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Showing posts with label Healthcare Plans. Show all posts
Showing posts with label Healthcare Plans. Show all posts

Cracking The Best Healthcare Dividend Stock Secret

This Weekend my eyes and thoughts curved around the Healthcare sector. 

I read several interesting articles from the sector, mostly about the biotech’s and new Hepatitis C drugs from Gilead, Sovaldi and Harvoni.

Those are very expensive drugs with potential to kill the current medical systems but they also generate tons of cash for their corporate.

I also noticed that the Healthcare sector grows at a much faster pace than the economy does, with 10+ percent. How can you benefit from this trend? I don't know. Prices are high, even on free cash flow basis.

Second, the old synthetic drug cash cow system from Pfizer doesn't work anymore. PFE is losing revenues. Even Teva, a generic drug manufacturer, struggles.

In order to get an overview about modest valuated growth stocks from the Healthcare sector, I've created a screen for large capitalized sector members with the following main criteria:

- EPS growth next five years: over 5 percent
- Sales growth past five years: over 5 percent
- Forward P/E under 20
- Positive Dividend

14 attractive healthcare growth stocks remain. It's a very selective list with focus on sales and earnings growth. You can find the full results attached. 

You may also interested in my older articles about healthcare dividend stocks.

Below are also five of my favorites. Which stocks do you like? Please let me know.


17 High Momentum Healthcare Dividend Stocks

Healthcare dividend stocks with highest beta ratios originally published at long-term-investments.blogspot.com. You know that I am a conservative investor and try to minimize my risk.

This strategy is necessary if you have a larger amount of money to take care of or you begin to cry when you lose 10 percent on your book value. The second disadvantage is that you lose performance in a strong up moving market. 

Since 2009, there were nearly no bigger corrections at the market but with low beta and safe haven stocks, your performance would be only half of the return from the markets. What you need to get a push for your portfolio is a high beta stock. I don’t recommend buying them because it’s a definitely riskier strategy and nobody knows when the market turns into a bearish mood.

However, let’s take a look at the high fly momentum stocks from the healthcare sector. Those are stocks with the highest beta ratio from the sector. They have a beta between 1 and 2. With focus on the dividend paying stocks, only 17 stocks from the healthcare sector pay a dividend and being correlated with the market by a factor of up to 2.

One High-Yield is below the results and 16 have a current buy or better rating by brokerage firms.

20 Cheapest Healthcare Dividend Stocks

Healthcare dividend stocks with low forward P/E ratios originally published at "long-term-investments.blogspot.com". Wow, the stock market rises from month to month. The negative thing is that stock prices rise faster than the earnings and stocks getting therefore more expensive. This is a development which is still healthy because of the low yielding bond market. But it’s not sustainable if the interest rates rise. Everybody can imagine what happens if the Fed hikes its rates.

So, my major screening focus goes to cheap stocks, stocks with a low price to earnings ratio. Below is a list of the 20 cheapest healthcare dividend stocks with a forward P/E of less than 15. Health care plans companies are currently the cheapest choice in the list. Two High-Yields are part of the results and fifteen companies are recommended to buy.


20 Of The Best Yielding Healthcare Growth Stocks For The Next Years

Healthcare dividend stocks with best yields and big growth perspectives originally published at "long-term-investments.blogspot.com". 

The healthcare sector is one of my favorite sectors behind the consumer goods sector. I love stocks from the medical equipment and appliances industry. Sure they offer a lower dividend but most of the stocks are major diversified in terms of international sales and they have a wonderful growth perspective.

Stocks from the whole healthcare sector have a total market capitalization of USD 66.298 billion. The average stock from the sector has a P/E of 26.63 and yield at 3.32 percent. These are very attractive figures from the earnings perspective. Debt is also high with a long-term debt to equity ratio of 88.63. As a result, the return on equity amounts to 17.61 percent.


Today I like to show you the best yielding healthcare growth opportunities at the market. I screened all healthcare stocks with a positive dividend payment and double-digit earnings per share growth for the next five years.


Nearly 40 companies fulfilled these criteria but some of them pay only very low dividends. Below is a small list of 20 stocks with the highest yield. Eleven of the results have a buy or better rating.

The Best Healthcare Growth Picks Of The Next Five Years

Healthcare Dividend Stocks With Highest Expected EPS Growth Researched By “long-term-investments.blogspot.com”. I like healthcare companies because the sector is a long-term growth area due to the ongoing aging population. The sector is a 46.1 trillion bet on stronger than expected health diseases with a current dividend yield of 3.20 percent. We know that the sector is very political driven because heath is a question of cost and money. 80 percent of the world’s population cannot finance a solid medical-aid, medical-care ore even an old-care. The best dividend stocks within the sector still come from the major drug manufacturing industry as well as from the medical practitioners industry.

