Many pharmas have never been cheaper

SPECIALIST MARKETS

In the last decade, the healthcare sector has suffered from a significant derating.

Many of the large global players, particularly in pharmaceuticals, have never been cheaper. There is no doubt the industry became fat on the profits from selling block- buster products to Western healthcare systems. The derating has been fuelled by fears these systems can no longer afford such largesse and must contain runaway costs. In addition, there have been questions about lack of innovation and costlier regulation. As a result of this pressure, the industry has been forced to change, and with change comes opportunity. At current valuations, many healthcare stocks are fully disco...