With the stock market experiencing a volatile year so far, many investors are looking for long-term growth opportunities that can withstand economic downturns.
According to a recent report, Vertex Pharmaceuticals and Teladoc Health are two supercharged growth stocks that investors should consider adding to their portfolios.
Vertex Pharmaceuticals: A Promising Rare Disease Specialist
Vertex Pharmaceuticals is a biotech company that specializes in developing drugs for rare diseases. Currently, it is the only company with approved CFTR modulators on the market, and it has a range of promising candidates in late-phase development for other rare diseases. This makes Vertex a unique investment opportunity, as it is a leader in an underserved market with high unmet medical needs.
In the past five years, Vertex has experienced strong financial growth, with a 5-year average revenue growth rate of 38%. This has been driven by the success of its CFTR modulator franchise, which has become a cornerstone of cystic fibrosis treatment.
Additionally, the company has a promising pipeline of drugs in development, including treatments for alpha-1 antitrypsin deficiency, sickle cell disease, and beta thalassemia.
Teladoc Health: A Pioneer in Telemedicine
Teladoc Health is a pioneer in telemedicine, offering virtual healthcare services to patients across the world. Despite a challenging year that included significant impairment charges from overpaying for Livongo in 2020, the company has still managed to grow revenue and membership levels. In the first quarter of 2021, Teladoc generated cash from operations, which is a positive sign for investors.
The company’s chronic care and teletherapy businesses have seen significant adoption, driven by the pandemic and a growing demand for virtual healthcare services. While Teladoc remains unprofitable, it is on a trajectory towards profitability, with a focus on cost savings and operational efficiency. With the future of healthcare likely to include more virtual care options, Teladoc is well-positioned to benefit from this trend.
Investment Opportunities for the Long-Term
Both Vertex Pharmaceuticals and Teladoc Health offer unique investment opportunities for those looking to hold stocks for at least 10 years. Vertex’s position as a leader in rare disease treatments and promising pipeline of drugs make it a potentially wise investment. Meanwhile, Teladoc’s position as a pioneer in telemedicine and growing adoption of virtual healthcare services make it an attractive option for those interested in the future of healthcare.
Investors should always perform their own due diligence before making investment decisions. However, with the potential for long-term growth, Vertex Pharmaceuticals and Teladoc Health are two companies that should be on investors’ radars.
