Cardinal Health Inc (CAH)

Likes their purchase of a urology company. He targets $300.

1 of 3 major distributors in healthcare. Demographics of the aging population and increased prescriptions provide secular tailwinds. Trades at 16x forward PE for 13% EPS growth, nearly a 1x PEG ratio. Low beta. Consistent earnings growth. Stock's down because they bought Solaris, so a buying opportunity. Yield is 1.35%.

Two weeks ago they delivered a great quarter: double-digit earnings growth and raised full-year earnings forecast, though missed earnings. Shares jumped to new highs, but then Trump announced he would slash drug prices (he needs Congress to approve). Likes them. They offer value-added services and are not merely drug distributors, but there are better sectors to invest in.

All-time high today. Probably overbought, with RSI at 77, so don't buy more today. Very little competition. Pricing power. Aging demographics. US medication usage can only increase over time, especially weight-loss segment.

9% forecast growth rate, trading ~14x forward PE. Not a bad valuation to growth rate. Great chart of higher highs and higher lows. Outpacing S&P since late 2021. Pricing power and favourable demographics. Yield is 1.6%.

3rd largest pharmacy distributor in the USA. Good job at new products and pricing strategy. Has recently streamlined operations. However, stock price fully valued. Would recommend buying on weakness (below $95/share). 

Healthcare space provides nice combination of growth with stability, in case we get into latter stage of economic cycle. 

Likes, and owns. As people age, volume of drugs required can only increase, benefiting a name like this.

Scores 4/10 on value, 3/10 on fundamentals. Try to avoid. If you're in it and looking for an exit, now's not a bad time because it's had a pop YTD. Only about 4% more upside to analysts' price targets.

She prefers larger, less volatile companies that are a bit more secure. Try UNH or big US pharmaceuticals.

Last week, they reported a top and bottom line beat and raised guidance. Q4 revenue grew 12% YOY

XLV gives you a basket of names, with some winners and some losers. LLY is the top holding, that's a winner. Also holds JNJ and PFE, which haven't done particularly well. 

He owns NVO, MCK and CAH. He likes those companies where the only serious competition comes from 1 or 2 others, as they can control pricing power. Diabetes and weight loss are definite growth areas. See his Top Picks.

In pharma space, prefers growthy areas such as distributors like CAH and MCK.

Healthcare strong, but stock performance mediocre. Will host CEO to get more answers. 

Recently sold at slight loss, EPS won't have the growth trajectory he thought. Announcement out of left field that they lost a contract and revenue would decline substantially. Reasonably stable business. Over time, will probably be an OK holding. But now market won't have the same confidence in management to execute, stock will be hobbled. He'd look again on further decline.