Vermilion Macro Vision: Health Care Sector Synopsis
Health Care Sector: Underweight. We are demoting Health Care to underweight from a market weight. Though Groupslike biotechs are “oversold†and ripe for a rebound, breadth is in intensive care and relative strength trends are not
pointing upward. Group-level leadership is thin, as well. Every week we publish rankings of all 400+ Groups based on a
relative strength-based algorithm. The latest rankings weren't pretty for Health Care. Of the 42 Groups in the Sector, only three were ranked in the top-third of our entire database – not a sign of leadership.
Internally, the picture isn't entirely dire. Select opportunities exist, mostly from a bottom-up perspective. One Group that stands out: Surgical Devices & Equipment. One of the few Health Care Groups trading at new relative strength highs, it contains pullback opportunities in names like ISRG and SYK. Bottom-up ideas: MRK, JNJ, CORT, SGEN, GWPH, BDX, BCR, HRC, VAR, ZLTQ, DGX, LDR, HOLX, DEPO, Q, and QGEN (see attached document for complete sector thoughts and recommendations).
For a trial to Vermilion Technical Research call (952) 922-7500, or visit our website at: www.vermilioncap.com
Vermilion Research delivers timely, actionable, and unique research inputs to professional investors. Our research strategists highlight securities which we believe are at major inflection points, based on our various proprietary technical indicators, and offer asymmetric risk/return profiles. We believe our research methodology, which is not limited by industry sector or market capitalization, enables us to deliver superior investment recommendations.
Our process begins by organizing all actively traded stocks into coherent sectors, then into logical industry groups. We then apply our proprietary relative strength tools to identify developing price trends. Once attractive trends are identified within a selected sectors or groups, we screen for individual stocks which we believe offer the best risk/reward profile. Vermilion offers U.S. and global equity market research products. Vermilion’s research team, which has received numerous awards and accolades, has a combined 70 year of experience in the analysis of investment securities.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.