5 Best Guru Stocks To Buy Now

4. Bausch Health Companies Inc. (NYSE:BHC)

Number of Hedge Fund Holders: 39

Percentage of Guru Index ETF’s Net Assets as of October 18: 1.61%

Bausch Health Companies Inc. (NYSE:BHC) is a Canadian company that develops, manufactures, and markets pharmaceutical drugs, medical devices, and over-the-counter products in the therapeutic areas of eye health, gastroenterology, and dermatology. Bausch Health Companies Inc. (NYSE:BHC) is one of the best Guru stocks to buy now, with the ETF holding 108,245 shares worth $735 million, representing 1.61% of the total portfolio. 

On September 9, Piper Sandler analyst David Amsellem lowered the price target on Bausch Health Companies Inc. (NYSE:BHC) to $6 from $7 and kept a Neutral rating on the shares. The analyst said that Alvogen/Norwich received tentative approval from the FDA for its generic of the 200 mg strength of Bausch Health Companies Inc. (NYSE:BHC)’s Xifaxan. Though prescription volumes for the 200 mg strength only represent 2% of overall Xifaxan volumes, the presence of a generic of this strength “could prove to be disruptive to the brand,” the analyst told investors in a research note.

According to Insider Monkey’s second quarter database, 39 hedge funds were long Bausch Health Companies Inc. (NYSE:BHC), compared to 48 funds in the prior quarter. Carl Icahn’s Icahn Capital LP is the biggest position holder in the company, with 34.7 million shares worth $290 million. 

Here is what Miller Value Partners Opportunity Trust Fund has to say about Bausch Health Companies Inc. (NYSE:BHC) in its Q2 2022 investor letter:

“Bausch Health Companies Inc. (NYSE:BHC) declined during the quarter as the company consummated its Bausch+Lomb IPO at valuations far below expectations, reported disappointing Q1 2022 results, and delayed its plan to spin out its Solta (aesthetics) business due to difficult market conditions. While the company spun off 10% of Bausch+Lomb (BCLO) they retained 90% of the company which they intend to distribute once they have met their target leverage ratio of 6.5-6.7x. The future spin-off value of the Bausch+Lomb piece represents a value of $12.55 per share, 39% above where Bausch Health is currently trading. The company recently appointed John Paulsen as Chair of the Board, which should accelerate value realization.”