5 Best Healthcare Stocks to Buy According to Billionaire Larry Robbins

2. McKesson Corporation (NYSE:MCK)

Glenview Capital Management’s Stake Value: $236,776,000

Percentage of Glenview Capital Management’s 13F Portfolio: 5.92%

Number of Hedge Fund Holders: 47

Of late, Glenview Capital Management has been on a profit booking spree of its McKesson Corporation’s (NYSE:MCK) holdings. The fund has reduced its stake in the company by 11%, 39% and 22%, respectively, in the previous three quarters. One of the main reasons the fund has been lowering its stake, which it first disclosed initiating during the last quarter of 2016, could be the consistent uptrend displayed by McKesson Corporation’s (NYSE:MCK) stock during the previous 12 months. Bucking the broader market trend, shares of the Irving, Texas-based healthcare distributor are trading up by 78% year-over-year and 40% year-to-date.

On September 19, McKesson Corporation (NYSE:MCK) announced that it had agreed to acquire Rx Savings Solutions – a prescription price transparency and benefit insight company that offers affordability and adherence solutions to health plans and employers – for up to $875 million. According to the terms of the deal, McKesson Corporation (NYSE:MCK) will make an upfront payment of $600 million to the existing shareholders of Rx Savings Solutions, while it will provide a maximum of $275 million of consideration contingent upon the latter’s financial performance through 2025.