No hedge fund was more successful in a volatile 2007 than Paulson & Co., which was up an amazing 435% on the year even as the average hedge fund returned a paltry 10.5%. Formed by ex- Bear Stearns trader John Paulson in the early '90s, Paulson bet that the subprime market would collapse in 2007 and shorted a large part of the ABX subprime mortgage index. Reports suggested that Paulson netted anywhere from $12 billion to as much as $20 billion in profits in 2007. Paulson and his investors profited enormously as the subprime market collapsed and as other hedge funds -- such as Sowood-Capital-Management -- lost over 50%. Here at Stockpickr, we actively track Paulson Capital's portfolio to see what ideas it might be considering next. One of Paulson's main positions is Hologic ( HOLX). Hologic is a maker of medical appliances and equipment that caters to the baby boomers. Part of Paulson's investment thesis is a slowing economy and possible recession, but if that happens, investors typically flock to these defensive names, because their earnings are generally immune from economic problems. Recent acquisitions and a large secondary offering still have to be worked through. But with $100 million in cash, $10 million in debt, a PEG ratio of 1.2 and great growth prospects, Hologic is one stock to own no matter how the economy fares.