AMGN - 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 by a bit more than 10% relative to historical averages of the 3 valuation ratios used hereafter. However, profitability measured in return on equity is below the historical baseline. Healthcare providers are slightly overpriced. Other healthcare industries are significantly overvalued. Ratios are mixed for pharmaceuticals: regarding their historical averages price/earnings is good, price/free cash flow is excellent, but price/sales and return on equity