The medical sector has emerged as one of the top performers in the global economy when it comes to post-pandemic performance in the second quarter of 2021.
Activity levels in the sector were 23.6% higher than at the end of 2019, before the pandemic decimated economies around the world. This means that, of the 18 sectors included in the analysis, the medical sector ranks fifth in terms of its latest value for Covid-19 business resumption.
The healthcare sector saw the highest levels of activity in the second quarter of 2021 compared to the last quarter of 2019, with the automotive, tech and apparel sectors comprising the remainder of the top four.
GlobalData’s industry activity metric is derived from several of the company’s research data sets. The Composite Index is made up of a combination of company-level data on job openings, offers, stock prices and sentiment analysis through financial records and news stories. It is a dynamic metric taking millions of data points that can be used to track the performance of different industries or industries.
We can also explore the components of the index to get an exact idea of the outperformance or underperformance of companies in a given industry. One of the more traditional measures of performance tracking is the value of company stocks, which we have grouped by industry to form a stock performance index for each. After declining in spring 2020, the average sector has been performing better than pre-pandemic levels since early August 2020. However, the extent of the recovery varies by sector.
Medical stocks have generally outperformed the market over the past year, as the chart above shows. As of June 30, 2021, the shares of these companies – as tracked by GlobalData – were 44.1% above their starting point in October 2019.
Hiring levels are also useful in determining how confident a business is for the months to come. The GlobalData Jobs Index tracks job openings at thousands of companies on a daily basis, allowing us to gauge this confidence in real time and assess which industries are most feeling the impact of Covid-19 .
The number of open medical jobs is currently at a higher level compared to most other industries, compared to their pre-pandemic standards. As of June 20, 2021, the latest date for which data is available, hiring levels were 57.4% higher than those recorded before the impact of Covid-19. This means that the medical sector ranks sixth out of the 18 sectors analyzed with regard to the recovery in hiring levels.
In addition to jobs and stocks, our composite index also takes transactions into account, tracking M&A, private equity and venture capital transactions on a daily basis. This, again, can be seen as a good indicator for gauging the sentiment of ambitious companies, with a higher number of deals indicating a more optimistic outlook.
Compared to pre-pandemic levels, the volume of financial transactions in the medical field has been higher than that of most other industries over the past 19 months.
As of June 30, 2021, medical transactions were 31.6% above levels at the start of October 2019. This places the sector in fourth position out of the 18 industries included in the analysis of the current recovery in transaction volume.
GlobalData’s unique job analysis provides insight into hiring trends, strategies, and predictive signals across all industries, themes, companies, and geographies. Smart web crawlers capture data from publicly available sources. Key parameters include active, posted and closed jobs, length of posting, experience, seniority level, qualifications and skills.