UBS, Franklin Templeton See Healthcare Stocks Rebounding as GLP-1 Market Tops $100 Billion by 2030
Updated
Updated · Business Insider · Jun 16
UBS, Franklin Templeton See Healthcare Stocks Rebounding as GLP-1 Market Tops $100 Billion by 2030
2 articles · Updated · Business Insider · Jun 16
Summary
Healthcare stocks, down about 1.5% this year while the S&P 500 has gained nearly 11%, are poised for a turnaround, UBS and Franklin Templeton told clients in June notes.
GLP-1 drugs are central to the bullish case: UBS said the market could exceed $100 billion in revenue by 2030, lifting pharmaceutical companies that make up roughly one-third of the sector.
AI adds a second growth driver by speeding drug discovery and improving efficiency in areas including clinical trials and surgical robotics, while aging populations support steady treatment demand.
Valuations also look supportive: the MSCI All-World Healthcare Index trades at 18.5 times forward earnings versus 26.5 for global tech, after investors favored AI-linked technology shares.
Franklin Templeton also pointed to rising stock buybacks, with funds such as VHT, IXJ and PJP offering broad exposure if money rotates back into the sector.