The healthcare market is huge. Americans alone spend more than $3 trillion each year to keep healthy. The numbers only get crazier when you include the rest of the world.
A market that big is bound to create opportunities for investors. So which healthcare stocks do we have our eyes on right now? We asked a team of Motley Fool contributors to weigh in, and they called out Insulet (NASDAQ: PODD), HealthEquity (NASDAQ: HQY), and CVSHealth (NYSE: CVS).
Todd Campbell (Insulet): Investor interest in Insulet slipped following Tandem Diabetes Care's (NASDAQ: TNDM) foray into automated insulin delivery last year. However, shares could rebound ahead of Insulet's own automated solution launching in 2020.
Despite Tandem Diabetes' t:slim X2 rollout, Insulet still managed to deliver solid double-digit sales growth last year. Expanded Medicare and Medicaid access helped full-year revenue increase 22% to a record $563.8 million. Sales growth and improving margins because of volume growth and bringing European sales in-house resulted in Insulet reporting its first full-year operating profit last year, too.
In 2019, shifting to the pharmacy channel will create a $68 million revenue headwind because it eliminates upfront product revenue; however, the move to pay-as-you-go pricing is expected to be revenue neutral for the full year. Insulet expects sales will climb 17% to 22%, to between $662 million and $687 million this year. Also, management expects a mid-single-digit operating margin this year, despite R&D and manufacturing investments.
The launch of its Horizon automated insulin system in the second half of 2020 could be a significant catalyst. Management is targeting over $1 billion in sales and mid-teens operating margin in 2021. The potential for ongoing Omnipod growth and Horizon's availability next year suggest this company's on the cusp of a big move higher over the next couple years.
Brian Feroldi (HealthEquity): I'm a picky investor. I only like to get behind companies that are growing fast, have a great management team, are addressing a massive opportunity, and are already profitable. That's asking a lot of any business, but HealthEquity aces my test with ease.
HealthEquity is the No. 2 provider of health savings accounts (HSAs) in the U.S. HSAs have taken off in popularity over the last decade because they offer a triple-tax benefit that helps employers and employees to reduce their health insurance costs.
This might sound like a boring business, but it produces mouth-watering financials. HealthEquity monetizes its customers in four separate ways, which makes its top line very predictable. The company has also reached a scale that allows it to crank out consistent profits and drive its margins higher. These factors have led to amazing growth on the bottom line.
HealthEquity's financial statements alone make this a great business to study, but I'm equally as impressed with the people running the show. The company's founder is a former trauma surgeon and also the younger brother of JetBlue's founder. HealthEquity CEO Jon Kessler is an entrepreneur himself and gets high praise from employees on sites like Glassdoor.
To top it all off, HealthEquity believes that it is still in the very early days of its growth phase and that the opportunity ahead of the business is huge. Wall Street agrees and is currently projecting that earnings will grow in excess of 24% annually over the next five years.
HealthEquity checks off all of the boxes that I look for in a great investment. When that happens, I don't mind paying up to get my hands on the stock. That's why I think the company is still a great company to check out today, even though shares are trading for more than 60 times next year's earnings estimates.
Chuck Saletta (CVS Health): If you've ever needed more healthcare than a standard checkup or basic preventive services, you probably know how confusing and time-consuming the process can be. The doctor, the insurance company, the pharmacy, the lab service, and virtually everyone and everything else involved all have their own sets of processes, guidelines, and paperwork.
With all that is involved, you almost can't help but wonder how much of the cost is driven by the overhead and other process and paperwork, rather than the actual practice of medicine itself. There's clearly a need to break through all that clutter and drive efficiency, simplification, and streamlined healthcare service delivery. If there's one company that's well positioned to do that, it's CVS.
Since its recent acquisition of health insurer Aetna, CVS now operates a substantial vertically integrated healthcare delivery system. You can get insured by CVS/Aetna, seek out basic healthcare at a Minute Clinic inside a CVS store, get your prescription filled at the CVS pharmacy, and find over-the-counter treatments on CVS' shelves. With one company in the mix instead of several, it should be possible to minimize the overhead costs, delivering savings to consumers while still earning a fair return.
