Image source: Getty Images
Due to tailwinds such as an aging population and improved technologies and treatments, the demand for healthcare services is expected to rise sharply over the coming decades.
In light of this, the healthcare sector might be a good place to consider investing with a long-term view. But which stocks should you consider buying? Two highly rated ASX healthcare stocks to consider are listed below:
Pro Medicus Limited (ASX: SME)
The first healthcare share that might be in the buy zone right now is Pro Medicus. It provides medical imaging technology that facilitates the clinical evaluation of medical images.
The company notes that its Visage 7 enterprise imaging platform enables imaging organizations to do things they’ve always wanted to do, but never been able to. Face 7 offers immediate differentiation for imaging organizations looking to move beyond the status quo of standardized legacy PACS.
Demand for its offering has risen sharply over the past few years, supporting rapid revenue and profit growth. The good news is that the Bell Potter team believe this solid form can continue.
For example, the broker forecasts net profit growth of 48% to $44.9 million in fiscal 2022. After which, it expects the company’s profit to reach $55.6 million. dollars in fiscal year 2023 and then $82.2 million in fiscal year 2024.
Bell Potter has a buy rating and price target of $55.00 on shares of Pro Medicus.
Another ASX healthcare stock that could be a hot option for investors right now is ResMed. It is a medical device company specializing in sleep therapy products.
This includes cloud-based medical devices and software applications that diagnose, treat, and manage respiratory disorders, including sleep-disordered breathing, chronic obstructive pulmonary disease (COPD), neuromuscular diseases, and other chronic illnesses.
The good news is that with its significant market opportunity, growing prevalence of sleep disorders, and new product launches, it is expected to continue growing for the foreseeable future. Especially with one of its biggest rivals currently out of action as it battles a massive product recall.
Morgans is bullish on ResMed and currently has an added rating and $40.46 price target on its shares. The broker recently stated that “nothing changes our mid/long term view that the business remains well positioned as it builds a unique, patient-centric digital connected care platform that addresses key pinch points. of the healthcare value chain.