When talking about stock research, it is imperative to see which sector is specifically looked at to have a lens through different valuation parameters for a peer to peer comparison. Particularly, stock research for a health care sector would be undertaken a bit differently than the mining sector for instance. So to say, here we discuss 2 blue-chip heath care stocks and how they look for an investment opportunity.

ResMed Inc (ASX: RMD) is a health care stock which recently announced that after the New York stock exchange market closes, it will report its fourth quarter of fiscal year 2018 results on August 2, 2018. With more than 5 million cloud-connected devices, ResMed is a leader in connected health care sector. For third quarter of FY18, company’s revenue increased 15% to $591.6 million which is up by 10% on a constant currency basis. Net income increased by 25% while non-GAAP net income was up by 32%. The group’s earnings per share were reported to be $0.76 on GAAP diluted basis and $0.92 on non-GAAP diluted basis.

ResMed was recently asked to pay $US 151.7 million after the ATO surprised it in March with an amended assessment, in terms of an additional income tax and $US38.4 million in interest; while ResMed’s net income for the three months ending March 1, increased 25 percent to $US 110.1 million. The group is into developing masks and ventilation machines that are used by sufferers of sleep apnea (characterized by terrible snoring but has huge consequences for health and quality of life). ResMed was trading at a market price of $14.7 as at market open on July 13, 2018 with a daily price change of $0.220 or a 1.525% in terms of percentage noted a day before. This health care stock under research has seen a performance change or a rise of 47.53% over the past 12 months. The annual dividend yield for the stock is 0.88%. RMD now looks to be trading at a higher level given the past performance.

CSL Limited (ASX: CSL) is another health care giant which has recently revised its profit outlook for fiscal year 2018. In an earlier guidance provided this year, CSL expected net profit after tax to be USD $1,550 to $1,600 million at constant currency, which has now been enhanced to $1,680 to $1,710 million. CSL’s Chief…

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