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U.S. Healthcare Sector Analysis

UpdatedAug 17, 2025
DataAggregated Company Financials
Companies1378
  • 7D4.9%
  • 3M2.7%
  • 1Y-10.8%
  • YTD-2.1%

Over the last 7 days, the Healthcare industry has risen 4.9%, driven by gains from Eli Lilly of 12%. However, the industry is down 11% over the past year. Looking forward, earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 17 Aug 2025US$5.7tUS$3.1tUS$137.1b23.1x41.2x1.8x
Tue, 15 Jul 2025US$5.5tUS$3.0tUS$127.9b24.2x43.3x1.8x
Thu, 12 Jun 2025US$5.6tUS$3.0tUS$127.2b24.1x43.7x1.8x
Sat, 10 May 2025US$5.4tUS$3.0tUS$126.6b24.2x42.9x1.8x
Mon, 07 Apr 2025US$5.2tUS$2.6tUS$82.2b24.7x63.5x2x
Wed, 05 Mar 2025US$5.8tUS$2.6tUS$79.3b27.5x73.8x2.2x
Fri, 31 Jan 2025US$6.1tUS$2.9tUS$85.0b27.9x71.7x2.1x
Sun, 29 Dec 2024US$5.8tUS$2.9tUS$78.3b26.8x74.4x2x
Tue, 26 Nov 2024US$6.0tUS$2.9tUS$77.2b28.4x78.1x2.1x
Thu, 24 Oct 2024US$6.1tUS$2.8tUS$58.6b29.8x104.9x2.2x
Sat, 21 Sep 2024US$6.3tUS$2.8tUS$60.1b30.2x105.1x2.2x
Mon, 19 Aug 2024US$6.2tUS$2.8tUS$56.0b32.8x109.8x2.2x
Wed, 17 Jul 2024US$6.3tUS$2.8tUS$62.2b31.9x101.4x2.2x
Fri, 14 Jun 2024US$6.2tUS$2.8tUS$62.4b29.8x99.4x2.2x
Sun, 12 May 2024US$6.1tUS$2.8tUS$64.0b30.7x95.5x2.2x
Tue, 09 Apr 2024US$6.2tUS$2.8tUS$84.1b32.4x73.2x2.2x
Thu, 07 Mar 2024US$6.2tUS$2.8tUS$85.1b32.1x73.4x2.2x
Sat, 03 Feb 2024US$6.4tUS$2.8tUS$76.5b31.9x84.1x2.3x
Mon, 01 Jan 2024US$6.2tUS$2.8tUS$91.5b32.8x68.1x2.2x
Wed, 29 Nov 2023US$5.9tUS$2.8tUS$91.4b28x64x2.1x
Fri, 27 Oct 2023US$5.6tUS$2.8tUS$101.3b24.3x55.6x2x
Sun, 24 Sep 2023US$5.9tUS$2.8tUS$98.6b27.7x60x2.1x
Tue, 22 Aug 2023US$6.1tUS$2.8tUS$99.2b28x61.4x2.2x
Thu, 20 Jul 2023US$6.0tUS$2.7tUS$111.1b26.7x54.2x2.2x
Sat, 17 Jun 2023US$6.0tUS$2.7tUS$109.9b26.4x54.8x2.2x
Mon, 15 May 2023US$6.0tUS$2.7tUS$114.7b24.7x52.3x2.2x
Wed, 12 Apr 2023US$5.9tUS$2.5tUS$123.2b24.8x48.3x2.4x
Fri, 10 Mar 2023US$5.6tUS$2.5tUS$122.5b23.8x45.6x2.3x
Sun, 05 Feb 2023US$6.0tUS$2.5tUS$133.7b23.7x44.8x2.4x
Tue, 03 Jan 2023US$6.0tUS$2.5tUS$135.6b23.1x44.4x2.5x
Thu, 01 Dec 2022US$6.1tUS$2.4tUS$133.5b24x45.9x2.5x
Sat, 29 Oct 2022US$5.9tUS$2.4tUS$149.1b23x39.7x2.4x
Mon, 26 Sep 2022US$5.5tUS$2.4tUS$155.9b20.7x35.4x2.3x
Wed, 24 Aug 2022US$5.9tUS$2.4tUS$157.2b23x37.4x2.4x
Price to Earnings Ratio

