Healthcare Sector: Value Investing Analysis
About the Healthcare Sector
This sector includes biotechnology, pharmaceuticals, research services, home healthcare, hospitals, long-term-care facilities, and medical equipment and supplies. Also include pharmaceutical retailers and companies which provide health information services. Companies in this sector include AstraZeneca, Pfizer, and Roche Holding, Walgreens Boots Alliance, and Cerner Corp.
The Healthcare sector groups related businesses that share similar economic characteristics, market dynamics, and competitive forces. By analyzing stocks within this sector, you can compare companies on a more level playing field—making it easier to identify which businesses offer the best value for your investment dollars.
Understanding sector performance helps you evaluate whether individual stocks are cheap or expensive relative to their peers. A P/E ratio that looks high in one sector might be a bargain in another. This context is essential for value investors seeking to calculate realistic expected returns.
Healthcare Stocks: Value Analysis
Below are the stocks we track in the Healthcare sector, with key value investing metrics. If you have special knowledge about this sector, you have an advantage—use these metrics to find stocks that may be trading below their intrinsic value.
| Company | Current Price | Current Price Discount 10 years |
|---|---|---|
(ALTH) |
$0.00 | none |
| Aethlon Medical (AEMD) |
$6.31 | none |
| Viatris (VTRS) |
$17.13 | none |
(ONTY) |
$0.00 | none |
| West Pharmaceutical Services (WST) |
$366.60 | none |
| STERIS plc (STE) |
$205.04 | none |
| Avinger (AVGR) |
$0.00 | none |
| Mannatech, Incorporated (MTEX) |
$7.51 | none |
| DBV Technologies S.A. (DBVT) |
$12.35 | none |
| Tilray (TLRY) |
$3.99 | none |
| Globus Medical (GMED) |
$74.08 | none |
| Aurinia Pharmaceuticals (AUPH) |
$16.90 | none |
| Integer Holdings Corporation (ITGR) |
$126.28 | none |
| Utah Medical Products (UTMD) |
$73.96 | none |
| Arrowhead Pharmaceuticals (ARWR) |
$66.48 | none |
| Trinity Biotech plc (TRIB) |
$7.23 | none |
| Catalyst Pharmaceuticals (CPRX) |
$31.49 | none |
| Baxter International (BAX) |
$22.80 | 18.5% |
| Imprimis Pharmaceuticals (IMMY) |
$0.00 | none |
| Atossa Therapeutics (ATOS) |
$2.22 | none |
| Abeona Therapeutics (ABEO) |
$5.57 | none |
| Genetic Technologies Limited (GENE) |
$0.00 | none |
| Lantheus Holdings (LNTH) |
$100.55 | none |
| Ultragenyx Pharmaceutical (RARE) |
$14.50 | none |
| Editas Medicine (EDIT) |
$2.70 | none |
| Flexion Therapeutics (FLXN) |
$24.62 | none |
| Heron Therapeutics (HRTX) |
$0.31 | none |
| Alcon (ALC) |
$65.18 | none |
| Marinus Pharmaceuticals (MRNS) |
$0.00 | none |
| American Shared Hospital Services (AMS) |
$1.45 | 46.5% |
| OrganiGram Holdings (OGI) |
$1.05 | none |
| Alkermes plc (ALKS) |
$46.71 | none |
| AdvisorShares Vice ETF (ACT) |
$48.45 | none |
| Johnson & Johnson (JNJ) |
$269.99 | none |
| Ironwood Pharmaceuticals (IRWD) |
$4.36 | none |
| Perrigo Company plc (PRGO) |
$13.56 | none |
| China Pharma Holdings (CPHI) |
$0.71 | none |
| Ionis Pharmaceuticals (IONS) |
$44.44 | none |
