Significant investments and innovations are the key growth drivers in the healthcare space. "Big Short" investor Michael Burry has shown a keen interest in the healthcare industry over the past year, making CVS Health (NYSE:CVS), McKesson (MCK), and Cardinal Health (NYSE:CAH) the top three healthcare stocks in his portfolio. We think these stocks could be attractive bets now, considering their growth prospects and stable financials. Read on.The COVID-19 pandemic has accelerated development in the healthcare industry, with companies involved in the diagnostic-testing supply chain being major beneficiaries. However, with the pandemic far from over, strong demand for vigorous testing and vaccination along with large-scale government investment in the sector should drive the industry’s growth.
The bullish investor sentiment surrounding this industry is reflected in Big Short investor Michael Burry’s portfolio. The Burry-led Scion Asset Management firm has a $43.8 million stake in CVS Health Corporation (CVS) shares. He has increased his stake in CVS by 32% sequentially in the second quarter of 2021.
McKesson Corporation (NYSE:MCK) is a new addition to the portfolio. Burry owned 682,400 shares in MCK at the end of the second quarter of 2021, representing a 6.26% weighting in the portfolio and worth $130 million. The firm also holds $48.9 million worth of shares in Cardinal Health, Inc. (CAH), representing 2.35% of the firm’s portfolio.