Healthcare is amongst the highly evergreen investment areas. This sector felt the influence of the COVID-19 crisis amid unforeseen challenges and restrictions, but a strong level of recovery is also on the horizon. Through the rollout of the Coronavirus vaccine and getting back of the economy to normal, this is believed by the analysts that healthcare stocks will soon experience growth. The demand level increased for Coronavirus therapeutics, diagnostics, and vaccination would also assist the healthcare organizations in the nation. But here are some secular and organic catalysts which will increase the worth of healthcare stocks in the long run. I have written this post after reading the research related to Cheap Healthcare Stocks In 2021 by Insider Monkey. They have shared that:
“The problem of aging population in America presents a long-term growth opportunity for healthcare stocks, as the need for treatments, managed care and therapies will surge. Data shows that by 2030, 1 out of every 5 Americans will reach the age of retirement. There will be 78 million people 65 years and older, compared to 76.7 million under the age of 18. According to the World Health Organization, global life expectancy jumped by 5.5 years between 2000 and 2016, the fastest increase since the 1960s.”
The first company we have reviewed is Triple-S Management Corp. this is a health and managed care services firm that is providing insurance services and products specifically in Puerto Rico. More than 1 million customers are attached to the company. Casualty and property insurance is also operated by this company. In the year 2020, the company shared Q3 non-GAAP EPS of around $0.61. During this quarter, the revenues of the company increased by 12.8% and were $942.9 million. Around 11 hedge fund managers are showing bullish behavior for Triple-S in the Q3 of 2020.
The next company is Prestige Consumer Healthcare Inc. which is based in New York and is selling household and healthcare cleaning products. This firm was started due to the merger amongst Spic and Span Company, Prestige Brands International and Medtech Products, Inc. The GAAP EPS of $0.81 has been posted by Prestige during the Q3 of 2020, beating the predictions of analysts by around $0.04. The revenue in this quarter were $238.78 million. In the Q3 of 2020, around 17 hedge funds showed bullish behavior for Prestige Consumer.
If you want to learn about other companies in the list, then you can read 10 Cheap Healthcare Stocks To Buy Now.