Healthcare gets a shot in the arm

LiveWire11-19

Over the past two years, healthcare stocks underperformed relative to the broader market, despite catalysts such as innovation and progress in weight-loss drugs. This year, the majority of the ...

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This year, the majority of the ...</p>\n\n<a href=\"https://www.livewiremarkets.com/wires/healthcare-gets-a-shot-in-the-arm\">Source Link</a>\n\n</div>\n","source":"livewire_stock","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Healthcare gets a shot in the arm</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nHealthcare gets a shot in the arm\n</h2>\n\n<h4 class=\"meta\">\n\n\n2025-11-19 04:30 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.livewiremarkets.com/wires/healthcare-gets-a-shot-in-the-arm><strong>LiveWire</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Over the past two years, healthcare stocks underperformed relative to the broader market, despite catalysts such as innovation and progress in weight-loss drugs. This year, the majority of the ...</p>\n\n<a href=\"https://www.livewiremarkets.com/wires/healthcare-gets-a-shot-in-the-arm\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"HLTH","symbol_name":"Cue Health Inc.","start_time":0,"source_url":"https://www.livewiremarkets.com/wires/healthcare-gets-a-shot-in-the-arm","article_id":"2584987968","we_media_id":null,"thumbnails":[],"rights":{"source":"livewire_stock","url":"https://www.livewiremarkets.com/wires/healthcare-gets-a-shot-in-the-arm","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2584987968","pubTimestamp":1763497830,"columns":[],"sourceInfo":{"source_id":"livewire_stock","name":"Livewire Markets"},"weMediaInfo":null,"summary":"Over the past two years, healthcare stocks underperformed relative to the broader market, despite catalysts such as innovation and progress in weight-loss drugs. This year, the majority of the performance of international equities has been driven by the mega-caps and AI companies. At the same time, healthcare stocks have lagged, mostly due to potential US policy effects on the growth rates for biopharma, healthcare plans, and medical technology firms.But the tide could be turning. Recently, there has been some clarity on healthcare policies, increased M&A activity, as well as interest from investors who are rotating back into defensive growth and quality earnings due to the volatile macro environment.In addition, after a long period of underperformance due to regulatory and pricing concerns, many large-cap pharma names are now experiencing multiple expansions as sentiment turns more optimistic. As noted above, the sector is trading at a discount to the broader market, yet it has histor","collect":0,"end_time":0,"defaultTopTitle":"livewiremarkets.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"HLTH":"Cue Health Inc.","XBI":"SPDR S&P Biotech ETF","LU1057294990.SGD":"Blackrock World Healthscience A2 SGD-H","HCSG":"Healthcare Svcs Group Inc","LU0128526141.USD":"TEMPLETON GLOBAL SMALLER COMPANIES \"A\" ACC","HLTH.AU":"VANECK GLOBAL HEALTHCARE LEA","IE00BLSP4452.SGD":"Legg Mason ClearBridge - Tactical Dividend Income A Mdis SGD-H Plus","BK4082":"医疗保健设备","LU0170899867.USD":"EASTSPRING INVESTMENTS WORLD VALUE EQUITY  \"A\" (USD) ACC","BK4592":"伊斯兰概念","LU1883839398.USD":"AMUNDI FUNDS INCOME OPPORTUNITIES \"A2\" (USD) ACC","PFE":"辉瑞","BK4568":"美国抗疫概念","BK4588":"碎股","BK4550":"红杉资本持仓","LABU":"三倍做多标普生物-Direxion","LU0122379950.USD":"贝莱德世界健康科学A2","IE00BBT3K403.USD":"LEGG MASON CLEARBRIDGE TACTICAL DIVIDEND INCOME \"A(USD) ACC","IE00B19Z3B42.SGD":"Legg Mason ClearBridge - Value A Acc SGD","SG9999011175.SGD":"Nikko AM Global Dividend Equity Dis SGD-H","LU0306807586.USD":"SCHRODER ISF GLOBAL DIVIDEND MAXIMISER \"A\" (USD) INC QF","SG9999003800.SGD":"Nikko AM Global Dividend Equity Acc SGD-H","LU0321505868.SGD":"Schroder ISF Global Dividend Maximiser A Dis SGD","SG9999013999.USD":"UOB UNITED GLOBAL HEALTHCARE FUND (USDHDG) INC","LU0868494617.