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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

1 Healthcare Stock to Own for Decades and 2 We Find Risky

NTRA Cover Image

From novel pharmaceuticals to telemedicine, most healthcare companies are on a mission to drive better patient outcomes. But financial performance has lagged recently as players offloaded surplus COVID inventories in 2023 and 2024, a headwind for overall demand. The result? Over the past six months, the industry has tumbled by 6.2%. This drop is a stark contrast from the S&P 500’s 6.4% gain.

The elite companies can churn out earnings growth under any circumstance, however, and our mission at StockStory is to help you find them. On that note, here is one resilient healthcare stock at the top of our wish list and two we’re swiping left on.

Two Healthcare Stocks to Sell:

UFP Technologies (UFPT)

Market Cap: $1.69 billion

With expertise dating back to 1963 in specialized materials and precision manufacturing, UFP Technologies (NASDAQ: UFPT) designs and manufactures custom solutions for medical devices, sterile packaging, and other highly engineered products for healthcare and industrial applications.

Why Does UFPT Worry Us?

  1. Modest revenue base of $588.6 million gives it less fixed cost leverage and fewer distribution channels than larger companies

UFP Technologies’s stock price of $219 implies a valuation ratio of 22x forward P/E. Check out our free in-depth research report to learn more about why UFPT doesn’t pass our bar.

Brookdale (BKD)

Market Cap: $1.74 billion

With a network of over 650 communities serving approximately 59,000 residents across 41 states, Brookdale Senior Living (NYSE: BKD) operates senior living communities across the United States, offering independent living, assisted living, memory care, and continuing care retirement communities.

Why Are We Cautious About BKD?

  1. Products and services are facing significant end-market challenges during this cycle as sales have declined by 3.8% annually over the last five years
  2. Underwhelming -0.5% return on capital reflects management’s difficulties in finding profitable growth opportunities
  3. 12× net-debt-to-EBITDA ratio shows it’s overleveraged and increases the probability of shareholder dilution if things turn unexpectedly

Brookdale is trading at $7.32 per share, or 3.8x forward EV-to-EBITDA. If you’re considering BKD for your portfolio, see our FREE research report to learn more.

One Healthcare Stock to Buy:

Natera (NTRA)

Market Cap: $22.23 billion

Founded in 2003 as Gene Security Network before rebranding in 2012, Natera (NASDAQ: NTRA) develops and commercializes genetic tests for prenatal screening, cancer detection, and organ transplant monitoring using its proprietary cell-free DNA technology.

Why Are We Backing NTRA?

  1. Tests Processed averaged 21% growth over the past two years and imply healthy demand for its products
  2. Adjusted operating profits and efficiency rose over the last two years as it benefited from some fixed cost leverage
  3. Free cash flow margin is now positive, showing the company has crossed a key inflection point

At $159 per share, Natera trades at 10x forward price-to-sales. Is now a good time to buy? See for yourself in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

When Trump unveiled his aggressive tariff plan in April 2025, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.

Don’t let fear keep you from great opportunities and take a look at Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today

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