The Best ASX Healthcare Stocks
to buy Now In
june 2024

Check out our Industry Experts’ report and
analysis on the Best Healthcare Stocks right now on the ASX

The Best ASX Healthcare Stocks to buy Now In june 2024

Check out our Industry Experts’ report and analysis on the Best Healthcare Stocks right now on the ASX

Pathway to Investment in ASX Healthcare Stocks

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Before investing in these ASX healthcare stocks, or stocks in any other sector for that matter, investors should examine a company's earnings, revenue, and its market cap, capitalisation, cap and its market capitalisation first. Companies like Pro Medicus and CSL (among others companies) have managed to maintain steady earnings. Analysing the company's share price and valuation is crucial.

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A company's business success in other industries as the healthcare sector is often tied to its ability to develop and sell innovative healthcare products, treatments, and services that meet market demand. Clinical trials for new treatments are a good indicator of ASX healthcare stocks' future profit potential - if of course the clinical trials themselves are successful and regulators approve.                

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Investors should assess their risk tolerance before investing in healthcare companies and stocks. Although healthcare companies and stocks are generally considered defensive, investing the sector can still be affected by factors such as regulatory changes and advancements in technology. An individual's investment decision should be based on their financial goals, risk tolerance, and timeline.

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A Deep Dive into Top ASX Healthcare Stocks

The healthcare sector industry in Australia has been a significant growth area for companies in the Australian Securities Exchange (ASX) for years. Despite the volatility index of health care sector in the world of markets, the ASX healthcare sector index has shown defensive qualities due to consistent market demand for healthcare services, supplies pathology services and products.

The sector is home to a handful of established companies like CSL (ASX:CSL) that are world-renowned names and make multi billion dollar profits as well as a significant difference to the lives of many around the world. Then there are several dozen companies that are developing drugs of medical devices that they hope can become the next big blockbuster product, ranging from companies at the final clinical trial stage to companies that haven't even commenced clinical work yet.

ASX investors have made spectacular returns on certain companies that have realised this dream, such as Telix (ASX:TLX) and Neuren (ASX:NEU) in recent years. At the same time, it is a long hard slog to get a drug or device to market, and the dream can fail at multiple hurdles along the way, such as through clinical trials failing. And even established companies can endure challenges such as flat demand for their products, major cost inflation and competition. Investors in healthcare stocks have been concerned about the latter two issues with several big name stocks in the past year - specifically the weight loss drug Ozempic.

Ultimately, the ASX Healthcare sector presents several opportunities for investors to make money and to make it through companies making a major difference to the lives of the population.

3 Best ASX Healthcare Stocks to Buy Now in 2024

Pro Medicus Ltd (ASX: PME)

Pro Medicus is arguably the top ASX 200 healthcare stock. It is a leading provider of radiology software, having gone strength to strength with and selling its Visage software since picking it up in the aftermath of the GFC. The company reported an impressive net profit of $44.4m in FY22 off the back of $93.5m in revenue. It was a very successful year due to a series of new contract wins with US healthcare and life sciences and other providers of life sciences.

Telix Pharmaceuticals Ltd (ASX: TLX)

Telix Pharmaceuticals wouldn't have been on the list of top ASX healthcare stocks a few years ago. It only listed in 2017 and the company has aimed to bring its prostate cancer imaging product Illuccix in the USA market. This goal was achieved last year and sales have taken off. Telix's share price has steadily increased due to its success, something it has worked hard to achieve and that not all other health care equipment companies are able to achieve.

CSL (ASX: CSL)

Yes this is an easy choice and one that some investors may be doubting in the aftermath of a recent profit downgrade, but hear us out here. They are a global leader in the health care sector. CSL has two primary businesses: flu vaccines and blood products development – for influenza vaccines. In FY23, CSL is expecting a post-tax profit of US$2.8bn on an underlying basis and net profit of US$2.55bn in a statutory basis.

3 Best ASX Healthcare Stocks to Buy Now in 2024

Pro Medicus Ltd (ASX: PME)

Pro Medicus is arguably the top ASX 200 healthcare stock. It is a leading provider of radiology software, having gone strength to strength with and selling its Visage software since picking it up in the aftermath of the GFC. The company reported an impressive net profit of $44.4m in FY22 off the back of $93.5m in revenue. It was a very successful year due to a series of new contract wins with US healthcare and life sciences and other providers of life sciences.

Telix Pharmaceuticals Ltd (ASX: TLX)

Telix Pharmaceuticals wouldn't have been on the list of top ASX healthcare stocks a few years ago. It only listed in 2017 and the company has aimed to bring its prostate cancer imaging product Illuccix in the USA market. This goal was achieved last year and sales have taken off. Telix's share price has steadily increased due to its success, something it has worked hard to achieve and that not all other health care equipment companies are able to achieve.

CSL (ASX: CSL)

Yes this is an easy choice and one that some investors may be doubting in the aftermath of a recent profit downgrade, but hear us out here. They are a global leader in the health care sector. CSL has two primary businesses: flu vaccines and blood products development – for influenza vaccines. In FY23, CSL is expecting a post-tax profit of US$2.8bn on an underlying basis and net profit of US$2.55bn in a statutory basis.

FAQs on Investing in Healthcare Stocks

The iShares Global Healthcare ETF provides exposure to a range of global healthcare stocks, including those listed on ASX. It aims to track the performance of the S&P Global 1200 Healthcare Sector Index.

Our Analysis on ASX Healthcare Stocks

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