Beyond Stock Prices: ESG Scores in the European Healthcare Sector

Jasmin S. Petersen, Louise H. Nielsen, Sabine S. Hansen, Kedar Uttam, Kristjan Jespersen

Research output: Other contributionNet publication - Internet publicationResearch


Environmental, social, and governance (ESG) factors have become crucial for promoting sustainable business practices, with investors increasingly recognizing the link between environmental impacts, social responsibilities, corporate governancem and potential risks and opportunities. Consequently, ESG scores are now integral to investment strategies worldwide. While the impact of higher ESG scores on company value has garnered attention, there is limited analysis specific to sectors. The European Healthcare being significant to public health and societal well-being, presents an excellent opportunity to expore the relationship between ESG scores and stock prices. Specifically, ESG indicators such as environmental (e.g. harmful emissions and waste) and social (e.g. heavy workloads) challenges associated with this sector, offer a compelling opportunity to explore this important relationship focused on stock performance and ESG. Our study aimed to investigate the effect of ESG scores on stock prices of 104 European Healthcare companies from 2015 to 2021. Through rigorous statistical analysis, we examined the correlation between ESG scores and stock prices, considering the individual pillars (environmental, social, and governance) separately.
Original languageEnglish
Publication date2 Aug 2023
Place of PublicationFrederiksberg
PublisherCopenhagen Business School, CBS
Publication statusPublished - 2 Aug 2023

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