Should You Follow Hedge Funds Into These Healthcare Stocks?

#3. Pfizer Inc. (NYSE:PFE)

Pfizer Inc. (NYSE:PFE) posted its own first quarter results on Tuesday, according to which the company’s drug sales for the period remained flat amid declining growth and heightening competition. Sales of Pfizer’s rheumatoid arthritis drug Xeljanz, its prostate cancer treatment Xtandi, and its pneumonia vaccine Prevnar all fell short of the Street’s expectations. Goldman Sachs said in a report after the quarterly results were announced that the numbers cast doubt on Pfizer’s ability to grow in the absence of M&A activity. To that end, rumors suggest that Pfizer might be getting ready to launch a bid to acquire $92 billion Bristol-Myers Squibb Co (NYSE:BMY). Pfizer’s stock has gained about 6% in value over the last six months. A total of 82 hedge funds tracked by Insider Monkey were bullish on the company as of the end of 2016. Ken Fisher’s Fisher Asset Management owned about 32.76 million shares of Pfizer Inc. (NYSE:PFE) at the end of March.

Sergey Nivens/Shutterstock.com