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U.S. Healthcare Sector Analysis

UpdatedDec 03, 2024
DataAggregated Company Financials
Companies1399
  • 7D1.0%
  • 3M-4.8%
  • 1Y11.9%
  • YTD5.8%

Over the last 7 days, the Healthcare industry has remained flat, although notably Eli Lilly gained 5.9%. As for the the longer term, the industry is up 12% over the past 12 months. Looking forward, earnings are forecast to grow by 22% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 03 Dec 2024US$6.2tUS$2.9tUS$77.4b28.7x79.7x2.1x
Thu, 31 Oct 2024US$6.1tUS$2.8tUS$66.8b27.7x90.6x2.1x
Sat, 28 Sep 2024US$6.2tUS$2.8tUS$60.1b30.1x103.5x2.2x
Mon, 26 Aug 2024US$6.3tUS$2.8tUS$56.4b31.6x111.1x2.2x
Wed, 24 Jul 2024US$6.3tUS$2.8tUS$60.8b31.9x104.1x2.2x
Fri, 21 Jun 2024US$6.2tUS$2.8tUS$62.5b30x98.5x2.2x
Sun, 19 May 2024US$6.2tUS$2.8tUS$64.1b31.1x97.2x2.2x
Tue, 16 Apr 2024US$6.0tUS$2.8tUS$85.3b31.1x70.1x2.1x
Thu, 14 Mar 2024US$6.3tUS$2.8tUS$84.4b32.4x74.6x2.3x
Sat, 10 Feb 2024US$6.2tUS$2.8tUS$76.6b31.5x80.7x2.2x
Mon, 08 Jan 2024US$6.3tUS$2.8tUS$90.0b30.9x70.1x2.2x
Wed, 06 Dec 2023US$6.0tUS$2.8tUS$91.4b29x65.2x2.1x
Fri, 03 Nov 2023US$5.6tUS$2.8tUS$90.6b25.8x62x2x
Sun, 01 Oct 2023US$5.9tUS$2.8tUS$98.2b27.6x59.7x2.1x
Tue, 29 Aug 2023US$6.1tUS$2.8tUS$99.0b27.7x61.6x2.2x
Thu, 27 Jul 2023US$6.1tUS$2.7tUS$113.1b27.5x54.1x2.2x
Sat, 24 Jun 2023US$6.0tUS$2.7tUS$109.8b26.6x54.8x2.2x
Mon, 22 May 2023US$6.0tUS$2.7tUS$110.8b24.2x53.9x2.2x
Wed, 19 Apr 2023US$6.0tUS$2.5tUS$118.4b24.5x50.3x2.4x
Fri, 17 Mar 2023US$5.7tUS$2.5tUS$122.4b23.8x46.5x2.3x
Sun, 12 Feb 2023US$5.9tUS$2.5tUS$130.2b23.8x45.6x2.4x
Tue, 10 Jan 2023US$5.9tUS$2.5tUS$135.4b22.2x43.7x2.4x
Thu, 08 Dec 2022US$6.1tUS$2.4tUS$133.7b23.6x45.5x2.5x
Sat, 05 Nov 2022US$5.8tUS$2.2tUS$137.7b22.9x42.1x2.7x
Mon, 03 Oct 2022US$5.5tUS$2.4tUS$155.8b21.2x35.2x2.3x
Wed, 31 Aug 2022US$5.7tUS$2.4tUS$157.2b22.4x36.2x2.4x
Fri, 29 Jul 2022US$6.0tUS$2.6tUS$164.3b24.8x36.4x2.3x
Sun, 26 Jun 2022US$5.9tUS$2.6tUS$165.7b24.2x35.4x2.3x
Tue, 24 May 2022US$5.9tUS$2.6tUS$165.3b25.3x35.4x2.3x
Thu, 21 Apr 2022US$6.5tUS$2.5tUS$174.1b29.4x37.5x2.6x
Sat, 19 Mar 2022US$6.5tUS$2.5tUS$170.8b29.5x38x2.6x
Mon, 14 Feb 2022US$6.3tUS$2.5tUS$161.9b30.4x38.8x2.5x
Wed, 12 Jan 2022US$6.6tUS$2.4tUS$145.3b32.2x45.7x2.8x
Fri, 10 Dec 2021US$6.7tUS$2.4tUS$146.4b31.5x45.4x2.8x
Price to Earnings Ratio

