Checking Up on Healthcare

by: Ockham Research

Today, we are taking a look at stocks in the Health Care sector using the Ockham Screener. Within Health Care, we are looking for stocks that both have an attractive valuation and also receive a best possible 5 out of 5 stars according to the Motley Fool CAPS. The CAPS crowd is our best resource for investor sentiment on individual stocks, as it comprises opinions collected from the millions of users of their system. As for valuation, we are utilizing the Ockham methodology of course. Accordingly, these are stocks that are trading for attractive levels of price-to-cash earnings, price-to-sales, and other fundamental criteria compared to historical norms. Also, we have confined our search to only stocks over $500 million in market cap.

Out of the 213 large and midcap stocks that we cover in the Health Care sector, only ten meet the criteria listed above. These stocks could serve as a starting point for value investors looking to dip there toes into the most Undervalued sector of all according to our methodology. For a further breakdown of our ratings on each of these stocks, we have attached our research reports to each stock in the list below.

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10 Undervalued Health Care Stocks the CAPS Crowd Loves

  1. Johnson & Johnson (NYSE:JNJ)
  2. Teva Pharmaceuticals (NASDAQ:TEVA)
  3. Becton, Dickinson and Co. (NYSE:BDX)
  4. Endo Pharmaceutical (NASDAQ:ENDP)
  5. Crucell N.V. (NASDAQ:CRXL)
  6. ViroPharma (VPHM)
  7. Amsurg Corp. (NASDAQ:AMSG)
  8. Othofix Int. (NASDAQ:OFIX)
  9. Given Imaging (GIVN)
  10. Exelixis (NASDAQ:EXEL)

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