Benzinga | Jul 26, 2021 10:24AM EDT

5 Value Stocks In The Healthcare Sector

What Defines a Value Stock?

A value stock is traditionally defined in terms of how investors in the marketplace are valuing that company's future growth prospects. Low P/E multiples are good base indicators that the company is undervalued and can most likely be labelled as a value stock.

The following stocks are considered to be notable value stocks in the healthcare sector:

2 Hologic (NASDAQ:HOLX) - P/E: 9.93

4 Sage Therapeutics (NASDAQ:SAGE) - P/E: 3.68

6 Cooper Companies (NYSE:COO) - P/E: 8.65

8 Viemed Healthcare (NASDAQ:VMD) - P/E: 9.72

10 AIkido Pharma (NASDAQ:AIKI) - P/E: 2.2

This quarter, Hologic experienced a decrease in earnings per share, which was 2.86 in Q1 and is now 2.59. Hologic does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Sage Therapeutics saw a decrease in earnings per share from 18.19 in Q4 to -1.64 now. Sage Therapeutics does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Cooper Companies saw an increase in earnings per share from 3.17 in Q1 to 3.38 now. Its most recent dividend yield is at 0.01%, which has decreased by 0.01% from 0.02% in the previous quarter.

Most recently, Viemed Healthcare reported earnings per share at 0.04, whereas in Q4 earnings per share sat at 0.12. Viemed Healthcare does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Most recently, AIkido Pharma reported earnings per share at -0.07, whereas in Q4 earnings per share sat at -0.01. AIkido Pharma does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

The Significance: A value stock may need some time to rebound from its undervalued position. The risk of investing in a value stock is that this emergence may never materialize.