Should I buy Sigma Healthcare stock in Australia in 2025?

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At HelloSafe, our expert has been tracking the performance of Sigma Healthcare for over three years. Every month, hundreds of thousands of users in Australia trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Sigma Healthcare.

What is Sigma Healthcare?

What is the price of Sigma Healthcare stock?

The price of Sigma Healthcare stock is rising this week. The current share price is $3.00 AUD, with a 0.33% increase over the last 24 hours and a 4.15% decrease on the week. Market capitalisation stands at $34.63 billion AUD, with an average daily volume of 34.8 million shares over the past three months. The stock currently does not report a price/earnings (P/E) ratio due to recent losses, offers a low dividend yield of 0.17%, and has a notably low beta of 0.15. Despite near-term volatility, the company’s dominant position offers significant long-term investment potential.

Our Full Analysis of the Sigma Healthcare Stock

Having carefully reviewed Sigma Healthcare's latest financial statements and examined the stock's robust performance trajectory over the past three years, we leveraged our proprietary algorithms to synthesise a wide range of expert analyses, covering key financial metrics, technical momentum, market trends, and comparable peers. This multi-dimensional approach allows us to highlight fresh and data-driven perspectives on the company’s outlook. So, why might Sigma Healthcare stock once again become a strategic entry point into the healthcare and pharmaceutical sector in 2025?

Recent performance and market context

Sigma Healthcare has demonstrated remarkable resilience and dynamism in the face of a transforming Australian healthcare landscape. Over the last twelve months, the stock price surged by an exceptional +136%, closing at $3.00 AUD, despite a recent brief consolidation (-4.15% over the last week) that is typical after extended rallies. This upward momentum is underpinned by the landmark merger with Chemist Warehouse, finalised in February 2025, which created Australia’s largest pharmacy group. This transformative event has captured market attention, with investors anticipating significant revenue and cost benefits in the coming years.

The broader environment is also favourable. The Australian pharmaceutical sector stands to benefit from structural tailwinds including an ageing population, growth in chronic disease management, and a clear shift towards integrated healthcare service delivery. Sigma Healthcare’s strategic positioning and unrivalled distribution network make it a key beneficiary of these trends. Investor sentiment, previously cautious, has turned “neutral to optimistic” according to recent consensus due to these powerful new growth drivers.

Technical analysis

The technical outlook for Sigma Healthcare is showing clear signs of renewed bullish structure. The stock is trading close to pivotal support at $2.99 AUD and is approaching immediate resistance at $3.01 AUD. The RSI stands in neutral territory at 37, suggesting consolidation after a strong advance and opening the door to another upward leg. The MACD recently generated a buy signal, mirroring the bullish crossover that preceded earlier surges. Notably, the 200-day moving average (now at $2.68 AUD) continues to act as a dynamic support threshold, with shorter-term averages indicating a potential bottoming process.

Additionally, a technical reversal signal from a pivot low detected on 27 June 2025 further supports a constructive scenario. The clustering of price around current support levels—combined with low volatility (beta 0.15)—suggests an environment ripe for accumulation rather than distribution. From a short- and medium-term trading perspective, the risk/reward profile appears highly attractive, especially if the stock breaks above immediate resistance.

Fundamental analysis

Sigma Healthcare’s operational transformation over the past year is nothing less than remarkable. Revenue for the most recent period reached $4.84 billion AUD, representing an impressive 45.7% annual jump, primarily propelled by the consolidation of Chemist Warehouse. While the bottom line showed a modest net loss (-$13.8 million AUD), this is largely explained by one-off merger costs rather than operating weakness.

Despite the current lack of a meaningful P/E ratio due to those transition expenses, Sigma Healthcare’s enterprise value relative to its new, market-leading scale is especially attractive. The company’s dominant market share—now supported by a diversified portfolio of flagship brands such as Chemist Warehouse, My Chemist, Amcal, and Discount Drug Stores—provides an exceptional platform for future growth. Sigma Healthcare also continues to reinvest in logistics innovation and integrated service delivery, safeguarding both competitive advantage and margin expansion potential.

Importantly, the strategic rationale behind the Chemist Warehouse merger is compelling: synergy extraction, network expansion, and seasoned leadership under CEO Vikesh Ramsunder are likely to generate substantial value. The market has historically rewarded such transformative moves with sustained re-rating, especially in the context of the strong demographic drivers seen in Australia’s healthcare sector.

Volume and liquidity

Another telling factor for investors is Sigma Healthcare’s robust liquidity profile. The company has averaged approximately 34.8 million shares traded per day over the last three months, reflecting broad participation and high institutional engagement. With a current market capitalisation of $34.63 billion AUD, Sigma Healthcare is firmly established as a heavyweight on the ASX, facilitating smooth entry and exit for investors of all sizes.

This elevated trading activity speaks to market confidence, suggesting the float is healthy and any short-term dips are quickly absorbed by buyers. Such conditions offer an ideal starting point for both active traders looking to capture short-term momentum and long-term investors seeking stable allocation in the defensive healthcare space.

Catalysts and positive outlook

A host of bullish catalysts reinforce Sigma Healthcare’s upward re-rating potential. The transformative acquisition of Chemist Warehouse has created a national leader with unrivalled procurement capacity, pricing power, and retail footprint. The combined group now oversees a network of over 1,000 affiliated pharmacies—a scale no competitor can match. This expanded platform enables further market share gains and improved operational leverage.

Looking ahead, Sigma Healthcare is poised to capitalise on:

• Synergies from the Chemist Warehouse merger, including economies of scale and streamlined operations.
• Rapid ageing of Australia’s population, which is driving sustained growth in prescription volumes and pharmacy services.
• Continued government investment in healthcare access and regulation, providing a supportive policy backdrop.
• Technological innovation, such as enhancing distribution logistics and digitising supply chain management, boosting both efficiency and customer experience.
• A pipeline of ESG and sustainability initiatives designed to meet evolving regulatory benchmarks and stakeholder expectations.

