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U.S. Healthcare Sector Analysis

UpdatedJan 16, 2025
DataAggregated Company Financials
Companies1415
  • 7D-0.2%
  • 3M-7.9%
  • 1Y0.8%
  • YTD1.9%

Over the last 7 days, the Healthcare industry has remained flat, although notably UnitedHealth Group gained 3.6%. In line with that, the industry has also been flat over the past 12 months. As for the next few years, earnings are expected to grow by 20% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 16 Jan 2025US$5.8tUS$2.9tUS$78.9b27.7x73.9x2x
Sat, 14 Dec 2024US$5.9tUS$2.9tUS$77.7b28.3x76.1x2x
Mon, 11 Nov 2024US$6.3tUS$2.9tUS$76.0b28.3x82.8x2.2x
Wed, 09 Oct 2024US$6.1tUS$2.8tUS$60.1b29.4x101.7x2.2x
Fri, 06 Sep 2024US$6.3tUS$2.8tUS$60.4b31.3x104.1x2.2x
Sun, 04 Aug 2024US$6.4tUS$2.9tUS$63.7b31x99.9x2.2x
Tue, 02 Jul 2024US$6.2tUS$2.8tUS$62.2b30.3x99.3x2.2x
Thu, 30 May 2024US$6.1tUS$2.8tUS$64.2b29.7x94.7x2.2x
Sat, 27 Apr 2024US$6.0tUS$2.8tUS$68.2b31.5x87.7x2.1x
Mon, 25 Mar 2024US$6.2tUS$2.8tUS$82.2b31.8x75.9x2.2x
Wed, 21 Feb 2024US$6.2tUS$2.8tUS$82.5b30.5x75.4x2.2x
Fri, 19 Jan 2024US$6.3tUS$2.8tUS$90.8b32.2x69.4x2.2x
Sun, 17 Dec 2023US$6.1tUS$2.8tUS$91.5b32.3x66.5x2.2x
Tue, 14 Nov 2023US$5.7tUS$2.8tUS$91.1b26.5x62.6x2x
Thu, 12 Oct 2023US$5.9tUS$2.8tUS$98.3b25.9x59.9x2.1x
Sat, 09 Sep 2023US$6.1tUS$2.8tUS$98.6b26.7x61.9x2.2x
Mon, 07 Aug 2023US$6.1tUS$2.8tUS$100.3b28.7x60.9x2.2x
Wed, 05 Jul 2023US$6.0tUS$2.7tUS$110.2b26.4x54.4x2.2x
Fri, 02 Jun 2023US$5.9tUS$2.7tUS$110.5b24.7x53.1x2.2x
Sun, 30 Apr 2023US$6.0tUS$2.5tUS$118.4b24.7x50.4x2.4x
Tue, 28 Mar 2023US$5.7tUS$2.5tUS$124.2b23.8x45.8x2.3x
Thu, 23 Feb 2023US$5.8tUS$2.5tUS$131.3b23.9x44.3x2.4x
Sat, 21 Jan 2023US$6.0tUS$2.5tUS$135.9b23.3x44.2x2.4x
Mon, 19 Dec 2022US$6.0tUS$2.4tUS$133.8b23.3x44.7x2.5x
Wed, 16 Nov 2022US$5.9tUS$2.4tUS$134.3b23.5x44.1x2.4x
Fri, 14 Oct 2022US$5.6tUS$2.4tUS$155.7b21.8x36x2.3x
Sun, 11 Sep 2022US$5.9tUS$2.4tUS$156.2b22.8x37.9x2.5x
Tue, 09 Aug 2022US$6.1tUS$2.4tUS$159.0b24.6x38.1x2.5x
Thu, 07 Jul 2022US$5.9tUS$2.6tUS$165.3b24.1x35.5x2.3x
Sat, 04 Jun 2022US$5.8tUS$2.6tUS$166.7b24.8x35x2.2x
Mon, 02 May 2022US$5.9tUS$2.5tUS$157.8b27.4x37.4x2.4x
Wed, 30 Mar 2022US$6.5tUS$2.5tUS$171.6b29.1x37.8x2.6x
Fri, 25 Feb 2022US$6.1tUS$2.5tUS$167.0b29.7x36.5x2.5x
Sun, 23 Jan 2022US$6.2tUS$2.4tUS$146.8b30.1x42x2.6x
Price to Earnings Ratio

42x


Total Market Cap: US$6.2tTotal Earnings: US$146.8bTotal Revenue: US$2.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 61x202320242025
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 73.9x which is higher than its 3-year average PE of 61.0x.
  • The 3-year average PS ratio of 2.3x is higher than the industry's current PS ratio of 2.0x.
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 6.6% 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 Market0.69%
Healthcare-0.25%
Healthcare Services2.78%
Medical Equipment0.41%
Life Sciences-0.42%
Pharma-1.53%
Biotech-1.75%
Healthtech-2.65%
Industry PE
  • Investors are most optimistic about the Life Sciences industry which is trading above its 3-year average PE ratio of 57.7x.
    • Analysts are expecting annual earnings growth of 16.9%, 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 33% 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 16% 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$543.423.6%
+US$17.4b		3.5%PE34.9x
ISRG Intuitive SurgicalUS$580.116.6%
+US$12.9b		61.6%PE92.1x
CVS CVS HealthUS$52.1413.3%
+US$7.7b		-32.3%PE13.1x
JNJ Johnson & JohnsonUS$144.971.9%
+US$6.5b		-9.6%PE23.6x
ITCI Intra-Cellular TherapiesUS$126.7153.5%
+US$4.7b		92.1%PS21.9x
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Latest News

ISRG

US$580.11

Intuitive Surgical

7D

6.6%

1Y

61.6%

LLY

US$746.74

Eli Lilly

7D

-5.1%

1Y

18.7%

MRNA

US$34.77

Moderna

7D

-19.5%

1Y

-65.4%

JNJ

US$144.97

Johnson & Johnson

7D

1.9%

1Y

-9.6%

BNTX

US$113.67

BioNTech

7D

-6.9%

1Y

16.5%

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Jan 15
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REGN

US$703.43

Regeneron Pharmaceuticals

7D

-4.1%

1Y

-24.3%

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Jan 15

MDT

US$85.40

Medtronic

7D

3.3%

1Y

-0.8%

PFE

US$26.22

Pfizer

7D

-2.4%

1Y

-6.9%

VRTX

US$424.26

Vertex Pharmaceuticals

7D

2.9%

1Y

-2.2%

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ITCI

US$126.71

Intra-Cellular Therapies

7D

53.5%

1Y

92.1%

ABBV

US$171.35

AbbVie

7D

-4.0%

1Y

5.7%

ABT

US$111.10

Abbott Laboratories

7D

-2.8%

1Y

-2.5%

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UNH

US$543.42

UnitedHealth Group

7D

3.6%

1Y

3.5%

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Jan 10

CVS

US$52.14

CVS Health

7D

13.3%

1Y

-32.3%

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Jan 10

EW

US$70.28

Edwards Lifesciences

7D

-5.2%

1Y

-4.8%

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Jan 05

GILD

US$92.38

Gilead Sciences

7D

3.6%

1Y

6.8%

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