37.4x


Total Market Cap: US$5.9tTotal Earnings: US$157.2bTotal Revenue: US$2.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 64.5x202320242025
Current Industry PE
  • Investors are pessimistic on the American Healthcare 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 41.2x which is lower than its 3-year average PE of 64.5x.
  • The 3-year average PS ratio of 2.2x is higher than the industry's current PS ratio of 1.8x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have declined 4.5% per year over the last three years.
  • Meanwhile revenues for these companies have grown 8.8% 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 Market1.05%
Healthcare4.95%
Healthcare Services9.65%
Pharma6.30%
Life Sciences5.96%
Biotech4.51%
Medical Equipment0.78%
Healthtech0.11%
Industry PE
  • Investors are most optimistic about the Medical Equipment industry even though it's trading below its 3-year average PE ratio of 57.4x.
    • Analysts are expecting annual earnings growth of 12.7%, which is lower than the prior year's growth of 17.3% per year.
Forecasted Growth
  • Analysts are most optimistic on the Biotech industry, expecting annual earnings growth of 26% over the next 5 years.
  • However this is lower than its past earnings growth rate of 69% per year.
  • In contrast, the Medical Equipment industry is expected to see its earnings grow by 13% 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$701.2312.1%
+US$67.9b		-24.0%PE45.6x
UNH UnitedHealth GroupUS$304.0121.2%
+US$47.7b		-47.4%PE12.9x
ABBV AbbVieUS$206.694.4%
+US$15.3b		6.6%PE98.1x
TMO Thermo Fisher ScientificUS$489.016.1%
+US$10.7b		-19.0%PE28x
MRK MerckUS$84.214.4%
+US$8.8b		-25.9%PE12.8x

Latest News

JNJ
US$176.64
Johnson & Johnson
7D
1.9%
1Y
10.8%
GILD
US$118.37
Gilead Sciences
7D
-0.9%
1Y
60.4%
IDXX
US$650.84
IDEXX Laboratories
7D
-1.1%
1Y
32.2%

Earnings Not Telling The Story For IDEXX Laboratories, Inc. (NASDAQ:IDXX) After Shares Rise 25%

Aug 16
Earnings Not Telling The Story For IDEXX Laboratories, Inc. (NASDAQ:IDXX) After Shares Rise 25%
CAH
US$149.61
Cardinal Health
7D
-5.0%
1Y
36.2%
MRK
US$84.21
Merck
7D
4.4%
1Y
-25.9%
UNH
US$304.01
UnitedHealth Group
7D
21.2%
1Y
-47.4%
ABBV
US$206.69
AbbVie
7D
4.4%
1Y
6.6%
LLY
US$701.23
Eli Lilly
7D
12.1%
1Y
-24.0%
SMMT
US$26.69
Summit Therapeutics
7D
-6.9%
1Y
130.1%
RPRX
US$36.35
Royalty Pharma
7D
-3.3%
1Y
33.8%
TMO
US$489.01
Thermo Fisher Scientific
7D
6.1%
1Y
-19.0%
VRTX
US$392.79
Vertex Pharmaceuticals
7D
7.2%
1Y
-17.7%
HIMS
US$46.02
Hims & Hers Health
7D
-11.4%
1Y
195.4%
DHR
US$210.93
Danaher
7D
5.2%
1Y
-21.7%
SLNO
US$71.63
Soleno Therapeutics
7D
-13.0%
1Y
47.9%
ABT
US$131.75
Abbott Laboratories
7D
-1.9%
1Y
18.7%