Unfortunately, America’s obesity epidemic continues to deteriorate, as more and more children and adults are becoming obese. Meanwhile, more information is emerging about the dangers of obesity.
In addition to heart disease and diabetes, scientists increasingly agree that obese people are more likely to get cancer, which in many cases spells a death sentence. Against this background, it’s worth looking at several companies and stocks that are likely to benefit by helping people combat this worsening trend.
Best Medical Stocks To Buy Right Now: TripAdvisor, Inc.(TRIP)
TripAdvisor’s (NASDAQ:TRIP) 62% spike makes it the fifth-best performer on the S&P 500 to date. The travel booking giant has delivered plenty of good news to investors lately. In February it announced that it had ended a brutal streak of profitability declines in its core hotel booking business even as management promised stronger earnings ahead. Executives delivered on that goal with a solid first-quarter report that sent shares soaring by 39% in May. To keep the good times rolling, TripAdvisor will need to show that it can sustain its sales growth even as it slashes spending in key areas like marketing.
Best Medical Stocks To Buy Right Now: ABIOMED, Inc.(ABMD)
Medical device specialist Abiomed (NASDAQ:ABMD) has seen its shares more than double this year. The company, which focuses on heart pumps, logged 40% sales growth in the first quarter and 34% gains in the second quarter. Both periods were marked by sharp global demand gains for its Impella pumps, along with surging profitability. Yet investors are even more excited about the future, given the low penetration of its products in major international markets like Germany and Japan. Abiomed also has a growing pool of patents that could extend its competitive lead in this key medical niche in the coming years.
Best Medical Stocks To Buy Right Now: Adobe Systems Incorporated(ADBE)
Cloud giant Adobe Systems Incorporated (NASDAQ:ADBE) has long been one of my favorite stocks in the market.
This is a 20%-plus revenue growth, 20%-plus earnings growth company with a ton of visibility due to secular growth tailwinds in cloud adoption and mitigated competition in the professional creative solutions space. That lack of competition also gives Adobe a big runway for price hikes, which creates a powerful long-term margin expansion narrative.
That being said, Adobe stock got slightly ahead of itself from a valuation perspective in mid-June when it was trading above $250. That is why the stock dropped after the Q2 earnings report, despite strong numbers. The valuation was just too big, and needed to normalize lower.
Adobe stock dropped. Then it hit its 50-day moving average, which has served as a strong support for this stock for the past several years. Adobe stock bounced off that 50-day moving average, and is now back to rally mode.
This rally will persist because nothing is wrong with the growth narrative at Adobe. The stock just dropped due to valuation. It came back down, tested a key technical level, and is now rallying again. Thus, July could be a big month for this cloud giant.