![\"Health](\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2026\/04\/GettyImages-1616400026-1-1200x675.jpg\")
<\/p>\nThere are 11 recognised ASX sectors.\u00a0 <\/p>\n
Each sector has a benchmark index that tracks the performance of ASX-listed companies in that sector. <\/p>\n
<\/p>\n
Image source: Getty Images<\/p>\n
Healthcare and tech shares in focus <\/p>\n
Recently, the two worst-performing sectors have been ASX healthcare and technology<\/a>. <\/p>\n Year to date, the S&P\/ASX 200 Information Technology Index (ASX: XIJ) is down 16%.\u00a0<\/p>\n Meanwhile, the S&P\/ASX 200 Health Care Index (ASX: XHJ) is down 17%.\u00a0<\/p>\n This is relevant for investors to monitor because when sectors are heavily sold off, it creates buying opportunities.\u00a0<\/p>\n Quality, blue-chip stocks <\/a>can be oversold and scooped up as value plays<\/a> by savvy investors.\u00a0<\/p>\n However, in the last month, there has been a sharp difference between these two sectors.\u00a0<\/p>\n Many technology shares have begun to recover<\/a>, experiencing sharp gains since the end of March.\u00a0<\/p>\n In fact, since March 30, the S&P\/ASX 200 Information Technology Index (ASX: XIJ) has rocketed 19%<\/a>. <\/p>\n Healthcare shares, on the other hand, have remained relatively flat.<\/p>\n Why are healthcare shares still flat? <\/p>\n The Information Technology Index experienced an extraordinary 48% sell-off between August 29 and March 30, driven by investor fears about high valuations and the potential for AI tools to wipe out SaaS companies. <\/p>\n Sentiment has now shifted, driven by a combination of value investing and a belief that AI will enhance<\/a> some of these platforms rather than destroy them.\u00a0 <\/p>\n Meanwhile, unlike tech, healthcare isn’t getting the same sentiment-driven bounce because its headwinds are more structural.<\/p>\n Upheaval at the US FDA under the Trump administration has created regulatory uncertainty for many Australian biotechs with US ambitions.<\/p>\n Additionally, healthcare companies tend to generate most of their profits well into the future.\u00a0<\/p>\n This means rising interest rates<\/a> hit them harder than most.\u00a0<\/p>\n Higher rates make those future earnings worth less in today’s dollars, dragging on share prices even when the underlying businesses are performing fine. <\/p>\n Where is the opportunity for healthcare shares? <\/p>\n For investors focused on long-term returns, many healthcare companies are priced at relative values right now due to these headwinds.\u00a0<\/p>\n Some of the ASX healthcare stocks that have fallen the furthest include:\u00a0<\/p>\n Australia’s largest healthcare company, CSL Ltd (ASX: CSL<\/a>), is down 42% in the last year Sleep technology company ResMed Inc (ASX: RMD<\/a>) shares are down almost 13% year to date Medical imaging technology company Pro Medicus Ltd (ASX: PME<\/a>) shares are down 36% year to date Cochlear Ltd (ASX: COH<\/a>) is a cochlear implant device manufacturer. Its share price has fallen 35% year to date \u00a0 Foolish Takeaway\u00a0 <\/p>\n The headwinds impacting healthcare stocks are unlikely to subside in the short term.\u00a0<\/p>\n However, many of these companies are structurally sound and are suffering from broader factors rather than structural issues.\u00a0<\/p>\n This leaves plenty of room for growth in the long term.\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"There are 11 recognised ASX sectors.\u00a0 Each sector has a benchmark index that tracks the performance of ASX-listed…\n","protected":false},"author":2,"featured_media":404597,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[34],"tags":[163,521,85,46],"class_list":{"0":"post-404596","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-healthcare","8":"tag-health","9":"tag-healthcare","10":"tag-il","11":"tag-israel"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/404596","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=404596"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/404596\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/404597"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=404596"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=404596"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=404596"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}