GUD Considered to be SC Leader
Globe says Theratechnologies, others seen as leaders
2016-07-11 08:48 ET - In the News
See In the News (C-TH) Theratechnologies Inc
The Globe and Mail reports in its Monday edition that for investors seeking exposure to the volatile health-care sector, Theratechnologies, Cipher Pharmaceuticals and TSO3 all have impressive forecast returns. The Globe's Jennifer Dowty writes that since the end of the second quarter, the average one-year price target for Theratechnologies ($2.46) has been materially revised down to $3.97 from $4.82 as an analyst downgraded the stock and reduced his target price. Conversely, the average one-year price target for TSO3 ($3.29) increased significantly to $5.13 from $3.28 on June 30 after the company announced on July 4 that the U.S. Food and Drug Administration cleared its Sterizone VP4 Sterilizer for expanded indications for use. Other health-care stocks with double-digit returns forecast are CRH Medical ($5.38) and Knight Therapeutics ($8.33) with average one-year target prices of $6.41 and $9.60, respectively. Over all, small caps outperformed the broader index during the first half of the year by a wide margin. The S&P/TSX small-cap index rallied 26 per cent, while the S&P/TSX composite was up 8 per cent. To be profitable investing in stocks with small capitalizations, security selection is crucial.