The pharma sector is defensive, in the sense that the demand for pharmaceuticals is not affected by the business cycles in the economy. People who consume drugs continue to consume drugs irrespective of whether there is a boom or recession in the economy.
The pharma sector in India came into sharp focus after generic drugs manufactured in India started being exported to developed countries like the U.S.A, U.K. and the E.U. This helped curtail the price inflation and increase in health budgets by having relatively cheaper generic substitute drugs.
The Covid-19 pandemic has brought back pharma companies into sharper focus with the increased demand for essential drugs. There are several pharma companies which have registered strong financial performances, but we confine our discussion to the top five pharma companies. You can opt for any of these pharma companies through your stock trading app.
The list below gives price-earnings ratios, dividend yield, quarterly sales variance, and return on capital employed by the top pharmaceutical companies. You can buy any of these five stocks through your stock trading app.
To have a well-diversified portfolio, you must not only accumulate cyclical stocks but also have some defensive stocks belonging to the pharma and FMCG sectors to ensure portfolio diversification and risk minimisation. You can follow this strategy by investing judiciously through your stock trading app.
Originally posted 2022-09-15 22:17:30.
Hello, I am a professional writer and blogger at Adclays.com. I love to explore the latest topics and write on those topics. I spend the maximum of my time on reading and writing interesting topics which provide valuable piece of information to my readers whether it comes to the latest fashion, technology, healthy lifestyle, business information, etc. Explore my writings by visiting the website.
Motorcycle riding is an adventurous experience for everyone. However, new motorcycle riders are way too…
If you're a restaurant owner, then you know that fire prevention is of utmost importance.…
Getting oil stains on clothes is one of the worst nightmares. As they are extremely…
Unlike the freedom we enjoyed when we were children, the world of work does not…
Moving can be an exciting and stressful experience at the same time. Once you have…
It is important to note that it is not easy to find the best business…