Although the healthcare sector has been one of the better performing areas of the market this year, I don't think it is too late to gain exposure to it.
Three healthcare shares which I think would be great options for investors today are listed below. Here's why I like them:
Greencross Limited (ASX: GXL)
This integrated pet care company's shares currently change hands at just 16x trailing earnings. I think this is great value for a company growing at a solid rate in a weak consumer environment. For the first 16 weeks of FY 2018 Greencross reported a 5.4% increase in Australian Veterinary like-for-like sales and an 8.5% increase in group total sales. I believe the rollout of its in-store clinics will be a key driver of growth over the coming years. In-store clinics are currently found in 17% of its stores, but management is targeting over 60% in the future.
Medical Developments International Ltd (ASX: MVP)
Due to the global expansion of this healthcare company's Penthrox pain management product, I believe Medical Developments International could be one to watch in 2018. The company is working towards making Penthrox the analgesic of choice around the world and I believe it has a great chance of succeeding. At present Penthrox is available in 16 countries worldwide, but over the next 12 months the company expects to have it approved for sale in more than 37 new countries. Its shares are expensive, though, so investors may want to wait for them to drop back a touch.
Nanosonics Ltd. (ASX: NAN)
Due to being regarded as best in class, environmentally friendly, and wholly effective at disinfecting ultrasound probes, this infection control specialist's popular trophon EPR product has seen its installed base grow at a rapid rate over the last few years. Despite its strong growth, management estimates its share of the global market stands at just 12%. I expect it will continue to capture market share over the next few years and become increasingly profitable as it scales.
