(MYL - Get Report)
, a provider of generic drugs, has been one of the key beneficiaries of the ongoing stream of big pharma drugs that lose patent protection. As more drugs have moved off-patent, Mylan's opportunities have expanded. And as the company doesn't need to spend a lot on R&D every year, it has become a veritable cash cow: Mylan has generated a collective $900 million in free cash flow over the last two years.
The road ahead looks bright as well, thanks to another wave of major drugs soon to go off-patent. This will never be a high-growth stock, but 10% annual profit growth looks quite achievable.
And that outlook doesn't require a robust economy. Shares are actually below where they were back in late 2003, even though Mylan's sales base is much larger. Back then, this stock made a run at the $30 mark, and from a recent $23, could do so again in the next year or two.
As of the most recently reported quarter, Mylan is one of
John Paulson's top holdings
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