Healthcare Software Market Update and Comparables
Dedale Intelligence's healthcare software market update and comparables, covering stock and financial performance, valuation multiples, and M&A activity across the listed healthcare software peer set, built for PE investors, corporate development teams and M&A advisors.
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What this report covers
Dedale Intelligence's Healthcare Software Market Update is a comparables analysis of the listed healthcare software ecosystem, built by Dedale Intelligence's research team, spanning EHR and HIS platforms, ambulatory care, and point solutions across clinical and non-clinical functions. It covers:
- Stock performance across the peer set versus the S&P 500 and Nasdaq
- Financial trends: sales growth, Rule of 40, and S&M and R&D intensity
- Valuation multiples (EV/Sales and EV/EBITDA) against long-term averages, and what is driving the gap
- Dedale Intelligence's breakdown of valuation by size, geography and offering type
- M&A and take-private activity shaping the peer set in 2025 and 2026
Why it matters
Dedale Intelligence's research shows healthcare software remains a fragmented, small-cap-led market trading well below its 2021 peak multiples, even as a handful of scaled, profitable names hold durable premiums. For PE investors, corporate development teams and M&A advisors, understanding exactly where that premium comes from, and where it does not, is central to underwriting the next wave of deals. See also Dedale Intelligence's US Electronic Health Records Software report and Digital Transformation of Healthcare IT report for deeper segment coverage.
Dedale Intelligence's report sets out where multiples sit relative to history, what is actually driving the remaining premium, and where the next wave of consolidation is likely to come from.
Frequently asked questions
Healthcare Software Market Update: Common Questions
Answers to the most common questions about Dedale Intelligence's healthcare software market update, drawn from the full comparables report.
How has healthcare software stock performance compared to the broader market in 2026?
Dedale Intelligence's analysis shows the peer median is down 20% year to date and 15% over the last 24 months, while the S&P 500 is up 13% YTD and 33% over 24 months, and the Nasdaq is up 15% YTD and 46% over 24 months.
Which healthcare software companies have performed best and worst in 2026?
According to Dedale Intelligence, Consensus Cloud Solutions (up 61% YTD), HealthStream (up 46% YTD) and Sectra (up 23% YTD) have outperformed, while Enlitic (down 79% YTD), Definitive Healthcare (down 66% YTD) and all four telehealth names have sold off.
What is driving valuation premiums in healthcare software?
Dedale Intelligence's research identifies scale as the clearest driver: mid caps trade at 5.6x EV/Sales NTM versus 1.5x for small caps. Healthcare clinical players trade at 4.4x versus 1.7x for healthcare administration, and North American companies trade ahead of European peers.
How has growth and profitability trended across the peer group?
Dedale Intelligence's financial analysis shows average sales growth slowed from 4.2% to 2.2% and Rule of 40 fell from 16.5% to 11.6% over the past year, while S&M intensity rose from 22.6% to 25.0% of revenue. Dedale Intelligence's forecasts point to sales growth reaching 9.6% and Rule of 40 reaching 34.6% by FY27e.
What M&A and take-private activity has shaped the healthcare software market in 2026?
Dedale Intelligence tracks the following recent deals: Francisco Partners' take-private of Weave ($7.40/share, 34% premium), IKS Health's acquisition of TruBridge ($26.25/share), and UHS's acquisition of Talkspace ($5.25/share). Definitive Healthcare has also received a non-binding take-private proposal from Advent, and Forian, iCoreConnect and VSee have all left the public markets in 2026, per Dedale Intelligence's analysis.
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