5 Health Care Stocks Gurus Are Buying

Gilead on the list

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Jan 03, 2019
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According to the GuruFocus All-In-One Screener, the following health care stocks are popular among guru investors.

Express Scripts Holding Co. (ESRX) is held by 20 gurus. The company, which provides health care management and administration services, has a market cap of $52.06 billion. Its revenue of $101.35 billion has grown 17.70% over a 10-year period.

The stock is trading with a price-earnings ratio of 10.79. As of Tuesday, the share price of $92.33 is 9.24% below its 52-week high and 37.95% above its 52-week low. Over the last 10 years, it has returned a 223% gain.

The company’s largest shareholder among the gurus is Dodge & Cox with 7.08% of outstanding shares, followed by the Barrow, Hanley, Mewhinney & Strauss with 2.4%, Larry Robbins (Trades, Portfolio) with 1.53% and David Abrams (Trades, Portfolio) with 0.57%.

Twenty-four gurus have positions in Gilead Sciences Inc. (GILD). The biopharmaceutical company has a market cap of $86 billion. Its revenue of $22.28 billion has grown 28% over a 10-year period.

The stock is trading with a price-earnings ratio of 55.39. The current price of $66 is 30.14% below its 52-week high and 3.70% above its 52-week low. Over the past decade, it has returned a gain of 145%.

Dodge & Cox is the largest guru shareholder of the company with 1.27% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.51%, Jim Simons' (Trades, Portfolio) Renaissance Technologies with 0.35% and T Rowe Price Equity Income Fund (Trades, Portfolio) with 0.27%.

Henry Schein Inc. (HSIC) is held by six gurus. The provider of health care products and services, has a $11.96 billion market cap. Its revenue of $13.14 billion has grown 9.40% over the last 10 years.

The stock is trading with a price-earnings ratio of 28.93. The current price of $74 is 14.04% below its 52-week high and 25.51% above its 52-week low. Over the past decade, it has returned a gain of 313%.

The company’s largest guru shareholder is Mario Gabelli (Trades, Portfolio) with 0.17% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.13%, David Carlson (Trades, Portfolio) with 0.11% and Ken Fisher (Trades, Portfolio) with 0.07%.

Invacare Corp. (IVC) is held by six gurus. The company, which manufacturers medical equipment used in non-acute care settings, has a market cap of $142.76 million. Its revenue of $978.12 million has fallen 5.70% over the last 10 years.

The stock is trading with a price-book ratio of 0.39. The current price of $4.3 is 78.50% below its 52-week high and 40.98% above its 52-week low. Over the last 10 years, it has returned a loss of 72%.

With 6.52% of outstanding shares, Barrow, Hanley, Mewhinney & Strauss is the company's largest guru shareholder, followed by Chuck Royce (Trades, Portfolio) with 5.24% and Mariko Gordon (Trades, Portfolio) with 4.78%.

Laboratory Corp. of America Holdings (LH) is held by 14 gurus. The provider of comprehensive clinical laboratory has a $12.75 billion market cap. Its revenue of $11.42 billion has grown 11.30% per annum over the last 10 years.

The stock is trading with a price-earnings ratio of 8.79. The price of $126.36 is 33.62% below its 52-week high and 5.85% above its 52-week low. Over the last 10 years, it has returned a gain of 92%.

The company’s largest guru shareholder is Pioneer Investments (Trades, Portfolio) with 2.25% of outstanding shares, followed by John Rogers (Trades, Portfolio) with 1%, Simons’ firm with 0.62% and Wallace Weitz (Trades, Portfolio) with 0.61%.

Disclosure: I do not own any stocks mentioned.

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