Wed, Nov 17, 2021

Healthcare Services Sector Update – Early Winter 2021

The S&P Healthcare Services Index increased by 1.5% over the last month, compared to the S&P 500 Index, which increased 5.7% over the same period.

Over the past month:

  • The sectors that experienced the most growth were Commercial Managed Care (up 16.5%), Telemedicine (up 13.5%) and Government Managed care (up 13.5%).
  • The sectors that experienced the largest decline were Healthcare Staffing (down 12.3%), Rehabilitation (down 11.7%) and Dialysis Services (down 7.4%).
  • The current average Last Twelve Months (LTM) revenue and LTM EBITDA multiples for the healthcare services industry overall are 3.56x and 15.3x, respectively.

Healthcare Services Sector Update - October 2021

The sectors with the highest valuation multiples include:

  • Contract Research Organizations (4.59x LTM revenue, 25.3x LTM EBITDA)
  • Assisted/Independent Living (1.94x LTM revenue, 24.2x LTM EBITDA)
  • HCIT (4.19x LTM revenue, 23.5x LTM EBITDA)
  • Consumer Directed Health/Wellness (4.88x LTM revenue, 22.4x LTM EBITDA)

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