Fri, Feb 4, 2022

Healthcare Services Sector Update – December 2021

The S&P Healthcare Services Index increased by 10.4% over the last month, compared to the S&P 500 Index, which increased 5.6% over the same period.

Over the past month:

  • The sectors that experienced the highest growth were Home Medical Equipment (up 20.2%), Providers –Other (up 19.2%) and Commercial Managed Care (up 13.6%).
  • The sectors that experienced the largest decline were Consumer Directed Health/Wellness (down 14.8%), Assisted/Independent Living (down 9.9%) and Telemedicine (down 9.8%).
  • The current average Last Twelve Months (LTM) revenue and LTM EBITDA multiples for the healthcare services industry overall are 3.44x and 15.9x, respectively.

Healthcare Services Sector Update – December 2021

The sectors with the highest valuation multiples include:

  • Contract Research Organizations (5.24x LTM revenue, 30.3x LTM EBITDA)
  • HCIT (4.58x LTM revenue, 21.2x LTM EBITDA)
  • Healthcare REITs (12.07x LTM revenue, 19.4x LTM EBITDA)
  • Consumer Directed Health/Wellness (2.97x LTM revenue, 19.2x LTM EBITDA)

Stay Ahead with Kroll

Healthcare Investment Banking

Healthcare Investment Banking

Healthcare expertise for middle-market M&A transactions.

Mergers and Acquisitions (M&A) Advisory

Mergers and Acquisitions (M&A) Advisory

Kroll’s investment banking practice has extensive experience in M&A deal strategy and structuring, capital raising, transaction advisory services and financial sponsor coverage.

Transaction Advisory Services

Transaction Advisory Services

Kroll’s Transaction Advisory Services platform offers corporate and financial investors with deep accounting and technical expertise, commercial knowledge, industry insight and seamless analytical services throughout the deal continuum.

Fairness and Solvency Opinions

Fairness and Solvency Opinions

Duff & Phelps Opinions is a global leader in Fairness Opinions and Special Committee Advisory, ranking #1 for total number of U.S. and global fairness opinions over the past 10 years, according to Refinitiv cumulative data from 2013-2022.

Private Capital Markets – Debt Advisory

Private Capital Markets – Debt Advisory

Kroll has extensive experience raising capital for middle-market companies to support a wide range of transactions.

Return to top