If you’re interested in buy and hold investing then I think the healthcare sector is one of the best places to look for ideas right now.
This is due to the long-term growth potential of the sector from increased chronic disease burden and ageing and growing populations.
Three top healthcare shares that I believe could be worth considering with a long-term view are as follows:
Cochlear Limited (ASX: COH)
Cochlear is one of the world’s leading hearing solutions companies and a great buy and hold investment option in my opinion. In a recent presentation management estimated that there are 15 million people globally that could benefit from a cochlear or bone conduction implant. This means that implantable hearing solutions have penetrated less than 5% of the total addressable market, giving Cochlear a significant runway for growth.
Nanosonics Ltd (ASX: NAN)
Nanosonics is the infection control specialist behind the popular trophon EPR product. This product has been growing its installed base at a strong rate over the last few years due to being wholly effective and regarded as the best in its class. At the end of FY 2018 the total global installed base had grown 25% to 17,740 units. This means that Nanosonics has just 15% of the overall market opportunity estimated to be 120,000 units globally. I think it is well positioned to continue growing its installed base over the next decade.
Volpara Health Technologies Ltd (ASX: VHT)
At the small end of the market I think Volpara Health Technologies is a great long-term option for investors. The healthcare technology company provides an increasingly popular breast imaging analytics and analysis software. It has been growing its share of the U.S. breast screening market at an impressive rate over the last 12 months, leading to a significant jump in annual recurring revenues. I expect more of the same in FY 2019 and beyond due to the quality of its offering and recent product enhancements.
In addition to those healthcare shares, I think these fintech stars could be great long-term options.
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Nanosonics Limited and VOLPARA FPO NZ. The Motley Fool Australia has recommended Cochlear Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.