Is June set to be the month of the ASX healthcare rebound?

These are three prime buy-low candidates.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

One of the stories of the year has been the stark underperformance of ASX healthcare shares. 

As the calendars turn over to June, the S&P/ASX 200 Health Care Index (ASX: XHJ) sits almost 33% lower than at the start of the year. 

This makes it the worst performing sector in 2026 by some margin. 

ASX healthcare shares have been hit by a combination of earnings downgrades, rising cost pressures, weaker overseas earnings and investor concerns that growth across the sector is slowing. 

Because healthcare makes up a large part of the Australian market's growth-stock universe, higher interest rates and a strong rotation into energy, mining, and resource stocks have amplified the sell-off.

For investors, this could be an intriguing opportunity to gain exposure to quality companies at a historic discount. 

Here are three of the largest ASX healthcare stocks that are tipped to rebound from historic lows. 

Beautiful young woman drinking fresh orange juice in kitchen.

Image source: Getty Images

Pro Medicus Ltd (ASX: PME)

Pro Medicus enjoyed a fast start to the month of June. 

The medical imaging technology company rose over 9% yesterday following a key contract win.

Investors will be hoping this is the start of a long-term rebound. 

Despite yesterday's 9% gain, it remains down 35% year to date. 

It closed yesterday at $144.46 per share. 

However brokers are confident it will rise significantly higher in the next 12 months. 

13 analysts offering a one year forecast have an average price target of $187.27 on Pro Medicus shares, indicating roughly 3% upside from current levels. 

11 of the 13 analysts rate the stock as a strong buy or buy. 

ResMed Inc (ASX: RMD)

While Pro Medicus shares started June off with a big rise, it was the opposite start to the month for ResMed shares. 

ResMed is a global leader in sleep technology.

Its share price fell more than 7% yesterday, and is now down 26% year to date. 

It now sits at a new 52-week low of $26.27. 

However this could now be a rare opportunity to scoop up this ASX healthcare stock at a significant value. 

Morgans expects a rebound over the next 12 months. The broker has a price target of $41.72 along with a buy rating. 

This indicates an upside potential of almost 59%. 

Sonic Healthcare Ltd (ASX: SHL)

It has been a similarly difficult 2026 for Sonic Healthcare shares. 

Its share price is down more than 14% year to date. 

However the global healthcare provider could also be set to recover in the near term. 

12 analysts forecasts via TradingView have an average one year price target of $23.40 on this ASX healthcare stock. 

This indicates an upside potential of 21% from current levels. 

Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended ResMed. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended Pro Medicus and Sonic Healthcare. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Healthcare Shares

Young girl shows hearing aid while smiling.
Healthcare Shares

3 reasons to buy Cochlear shares in June

After a brutal sell-off, the stock may be gearing up for a recovery.

Read more »

patient with doctor, medical company, medical insurance
Cheap Shares

CSL shares trade at just 12 times forecast earnings. Here's why they could be the buy of the decade

The ASX 200 healthcare giant is down more than 60% since August 2025.

Read more »

Falling pills in a blue background.
Healthcare Shares

Sigma Healthcare shares are surging. What does Macquarie say they're worth?

A possible deal has fallen over, which investors appear to like.

Read more »

Middle age caucasian man smiling confident drinking coffee at home.
Healthcare Shares

CSL shares: bargain or value trap?

Let's see if now is a good time to buy this biotech giant's shares.

Read more »

Three businesswomen collaborate around a table.
Healthcare Shares

Sigma Healthcare withdraws from Boots sale process

The ASX 200 healthcare company cited strategic and capital investment objectives.

Read more »

Young businesswoman sitting in kitchen and working on laptop.
Healthcare Shares

Up 15% in a week, is it too late to buy rebounding CSL shares?

CSL shares trade on roughly 13 times forecast FY26 earnings and offer a good dividend yield.

Read more »

A woman leans forward with her hand behind her ear, as if trying to hear information.
Broker Notes

Down 60%, are Cochlear shares now a bargain buy?

A leading analyst provides his outlook for Cochlear’s beaten-down shares.

Read more »

Young woman thinking with laptop open.
Healthcare Shares

Why are Sigma Healthcare shares in the spotlight this week?

Is the latest sell-off overdone?

Read more »