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U.S. Healthcare Sector Analysis

UpdatedAug 27, 2025
DataAggregated Company Financials
Companies1362
  • 7D0.4%
  • 3M5.6%
  • 1Y-12.2%
  • YTD-1.5%

Over the last 7 days, the Healthcare industry has remained flat, although notably Eli Lilly gained 4.7%. As for the longer term, the industry has declined 13% in the last year. As for the next few years, earnings are expected to grow by 15% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 27 Aug 2025US$5.7tUS$3.1tUS$137.2b23.5x41.2x1.8x
Fri, 25 Jul 2025US$5.6tUS$3.0tUS$129.1b25.1x43.4x1.8x
Sun, 22 Jun 2025US$5.5tUS$3.0tUS$127.4b23.7x42.8x1.8x
Tue, 20 May 2025US$5.4tUS$3.0tUS$126.1b24x42.9x1.8x
Thu, 17 Apr 2025US$5.4tUS$2.6tUS$90.0b24.8x59.5x2x
Sat, 15 Mar 2025US$5.6tUS$2.6tUS$74.8b26.6x74.8x2.1x
Mon, 10 Feb 2025US$5.9tUS$2.6tUS$89.8b26.5x65.5x2.2x
Wed, 08 Jan 2025US$5.8tUS$2.9tUS$79.3b27.7x73.4x2x
Fri, 06 Dec 2024US$6.2tUS$2.9tUS$77.4b28.7x79.5x2.1x
Sun, 03 Nov 2024US$6.2tUS$2.9tUS$71.3b28.4x86.4x2.1x
Tue, 01 Oct 2024US$6.2tUS$2.9tUS$70.6b30.3x87.9x2.1x
Thu, 29 Aug 2024US$6.3tUS$2.8tUS$54.0b31.6x116.3x2.2x
Sat, 27 Jul 2024US$6.3tUS$2.8tUS$61.0b31.6x104x2.2x
Mon, 24 Jun 2024US$6.2tUS$2.8tUS$62.5b30x99.2x2.2x
Wed, 22 May 2024US$6.2tUS$2.8tUS$64.2b30.7x96.7x2.2x
Fri, 19 Apr 2024US$5.9tUS$2.8tUS$84.4b30x70.2x2.1x
Sun, 17 Mar 2024US$6.2tUS$2.8tUS$84.5b31.5x73.7x2.2x
Tue, 13 Feb 2024US$6.2tUS$2.8tUS$76.4b32x81.2x2.2x
Thu, 11 Jan 2024US$6.4tUS$2.8tUS$90.1b32.3x70.9x2.3x
Sat, 09 Dec 2023US$6.0tUS$2.8tUS$91.4b29.4x65.1x2.1x
Mon, 06 Nov 2023US$5.7tUS$2.8tUS$88.4b26.7x65x2x
Wed, 04 Oct 2023US$5.8tUS$2.8tUS$98.2b26.5x59.2x2.1x
Fri, 01 Sep 2023US$6.1tUS$2.8tUS$98.8b27.7x61.6x2.2x
Sun, 30 Jul 2023US$6.1tUS$2.8tUS$115.6b28x52.5x2.2x
Tue, 27 Jun 2023US$6.0tUS$2.7tUS$109.8b26.6x54.5x2.2x
Thu, 25 May 2023US$5.9tUS$2.7tUS$110.9b24x53x2.2x
Sat, 22 Apr 2023US$6.0tUS$2.5tUS$117.6b24.9x51x2.4x
Mon, 20 Mar 2023US$5.6tUS$2.5tUS$123.9b23.2x45.3x2.3x
Wed, 15 Feb 2023US$6.0tUS$2.5tUS$130.0b24x45.8x2.4x
Fri, 13 Jan 2023US$6.0tUS$2.5tUS$135.2b23.3x44.6x2.5x
Sun, 11 Dec 2022US$6.1tUS$2.4tUS$133.7b23.6x45.4x2.5x
Tue, 08 Nov 2022US$5.8tUS$2.4tUS$138.1b22.7x42x2.4x
Thu, 06 Oct 2022US$5.7tUS$2.4tUS$155.8b21.8x36.8x2.4x
Sat, 03 Sep 2022US$5.7tUS$2.4tUS$156.6b22.2x36.2x2.4x
Price to Earnings Ratio

