S&P 500 Health Care Sector: current P/E Ratio

31.27
Last update: 20 November 2024

The estimated P/E Ratio for S&P 500 Health Care Sector is 31.27, calculated on 20 November 2024.

Considering the last 5 years, an average P/E interval is [17.32 , 24.75]. For this reason, the current P/E can be considered Expensive

P/E Ratio is calculated on the XLV Etf, whose benchmark is the S&P 500 Health Care Sector.

Historical P/E Ratio

When evaluating the P/E Ratio, it's important to not only look at its absolute value but also compare it to the average of previous periods. This allows for a more comprehensive understanding of the index/market valuation.

The following chart shows how the S&P 500 Health Care Sector P/E Ratio has changed over time. Furthermore, for some trailing timeframes, you can view the average P/E and standard deviation.

20 November 2024 · P/E Ratio: 31.27
20 November 2024 · P/E Ratio: 31.27 · 1Y Average: 31.47 · 1 Std Dev range: [29.32 , 33.62] · 2 Std Dev range: [27.17 , 35.76]
20 November 2024 · P/E Ratio: 31.27 · 5Y Average: 21.03 · 1 Std Dev range: [17.32 , 24.75] · 2 Std Dev range: [13.60 , 28.47]
20 November 2024 · P/E Ratio: 31.27 · 10Y Average: 19.72 · 1 Std Dev range: [18.18 , 21.26] · 2 Std Dev range: [16.63 , 22.81]
20 November 2024 · P/E Ratio: 31.27 · 20Y Average: 17.35 · 1 Std Dev range: [15.00 , 19.70] · 2 Std Dev range: [12.65 , 22.05]
Methodology
The Average P/E (μ) and the Standard Deviation (σ) are calculated excluding 20% outliers (i.e. over a range of values excluding 10% of observations from the top and 10% from the bottom of the dataset).
A P/E between (μ - σ) and (μ + σ) is considered "Fair", over a specific timeframe.
A P/E greater than (μ + σ) is defined "Overvalued", greater than (μ + 2σ) is defined "Expensive".
A P/E less than (μ - σ) is defined "Undervalued", less than (μ - 2σ) is defined "Cheap".
20 November 2024 · P/E Ratio: 31.27 · Last Periods metrics
Show all periods
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Range
Analysis
Period Average P/E
(μ)		 Std Dev
(σ)		 Std Dev Range
[ μ-2σ · μ-σ , μ+σ · μ+2σ ]		 vs Current P/E
( 31.27 )		 Deviation
vs μ		 Valuation
Last 1Y 31.47 2.15 [27.17 · 29.32 , 33.62 · 35.76]
-0.09 σ
Fair
Last 2Y 26.50 4.40 [17.69 · 22.10 , 30.90 · 35.31]
+1.08 σ
Overvalued
Last 3Y 23.20 4.38 [14.45 · 18.83 , 27.58 · 31.96]
+1.84 σ
Overvalued
Last 4Y 21.54 4.00 [13.54 · 17.54 , 25.54 · 29.54]
+2.43 σ
Expensive
Last 5Y 21.03 3.72 [13.60 · 17.32 , 24.75 · 28.47]
+2.76 σ
Expensive
Last 6Y 20.26 2.81 [14.64 · 17.45 , 23.06 · 25.87]
+3.92 σ
Expensive
Last 7Y 19.95 2.31 [15.34 · 17.64 , 22.25 · 24.56]
+4.91 σ
Expensive
Last 8Y 19.60 1.74 [16.12 · 17.86 , 21.34 · 23.07]
+6.72 σ
Expensive
Last 9Y 19.48 1.52 [16.44 · 17.96 , 21.01 · 22.53]
+7.74 σ
Expensive
Last 10Y 19.72 1.54 [16.63 · 18.18 , 21.26 · 22.81]
+7.48 σ
Expensive
Last 11Y 19.51 1.32 [16.88 · 18.20 , 20.83 · 22.15]
+8.93 σ
Expensive
Last 12Y 19.29 1.29 [16.71 · 18.00 , 20.59 · 21.88]
+9.26 σ
Expensive
Last 13Y 18.99 1.32 [16.36 · 17.68 , 20.31 · 21.63]
+9.32 σ
Expensive
Last 14Y 18.57 1.80 [14.97 · 16.77 , 20.37 · 22.17]
+7.07 σ
Expensive
Last 15Y 18.17 2.26 [13.65 · 15.91 , 20.44 · 22.70]
+5.79 σ
Expensive
Last 16Y 17.68 2.67 [12.34 · 15.01 , 20.35 · 23.02]
+5.09 σ
Expensive
Last 17Y 17.41 2.73 [11.95 · 14.68 , 20.14 · 22.87]
+5.07 σ
Expensive
Last 18Y 17.32 2.60 [12.12 · 14.72 , 19.92 · 22.52]
+5.37 σ
Expensive
Last 19Y 17.29 2.48 [12.34 · 14.81 , 19.77 · 22.25]
+5.64 σ
Expensive
Last 20Y 17.35 2.35 [12.65 · 15.00 , 19.70 · 22.05]
+5.93 σ
Expensive

S&P 500 Health Care Sector Trend

Trend is evaluated considering the price of the XLV Etf and its 200/50-day moving averages (SMA).

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Trend Indicator Valuation Margin
Long Term Price vs SMA200 -3.17% 20 Nov
Short Term Price vs SMA50 -5.25% 20 Nov
The 200-day moving average is a long-term indicator that takes into account the average price of a stock over the past 200 trading days. It is considered a significant level of support or resistance, meaning that when the stock price is above the 200-day moving average (i.e. margin vs moving average is positive), it is generally viewed as bullish, while when it is below, it is viewed as bearish.

The 50-day moving average, on the other hand, is a shorter-term indicator that measures the average price of a stock over the past 50 trading days. It is also viewed as a significant level of support or resistance and can be used to identify shorter-term trends.