Although year-to-date the S&P/ASX 200 Health Care (Index: ^AXHJ) (ASX: XHJ) has smashed the rest of the market with a 14% gain, I still believe there are a number of healthcare shares trading at a good price.
Three healthcare shares at the top of my shopping list right now are listed below. Here's why I would be buying them:
Japara Healthcare Ltd (ASX: JHC)
Although the aged care sector is notoriously difficult to operate in, I believe the talented management team at Japara is capable of successfully navigating the company through any changes to regulations.
With Australia's population ageing, demand for aged care services is expected to increase substantially over the next decade. Japara aims to meet this need by delivering over 1,100 new greenfield (new facilities) places by FY 2020. As well as boosting its bottom line, the increase in places is also likely to give its trailing fully franked 5.6% dividend a lift too.
National Veterinary Care Ltd (ASX: NVL)
National Veterinary Care is a fast-growing provider of veterinary services via 54 clinics throughout Australia. Thanks largely to its growth through acquisition strategy, the company recently reported an impressive 71% jump in revenue to $33 million.
Due to the fact that the veterinary industry is high fragmented, I believe there is still plenty of growth ahead for both National Veterinary Care and its rival Greencross Limited (ASX: GXL). Because of this I think either of the two veterinary companies could prove to be a great buy and hold investment option today.
