Top Company in S&P 500

Top Company in S&P 500 - according to Bloomberg Businessweek

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Comments by [googleplusauthor].  Actavis was identifed by Bloombery Businessweek as the top company in S&P 500 – in terms of “best recent performance and outlook for the future.”  Actavis is a generic drugmaker. It is projected that their generic sales will grow 65% from 2011 to 2016.

Companies are evaluated on 4 criteria: 1-year and 5-year risk-adjusted returns; analyst recommendations, and projected earnings growth.

So how has Actavis been so successful?  

They are focused on emerging markets – like former Soviet-bloc countries – where incomes are rising and people are beginning to spend more money on heath care.

The company has added branded drugs, which Wall Street likes, but that is considered by many to be a risky strategy.    

To learn more visit the articles below.

Why Actavis, a Generic Drugmaker, Tops the BBW50Actavis ( 1: Actavis Market Cap: $11b Revenue: $5.7b EPS: $1.29 Five years ago, Paul Bisaro took over Watson Pharmaceuticals, a company that rang up 99 percent of its sales inside the U.S. “For us to be successful as a first-tier generics company, we had to have a global footprint,” he says. It cost $5.61 billion, but the Parsippany (N.J.)-based company has one now. That’s the price Watson paid to buy Icelandic competitor Actavis and assume its name in a deal that closed late last year. Since then the stock has climbed 24 percent, capping a five-year stretch over which the shares gained 231 percent. That performance helped drive ACT) to the top of this year’s Bloomberg Businessweek 50 ranking of top-performing companies in the Standard & Poor’s 500-stock index. Actavis is now the fourth-biggest generic drugmaker by sales. IMS Institute for Healthcare Informatics projects generic sales will increase at least 65 percent from 2011 to 2016, to more than $400 billion, compared with 3 percent to 8 percent in the larger branded market. Bisaro has set a goal of increasing earnings by double digits every year, as the company has done since 2008. “That’s a tough ride to match,” he acknowledges.

Top Company in S&P 500