While the stock market continues to fall, here are five health care that may be worth purchasing while they're cheap.
While the stock market continues its wild ride — down again Wednesday by more than 300 points — the majority of losses seem to be coming from bank stocks. Last week there was a sharp fall in health care stocks, but a Reuters article laid to rest some investor’s worries by stating that it was a “premature sell-off” and that the “sector’s underlying fundamentals remain strong.”
All of the sectors are down for the year except for Consumer Staples. Health Care is down by 14.21%, with Health Care Equipment and Services faring slightly worse than Pharmaceuticals, Biotechnology and Life Science stocks. Adventrx Pharmaceuticals Inc.’s stock recently tumbled when regulators rejected the company’s lung-cancer drug. The stock is down 55.51% from where it opened the day at $2.55.
But there may be hope yet. Seeking Alpha listed its five health care stocks that are likely to see a rebound.
recently fell to $34 but climbed up to its current price of $36.89. The stock is pretty cheap right now and might be worth picking up, according to Seeking Alpha.
Aetna Inc. (AET)
BioSante Pharmaceuticals, Inc. (BPAX) recently touched down to its 200-day moving average, but has since climbed up 6.34% and is trading at $2.31. According to Seeking Alpha, “Though the company has been unable to escape net losses over recent quarters, analysts and investors alike appear to remain confident in its future. … BioSante's current price should prove a tempting entry point for confident investors.”
CIGNA Corporation (CI) is down to $43.47 from a 52-week high of $52.95. “Though the stock has lost 13.32% of its value over the past month it still remains above its 200-day SMA and could easily bounce off of this resistance and continue upward,” according to Seeking Alpha.
Humana Inc. (HUM) recently fell from its 52-week high of $84.32 and is now trading at $71.75. According to Seeking Alpha, “The company holds a current analyst recommendation of 9 strong buys, 5 buys and 12 holds with a mean profit target of $88.74, 23.68% above the stock's current price.”
Unitedhealth Group, Inc. (UNH) fell from its 52-week high of $53.50 and is now trading at $44.73. Seeking Alpha liked Unitedhealth because it has continually increased its net profit. It has an analyst profit target that is 33.94% above its current price, which indicates confidence is strong in this stock.