PME, MDR, CSL: A look at three ASX healthcare growth stocks

3 min read | May 08, 2022 12:25 AM AEST | By Aditi Sarkar

PME, MDR, CSL: A look at three ASX healthcare growth stocks — Image source: © Flynt | Megapixl.com

Highlights

Growth stocks are shares of the company estimated to increase sales and earnings faster than the market

These stocks are likely to provide good price appreciation in the future

Growth stocks also serve as a good hedge against inflation

Growth stocks are shares of the companies that are projected to increase sales and earnings at a faster rate than the market average. These shares can brighten up your portfolio in the long run through price appreciation. Growth stocks can also serve as a hedge against inflation as their returns are considerably higher than the current inflation rates.

This article will talk about three putative growth stocks from ASX healthcare. Read more to know:

Pro Medicus Limited (ASX:PME)

Pro Medicus has 30 years of experience in delivering first-rate patient care by enhancing and streamlining medical practice management. It is a leading provider of radiology information systems (RIS), Picture Archiving and Communication Systems (PACS) and advanced visualisation solutions across the globe.

Last month, PME signed a contract worth AU$32 million with Inova Health System, a healthcare provider based in the US. The agreement further strengthens the company's momentum in the North American market, providing room for growth in the future. The company is also backed with solid financials, which are as follows.

Strong financials of PME

PME has a market capitalisation of AU$4.76 billion. Its shares closed 6.7% down at AU$42.630 apiece on 06 May 2022.

Related read: Pro Medicus (ASX:PME) all set for expansion in North America; signs $32M deal with Inova Health

MedAdvisor Limited (ASX:MDR)

MedAdvisor is a medication technology company based in Australia. The company is engaged in developing and delivering software for personal medication management. It has mobile and web apps supported by advanced software platforms that enable individuals and carers to manage all aspects of prescription medication use.

MDR has a market capitalisation of AU$79.41 million. In the quarter ended 31 March 2022, the company reported a 96.1% spike in 3Q FY22 YTD operating revenue compared to the previous corresponding period (pcp).

The company’s EPS (earnings per share) growth for the last 12 months (as of 05 May 2022) is 19.18%, and revenue growth is 235.36%.

Shares of MDR last traded at AU$0.210, with market cap of AU$79.41 million.

Also read: IPD, MX1 & MDR: Three ASX health tech stocks with strong revenue in 3Q

CSL Limited (ASX:CSL)

CSL is a global biotechnology leader, offering a wide range of quality plasma-derived and recombinant therapies. CSL is one of the leading providers of in-licensed vaccines with majorly focused on rare and serious diseases as well as influenza vaccines.

In terms of market capitalisation, CSL is the largest company in ASX healthcare (AU$129.29 billion). The company has provided a 118% return cross-asset in last five years. Other fundamentals include

Three years average revenue growth – 92.55%
Three years growth in EPS – 81.96%

Shares of CSL closed 2.92% down at AU$268.160 on 06 May 2022.

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