Paul MacDonald

U.S. Large Cap Health Care Stocks include Manged Care, Pharma, Bio Tech, Medical Device makers. Health care is a huge chunk of the U.S. market. A lot of the big innovations and R&D happen in the U.S. Obesity drugs have been one of the hottest areas and a big drug development for Eli Lilly. Lots of exciting possibilities are in the pipeline.

It is trying to become vertically integrated in managed care, health insurance, doctors networks. It is attempting to be a turn-around story so wait until it executes on its strategy of becoming a conglomerate. There are other companies that are best in class already

It is a very diversified pharmaceutical business and is executing well. It is focused on an Alzheimer drug that still needs to be validated but looks promising. A real driver is Monjaro for Diabetes, hopefully ready by mid 2024. It also covers the obesity issue with a 22% weight loss production component. This is a massive amount of change in weight. It is phenomenal what they are doing. The stock has already climbed quickly so the price reflects built in high growth. Its drugs are needed for future population trends.

It is a biotech company well known for a cure for Hepatitis C which is off patent now. It made several acquisitions and has built out an HIV franchise. He needs to see execution on the oncology platform and elsewhere.

He is still waiting to get into a position. You are paying a higher multiple for 20% annualized growth. It is dominant in robotic assisted surgery devices which improve surgery results. It is a $20 billion market which is expected to double in the next few years. Higher growth stocks do get impacted by higher interest rates.

It is a defensive stock that is executing very well as a large health insurance company with its own physician networks and clinics. It administers Medicare and Medicaid and has a clear runway for double digit growth. Yield is 1.3%

It is a higher growth name and is the world's largest player in animal care. He still likes it - people still spend money on pharmaceuticals even in a downturn.

They used their sizeable cash flow for acquisitions. The question is have they overpaid. He still likes it but needs to see execution on their increased spending in R&D and M&A.

It has differing moving parts and has a growth component - lab samples go to their products associated with lab work. Personalized medicine is a major growth area and means more specific types of testing. This will benefit TMO

It has some real challenges from 2026 to 2030 when some of their drugs will come off patents. They will need to fill their pipeline. This is reflected in the 8X earnings multiple. As for Amgen, it has defensive characteristics but we need to make sure they execute their plans.

It is too small and volatile.

It is in life science tools diagnostics. Biological drugs are one component and it has 75% in recurring revenue from re-usables. Should benefit from long term growth in personalized medicine.

It demonstrates amazing execution. One of its therapies continues to be dominant with 400 studies on the go. Not too expensive.

The risk/return is elevated so be careful.

It is the largest hospital operator in the U.S. It is a defensive stock with consistent revenue but not consistent costs. It will continue to have issues with this and he wants to see more visibility on costs. It executes well.