Demand for healthcare services is expected to rise strongly over the next decade or two due to ageing populations and increased cases of chronic disease across the world.
I believe this makes the sector a great place to look for buy and hold investment options. Three fast-growing healthcare shares I would consider today are listed below:
Lifehealthcare Group Ltd (ASX: LHC)
Although there were concerns that this medical device company could be negatively impacted by reforms to the Prostheses List, these reforms are not expected to impact the company as much as first feared. As a result, it recently reiterated its full-year guidance of high single to low double digit growth in revenue, underlying EBITDA, and underlying earnings per share. I believe this is great value considering its shares are changing hands at just 16x trailing earnings and provide a trailing partially franked 5.1% dividend.
Nanosonics Ltd. (ASX: NAN)
Despite this infection control specialist's popular trophon EPR product continuing to grow its installed base at a rapid clip, management estimates its share of the global market stands at just 12%. Considering the technology is regarded as best in class, environmentally friendly, and wholly effective at disinfecting ultrasound probes, I expect it will continue to capture market share over the next few years.
Pro Medicus Limited (ASX: PME)
This leading health imaging IT provider recently announced a major seven-year deal with Yale New Haven Health that will see the Visage 7 technology implemented across all of its radiology departments. I believe this deal is a testament to the quality of the product and is a sign of things to come. Its shares may be a little on the expensive side, but I feel its strong growth potential in this lucrative market more than justify the premium.