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) ACC","IE0002270589.USD":"LEGG MASON CLEARBRIDGE VALUE \"A\" (USD) INC","SG9999001176.SGD":"UOB UNITED GLOBAL HEALTHCARE \"SGD\" (ACC)","LU0321505439.SGD":"Schroder ISF Global Dividend Maximiser A Acc SGD","SGXZ57979304.SGD":"United Global Healthcare A Acc SGD-H","IE000M9KFDE8.USD":"NEUBERGER BERMAN US LARGE CAP VALUE \"A\" (USD) ACC","LU0234572021.USD":"高盛美国核心股票组合Acc","LU0029874061.USD":"TEMPLETON GLOBAL SMALLER COMPANIES \"A\" YDIS INC","BK4533":"AQR资本管理(全球第二大对冲基金)","LU0985481810.HKD":"SCHRODER ISF GLOBAL EQUITY YIELD \"A\" (HKD) INC M","BK4581":"高盛持仓","LU0225284248.USD":"SCHRODER ISF GLOBAL EQUITY YIELD \"A\" ACC","LU0058720904.USD":"联博国际健康护理基金A","XLV":"健康照护类股ETF-SPDR","BK4599":"减肥药","LU0456855351.SGD":"JPMorgan Funds - Global Equity A (acc) SGD","LU1894683264.USD":"AMUNDI FUNDS US EQUITY RESEARCH VALUE \"A2\" (USD) ACC","SG9999002232.USD":"Allianz Global High Payout USD","BK4534":"瑞士信贷持仓","BK4585":"ETF&股票定投概念","LU0289739699.SGD":"AB INTERNATIONAL HEALTH CARE PORTFOLIO \"A\" (SGD) ACC","SG9999001176.USD":"United Global Healthcare Acc USD","LU1894683348.USD":"AMUNDI FUNDS US EQUITY RESEARCH VALUE \"A2\" (USD) INC","LU1066051498.USD":"HSBC GIF GLOBAL EQUITY VOLATILITY FOCUSED \"AM2\" (USD) INC","LU1066053197.SGD":"HSBC GIF GLOBAL EQUITY VOLATILITY FOCUSED \"AM3\" (SGDHDG) INC","IE00BLSP4239.USD":"Legg Mason ClearBridge - Tactical Dividend Income A Mdis USD Plus"},"translate_title":"医疗保健注入一剂强心针","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"XLV":1.5,"HLTH":1,"HCSG":1.5,"HLTH.AU":1,"PFE":0.9,"LABU":0.6,"XBI":0.6},"content_text":"Over the past two years, healthcare stocks underperformed relative to the broader market, despite catalysts such as innovation and progress in weight-loss drugs. This year, the majority of the performance of international equities has been driven by the mega-caps and AI companies. At the same time, healthcare stocks have lagged, mostly due to potential US policy effects on the growth rates for biopharma, healthcare plans, and medical technology firms.\nBut the tide could be turning. Recently, there has been some clarity on healthcare policies, increased M&A activity, as well as interest from investors who are rotating back into defensive growth and quality earnings due to the volatile macro environment.\nOne recent example of clarity on policy is Pfizer. Pfizer recently announced a wide-ranging deal with the US government. This resulted in its share price rallying 6.14% on the day of the announcement. The agreement secures tariff exemptions, boosts US government collaboration, and will enhance direct-to-consumer sales.\nFurthermore, healthcare companies have been reporting solid results during the latest US earnings season. The Q3 earnings season shows that over 80% of reported healthcare companies have surprised to the upside, and price reactions post earnings are also positive. Looking ahead, the long-term structural growth drivers, including ageing populations, chronic disease management, med-tech adoption, and digital health, remain intact, supporting the structural growth story. \n\nIt has been well noted that equities, more generally, are richly priced, but relative to other sectors, health could be considered a ‘value’ option. The global healthcare sector is trading at around 17 to 18 times forward earnings. This is around its 10-year average, and below the broader market. Healthcare is one of the few sectors that stands out as not being well above its long-term averages in the current market.\n\nRecent developments point to a turnaround for healthcare\nFirstly, there has been renewed clarity on US drug pricing policy following the Pfizer–Trump administration agreement, which included exchanging Medicaid cost cuts for tariff relief. This single move has lowered market fears of sweeping “most-favoured-nation” (MFN) mandates that would have pressured pricing across the sector. Investors view this as a framework that could be extended to other large pharma players on favourable terms, and this has improved the policy outlook for the sector. It wasn’t just Pfizer that rallied; Merck, and Johnson & Johnson also experienced price rises after the announcement due to improved sentiment toward the sector.