5 Health Care Stocks Gurus Are Buying

Johnson & Johnson tops the list

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According to the GuruFocus All-In-One Screener, the following health care stocks are popular among gurus.

Johnson & JohnsonJNJ is held by 32 gurus

The company, which operates in the pharmaceutical, medical devices and diagnostic areas, has a market cap of $362.89 billion. Its revenue of $51.89 billion has grown 2.80% over a 10-year period.

The stock is trading with a price-earnings ratio of 25.31. The current share price of $136.68 is 8.26% below its 52-week high and 13.80% above its 52-week low. Over the last 10 years, it has returned 145%.

The company’s largest shareholder among the gurus is Ken Fisher (Trades, Portfolio) with 0.43% of outstanding shares, followed by Barrow, Hanley, Mewhinney & Strauss with 0.24% and Yacktman Asset Management (Trades, Portfolio) with 0.18%.

Pfizer Inc. PFE is held by 22 gurus

The company, which develops medicines and vaccines, has a market cap of $237.46 billion. Its revenue of $53.89 billion has grown 2% over the past decade.

The stock is trading with a price-earnings ratio of 21.90. The current share price of $43 is 8.09% below its 52-week high and 19.54% above its 52-week low. Over the past decade, it has returned 198%.

Fisher is the company's largest guru shareholder with 0.77% of outstanding shares, followed by Barrow, Hanley, Mewhinney & Strauss with 0.37%, Pioneer Investments (Trades, Portfolio) with 0.22%, the T Rowe Price Equity Income Fund (Trades, Portfolio) with 0.17% and Diamond Hill Capital (Trades, Portfolio) with 0.14%.

Merck & Co Inc. MRK is held by 28 gurus

The company, which develops medicines in therapeutic areas, has a $209.68 billion market cap. Its revenue of $43.07 billion has grown 2% over the last 10 years.

The stock is trading with a price-earnings ratio of 25.68. The current price of $81.44 is 2.87% below its 52-week high and 36.19% above its 52-week low. Over the past decade, it has returned 214%.

The company’s largest guru shareholder is the Vanguard Health Care Fund (Trades, Portfolio) with 0.70% of outstanding shares, followed by Fisher with 0.33%, Pioneer Investments with 0.30%, PRIMECAP Management (Trades, Portfolio) with 0.13% and Spiros Segalas (Trades, Portfolio) with 0.13%.

Novartis AG NVSÂ is held by 16 gurus

The provider of branded drugs, generic pharmaceuticals and eye care products has a market cap of $201.50 billion. Its revenue of $51.69 billion has grown 0.10% over a 10-year period.

The stock is trading with a price-earnings ratio of 16.75. The current share price of $88 is 1.07% below its 52-week high and 37.84% above its 52-week low. Over the last 10 years, it has returned 150%.

With 1.56% of outstanding shares, Dodge & Cox is the company's largest guru shareholder, followed by PRIMECAP Management with 1.03%, Fisher with 0.34%, Jim Simons (Trades, Portfolio)’ Renaissance Technologies with 0.14% and Steven Cohen (Trades, Portfolio) with 0.06%.

Abbott Laboratories ABT is held by 22 gurus

The company provides medical devices, blood glucose monitoring kits and branded generic drugs. It has a $141.29 billion market cap. Its revenue of $30.72 billion has declined 2.40% over the last 10 years.

The stock is trading with a price-earnings ratio of 54.85. The current share price of $81 is 0.81% below its 52-week high and 32.79% above its 52-week low. Over the past decade, it has returned a gain of 274%.

The company’s largest guru shareholder is the Vanguard Health Care Fund with 0.93% of outstanding shares, followed by PRIMECAP Management with 0.66%, Diamond Hill Capital with 0.40% and Mairs and Power (Trades, Portfolio) with 0.17%.

Disclosure: I do not own any stocks mentioned.

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