I made a little screen of the best large capitalized stocks with the highest expected earnings per share growth for the next five years. The industry with the biggest earnings forecast is definitely the biotechnology industry, followed by medical appliances and equipment stocks. But those companies pay no dividends. I focused on stocks with a positive yield and a double-digit earnings growth. Finally, fourteen companies remained of which all are currently recommended to buy. The mostly represented companies are from the healthcare plans industry.

7 Most Profitable Healthcare Dividend Stocks With Great Yields

Healthcare Dividend Stocks With High Return On Investments And Big Operating Margins Researched By Dividend Yield - Stock, Capital, Investment. Healthcare dividend stocks delivered a fantastic return over the recent twenty years. Now, they are struggling due to the fact that most of their patents are drain off within the upcoming years. They have no serious alternative to compensate the expected revenue losses and to drive growth. Companies with high margins will survive the consolidation best. Here is a little screen of dividend stocks from the healthcare sector that have the best margins and returns. Both measured by a return on investment and an operating margin of more than 20 percent. Seven stocks fulfilled these criteria of which five come from the drug manufacturing industry. Also five have a current buy or better recommendation.

11 Cheapest Healthcare Stocks To Consider

Cheapest Healthcare Stocks to Consider by Dividend Yield - Stock, Capital, Investment. Cheap stocks are necessary for good total returns. If the company is in a sector with rosy perspectives too, there could no better investment.

I screened the healthcare sector by stocks with 3 pricing ratios. At first, I selected the forward price to earnings ratio and chose a value of less than 15. This ratio considers the future growth and is in my view a better indicator than the current price to earnings ratio. Second, I used the price to sales ratio with a value of under 1. This ratio shows me how many stocks are cheaper than the actual market capitalization. It also delivers me many low margin stocks, such stocks have in my view margin upside potential. Finally, I sorted my results by highest dividend yield.

As result, I had 59 interesting stocks of which 11 pay dividends. Nearly half of my results came from the healthcare plans industry.

Here are my 3 most promising stocks from the screening results:
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1. WellPoint (WLP) is acting within the healthcare plans industry. The company has a market capitalization of USD 23.6 billion, generates revenues in an amount of USD 59.2 billion and a net income of USD 2.9 billion. It follows Price/Earnings ratio is 8.7 and forward price to earnings ratio 8.5, Price/Sales 0.4 and Price/Book ratio 0.9. Here are additional dividend information: Dividend Yield: 1.53 percent | Years of Consecutive Dividend Increasing: 0 Years | 5-Year Dividend Growth: 0 percent | Dividends Since 2011 |

2. Universal Health Services (UHS) is acting within the hospitals industry. The company has a market capitalization of USD 4.5 billion, generates revenues in an amount of USD 6.1 billion and a net income of USD 271.8 million. It follows Price/Earnings ratio is 16.7 and forward price to earnings ratio 10.2, Price/Sales 0.7 and Price/Book ratio 2.2. Here are additional dividend information: Dividend Yield: 0.4 percent | Years of Consecutive Dividend Increasing: 2 Years | 5-Year Dividend Growth: 4.8 percent | Dividends Since 2003

3. Unitedhealth Group (UNH) is acting within the healthcare plans industry. The company has a market capitalization of USD 52.0 billion, generates revenues in an amount of USD 98.4 billion and a net income of USD 4.9 Billion. It follows Price/Earnings ratio is 10.8 and forward price to earnings ratio 10.1, Price/Sales 0.5 and Price/Book ratio 1.9. Here are additional dividend information: Dividend Yield: 1.4 percent | Years of Consecutive Dividend Increasing: 1 Year | 5-Year Dividend Growth: 132.69 percent | Dividends Since 1990 |

Take a closer look at the full table. The average price to earnings ratio (P/E ratio) of the list amounts to 12.35 while the average forward price to earnings ratio is 10.15. The dividend yield has an average value of 1.29 percent. Price to book ratio is 1.69 and price to sales ratio 0.62. The average operating margin amounts to 8.78 percent.

Cheap Healthcare Stocks (Click to enlarge)

Related stock ticker symbols:
NHC, SPAN, WLP, AET, HUM, UNH, ENSG, CHE, UHS, IVC, CI

Selected Articles:
· 10 Biggest Player In Healthcare Plans Industry