Recently, I have been paying attention to Thailand's healthcare stocks and found this sector quite interesting. By the end of 2568 BE, healthcare stocks had fallen quite a bit, but upon closer inspection, there are still a few hospital stocks worth noting.

Honestly, investing in healthcare stocks is quite different from investing in other sectors. These stocks are called defensive stocks, meaning they won't fall too badly during bad economic times, and they won't surge wildly during good times. The benefit is stability—people always need medical care, so this demand is always present. Recently, I’ve been thinking that instead of chasing high-tech stocks, it might be better to add some healthcare stocks to stabilize the portfolio.

Let's start with the largest few. BDMS is an established brand, owning Bangkok Hospital and the International Medical Center, with the highest market value, mainly serving domestic and international patients. Similar to it is BH, which specifically attracts foreign patients, with a particularly high ROE, indicating strong profitability with shareholders’ funds. Then there's BCH, the largest healthcare stock by market cap, but its stock price has been a bit soft in recent months.

For medium-sized hospitals, I actually favor several. For example, RAM (Rama Hospital), which hasn't expanded massively but focuses on complex surgeries like heart and brain operations, with high profit margins. VIBHA has new growth plans this year, and analysts have given it a "buy" rating. Also, CHG and PR9 are steadily expanding; although their stock prices are not high, their growth potential is significant.

When choosing healthcare stocks, I usually look at a few points. First is patient sources—some hospitals mainly rely on foreign patients; when the economy is good, they earn more, but during downturns, they are more affected. Others focus on the local market and social security patients, providing more stable income. Second are financial indicators—PE and ROE are critical. A low PE indicates a cheap stock, and a high ROE shows strong profitability. Third is expansion strategy—some grow quickly through acquisitions, some steadily expand by opening new branches, and others focus deeply on a specific field.

Why focus on healthcare stocks now? Population aging, new diseases emerging, and rising living standards all increase the demand for medical services. Plus, these stocks tend to have very stable cash flows—once hospitals and equipment are built, income flows continuously. Compared to other industries, healthcare stocks are usually financially healthier.

However, be cautious when selecting stocks. Don’t just look at past data; understand each hospital’s unique features and competitiveness. Some hospitals attract patients with high-end equipment and specialists, others rely on cost control and scale effects. Also, pay attention to management’s execution ability and whether expansion plans are reliable.

My advice is, if you want to allocate to healthcare stocks, choose based on your risk preference. For stable income, go for large healthcare groups; for growth potential, look at mid-sized hospitals in expansion phases. Most importantly, do your homework—don’t be scared by short-term fluctuations. These stocks are suitable for long-term holding. Recently, I’ve been tracking these healthcare stocks on Gate; if you're interested, you can check them out yourself—you might find a good entry point.