The healthcare sector is home to a number of companies with the potential to grow strongly in the future.
Two that investors might want to get better acquainted with are listed below. Here's why they are highly rated:
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Australian Clinical Labs Ltd (ASX: ACL)
The first healthcare share to look at is Australian Clinical Labs. It is a leading Australian private provider of pathology services through 86 NATA accredited laboratories.
From these sites, the company performs a diverse range of pathology tests each year for a range of clients. These include doctors, specialists, patients, hospitals and corporate clients.
The team at Goldman Sachs is very positive on the company. It recently reiterated its buy rating and lifted its price target on the company's shares to $5.90. Its analysts note that the company has upgraded its half year earnings guidance for the third time in two months. This has been driven partly by continued strong demand for COVID-19 testing.
Volpara Health Technologies Ltd (ASX: VHT)
Another ASX healthcare share to look at is Volpara Health Technologies. It is a healthcare technology company with a focus on the early detection of breast cancer by improving quality of screening using artificial intelligence.
Volpara's exciting technology, which was developed at Oxford University, has been designed to provide objective data on breast tissue density. The company highlights that this is a key risk marker for breast cancer.
The company has been growing its market share in the United States at a strong rate and appears well-placed to continue this trend in the future. This is thanks to the quality of its technology, recent acquisitions, and the increasing awareness of the importance of breast tissue density. In addition, thanks to a series of bolt-on acquisitions, Volpara looks to be well-placed to continue growing its average revenue per user metric.
The team at Bell Potter are positive on Volpara. The currently has a buy rating and $1.50 price target on the company's shares.
