This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

10 Health Care Stocks With Upside: Analysts

Stocks in this article: GENT NKTR CCM DNDN SHP TEVA WX

NEW YORK ( TheStreet) -- Gentium (GENT), Concord Medical Services (CCM), Nektar Therapeutics (NKTR), Dendreon (DNDN), ShangPharma (SHP), Teva Pharmaceutical (TEVA), WuXi PharmaTech (WX), Elan (ELN), Celgene (CELG), and Par Pharmaceutical (PRX) are expected to return up to 72%, based on their respective 12-month price targets.

Health care stocks had underperformed in the last one year due to uncertainty over the federal health care policy and ailing European economies. In the last one year, while the S&P 500 INDEX returned 11%, the S&P Global Health Care Sect. (ETF) notched up only 5.6%. However, 2011 is shaping up well, as the health care sector tracked broader indices rising 6% since the start of the year compared to 5.6% for the broader index. The proposed health care spending cuts announced by Barak Obama during the week did not weigh heavily on the sector. Relatively lower volatility of stock performance compared to broader indices and a pick-up in M&A activity in the sector augurs well for the sector.

Going ahead, the global health care market could get a boost on growing medical expenditure in emerging countries. Rising income levels and improved growth rates could increase public and private spending on health care. The demand for high-technology medical devices will likely expand going forward, benefiting the relevant U.S. companies. An aging population and public health insurance could sustain demand in the developed countries.

We have identified 10 stocks which, according to analysts, could outperform their peers and broader market indices. These stocks have an upside potential of 20% to 72% with a mean upside value of around 40% and average buy ratings of 80%.

In comparison, pharma giants Johnson & Johnson (JNJ), Pfizer (PFE), Merck (MRK), Abbott Laboratories (ABT), Bristol Myers Squibb (BMY) and Eli Lilly (LLY) have upsides of -2% to 14%, according to analysts' estimates.

1 of 11

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs