AbbVie Inc. (ABBV)

Good entry point. Main drug Humira is $20B per year, and yes, its patent will expire in 2021. But they've been reinvesting that cash cow in other drugs. Paying 9x earnings, so it's cheap. Could consolidate around $100. Great dividend, balance sheet. Own it in a basket.

Likes it, even though flat this year. Pays a nice dividend of 4.1%, which is expected to grow. Likes the healthcare space. Hold on to it and collect the dividend.

This is a fine company. Its primary product is Humira, the most successful drug in the history of the pharmaceutical industry. It represents about 60% of AbbVie’s earnings, which means that AbbVie’s portfolio is not well diversified. This is not unusual for pharma companies. The drug will not go off patent for a few years, but the clock is ticking. The question to ask is whether the company has good replacements in the works.

Is the yield sustainable? They are one of the largest biotech companies out there. They have one primary drug called Humera. It is an $18 billion dollar drug. They made a number of acquisitions. He sees the dividend as sustainable. Good valuation.

Nice little pharmaceutical name. 23% EPS growth. Trading at a reasonable 12 multiple. At these levels is OK to accumulate.

A bad acquisition two years ago hit them badly after that new company suffered a negative drug trial. Then, the stock dropped and he sold. There's probably still value in this stock, but he'd rather buy something else.

A spin-off from Abbott Laboratories (ABT-N). Strong exposure to immunology and oncology medicines. Dividend Yield of 4.2%. The stock sold off because they had a setback on a cancer drugs, but it is overdone in his opinion. Great way to own a strong growing pharma company. (Analysts’ price target is $120.27)

He holds this in a pure technical system portfolio. It was down 13% yesterday and they decided to step in. A lung cancer drug recently announced disappointing results. They see health care in a secular bull market. A hot pick today.