Portfolio Highlight: Healthcare (Part 2)

Here's the second part of my portfolio picks, starting off by focusing on the healthcare sector!

Adamas Pharmaceuticals (ADMS)

P/E Ratio: 8.17

52 Week Low/High: 12.02 - 21.63

Adamas Pharmaceuticals is a small-cap, independent, specialty pharmaceutical company based in Calfornia that seeks to research, develop, and manufacture treatments for disorders associated with the central nervous system (CNS), including, but not limited to, Parkinson's Disease and Alzheimer's Disease.

Adamas currently has two partnered drugs currently approved for commercialization by the U.S. FDA: Namzaric (partnered with Actavis), and Namenda (partnered with Forest Laboratories and expected to launch in 2015). Along with this, Adamas has started development of four other wholly-owned drugs in different stages of production, including their drug ADS-5102, targeted at Levodopa-Induced Dyskinesia in Parkinson's Disease. Adamas' vaccines use aminoadamantanes, which modulate mutliple neurotrasmitter systems, looking to increase dose strengths and decrease amounts of doses needed daily.

With many promising developments in the pipeline, Adamas looks hopeful for the future for increased growth. While there may not be much gains in the short run, with it's currently low price, Adamas promises returns in the long-run if its products take off in the market.

Merck & Co. Inc. (MRK)

P/E Ratio: 14.22

52 Week Low/High: 52.49 - 63.62

Merck & Co. is an American Pharmaceutical company based in New Jersey. In operation since 1891, Merck has spearheaded many landmark medications, such as the first mumps vaccine, the first trivalent measles, mumps, and rubella vaccine, the first Hepatitis B vaccine, and many others. Still today, Merck & Co. has continued to be a pioneering pharmaceutical company, developing and manufacturing vaccines for a wide range of different diseases.

While Merck has established itself strongly within the pharmaceutical market, its company financials have proven to be an attractive trait for long-term investors. With its successful history, Merck & Co. has insured its longevity within the healthcare market. And for long-term investors, Merck's stocks offer a low P/E ratio relative to the market with a generous $1.80 (3.10%) dividend. With these two facts added together, Merck & Co. is the ideal stock for investors looking for value in the healthcare sector.

Pfizer (PFE)

P/E Ratio: 24.20

52 Week Low/High: 27.51 - 35.45

Pfizer, Inc. is an American pharmaceutical corporation situated in New York City. As one of the world's largest pharmaceutical companies, Pfizer develops and produces medicines for a wide range of medical disciplines, including immunology, oncology, cardiology, diabetology/endocrinology, and neurology.

Similarly with Novartis, the approval of the first biosimilar drug has provided an advantage to the largest drug manufacturer in the market. In February 2015, Pfizer acquired Hospira, the largest producer of generic injectable pharmaceuticals in the world, opening more possibilities for the creation of generic biosimilars.

Unlike the other stocks in this group of picks, Pfizer displays more value characteristics than growth characteristics, meaning that over the long-run the company will have steady growth that's not speculative on the performance of the market. As an integral part of the healthcare sector, Pfizer has established itself as a company that will continue to last. With Pfizer's recent acquisition of generic drug manufacturer Hospira paired with its firm stance within the healthcare sector, Pfizer stands as a solid investment.