| Inovio Pharmaceuticals (INO) |
$1.24 | none |
(BMTI) |
$0.00 | none |
| Iovance Biotherapeutics (IOVA) |
$10.25 | none |
| Adamis Pharmaceuticals Corporation (ADMP) |
$0.00 | none |
| Novo Nordisk A/S (NVO) |
$43.24 | none |
| Accuray Incorporated (ARAY) |
$0.23 | none |
| TherapeuticsMD (TXMD) |
$2.19 | none |
| Tactile Systems Technology (TCMD) |
$22.20 | none |
| Cerus Corporation (CERS) |
$2.65 | none |
(EGRX ) |
$0.25 | none |
(NBS) |
$0.00 | none |
| Biogen (BIIB) |
$215.50 | none |
| Edge Therapeutics (EDGE) |
$51.75 | none |
| Syros Pharmaceuticals (SYRS) |
$0.00 | none |
(SNTS) |
$0.00 | none |
| Amylin Pharmaceuticals (AMLN) |
$0.00 | none |
| Ocuphire Pharma (OCUP) |
$0.00 | none |
| Boston Scientific Corporation (BSX) |
$43.34 | none |
| LifeVantage Corporation (LFVN) |
$6.35 | none |
| BioLineRx Ltd. (BLRX) |
$2.49 | none |
| HCA Healthcare (HCA) |
$427.71 | none |
| DexCom (DXCM) |
$89.35 | none |
| Charles River Laboratories International (CRL) |
$278.06 | none |
| Smith & Nephew plc (SNN) |
$27.56 | none |
| Supernus Pharmaceuticals (SUPN) |
$42.00 | none |
| Intellia Therapeutics (NTLA) |
$12.14 | none |
| BioLife Solutions (BLFS) |
$36.69 | none |
| Cadence Pharmaceuticals (CADX) |
$0.00 | none |
| Rubius Therapeutics (RUBY) |
$0.00 | none |
| ICU Medical (ICUI) |
$152.65 | none |
| EDAP TMS S.A. (EDAP) |
$4.32 | none |
| Nevro Corp. (NVRO) |
$0.00 | none |
| Global X Genomics & Biotechnology ETF (GNOM) |
$66.40 | none |
| MiMedx Group (MDXG) |
$4.77 | none |
| Rocky Mountain Dental Services Holdings, LLC (BDMS) |
$0.00 | 70% |
| 3M Company (MMM) |
$165.89 | none |
| Sorrento Therapeutics (SRNE) |
$0.00 | none |
| Rocket Pharmaceuticals (RCKT) |
$3.37 | none |
| Ocular Therapeutix (OCUL) |
$9.99 | none |
| Zimmer Biomet Holdings (ZBH) |
$95.36 | none |
| Krystal Biotech (KRYS) |
$336.67 | none |
| Theravance Biopharma (TBPH) |
$17.02 | none |
| Rennova Health (RNVA) |
$0.00 | none |
| Bristol-Myers Squibb Company (BMY) |
$63.06 | none |
| Inspire Medical Systems (INSP) |
$76.78 | none |
| Amarin Corporation plc (AMRN) |
$13.63 | none |
| Universal Health Services (UHS) |
$176.69 | none |
| Corbus Pharmaceuticals Holdings (CRBP) |
$7.48 | none |
| SIGA Technologies (SIGA) |
$3.14 | none |
| Veru (VERU) |
$2.41 | none |
| Calithera Biosciences (CALA) |
$0.00 | none |
| KalVista Pharmaceuticals (KALV) |
$27.00 | none |
| Jaguar Health (JAGX) |
$2.71 | none |
| Savara (SVRA) |
$5.37 | none |
| Novartis AG (NVS) |
$140.37 | none |
| Teva Pharmaceutical Industries Limited (TEVA) |
$38.98 | none |
| NeoGenomics (NEO) |
$19.91 | none |
| Deciphera Pharmaceuticals (DCPH) |
$0.00 | none |
(BLTI) |
$0.00 | none |
(NUS ) |
$4.58 | 87.8% |
| Pulse Biosciences (PLSE) |
$53.87 | none |
| Teladoc Health (TDOC) |
$6.30 | none |
| Surgery Partners (SGRY) |
$13.25 | none |
| BG Medicine (BGMD) |
$0.00 | none |
| Xencor (XNCR) |
$24.72 | none |
| Anavex Life Sciences Corp. (AVXL) |
$2.42 | none |
| InspireMD (NSPR) |
$0.77 | none |
| Fresenius Medical Care AG & Co. KGaA (FMS) |
$22.20 | none |
| ImmuCell Corporation (ICCC) |
$9.95 | none |
| Alkermes plc ( ALKS) |
$43.39 | none |