Despite that incredible potential, CVS' shares can be purchased at a relative bargain of less than eight times the company's anticipated earnings. At that price, combined with its 3.8% yield, even if the company doesn't revolutionize healthcare delivery, investors buying today are getting a decent chance at a reasonable return for their risks.
一个巨大的市场必将为投资者创造机会。那么我们现在关注的是哪些医疗类股？我们让一组 Motley Fool 贡献者参与进来，他们给出了 Inslet （ NASDAQ ： PODD ）、 HealthEquity （ NASDAQ ： HQY ）和 CVSHealth （ NYSE ： CVS ）。
托德·坎贝尔（胰岛素）：投资者对胰岛素的兴趣随着 Tandem 糖尿病护理公司（ NASDAQ ： TNDM ）去年开始进入自动化胰岛素交付领域而下滑。然而，在2020年推出 Inslet 自己的自动化解决方案之前，股价可能会反弹。
尽管 Tandem Diabetes't ： X2的推出不多，但去年胰岛素仍实现了两位数的强劲销售增长。扩大的医疗保险和医疗补助计划帮助全年收入增长22%，达到创纪录的5.638亿美元。由于销量增长和欧洲内部销售的增加，销售增长和利润率提高，去年 Inslet 也实现了第一个全年营业利润。
2020年下半年启动 Horizon 自动化胰岛素系统可能是一个重要的催化剂。管理层的目标是在2021年实现超过10亿美元的销售额和中青年的营业利润率。Omnipod 的持续增长和 Horizon 明年的上市潜力表明，该公司在未来几年将面临更高的涨幅。
Brian Feroldi （ HealthEquity ）：我是一个挑剔的投资者。我只喜欢落后于那些发展迅速、拥有优秀管理团队、正在寻求巨大机遇、已经盈利的公司。这需要很多业务，但 HealthEquity 轻松通过了我的测试。
HealthEquity 是美国第二大健康储蓄账户（ HSA ）提供商。在过去十年中， HSA 因提供帮助雇主和雇员降低健康保险成本的三重税收优惠而广受欢迎。
仅 HealthEquity 的财务报表就让这项业务成为一项值得研究的伟大业务，但我同样对举办该节目的人印象深刻。该公司的创始人是前创伤外科医生，也是 JetBlue 创始人的弟弟。HealthEquity 首席执行官乔恩•凯斯勒( Jon Kessler )本人就是一位企业家，在 Glassdoor 等网站上受到员工的高度赞扬。
最重要的是， HealthEquity 认为其仍处于成长阶段的早期阶段，业务面前的机会是巨大的。华尔街对此表示赞同，目前预计未来五年收益将以每年超过24%的速度增长。
Chuck Saletta （ CVS Health ）：如果你需要的医疗保健比标准的检查或基本的预防服务更多，你可能知道这个过程会有多混乱和耗时。医生、保险公司、药房、实验室服务，以及几乎所有涉及的所有人和其他所有人都有自己的过程、指南和文件。
考虑到所有这些，你几乎不能帮助，但想知道有多少成本是由管理费用和其他过程和文书工作，而不是实际的医疗实践本身。显然，有必要打破所有这些混乱和推动效率，简化和精简医疗服务提供。如果有一家公司做得很好，那就是 CVS 。
自最近收购健康保险公司安泰（ Aetna ）以来， CVS 目前运营着一个实质性的垂直整合的医疗服务系统。您可以通过 CVS / Aetna 投保，在 CVS 店内的一家分钟诊所寻求基本的医疗保健，在 CVS 药房购买处方，并在 CVS 货架上找到非处方药。在一个公司的混合，而不是几个，应该有可能最大限度地减少管理费用，提供节省消费者，同时仍然赚取公平的回报。
尽管有这种惊人的潜力， CVS 的股票还是可以以低于公司预期收益8倍的相对价格购买。以这样的价格，再加上3.8%的收益率，即使该公司没有彻底改革医疗服务的交付，投资者今天买入的股票获得了合理的风险回报。