I think these are the best shares to buy now

These could be some of the best shares to buy now to invest in the growth of the healthcare sector over the next few years.

| More on:

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

Every investor has a view on how to invest. As such, an investment solution for one person may not be suitable for anyone else. It’s always important to keep this in mind when buying stocks and shares.

I believe the best shares to buy now can be found in the pharmaceutical sector. I think that no matter what happens to the global economy over the next five to 10 years, there’ll always be a growing need for healthcare and treatments. Not just for humans, but animals as well. That’s why my money’s on the three companies listed below.

5 Stocks For Trying To Build Wealth After 50

One notable billionaire made 99% of his current wealth after his 50th birthday. And here at The Motley Fool, we believe it is NEVER too late to start trying to build your fortune in the stock market. Our expert Motley Fool analyst team have shortlisted 5 companies that they believe could be a great fit for investors aged 50+ trying to build long-term, diversified portfolios.

Click here to claim your free copy now!

The best shares to buy now

The top company on my list is Dechra Pharmaceuticals (LSE: DPH). The business is one of the world’s largest producers of veterinary products, including food. 

Its growth over the past few years has been nothing short of outstanding as this market has ballooned. Earnings per share have grown at a compound annual rate of 24% since 2015.

Of course, there’s no guarantee this performance will continue indefinitely. The company faces multiple challenges, such as competition and regulatory headwinds. If it’s not investing enough every year, competitors could steal a march on the business, costing it market share and compressing profit margins.

Even after taking these challenges into account, I think this is one of the best shares to buy now to invest in the animal healthcare sector. That’s why I’d buy the stock for my portfolio today. 


Another company I’d buy for my portfolio is Indivior (LSE: INDV). However, this company is an incredibly risky proposition, so it’s probably not suitable for every investor.

Indivior is a specialist pharmaceuticals business treating opioid addiction. During the past few years, legal battles regarding the misselling of these treatments have swamped the company. In the middle of last year, it drew a line under these issues by agreeing a final $600m settlement with the Department of Justice (DoJ). Unfortunately, the group was then sued by its former parent Reckitt for $1.4bn to cover the latter’s own settlement with the DoJ. 

Despite these challenges, the company is profitable. This is why I’ve highlighted Indivior as one of the best shares to buy now despite the risks and challenges above. Based on current estimates, the stock trades at a forward P/E of 8.7 for 2022, compared to the sector average of 18.

While these are just estimates, I think they illustrate Indivior’s potential. That’s why I’d buy the stock today. 

Income investment 

The final healthcare stock I’d buy is GlaxoSmithKline (LSE: GSK). One of the UK’s top income stocks, shares in this pharma giant currently offer a dividend yield of around 6%. This level of income looks incredibly attractive in the current interest rate environment. However, it’s by no means guaranteed. 

The pandemic has impacted the company’s outlook as routine vaccination programmes around the world have been postponed. As a result, there’s been talk of a dividend cut. The stock has also dropped on the organisation’s deteriorating outlook. 

Nevertheless, as one of the largest pharmaceutical businesses in the UK, I think GlaxoSmithKline is a great way to invest in the healthcare sector. Therefore, I’d buy the stock for my portfolio today, despite current headwinds. 

5 Stocks For Trying To Build Wealth After 50

Markets around the world are reeling from the coronavirus pandemic…

And with so many great companies still trading at what look to be ‘discount-bin’ prices, now could be the time for savvy investors to snap up some potential bargains.

But whether you’re a newbie investor or a seasoned pro, deciding which stocks to add to your shopping list can be a daunting prospect during such unprecedented times.

Fortunately, The Motley Fool is here to help: our UK Chief Investment Officer and his analyst team have short-listed five companies that they believe STILL boast significant long-term growth prospects despite the global lock-down…

You see, here at The Motley Fool we don’t believe “over-trading” is the right path to financial freedom in retirement; instead, we advocate buying and holding (for AT LEAST three to five years) 15 or more quality companies, with shareholder-focused management teams at the helm.

That’s why we’re sharing the names of all five of these companies in a special investing report that you can download today for FREE. If you’re 50 or over, we believe these stocks could be a great fit for any well-diversified portfolio, and that you can consider building a position in all five right away.

Click here to claim your free copy of this special investing report now!

Rupert Hargreaves owns no shares in Reckitt Benckiser. The Motley Fool UK has recommended GlaxoSmithKline. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

More on Investing Articles

macro shot of computer monitor with FTSE 100 stock market data in trading application
Investing Articles

Here’s a FTSE 250 stock to buy to benefit from the construction boom!

Jabran Khan details a FTSE 250 stock that could be primed to benefit from the infrastructure and construction boom.

Read more »

Young woman working at modern office. Technical price graph and indicator, red and green candlestick chart and stock trading computer screen background.
Investing Articles

Is the Royal Mail share price a buying opportunity?

With a 6% dividend yield and a price-to-earnings ratio of 3, is the Royal Mail share price in buying territory?…

Read more »

Scene depicting the City of London, home of the FTSE 100
Investing Articles

3 FTSE 100 shares! Should I buy them?

I'm searching for the best FTSE 100 stocks to buy following recent market volatility. Are these blue-chip UK shares too…

Read more »

macro shot of computer monitor with FTSE 100 stock market data in trading application
Investing Articles

Should I buy one of the cheapest shares on the FTSE 100 index?

This Fool explores one of the cheapest stocks on the FTSE 100 index by share price and decides if he…

Read more »

Asian Indian male white collar worker on wheelchair having video conference with his business partners
Investing Articles

With trading suspended, where could the Eurasia Mining (LON:EUA) share price go next?

This morning, the EUA share price was suspended pending an announcement - so could improving sales send the share price…

Read more »

Hand holding pound notes
Investing Articles

Are the FTSE 100’s top income stocks a bargain?

The FTSE 100 is renowned for its value and dividend stocks. So, are the index's top income stocks worth a…

Read more »

Compass pointing towards 'best price'
Investing Articles

Scottish Mortgage shares have slumped 40%. Time to buy now?

Scottish Mortgage Investment Trust (LON: SMT) shares have rewarded shareholders well in recent years. I'm thinking of buying now they're…

Read more »

Mindful young woman breathing out with closed eyes, calming down in stressful situation, working on computer in modern kitchen.
Investing Articles

3 recession stocks I’d buy in a hurry

With the economic outlook getting worse, our writer highlights a trio of recession stocks he would consider buying for his…

Read more »