Healthcare Sector

AAA

DEFINITION of 'Healthcare Sector'

A category of stocks relating to medical and healthcare goods or services. The healthcare sector includes hospital management firms, health maintenance organizations (HMOs), biotechnology and a variety of medical products.

INVESTOPEDIA EXPLAINS 'Healthcare Sector'

Stocks in the healthcare sector are often considered to be defensive because the products and services are essential. Even during economic downturns, people will still require medical aid and medicine to overcome illness. Having a consistent demand for goods and services makes this sector less sensitive to business cycle fluctuations.

RELATED TERMS
  1. Mac Crawford

    Former CEO, president and chairman of Nashville-based Caremark, ...
  2. Certificate Of Need

    An endorsement required by numerous states before the construction ...
  3. Capital Goods Sector

    A category of stocks related to the manufacture or distribution ...
  4. Technology Sector

    A category of stocks relating to the research, development and/or ...
  5. Consumer Cyclicals

    A category of stocks that rely heavily on the business cycle ...
  6. Utilities Sector

    A category of stocks for utilities such as gas and power. The ...
Related Articles
  1. Fighting The High Costs Of Healthcare
    Home & Auto

    Fighting The High Costs Of Healthcare

  2. Evaluating Pharmaceutical Companies
    Fundamental Analysis

    Evaluating Pharmaceutical Companies

  3. An Introduction To Sector Mutual Funds
    Mutual Funds & ETFs

    An Introduction To Sector Mutual Funds

  4. How To Avoid Medical Debt
    Home & Auto

    How To Avoid Medical Debt

Hot Definitions
  1. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  2. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  3. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  4. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  5. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  6. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
Trading Center