- Options Trading: One Airline Stock May Zoom
- Rally May Take Dow Back to 12,000: Investor
- Hot Options Trading: What It Says for SanDisk
- Stock Picker: My Best Contrarian Play
- Stock Picker: No Place Like Home (Builders)
- Najarian on Options: A Bullish Move on BP
- Stock Picker: Ride the Bat Out Of Hell
- Holland's Bear Advice: Buy the Survivors
- Analyst Picks: Three Resilient Retailers
- Ford Options Rev on Possible Volvo Deal
- Wall of Shame: Fortress Investment's Wes Edens
- Cramer to Geithner: Let FDIC Chair Keep Her Job
- Lightning Round: Boeing, Medtronic, Agrium and More
- Lightning Round OT: Continental, Amylin Pharma and More
- Sell Block: Cramer's Solution for Mortgage-Backed Paper Mess
- Toll Brothers CEO's Housing Outlook
- Making Money Off M&A
- Your First Move For Friday December 5th
- Web Extra: Fast & Furious Trades For Friday
- BMW's Global Sales Plunge by a Quarter in Nov.
- Pros Say: Job Losses of 425,000; S&P to Fall to 700
- Bleak Jobs Data Forecasts Add to Automakers' Woes
- Euro Stocks Slip as Miners, Banks Fall
- European Stocks to Open Sharply Lower
- Toshiba to Briefly Halt Chip Output on Weak Demand
- Boeing Mulls Pushing Back Dreamliner Deliveries
- Chief Executive Quits Australian Publisher Fairfax
- Asian Markets Wobble on Gloomy Economic Outlook
Text Size 
Health care is a sector that seems guaranteed to grow, as America's population ages, but shares of many health-care companies have been hit hard this year.
Still, Schwab portfolio manager Paul Alan Davis says there are some promising opportunities for investors.
His four-star Schwab Health Care Fund is up an average of 12.5 percent per year over the last five years.
Recommendations:
His first pick is pharmacy benefits manager Express Scripts [ESRX
Loading...
()
].
"Express Scripts is in a space...that has been kind of part of the solution," he explained to CNBC. "They're helping firms and organizations lower their overall medical costs."
He finds the company's long-term contracts offset the risk that client firms will be scaling back on their benefits programs.
Davis also likes Baxter International [BAX
Loading...
()
].
"This is a company we like because of its international diversification and its product diversification," he said. "They're repurchasing shares; their free cash flow is better than a lot of their peers; and...the international sales has been a buffer for them on the downside."
Health-care businesses can be vulnerable to litigation, and Baxter is no exception.
"They did have a recall of some heparin," he said. "It was a voluntary recall, and heparin is a very, very small part of their business."
Disclosures:
Davis owns shares of Express Scripts and Baxter International through his fund.
Del.icio.us
Digg It
Data is a real-time snapshot *Data is delayed at least 15 minutes