15 Possible Healthcare Breakout Stocks

Here is a list of 15 stocks I'll be watching for the week of June 22, 2009. Although the coverage of the Swine Flu has dwindled somewhat, as the Google (GOOG) news article timeline shows below, it is still a serious issue and could spark interest among the Pharma stocks.

click timeline to enlarge

There has also been increased coverage of the healthcare sector due to the Obama administration’s plan (still don't know what to think of this). Therefore I decided I would devote this weekly breakout report only on stocks from the Healthcare sector

These are the current highest bull/bear rated stocks my screener has returned for the medical field (Bull:Bear ratio after each stock ticker). I have also indicated after each stock the Investor’s Business Daily (IBD) rating for each (Rating from 1 to 99, 99 being the highest composite rating; indicated after Bull:Bear ratio).

To get a detailed definition of the bull/bear components check my Bull/Bear Ratio Defined Blog post by clicking here. To get a detailed list of criteria IBD uses to rate these stocks click here.

1. DexCom Inc (DXCM) 13:0 (IBD Rated 82)
2. MTS Medication Technologies (MTSI) 12:0 (IBD Rated 96)
3. Nymox Pharmaceutical (NYMX) 11:0 (IBD Rated 82)
4. AstraZeneca (AZN) 10:0 (IBD Rated 91)
5. Rockwell Medical Technologies (RMTI) 13:1 (IBD Rated 45)
6. Owens and Minor Inc (OMI) 11:1 (IBD Rated 63)
7. Spectrum Pharmaceuticals (SPPI) 10:1 (IBD Rated 98)
8. Chindex International (CHDX) 10:1 (IBD Rated 91)
9. Young Innovations (YDNT) 10:1 (IBD Rated 88)
10. Accuray (ARAY) 10:1 (IBD Rated 83)
11. MannKind Corporation (MNKD) 10:1 (IBD Rated 82)
12. Haemonetics Corp (HAE) 11:2 (IBD Rated 77)
13. Gilead Sciences (GILD) 10:2 (IBD Rated 90)
14. Celgene (CELG) 10:2 (IBD Rated 80)
15. Amgen (AMGN) 9:2 (IBD Rated 79)

I will be watching these stocks closely, especially on weakness. I am most interested in DexCom, MTS Medication Technologies, and Spectrum Pharmaceuticals. I will be looking to get into them on weakness. If they offer options, I may choose to speculate by purchasing Calls, or using the buy/write option strategy (for more info on these strategies click here).

Disclosure: No positions

Comments

[ETF Grind:]

Yeah I think the eve of healthcare's nationalization is the perfect time to invest in the industry.

Jun 22 02:44 AM

[Ellito:]

Mr. Hickey,
Thanks for the info.
Nice to know.

Jun 22 09:03 AM

[jimmy Turano:]

VERY GOOD ARTICLE! I noticed you left out a stock that has had more news announcements than a half dozen stocks in the last 8 weeks. FDA approval, completion of new issuance of $10 million dollars, paying off a loan recently, got full control over its gene technology, and the stock os only $1.56. The stock is 'MRNA'.
SHAREHOLDERS BELIEVE IT WILL BE ANOTHER 'SIRNA'.
In my opinion, since they are a PRE-CLINICAL DEVELOPMENT company, they need to contain their expenses more, get some earnings, and maybe in 2-3-4 years then re-evaluate this stock.
What is your perspective Mr.Hickey?

Jun 22 10:50 AM

[ETF Grind:]

Today big pharma announced price controls from the White House.

Yep. EXCELLENT time to invest in pharma.

Jun 22 12:10 PM

[Jerry Reynolds:]

excellent time to invest in pharma

Jun 22 05:15 PM

[marcusky:]

following this san diego company for the past 8 months, i cannot believe they were ever below 2 bucks. the officers in the company never sell their stock. dxcm has a better mousetrap. medtronic is the sales leader in the arena. is j&j, a medtronic bitter rival, on the lookout for a a local san diego diabetic research company? (who isn't) dxcm just hired a new vice-president of sales. well, what do u know, he came from j&j, formerly handling various small companies in alliance with his previous employer of 20 years. maybe dxcm is paying him more!? what say ye chief? is this in the calculation? is time to load up? or is the recent run up rally all ready factered into this triple banger since december of 2008?

Jun 22 05:21 PM

[finmah@yaho...:]

You want us to invest in healthcare - but you don't know what to make of a very controversial plan that has been in the news since the campaign and will require a political majority. We have heard from every corner that this is a wonderful plan that will reduce costs. That should impact some of these stocks. I think the best advice is to follow the money on this one.

Jun 29 12:08 PM

[Marco Hickey:]

I don't want anyone to invest in anything. These are companies I am watching and decided to share it.


On Jun 29 12:08 PM [e-mail] wrote:

> You want us to invest in healthcare - but you don't know what to
> make of a very controversial plan that has been in the news since
> the campaign and will require a political majority. We have heard
> from every corner that this is a wonderful plan that will reduce
> costs. That should impact some of these stocks. I think the best
> advice is to follow the money on this one.

Jun 29 12:30 PM