StockStory Picks 3 Healthcare Stocks as Sector Gains 10% in 6 Months
Updated
Updated · The Globe and Mail · Jul 23
StockStory Picks 3 Healthcare Stocks as Sector Gains 10% in 6 Months
1 articles · Updated · The Globe and Mail · Jul 23
Summary
StockStory named Vertex Pharmaceuticals, Alignment Healthcare and Zoetis as healthcare stocks with competitive advantages and potential to beat the market.
10% sector gains over the past six months nearly matched the S&P 500, but the report said regulation remains a key risk for healthcare investors.
Vertex, valued at $119.9 billion, was highlighted for 13.8% annual revenue growth over five years, strong free cash flow and high returns on capital.
Alignment was cited for 45.4% annual revenue growth over two years, 28.5% annual EPS growth over four years and an 11-point free-cash-flow margin expansion.
Zoetis rounded out the list on steady constant-currency growth, strong cash generation and efficient capital deployment, extending the report's focus from drugmakers to animal health and Medicare Advantage.