4 Big Cap Healthcare Stocks Carrying Heavy Institutional Share Owners

Wall St. Watchdog generated stock screens for large cap companies in the Healthcare Sector that have a large percentage of their shares owned by institutional investors.  Some investors like to invest in the companies that institutional investors invest in, under the (perhaps incorrect) assumption that institutions have done sufficient due diligence on the company in question to make it a worthy investment.

Criteria for the screen are:

  • The company trades on a US exchange
  • The company does not trade on the pink sheets
  • The company is not located in China
  • The company’s market capitalization is at least $1 billion
  • At least 90% of the company’s shares are owned by institutional investors
  • The company was profitable in the last quarter
  • The company has grown its revenue year-over-year by at least 35%

Following is information on the companies that met these criteria:

  • Alexion Pharmaceuticals, Inc. (NASDAQ:ALXN): Institutions own 97.12% of the shares. Its market capitalization is $8,908,660,000, its revenue for the most recent fiscal year is $540,957,000, which represents a change of 39.85% for the year-over-year period. The shares most recently traded at $48.46. About the company: Alexion Pharmaceuticals, Inc., a biopharmaceutical company, researches and develops proprietary immunoregulatory compounds for the treatment of autoimmune and cardiovascular diseases. The Company develops C5 complement inhibitors and Apogens which are two classes of potential therapeutic compounds designed to selectively target specific disease-causing segments of the immune system.
  • Express Scripts, Inc. (NASDAQ:ESRX): Institutions own 92.25% of the shares. Its market capitalization is $29,029,960,000, its revenue for the most recent fiscal year is $44,973,200,000, which represents a change of 81.91% for the year-over-year period. The shares most recently traded at $54.83. About the company:  Express Scripts, Inc is a full service pharmacy benefit management and specialty managed care company serving clients throughout North America. The Company’s customers include managed care organizations, insurance carriers, third party administrators, employers, and union-sponsored benefit plans. Express provides pharmacy network management, formulary management, and other services. Competitors to Watch: Medco Health Solutions Inc. (NYSE:MHS), Magellan Health Services, Inc. (NASDAQ:MGLN), Access Plans Inc (APNC), Walgreen (NYSE:WAG), CVS (NYSE:CVS), Centene Corporation (NYSE:CNC), AMERIGROUP Corporation (NYSE:AGP), American Dental Partners, Inc. (NASDAQ:ADPI).
  • InterMune, Inc. (NASDAQ:ITMN): Institutions own 94.30% of the shares. Its market capitalization is $2,156,771,000, its revenue for the most recent fiscal year is $259,291,000, which represents a change of 432.43% for the year-over-year period. The shares most recently traded at $36.44. About the company:  InterMune, Inc. is a biopharmaceutical company. The Company develops therapies for hepatology and pulmonology, including treatments for severe, malignant osteopetrosis and chronic granulomatous disease. Competitors to Watch: Gilead Sciences, Inc. (NASDAQ:GILD), Vertex Pharmaceuticals Inc. (NASDAQ:VRTX), Idenix Pharmaceuticals, Inc. (NASDAQ:IDIX), Amgen, Inc. (NASDAQ:AMGN), Amarillo Biosciences, Inc. (AMAR), Merck & Co., Inc. (NYSE:MRK), Pfizer Inc. (NYSE:PFE), Pharmasset, Inc. (NASDAQ:VRUS), Roche Holding Ltd. (RHHBY), and Anadys Pharmaceuticals, Inc. (NASDAQ:ANDS).
  • Jazz Pharmaceuticals, Inc. (NASDAQ:JAZZ): Institutions own 94.84% of the shares. Its market capitalization is $1,432,889,000, its revenue for the most recent fiscal year is $173,781,000, which represents a change of 35.29% for the year-over-year period. The shares most recently traded at $35.17. About the company:  Jazz Pharmaceuticals, Inc. develops and markets treatments for neurological and psychiatric conditions. The Company produces treatments for cataplexy, excessive daytime sleepiness, and ethylene glycol and methanol poisoning in humans. Competitors to Watch: Cephalon, Inc. (NASDAQ:CEPH), Forest Laboratories, Inc. (NYSE:FRX), Transcept Pharmaceuticals, Inc. (NASDAQ:TSPT), Pfizer Inc. (NYSE:PFE), GlaxoSmithKline plc (NYSE:GSK), Eli Lilly & Co. (NYSE:LLY), Abbott Laboratories (NYSE:ABT), Caraco Pharmaceutical Laboratories Ltd. (AMEX:CPD), Watson Pharmaceuticals, Inc. (NYSE:WPI), and McKesson Corporation (NYSE:MCK)

(Note: Selected financial data are sourced from screener.co.  All data are assumed to be accurate.)

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