With demand for healthcare services expected to rise considerably over the next couple of decades as populations age and better treatments are developed, I think it is well worth investors having exposure to the healthcare sector.
While there are many quality shares to choose from in the sector, three of my favourites are listed below:
Cochlear Limited (ASX: COH)
I think this leading hearing solutions company is one of the best buy and hold investment options on the local market. This is because I feel there are few shares on the ASX which stand to benefit as greatly as Cochlear from the ageing populations tailwind. As people age their hearing will invariably fade, making hearing products like those Cochlear develops and sells invaluable. This could allow Cochlear to continue its above-average earnings growth long into the future.
CSL Limited (ASX: CSL)
If you only buy one healthcare share I would make it CSL Limited. In my opinion the biotherapeutics company is one of Australia's highest quality companies and would be a great addition to most portfolios. I'm not alone in thinking this way either. A recent note out of Goldman Sachs reveals that its analysts have initiated coverage on CSL with a buy rating and $231.00 price target.
Pro Medicus Limited (ASX: PME)
This healthcare technology company may not be as well-known as CSL and Cochlear, but it could be one day. Pro Medicus has caught my eye due to its increasingly popular Visage 7 and Visage RIS platforms. While both platforms are impressive, the Visage 7 software is the standout for me. It provides radiologists and referring physicians with fast server-side rendered images streamed via an intelligent thin-client viewer. This allows users to have a customised protocol-driven workflow to natively view multi-dimensional imagery and a patient's complete imaging history.
