In This Article:
Cathie Wood has become a top investor, thanks to her investments in innovation. Wood identifies companies developing cutting-edge technologies with game-changing potential and gets in on them early. This way, her funds can benefit as these products or services take the world by storm. This helped the superstar investor's flagship fund, Ark Innovation ETF, soar 67% last year.
Wood invests across various industries -- but you can find many of her favorite companies in the area of healthcare. From gene editing to telemedicine, Wood has scooped up shares of the leading players.
To start the new year off right, you can too. Let's check out three top Wood picks to put on your January 2024 buy list.
1. CRISPR Therapeutics
CRISPR Therapeutics (NASDAQ: CRSP) just reached a big milestone: the approval of its very first product. The U.S. Food and Drug Administration (FDA) approved Casgevy, a treatment for sickle cell disease, last month and expects to rule on the drug for a second blood disorder -- beta thalassemia -- in March. The U.K. authorized the treatment for both conditions back in November, marking the world's first regulatory nod for a treatment based on CRISPR gene editing.
All of this is important for two reasons. First, it means CRISPR Therapeutics soon will start reporting product revenue. And considering the great need for blood disorder treatments, revenue could grow considerably over time. Second, the Casgevy decision is a vote of confidence in CRISPR Therapeutics' technology, one that's used throughout its pipeline.
Speaking of the pipeline, the company is moving candidates forward across a wide variety of treatment areas -- from oncology to autoimmune and cardiovascular diseases. And CRISPR Therapeutics says it expects the coming 12 to 18 months to be "catalyst rich." So now is a great time to follow Cathie Wood and buy this innovator.
2. Teladoc Health
Teladoc Health (NYSE: TDOC) shares have started to climb over the past three months, advancing in the double digits -- but they're still far from past highs. Trading at near their lowest level ever in relation to sales, they look dirt cheap considering the company's leadership in the high-growth market of telemedicine.
The stock suffered in recent years as investors worried about the telemedicine giant's ability to turn growing revenue into profit. But Teladoc launched a plan early last year to balance the quest for revenue growth with the goal of achieving profitability.
These efforts have started to pay off. Last year, Teladoc's quarterly results met or beat expectations. And the company has demonstrated it can drive earnings before interest, taxes, depreciation, and amortization (EBITDA) and free-cash-flow gains despite lower top-line growth.