Amazon made its debut in the lucrative e-commerce business as an online bookstore back in 1997. Back then, the publicly-traded company had a stock price of $18. Today, Amazon has expanded into businesses such as movie streaming, music streaming, and merchandise. Its most recent investment interests were in healthcare stocks. Listed below are insights of Paul Mampilly, an investor, regarding Amazon’s interest in healthcare stocks.
Mampilly reported that the stocks that Amazon is targeting are dividend-paying stocks. Amazon’s eyes are also set explicitly on prescription drugs. Mampilly noted that prescription drugs usually undergo some transactions before being availed in pharmacies. The drugs’ wholesale and list prices are first calculated by manufacturers after their market approval.
The retail process for availing prescription drugs to the consumers is aimed at making middlemen rich. This is because the middlemen act as links between manufacturers and pharmacies. Amazon is targeting pharmacies that lack transparency in their costs and rebates chain. Fostering transparency in these pharmacies will increase the money that middlemen earn and lower the price of stocks, and more information click here.
Potential investors will likely be attracted by the low prices in shares as Amazon penetrates the healthcare market. Paul Mampilly believes that these low-priced stocks pose great risks to investors. According to him, the only advantage of Amazon’s investment is that the prices of prescription drugs are expected to be cheaper as the e-commerce company ventures in the healthcare market.
I recorded a video that answers questions my subscribers sent in on Facebook. You can watch the video here: https://t.co/JXcGafkoqP
— Paul Mampilly(@Paul_M_Guru) September 22, 2017
About Paul Mampilly
As a writer on investment matters, Paul Mampilly uses Banyan Hill Publishing’s platform to express his ideas to his readers. Mampilly’s insights on investment are availed through Profits Unlimited, a newsletter, which is published by Banyan Hill Publishing. His insights are inspired by his several years of experience in the hedge fund industry. Mampilly made a name for himself in the world of investing after he took part in Templeton Foundation’s competition and based an award. The reason he won was that he used $50 million to invest in a venture that progressively grew due to having a value of $88 million, and Twitter.com.
Paul Mampilly served in different capacities at world-renowned corporations like the Kinetics International Fund and Deutsch Bank. Mampilly officially retired from the corporate world at 42 years. He wanted to spend the rest of his years giving people investment advice and spending time with his adorable family. Mampilly has appeared on consultative talk shows of Fox Business News, Bloomberg TV, and Fox Business News. He also relies on his social media profiles to share his knowledge.