Despite the recession, Robert Doll, vice chairman of BlackRock, told CNBC’s investor audience that the health maintenance organizations (HMO) sector is “outperforming the market.”
“In this period of uncertainty, recession and earnings estimates coming down, [HMOs are] our favorite defensive sector,” said Doll.
(Watch the video below for the full Doll interview.)
If you take the numbers from the November lows and compare them with the current price, HMOs have “outperformed the market despite the decline earlier this week,” he said.
“Some of the great information and medical equipment companies…we still think they have a bright future,” said Doll.
Doll likes McKesson.
Doll is leery of real estate investment trusts.
“We are still dubious and on the sidelines in terms of the real estate prices, many of the leverage issues, dividend questions on some of the REITs. ...We’re not anxious to move there.”
Disclosure information was not available for Robert Doll or for his company.
McKesson Competes With:
Coventry Health Care