Healthcare stocks are one of those essential services that won’t be going anywhere. We learned this the hard way during pandemic restrictions, and it continues today. We can never have enough hospitals, long-term-care homes, or family practices — not in today’s world, where we’re trying to be extra cautious about our health.
This is why this industry is such a strong investment. Not only do you gain access to the expanding nature of this sector, but you also have access to the stable high demand. That is why today, I’m going to focus on two healthcare stocks that I believe could set up investors for life-long income.
Baby boomers are reaching that age when retirement homes and long-term-care homes are going to become necessary more and more. It’s around age 80 that people tend to start having more chronic health conditions. This usually leads to an increase in the use of services like long-term care. And with baby boomers being a huge population in Canada, it’s why Chartwell Retirement Residences (TSX:CSH.UN) could be an incredible buy.
During the next few decades, when many boomers move to these services, Chartwell stock is going to be one of those healthcare stocks only rising. It will likely see a steady increase in occupancy, leading to an increase in properties, and more expansion on top of that.
As of right now, Chartwell stock offers a 7.58% dividend yield, with shares down about 29% year to date. And it’s also coming off of strong earnings, with occupancy rising and net income increasing from $900,000 last year to $4.3 million this year.
Then there’s another part of healthcare stocks that investors need to consider. That’s the future of healthcare. That’s what investors should consider when looking at a company such as WELL Health Technologies (TSX:WELL).
Virtual healthcare became insanely popular during the pandemic, with stocks in the sector soaring. However, while use didn’t go down with the lessening of restrictions, shares certainly did — for absolutely no good reason.
WELL stock is now one of the best opportunities among healthcare stocks. It continues to post record-setting results, sees increased use on a regular basis, and continues to grow through acquisitions as well. And yet shares are down 41% year to date, even after insane earnings for another quarter.
Virtual healthcare will only continue to grow, as will WELL stock, in all likelihood. It’s just too easy, cheap, convenient, and the potential is endless. No matter where you are in the world you can connect with a practitioner in the field you need that moment. There are no wait rooms and no exposure to illness — just the help you need right away.
So, ignore the drop in tech stocks and the end of pandemic restrictions, and simply look at the solid performance this stock offers now and in the future.
Healthcare stocks are an incredible opportunity right now. Whether you go with the solid future of Chartwell stock, or the potential incredible growth of WELL stock, I would say both of these are in for insane growth in the next decade and beyond.