\nIn addition, after a long period of underperformance due to regulatory and pricing concerns, many large-cap pharma names are now experiencing multiple expansions as sentiment turns more optimistic. As noted above, the sector is trading at a discount to the broader market, yet it has historically offered steady earnings, strong free cash flow, and above-market dividend yields. With macro uncertainty at the forefront of investors' minds, many are rotating toward defensive growth, benefiting healthcare broadly and many investors are targeting those companies with quality characteristics and/or wide moats.\nDanaher is a good example. The company develops products including hardware and software, as well as drugs, vaccines and gene editing technologies. Morningstar believes a wide moat surrounds Danaher’s diversified set of businesses, and it sees intangible assets and switching costs as its moat sources. The company has done well recently as sentiment in the sector improved and its strong Q3 results.\nMeanwhile, other key pharmaceutical companies are introducing new product cycles and engaging in strong R&D activity, which is usually a driver of returns in the sector. These include:\n\n\nEli Lilly: Continued growth from GLP-1 drugs (Mounjaro and Zepbound) and pipeline expansion in Alzheimer’s.\n\nMerck: Strength from Keytruda and oncology pipeline diversification.\n\nNovartis: Positive sentiment following restructuring and innovative therapy launches.\nBroader M&A activity and deal speculation across pharma and biotech have added further upside, as investors anticipate consolidation opportunities.\n\nRotation into defensive stocks\nAmid rising macroeconomic volatility, savvy investors are considering their allocation to defensive sectors like healthcare. Among the concerns investors have are the rising levels of global government debt, labour market weakness and stagflation prompted by tariffs. These could lead to equity market volatility. In that scenario, investors are likely to favour defensive sectors, with predictable earnings and strong cash flows.\nIf you look at the chart below, it shows the relative performance of the MarketGrader Developed Markets (ex-Australia) Health Care Index (HLTH Index) relative to the MSCI World ex Australia Index and this is charted against the US Government 10-year bond yield, a barometer of the health of the economy. When the grey line is rising, HLTH Index is outperforming. When the blue line, representing the US Government 10-year bond yield is rising, it means that the economy is expected to be stronger, as rates will be higher in the future. \nThe chart shows that during past defensive rotations, i.e. weaker labour market/ slow growth and bond yields falling, as they did in 2015/2016 and from the end of November 2018 until the middle of 2020, HLTH Index typically outperformed.\n\n\nWe believe that the healthcare sector is an attractive diversifier in the current environment. Healthcare stocks tend to remain stable during periods of macroeconomic volatility and they have historically experienced relatively strong performance during late-cycle or recessionary periods. The sector's long-term growth is driven by consistent consumer demand for new medications and treatments, which remains relatively steady even during recessions. Other long-term structural trends supporting the sector include:\n\nThe combination of global population growth and ageing demographics.\nIncreasing prevalence of chronic diseases, which will continue to drive up the demand for healthcare.\nIncreasing expenditures in emerging economies that need to close the gap to match the levels of spending in developed economies, as their growing and increasingly wealthy populations will demand it.\n\nVanEck offers a targeted exposure to healthcare via its VanEck Global Healthcare Leaders ETF ASX: HLTH. \n\n\n\nETF\nVanEck Global Healthcare Leaders ETF (HLTH)\nGlobal Shares\n\n\nView\n\n\n\n\n\n\n\nNever miss an update\n\n    Enjoy this wire? Hit the ‘like’ button to let us know. \n    Stay up to date with my current content by \n    following me below and you’ll be notified every time I post a wire","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.35.9","shortVersion":"4.35.9","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2584987968","isCrawlerRequest":true}