The idea of the “Internet of Things” (IoT), which is the next generation of the Internet, allows communication between linked devices (Godase et al. in Misra et al.Rajarajan et al.Veeravalli et al.Kesswani et al.Patel (eds), Internet of Things (IoT): Key Digital Trends Shaping the Future, Springer, Singapore, 2023). IoT is essential to healthcare because it makes a wide range of applications for tracking medical services possible. The kind of illness can be predicted by evaluating observed parameters. Using wearable technology, wireless channels, and other remote devices, healthcare experts have created an affordable method for health monitoring. Wearable or installed in living spaces, network sensors collect comprehensive data to assess patients’ physical and emotional well-being. The primary aim of this research is to automatically prescribe medications to patients depending on their health condition and assess the present e-health monitoring system through integrated systems. This allows doctors to monitor patients’ health without direct communication. The study examines the implementation of IoT in healthcare and its role in improving healthcare standards. It also explores IoT uses in the medical field, its enhancement of traditional practices, and its potential to elevate healthcare services. This study primarily contributes by (1) presenting a novel wearable sensor-based stress monitoring algorithm (SMA); (2) contrasting several machine learning methods; and (3) outlining the four stages of the proposed SMA, which are data collection, data, signal processing, forecasting, and evaluating model performance. Results show that the random forest method works well for this categorization.