| Bayer Aktiengesellschaft (BAYRY) |
$13.76 | none |
| Axsome Therapeutics (AXSM) |
$207.78 | none |
| Cara Therapeutics (CARA) |
$0.00 | none |
| Selecta Biosciences (SELB) |
$0.00 | none |
| Medpace Holdings (MEDP) |
$612.33 | none |
| UFP Technologies (UFPT) |
$300.05 | none |
| Agios Pharmaceuticals (AGIO) |
$30.02 | none |
| Phibro Animal Health Corporation (PAHC) |
$36.33 | none |
| Cumberland Pharmaceuticals (CPIX) |
$6.68 | none |
| Tenet Healthcare Corporation (THC) |
$257.62 | none |
(ABBV ) |
$250.94 | none |
| Amgen (AMGN) |
$387.64 | none |
| Quest Diagnostics Incorporated (DGX) |
$235.22 | none |
| Escalon Medical Corp. (ESMC) |
$0.18 | none |
| Allogene Therapeutics (ALLO) |
$1.88 | none |
| REGENXBIO (RGNX) |
$9.69 | none |
| Atara Biotherapeutics (ATRA) |
$8.38 | none |
| Butterfly Network (BFLY) |
$7.11 | none |
| Lineage Cell Therapeutics (BTX) |
$8.52 | none |
| Celldex Therapeutics (CLDX) |
$41.06 | none |
| Edwards Lifesciences Corporation (EW) |
$85.76 | none |
| CONMED Corporation (CNMD) |
$46.13 | none |
| Chemed Corporation (CHE) |
$505.97 | none |
| DENTSPLY SIRONA (XRAY) |
$14.20 | 54.7% |
| Intuitive Surgical (ISRG) |
$353.10 | none |
| McKesson Corporation (MCK) |
$888.56 | none |
| Alnylam Pharmaceuticals (ALNY) |
$286.62 | none |
| Coherus BioSciences (CHRS) |
$1.23 | none |
| Alphatec Holdings (ATEC) |
$10.15 | none |
| Alimera Sciences (ALIM) |
$0.00 | none |
| Pfizer (PFE) |
$25.15 | 4.9% |
| BioTelemetry (BEAT) |
$0.49 | none |
| Acura Pharmaceuticals (ACUR) |
$0.00 | none |
| Abbott Laboratories (ABT) |
$108.00 | none |
| Patterson Companies (PDCO) |
$0.00 | none |
| Anthera Pharmaceuticals (ANTH) |
$0.00 | none |
| Atrion Corporation (ATRI) |
$0.00 | none |
| Ampio Pharmaceuticals (AMPE) |
$0.18 | none |
| DaVita (DVA) |
$240.96 | none |
| Acorda Therapeutics (ACOR) |
$0.00 | none |
| Affymax (AFFY) |
$0.00 | none |
How to Invest in Healthcare Stocks
Sector-Specific Considerations
When evaluating Healthcare companies, consider these key factors:
- Sector fundamentals: Is this sector growing, mature, or declining? Growth prospects affect reasonable earnings forecasts.
- Economic sensitivity: How does this sector perform in different economic conditions? Understanding cyclicality helps you time purchases.
- Competitive dynamics: Are barriers to entry high or low? Strong moats protect profits and justify premium valuations.
- Regulatory environment: Does government policy significantly impact this sector? Regulatory changes can create risks or opportunities.
- Capital intensity: Does the business require heavy capital investment? Capital-light businesses often generate better returns.
✓ Sector Analysis Checklist
- Compare P/E ratios within the sector
- Look for strong free cash flow generation
- Assess debt levels relative to peers
- Evaluate dividend sustainability
- Check management track record
- Calculate margin of safety
Common Sector Pitfalls
- Chasing last year's hot sector
- Ignoring sector-wide headwinds
- Overpaying for market leaders
- Neglecting competitive threats
- Failing to diversify across sectors
- Not understanding the business model