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Weekly Strategy Calls
Diagnosing the Health of the US Healthcare Industry
Posted: 03/21/2025
This week, Zacks Equity Strategist Mayur Thaker, CFA, discusses:
โข The state of the US Healthcare industry. This area of the economy represents 18% of the country’s GDP, and encompasses three main areas: Drugs, including pharmaceuticals, generic drugs, and biomedical; Medical Services, including nursing homes, hospitals, outpatient care, and health insurance; and Medical Products, such as instruments and devices, information systems and dental products.
โข Healthcare is one of the few sectors of the economy that is mostly isolated from macroeconomic cycles in production, consumption, interest rates, commodities, and foreign exchange markets. However, it is also one of the most heavily regulated areas of the economy. Other macro factors impacting Healthcare are declining Medicare reimbursements and the country’s aging population.
โข Mayur surveys some of the Zacks top-ranked stocks in this sector, offering his commentary on what is attractive about these companies. Tickers he highlights include AbbVie (ABBV), Vertex Pharmaceuticals (VRTX), Cardinal Health (CAH), Boston Scientific (BSX), and others. Finally, Mayur offers the pros and cons of investing in this sector, as well as his strategy for picking healthcare stocks. Don’t miss this to get your thorough check-up on Healthcare!
The views of Mayur Thaker, CFA are not necessarily the views of Zacks Investment Research.
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