Sleep well at night - overviewing the large Healthcare stocks

FY15 earnings season was mixed and some outlook statements were soft, but the sector still managed to outperform and fundamentals remain intact. We see no point in worrying about the looming US Federal Reserve decision on rates, slowing global growth, falling commodity prices and an uncertain domestic macro outlook, as these ‘exogenous’ events by definition, are beyond our control. However, volatility is likely to remain over the near term and investor attention will eventually turn toward earnings growth to support higher stock prices. Defensive, structural-growth thematic of healthcare and continued AUD weakness will likely reign supreme, with HSO, REG, SHL, and CSL our top picks. Report attached.