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Unloved healthcare stocks can reinvent themselves

Those betting on the demise of blue-chip healthcare stocks like CSL and ResMed might want to rethink based on a review of Microsoft and Apple’s histories.

Jun Bei LiuContributor

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The healthcare sector has become one of the most discussed topics in the sharemarket due to a severe sell-off. Once a highly coveted sector and a cornerstone of many Australian investment managers’ portfolios, it’s now being shunned like a structurally challenged cyclical business.

Since January, the sector has experienced a 14 per cent decline, while the broader market has been flat over the same period. This makes it the poorest performing sector, even underperforming listed property.

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Jun Bei Liu is a lead portfolio manager at Tribeca Investment Partners.

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    Original URL: https://www.afr.com/markets/equity-markets/unloved-healthcare-stocks-can-reinvent-themselves-20231019-p5edlp