Yes- agree with you. Most discussions around healthcare&#x2F;pharma&#x2F;hospitals have a moral element(look they are price gouging us). There are possibly some cases that fit the description but I am not sure if it applies across the industry.<p>If in fact, pharma companies where making super normal profits- it would show up in their financial statements. Operating profits for any given year may not be appropriate because a lot of the R&amp;D costs are in the balance sheet.<p>A more appropriate (but still not perfect) metric would be Return on Assets (Profits&#x2F;Assets) i.e. how much return are you getting on the capital you put in. Here are some metrics for some pharma companies. None of them are making super normal profits.<p>9.68% - Merck- <a href="https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;MRK&#x2F;return_on_assets" rel="nofollow">https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;MRK&#x2F;return_on_assets</a><p>5.38%- Bristol Myers-
<a href="https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;BMY&#x2F;return_on_assets" rel="nofollow">https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;BMY&#x2F;return_on_assets</a><p>5.77%: Eli Lilly:
<a href="https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;LLY&#x2F;return_on_assets" rel="nofollow">https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;LLY&#x2F;return_on_assets</a><p>5.33% - Pfizer:
<a href="https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;PFE&#x2F;return_on_assets" rel="nofollow">https:&#x2F;&#x2F;ycharts.com&#x2F;companies&#x2F;PFE&#x2F;return_on_assets</a>