2 Incredibly Cheap Healthcare Stocks
After the S&P 500's nearly 38% rise over the last 12 months, there aren't a lot of investing gurus out there calling the stock market cheap. There are different theories as to what has been driving share prices higher -- low interest rates, loose monetary policy, federal stimulus efforts, peak spending among the millennial generation, or some combination of those factors -- but most experts agree the market feels expensive. That said, there are still good deals on specific stocks to be had for investors ready to buy and hold companies focused on slow, steady growth.
Quest Diagnostics (NYSE: DGX) and Laboratory Corporation of America (NYSE: LH) are two examples. Between them, they dominate a vital and growing part of the healthcare system, with market shares of about 25% and 31%, respectively, in the otherwise fragmented medical diagnostics space. The pandemic threw a spotlight on that segment of the healthcare industry in 2020, and after a banner year, these two companies trade at valuations near their all-time lows.
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Source Fool.com
