CSL’s 2025 Dip: What the ASX200 Healthcare Giant Signals About Long-Term Value

May 16, 2025 10:59 AM AEST | By Team Kalkine Media
 CSL’s 2025 Dip: What the ASX200 Healthcare Giant Signals About Long-Term Value
Image source: shutterstock

Highlights 

  • CSL’s share price sees a 15.2% decline in 2025, prompting closer scrutiny 
  • Healthcare sector shows resilience through economic cycles 
  • CSL’s dividend yield now exceeds its 5-year average 

CSL Limited (ASX:CSL), one of Australia’s most prominent biotech companies, has experienced a 15.2% decline in its share price since the start of 2025. As part of the ASX300 index, CSL’s recent performance invites a broader look at its fundamentals and the value it may continue to provide within Australia's healthcare sector. 

CSL has grown from its origins as a government body into a global biotech powerhouse. Operating through three major divisions—CSL Behring, CSL Seqirus, and CSL Vifor—the company serves critical medical needs across blood plasma therapies, vaccines, and nephrology solutions. Its long-standing presence on the ASX and steady history of dividend payments has made it a recognizable name among ASX dividend stocks. 

Despite recent share price weakness, CSL continues to generate stable revenue from essential health services. The healthcare sector is generally resilient during economic slowdowns due to the non-discretionary nature of its offerings. This “sticky revenue” dynamic was particularly evident during the Global Financial Crisis, where healthcare outperformed most other sectors. 

Recent data shows the S&P/ASX200 Healthcare Index has underperformed broader markets over the past five years, with an average annual return of -0.92% compared to 8.97% for the broader ASX 200. However, global healthcare expenditure is forecast to rise significantly, especially in the United States—which makes up over 40% of global spending. Between 2022 and 2027, spending in the U.S. alone is projected to grow at an annual rate of 7%, reaching US$819 billion. 

Moreover, niche sub-sectors like healthcare IT and SaaS solutions are expected to grow at over 15% per annum through to 2030. Such dynamics contribute to the sector’s long-term relevance, not just for growth but also from a sustainability and ethical standpoint. A Morgan Stanley survey recently highlighted that more than half of respondents intend to increase allocations to sustainable investments—giving healthcare firms added appeal. 

Currently, CSL offers a dividend yield of around 1.66%, slightly above its five-year average of 1.50%. This could reflect both dividend growth and recent share price movement. For those tracking ASX dividend stocks, this shift places CSL in an interesting position. 

CSL continues to be a defining force in Australia’s healthcare landscape, combining scientific leadership with consistent shareholder returns—factors that maintain its relevance within the ASX300. 


Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.


AU_advertise

Advertise your brand on Kalkine Media

Sponsored Articles


Investing Ideas

Previous Next
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.