AGN - Healthcare And Biotechnology Dashboard - Update
This article series provides a monthly dashboard of industries in each sector of the GICS classification. It compares valuation and quality factors relative to their historical averages.
Executive summary
Biotechnology looks undervalued relative to its historical averages in the 3 valuation ratios reported hereafter. However, profitability measured in return on equity is below the historical baseline. Metrics are mixed for pharmaceuticals: price/earnings is fair, price/free cash flow is excellent, but price/sales and return on equity are very bad. Other healthcare industries are significantly overpriced. Healthcare equipment is the worst one combining all metrics. Life science