As well as healthcare stars such as Ramsay Health Care Limited (ASX: RHC), I believe the local share market is home to a number of fledgling healthcare companies with very bright growth prospects.
Two quality small-cap healthcare shares flying under the radar are listed below. Here's why I think they are worth a look:
National Veterinary Care Ltd (ASX: NVL)
This leading veterinary company is one of my favourite buy and hold investment options in the small-cap space. With pet ownership in Australia and New Zealand at high levels, I believe National Veterinary Care is in a solid position to continue its stellar performance.
In FY 2017 National Veterinary Care reported an impressive 51% increase in revenue to $66.9 million. Whilst the acquisition and integration of 14 veterinary services businesses during FY 2017 played a part in this growth, the company did post strong organic growth as well. I expect this to continue to be the case in FY 2018.
Zenitas Healthcare Ltd (ASX: ZNT)
Zenitas is a recently listed home care and health services company which operates through 54 locations nationwide. Thanks to the Federal government aiming to move the burden of healthcare services from hospitals to primary care via the National Healthcare Reform, I believe Zenitas is in a great position to profit over the next few years.
Furthermore, due to the highly fragmented nature of the healthcare industry, management believes there is an opportunity for the company to grow significantly through acquisitions. I believe this and its solid organic growth prospects makes Zenitas one to watch.
