UnitedHealth Group: Riding the Healthcare Wave
As America’s largest health insurance benefits manager, UnitedHealth Group (NYSE: UNH) is capitalizing on the inexorable trend of rising healthcare costs. With the U.S. healthcare system witnessing a surge of around 10,000 baby boomers turning 65 daily, the stage is set for sustained growth in Medicare-eligible population. UnitedHealth has delivered a phenomenal 1,860% total return since the Affordable Care Act was enacted in 2010, underlining its prowess in the sector.
AbbVie: Pharma Powerhouse
The demographic shift towards an aging population is playing in favor of pharma companies, making AbbVie (NYSE: ABBV) a standout choice for investors. Despite the impact of losing market exclusivity for Humira, AbbVie’s quarterly dividend has surged by a remarkable 269% over the past decade. Newer drugs like Skyrizi and Rinvoq are propping up revenue, positioning AbbVie for sustained growth.
Abbott Laboratories: Diversified Growth Pick
Formerly part of Abbott Laboratories (NYSE: ABT), AbbVie ventured into the healthcare market as an independent entity in 2013. The company, known for its medical technology, diagnostics, and nutrition products, offers a 1.8% yield. With revenue excluding COVID testing soaring by 11% in 2023, Abbott is gearing up for robust growth in the years ahead driven by innovative products like the Freestyle Libre 3 blood sugar monitor.
