Healthcare Stock Picks Today: Strong Plays for 2025
The healthcare sector remains one of the most resilient and promising investment opportunities in the market. With an aging population, advancements in biotech, and an increasing demand for innovative treatments, healthcare stocks offer both stability and growth potential. Investors looking for defensive plays with long-term upside should keep a close eye on key players in pharmaceuticals, medical technology, and healthcare services. As the New York market prepares to open, let's examine five major healthcare stocks in my portfolio—
1. Eli Lilly & Co. (NYSE: LLY) – BUY
Eli Lilly has positioned itself as a leader in innovative treatments, particularly in diabetes and obesity management. The success of Mounjaro and Zepbound, its weight-loss drugs, has driven record revenues, and its pipeline of Alzheimer’s treatments is drawing significant investor interest. With a strong balance sheet and continued expansion in the GLP-1 drug market, LLY remains a solid long-term investment.
Verdict: BUY – A strong pharmaceutical leader with massive growth potential in obesity and Alzheimer’s treatments.
2. UnitedHealth Group (NYSE: UNH) – HOLD
As the largest U.S. health insurer, UnitedHealth benefits from a growing Medicare Advantage market and an expanding Optum division, which focuses on healthcare services and data analytics. While UNH is a dominant player, political pressures on healthcare pricing could create headwinds. The stock remains a reliable option for steady earnings and dividends but lacks a major near-term catalyst for aggressive growth.
Verdict: HOLD – A stable, well-established player, but potential regulatory risks warrant caution.
3. Moderna (NASDAQ: MRNA) – HOLD
While best known for its COVID-19 vaccine, Moderna is far from a one-hit wonder. The company is expanding its mRNA technology into flu, RSV, and even cancer treatments. However, uncertainties around its post-pandemic revenue streams and competition in the mRNA space make it a more speculative play. Investors should watch its drug pipeline closely before making further moves.
Verdict: HOLD – Strong pipeline potential, but post-COVID revenue remains uncertain.
4. Thermo Fisher Scientific (NYSE: TMO) – BUY
As a leading provider of scientific instruments and laboratory services, Thermo Fisher is a strong pick for those looking to capitalize on the ongoing demand for medical research and diagnostics. With steady revenue growth, strategic acquisitions, and a dominant market position, TMO is a solid choice for long-term investors seeking exposure to the broader life sciences industry.
Verdict: BUY – A crucial player in medical research with consistent revenue growth.
5. Intuitive Surgical (NASDAQ: ISRG) – BUY
The maker of the da Vinci robotic surgical system continues to dominate the minimally invasive surgery market. As hospitals and surgical centers increasingly adopt robotic-assisted procedures, Intuitive Surgical is poised for sustained growth. With high margins, strong revenue streams, and limited competition, ISRG remains an excellent long-term investment.
Verdict: BUY – A dominant force in robotic surgery with strong long-term potential.
Bill White Says...
"Healthcare isn’t a luxury—it’s a necessity. Investing in the companies that drive innovation and efficiency in medicine isn’t just smart, it’s inevitable. The winners in this space will be the ones solving real-world problems, not just chasing hype."