45.4x


Total Market Cap: US$6.7tTotal Earnings: US$146.4bTotal Revenue: US$2.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 59.8x202220232024
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 79.7x which is higher than its 3-year average PE of 59.8x.
  • 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 Market0.74%
Healthcare0.99%
Pharma1.95%
Life Sciences1.82%
Healthtech1.56%
Biotech0.82%
Medical Equipment0.28%
Healthcare Services-0.017%
Industry PE
  • Investors are most optimistic about the Life Sciences industry which is trading above its 3-year average PE ratio of 56.5x.
    • 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$799.805.9%
+US$40.3b		36.6%PE86x
ABBV AbbVieUS$181.772.7%
+US$8.3b		26.1%PE63.2x
TMO Thermo Fisher ScientificUS$529.953.1%
+US$6.0b		7.0%PE33x
GILD Gilead SciencesUS$94.023.9%
+US$4.4b		20.0%PE930x
DHR DanaherUS$241.291.5%
+US$2.6b		8.6%PE44.3x
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Latest News

PFE

US$25.82

Pfizer

7D

-1.3%

1Y

-11.8%

JNJ

US$154.80

Johnson & Johnson

7D

-0.6%

1Y

-2.6%

MRK

US$100.61

Merck

7D

-0.5%

1Y

-4.2%

Merck (NYSE:MRK) Has Announced That It Will Be Increasing Its Dividend To $0.81

Dec 02
Merck (NYSE:MRK) Has Announced That It Will Be Increasing Its Dividend To $0.81

HUM

US$293.13

Humana

7D

-3.6%

1Y

-40.4%

Humana (NYSE:HUM) Is Paying Out A Dividend Of $0.885

Dec 02
Humana (NYSE:HUM) Is Paying Out A Dividend Of $0.885

UNH

US$608.52

UnitedHealth Group

7D

0.4%

1Y

11.0%

GILD

US$94.02

Gilead Sciences

7D

3.9%

1Y

20.0%

ABT

US$116.81

Abbott Laboratories

7D

-1.1%

1Y

11.0%

Calculating The Fair Value Of Abbott Laboratories (NYSE:ABT)

Dec 01
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DHR

US$241.29

Danaher

7D

1.5%

1Y

8.6%

LLY

US$799.80

Eli Lilly

7D

5.9%

1Y

36.6%

Here's Why Eli Lilly (NYSE:LLY) Can Manage Its Debt Responsibly

Nov 29
Here's Why Eli Lilly (NYSE:LLY) Can Manage Its Debt Responsibly

BMY

US$59.94

Bristol-Myers Squibb

7D

2.0%

1Y

19.9%

Revenues Not Telling The Story For Bristol-Myers Squibb Company (NYSE:BMY)

Nov 27
Revenues Not Telling The Story For Bristol-Myers Squibb Company (NYSE:BMY)

SEM

US$21.03

Select Medical Holdings

7D

-45.7%

1Y

-11.9%

AMGN

US$278.10

Amgen

7D

-5.4%

1Y

2.0%

Amgen: MariTide Underwhelms, But There Are Ways To Win

Nov 26

ABBV

US$181.77

AbbVie

7D

2.7%

1Y

26.1%

AbbVie: Upgrading To 'Strong Buy' After Pullback

Nov 22

CVS

US$59.08

CVS Health

7D

-1.7%

1Y

-13.7%

TMO

US$529.95

Thermo Fisher Scientific

7D

3.1%

1Y

7.0%

ISRG

US$542.85

Intuitive Surgical

7D

1.2%

1Y

74.1%

Intuitive Surgical: One Of The Best Business Models In The World, But Not At This Price

Nov 14