Health Technology Projected as the Most Profitable Industry of 2016

As 2015 comes to an end it’s time to take a look ahead. Factset forecasted net profit margins for 19 major U.S sectors next year. The research firms estimates almost all sectors — with the exception of transportation — will see an increase in profitability.

Health technology is projected to be the most profitable sector in 2016 again with a 21.6% net profit margin. With 17.2% net margin, technology services will edge out finance (17.1%) to take the second place. Interestingly, the Federal Reserve’s first interest rate hike since 2006 did not cause any significant changes to the earnings estimates for companies in the finance sector in 2016.  Electronic technology and consumer non-durables still trail at fourth and fifth place.

Here are more results:

Industry Net Margin in 2016
Health Technology 21.63%
Technology Services 17.23%
Finance 17.14%
Electronic Technology 13.54%
Consumer Non-Durables 12.40%
Consumer Services 10.62%
Utilities 9.70%
Transportation 9.45%
Communications 8.17%
Producer Manufacturing 7.78%
Process Industries 7.51%
Commercial Services 7.04%
Industrial Services 6.60%
Non-Energy Minerals 4.86%
Health Services 4.00%
Energy Minerals 4.86%
Retail Trade 3.50%
Distribution Services 1.74%