The U.S. soon will spend nearly 20% of its gross domestic product on health care. This comes as health care costs outpace the rise in inflation.
So smart investors are looking to cash in by eyeing key health care stocks. Headlines abound for biotech and pharma stocks with cutting-edge medicines. But health care stocks actually comprise a broader swath of medical companies — many of which are behind the scenes.
All of these health care stocks share several commonalities: A streak of bullish earnings growth, as well as high Composite and Relative Strength ratings. The CR measures key growth metrics while the RS Rating looks at a stock’s 12-month performance against all other stocks.