3 Ridiculously Cheap Healthcare Stocks to Buy in June 2026
As the healthcare sector underperforms in 2026, three high-margin stocks have become cheap. We analyze NVIDIA, AbbVie, and CVS for value investors.
Key Numbers
According to a report from 24/7 Wall St., healthcare has spent 2026 on the sidelines while the rest of the market rallies. The Health Care Select Sector SPDR Fund (XLV) is down about 1% year-to-date, even after a 6% bounce in the past month. This stagnation has left several high-margin operators trading at forward multiples that look attractive.
The Three Cheap Stocks
1. NVIDIA (NVDA) – Technology Sector
Although NVIDIA is a tech company, its technology is widely used in healthcare (medical imaging, drug discovery). The stock trades at a forward P/E of 35x, below its historical average.
2. AbbVie (ABBV) – Healthcare Sector
AbbVie, a biopharmaceutical company, trades at a forward P/E of just 12x, with a dividend yield of 4.5%. Its key products like Humira and Skyrizi provide strong cash flows.
3. CVS Health (CVS) – Healthcare Sector
CVS, a health insurance and pharmacy company, trades at a forward P/E of only 9x. It offers integrated health services and may benefit from Medicare expansion.
Sector Context
The healthcare sector (XLV) is underperforming due to regulatory and pricing concerns, but some analysts see current valuations as opportunities for long-term investors.
What This Means for Investors
These stocks may appeal to value investors looking for bargains in an underperforming sector. However, regulatory and competitive risks should be considered before any decision.
Frequently Asked Questions
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