Is Cerner a Buy?
When looking for long-term investments, identifying big-picture themes and then isolating the companies exposed to those themes is a great approach. One of the most significant economic themes of this generation is the rising cost of healthcare globally but especially in the U.S. For years, healthcare costs have risen at a rate exceeding income growth. This trend is expected to continue over the next several decades as our population ages.
Technology can help the healthcare system operate more efficiently, and Cerner (NASDAQ: CERN) is a company with software and services that can help healthcare providers cut costs. Given its exposure to strong long-term trends, Cerner expects to grow its revenue and earnings at attractive rates, but does its strong market position and valuation support the idea of buying the stock?
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Source Fool.com
