optimistic about the Biotech industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 9.2%, which is lower than the prior year's growth of 60.8% per year.
Forecasted Growth
  • Analysts are most optimistic on the Healthtech industry, expecting annual earnings growth of 37% over the next 5 years.
  • This is better than its past earnings growth rate of 28% per year.
  • In contrast, the Biotech industry is expected to see its earnings grow by 9.2% 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$539.322.1%
+US$10.6b
16.1%PE25.9x
ABBV AbbVieUS$163.723.5%
+US$9.8b
34.7%PE21.7x
DHR DanaherUS$265.352.4%
+US$4.6b
-15.3%PE29.1x
LLY Eli LillyUS$368.541.3%
+US$4.4b
50.4%PE58x
TMO Thermo Fisher ScientificUS$550.532.0%
+US$4.2b
-12.4%PE30.8x
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Latest News

TMO

US$550.53

Thermo Fisher Scientific

7D

2.0%

1Y

-12.4%

MRTX

US$71.52

Mirati Therapeutics

7D

-19.4%

1Y

-48.0%

ICLR

US$200.31

ICON

7D

-5.5%

1Y

-28.1%

CRL

US$211.21

Charles River Laboratories International

7D

-11.8%

1Y

-42.4%

VEEV

US$168.53

Veeva Systems

7D

-7.6%

1Y

-37.6%

LLY

US$368.54

Eli Lilly

7D

1.3%

1Y

50.4%

BAX

US$51.51

Baxter International

7D

-6.9%

1Y

-35.5%

HZNP

US$96.85

Horizon Therapeutics

7D

23.0%

1Y

-5.1%

UNH

US$539.32

UnitedHealth Group

7D

2.1%

1Y

16.1%

SYK

US$235.54

Stryker

7D

3.7%

1Y

-9.6%

VRTX

US$311.81

Vertex Pharmaceuticals

7D

-1.4%

1Y

51.9%