Sector Report4 min read
Healthcare: 19 A-Grades, Insurance Still Failing
Pharma and devices keep printing cash at 15%+ margins. Health insurers can barely break 2%. The sector split is getting wider.
Aug 28, 2026
GILDABBVBMYZTS+12
Pharmaceuticals, biotechnology, medical devices, and health insurance
Sector classifications follow the GICS industry standard.
Companies ranked by free cash flow margin
Health grades across the sector
| # | Symbol | Grade | FCF Margin |
|---|---|---|---|
| 1 | GILD | A | 29.1% |
| 2 | ABBV | B | 27.6% |
| 3 | BMY | A | 25.5% |
| 4 | ZTS | A | 23.2% |
| 5 | IDXX | A | 22.9% |
| 6 | VRTX | A | 20.9% |
| 7 | AMGN | A | 20.7% |
| 8 | DHR | A | 20.2% |
| 9 | DXCM | A | 19.7% |
| 10 | REGN | A | 19.3% |
| 11 | JNJ | A | 19.1% |
| 12 | MRK | A | 17.8% |
| 13 | BIIB | A | 17.0% |
| 14 | ISRG | A | 16.9% |
| 15 | SYK | A | 16.1% |
| 16 | BSX | B | 15.5% |
| 17 | ABT | A | 15.2% |
| 18 | ILMN | A | 15.1% |
| 19 | MDT | A | 13.7% |
| 20 | TMO | A | 13.4% |
| 21 | PFE | B | 13.2% |
| 22 | LLY | B | 8.2% |
| 23 | ALGN | A | 7.6% |
| 24 | UNH | F | 3.4% |
| 25 | CI | F | 3.1% |
| 26 | CVS | F | 1.8% |
| 27 | ELV | F | 1.5% |
| 28 | HUM | F | 0.1% |
| 29 | MRNA | F | -133.1% |
Pharma and devices keep printing cash at 15%+ margins. Health insurers can barely break 2%. The sector split is getting wider.
Pharma and devices print cash at 20%+ margins. Health insurers struggle to break 3%. The sector split is getting wider.
Pharma and devices print cash at 20%+ margins. Health insurers struggle to crack 4%. Same sector, completely different businesses.