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

31.83
Last update: 22 April 2024

The estimated P/E Ratio for S&P 500 Health Care Sector is 31.83, calculated on 22 April 2024.

Considering the last 5 years, an average P/E interval is [17.81 , 21.40]. 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.

22 April 2024 · P/E Ratio: 31.83
22 April 2024 · P/E Ratio: 31.83 · 1Y Average: 25.16 · 1 Std Dev range: [23.47 , 26.86] · 2 Std Dev range: [21.77 , 28.56]
22 April 2024 · P/E Ratio: 31.83 · 5Y Average: 19.61 · 1 Std Dev range: [17.81 , 21.40] · 2 Std Dev range: [16.01 , 23.20]
22 April 2024 · P/E Ratio: 31.83 · 10Y Average: 19.35 · 1 Std Dev range: [18.35 , 20.35] · 2 Std Dev range: [17.35 , 21.35]
22 April 2024 · P/E Ratio: 31.83 · 20Y Average: 17.23 · 1 Std Dev range: [14.99 , 19.46] · 2 Std Dev range: [12.76 , 21.70]
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".
22 April 2024 · P/E Ratio: 31.83 · 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
( 31.83 )
Deviation
vs μ
Valuation
Last 1Y 25.16 1.70 [21.77 · 23.47 , 26.86 · 28.56]
+3.93 σ
Expensive
Last 2Y 21.81 2.90 [16.00 · 18.90 , 24.71 · 27.62]
+3.45 σ
Expensive
Last 3Y 20.45 2.19 [16.06 · 18.25 , 22.64 · 24.84]
+5.19 σ
Expensive
Last 4Y 19.63 2.01 [15.62 · 17.62 , 21.63 · 23.64]
+6.09 σ
Expensive
Last 5Y 19.61 1.80 [16.01 · 17.81 , 21.40 · 23.20]
+6.81 σ
Expensive
Last 6Y 19.31 1.35 [16.60 · 17.96 , 20.66 · 22.02]
+9.25 σ
Expensive
Last 7Y 19.27 1.10 [17.07 · 18.17 , 20.38 · 21.48]
+11.39 σ
Expensive
Last 8Y 19.13 0.83 [17.47 · 18.30 , 19.96 · 20.79]
+15.31 σ
Expensive
Last 9Y 19.26 0.96 [17.34 · 18.30 , 20.21 · 21.17]
+13.14 σ
Expensive
Last 10Y 19.35 1.00 [17.35 · 18.35 , 20.35 · 21.35]
+12.48 σ
Expensive
Last 11Y 19.17 0.98 [17.22 · 18.19 , 20.14 · 21.12]
+12.98 σ
Expensive
Last 12Y 18.95 1.07 [16.81 · 17.88 , 20.03 · 21.10]
+11.99 σ
Expensive
Last 13Y 18.57 1.47 [15.63 · 17.10 , 20.04 · 21.52]
+9.01 σ
Expensive
Last 14Y 18.10 2.04 [14.01 · 16.06 , 20.14 · 22.19]
+6.72 σ
Expensive
Last 15Y 17.70 2.46 [12.79 · 15.25 , 20.16 · 22.61]
+5.76 σ
Expensive
Last 16Y 17.28 2.70 [11.88 · 14.58 , 19.99 · 22.69]
+5.38 σ
Expensive
Last 17Y 17.18 2.60 [11.98 · 14.58 , 19.78 · 22.38]
+5.63 σ
Expensive
Last 18Y 17.12 2.47 [12.18 · 14.65 , 19.59 · 22.06]
+5.96 σ
Expensive
Last 19Y 17.15 2.36 [12.44 · 14.80 , 19.51 · 21.87]
+6.23 σ
Expensive
Last 20Y 17.23 2.24 [12.76 · 14.99 , 19.46 · 21.70]
+6.53 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 +2.65% 22 Apr
Short Term Price vs SMA50 -3.37% 22 Apr
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.