36.2x


Total Market Cap: US$5.7tTotal Earnings: US$156.6bTotal Revenue: US$2.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Healthcare Sector Price to Earnings3Y Average 64.6x202320242025
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 41.5x which is lower than its 3-year average PE of 64.6x.
  • 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 4.3% 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 Market1.32%
Healthcare0.40%
Healthtech2.05%
Pharma1.46%
Medical Equipment0.72%
Biotech-0.15%
Healthcare Services-0.37%
Life Sciences-1.53%
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 13.0%, which is lower than the prior year's growth of 16.0% 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 Pharma industry is expected to see its earnings grow by 12% 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$736.034.7%
+US$29.5b		-22.9%PE47.9x
BSX Boston ScientificUS$106.392.5%
+US$3.9b		33.3%PE62.9x
ABBV AbbVieUS$208.361.1%
+US$3.8b		6.3%PE98.9x
MDT MedtronicUS$92.182.5%
+US$2.9b		3.8%PE25.3x
SYK StrykerUS$394.331.1%
+US$1.7b		10.0%PE51.7x

Latest News

TMO
US$488.48
Thermo Fisher Scientific
7D
-2.0%
1Y
-20.0%

Pharmaceutical And Biotech Expansion Will Fuel Future Success

Analysts raised their price target for Thermo Fisher Scientific to $555.84, citing improved sentiment from strong Q2 results, upward FY25 guidance revisions, and optimism around its resilient pharmaceutical partnership model and recovering end-markets, despite ongoing R&D headwinds. Analyst Commentary Bullish analysts highlight Thermo Fisher's resilient "one-stop-shop" pharma partnership model, expecting it to drive multiple expansion and position the company as a long-term biopharma partner of choice.
MDT
US$92.18
Medtronic
7D
2.5%
1Y
3.8%

Robotics And Digital Health Will Expand Global Reach

Analysts have raised Medtronic’s price target to $98.44, citing activist involvement, operational improvements, and favorable policy developments, though some concerns about execution remain. Analyst Commentary Bullish analysts have raised price targets on expectations that Elliott Management's active involvement and the addition of independent directors will sharpen Medtronic's strategic focus and drive stronger growth initiatives.
LLY
US$736.03
Eli Lilly
7D
4.7%
1Y
-22.9%
REGN
US$587.65
Regeneron Pharmaceuticals
7D
2.8%
1Y
-51.1%
GILD
US$114.75
Gilead Sciences
7D
-2.7%
1Y
49.0%
HUM
US$298.87
Humana
7D
3.7%
1Y
-15.4%

Humana (NYSE:HUM) Has Affirmed Its Dividend Of $0.885

Aug 26
Humana (NYSE:HUM) Has Affirmed Its Dividend Of $0.885
AMGN
US$289.58
Amgen
7D
-2.0%
1Y
-11.4%
ABBV
US$208.36
AbbVie
7D
1.1%
1Y
6.3%
PFE
US$24.92
Pfizer
7D
-1.6%
1Y
-13.5%
BMY
US$47.21
Bristol-Myers Squibb
7D
-2.3%
1Y
-1.9%
JNJ
US$176.49
Johnson & Johnson
7D
-0.7%
1Y
8.3%
UNH
US$300.43
UnitedHealth Group
7D
-1.3%
1Y
-48.8%
DHR
US$206.25
Danaher
7D
-2.8%
1Y
-23.3%
SYK
US$394.33
Stryker
7D
1.1%
1Y
10.0%
EW
US$81.27
Edwards Lifesciences
7D
3.0%
1Y
16.7%
BSX
US$106.39
Boston Scientific
7D
2.5%
1Y
33.3%