Importantly, Sigma Healthcare’s balance sheet remains resilient post-merger, offering flexibility for further targeted acquisitions or expansion investments. As public health priorities evolve, Sigma Healthcare is exceptionally well positioned to lead the market’s transition towards next-generation pharmacy and health service platforms.

Investment strategies

For those seeking to build exposure, several entry strategies present themselves, all highlighting the stock’s compelling value proposition at current levels:

• Short-term traders: The stock’s consolidation near technical support and presence of recent buy signals create an attractive window for tactical accumulation. Low volatility and strong liquidity favour dynamic positioning.
• Medium-term investors: The market’s gradual recognition of merger synergies, coupled with the likelihood of operational improvements showing through in the next two reporting periods, argue for a buy-and-hold approach.
• Long-term portfolio builders: Sigma Healthcare’s unique combination of scale, brand power, and innovation—as well as secular growth vectors like population ageing and chronic disease—make the case for a core holding in the healthcare sector.

Additionally, the current price consolidation offers a rare opportunity: positioning at or near a technical low, ahead of what promises to be a series of fundamental re-rating catalysts.

Is it the right time to buy Sigma Healthcare?

In sum, all data points to Sigma Healthcare as a stock with exceptional upside potential. The transformative Chemist Warehouse merger, a $4.84 billion AUD revenue surge, and unparalleled scale create the foundation for robust long-term growth. Technical and fundamental factors converge in Sigma Healthcare’s favour, with renewed market confidence, scalable operations, and a clear regulatory tailwind.

While execution risks in post-merger integration remain, the addressable opportunities far outweigh the manageable challenges. The stock’s modest valuation relative to forward opportunity, high trading liquidity, and the onset of merger-driven synergies all argue for a renewed focus by bullish investors keen to benefit from the next stage of healthcare sector growth in Australia.

Sigma Healthcare, therefore, seems to represent an excellent opportunity for those seeking a strategic entry point into one of Australia’s fastest-evolving and most resilient sectors. In the months ahead, all eyes will be on the company’s ability to deliver operational leverage and unlock the full benefit of its nationwide network—offering a compelling thesis for portfolio inclusion at this pivotal juncture.

How to buy Sigma Healthcare stock in Australia?

Buying Sigma Healthcare stock online is simple and secure when using a regulated Australian broker. Investors can choose between two main methods: traditional spot buying for straightforward share ownership, or trading via Contracts for Difference (CFDs), which allows for leveraged exposure. Both methods are accessible on most trusted platforms, offering flexibility to suit different investment profiles. For help finding the most suitable provider, you can compare broker options further down this page.

Spot buying

When you buy Sigma Healthcare stock for cash, you become a direct shareholder and benefit from any potential dividends or capital gains. Spot buying is typically subject to a fixed brokerage fee per order, which in Australia averages around $5–$10 AUD.

Sigma Healthcare Share Gain Scenario

If the Sigma Healthcare share price is $3.00 AUD, you can buy around 332 shares with a $1,000 stake, including a brokerage fee of around $5.

✔️ Gain scenario: If the share price rises by 10%, your shares are now worth $1,100.

Result: +$100 gross gain, i.e. +10% on your investment.

This method is ideal for investors seeking to build long-term exposure with clear ownership and lower ongoing costs.

Trading via CFD

CFD trading lets you speculate on Sigma Healthcare’s share price without owning the actual shares. This approach offers leverage, usually at a ratio of 5:1 or higher, meaning you can control a larger position than your initial outlay. Fees include a spread on each trade, and overnight financing costs if you hold positions beyond the trading day.

Gain Scenario: CFD Trade with Leverage

You open a CFD position on Sigma Healthcare shares, with 5x leverage.

This gives you a market exposure of $5,000.

✔️ Gain scenario:

If the stock rises by 8%, your position gains 8% × 5 = 40%.

Result: +$400 gain, on a bet of $1,000 (excluding fees).

While CFDs multiply potential gains, they also increase risk—making them suitable for more active, short-term traders.

Final advice

Before you invest, always compare brokers’ fees, trading conditions, and available features to find the right fit for your needs. Whether you choose to buy shares outright or trade CFDs should depend on your investment goals, risk tolerance, and preferred exposure. For an updated broker comparison, see further down the page.

Our 7 Tips for Buying Sigma Healthcare Stock

The latest news about Sigma Healthcare

Sigma Healthcare’s share price posts a one-year gain of over 130%, leading the ASX health sector. This performance follows the successful completion of its merger with Chemist Warehouse and sustained optimism surrounding its dominant market role in Australia.

Integration of Chemist Warehouse positions Sigma Healthcare as Australia’s largest pharmacy group. The company now benefits from significant operational synergies, a national pharmacy network of over 1,000 outlets, and increased bargaining power with suppliers, supporting stable future growth.

Recent technical signals are positive, with a buy alert triggered after a low pivot on 27 June. Sigma Healthcare’s price currently sits near its support level of 2.99 AUD, while technical indicators such as MACD suggest continued upward momentum in the short term.

Gross revenue for the last financial year reached 4.84 billion AUD, up 45% year-on-year. This strong top-line growth demonstrates solid post-merger integration and the early benefits of expansion, despite a temporary net loss attributed to one-off costs.

Dividend policy remains steady, with the latest fully franked dividend paid in October 2024. Sigma Healthcare continues to reward Australian shareholders, supporting its market position as a reliable income-generating stock in the pharmaceutical retail sector.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.