"Walgreen (NYSE: WAG) reported fourth quarter profits that topped Wall Street's expectations," says Geoffrey Seiler.

In his BullMarket,com advisory, he forecasts, "We expect to see continued operational improvements in the months ahead." Here, the advisor reiterates his buy rating and boosts his price target for the stock.

The advisor observes,, "The company reported a net profit of $436 million, or 44 cents per share, for the quarter ended August 31st, a -1.5% decrease the same quarter a year ago. Results topped the Wall Street consensus by 5 cents share and edged the full-year EPS estimate by 3 cents.

"The health care picks in our growth portfolio should prosper whatever the outcome of the raging health care debate," suggests growth stock specialist Stephen Leeb.

In The Complete Investor, he explains, "That's because they're leveraged to demographic realities, and in particular to the tide of aging baby boomers," Here, he reviews on portfolio holding -- Teva Pharmaceuticals (NASDAQ: TEVA).

Leeb says, "Israel-based Teva Pharmaceutical is the world's largest manufacturer of generic drugs. Capitalized at $49 billion, Teva pulled in some $11 billion in revenues in 2008, with generic drugs contributing more than two-thirds of those sales.

"Being contrarians, we are always looking for laggard stocks with the potential to rebound," says turnaround expert George Putnam.

In his The Turnaround Letter, the advisor reviews four medical and pharmaceutical stocks that have been among the worst performers in the S&P 100 since the market bottom. Despite their poor performance, he thinks they may be due for a rebound.

"We think that investors who got left behind by the first leg of the market rally are struggling to catch up.

Medtronic (NYSE: MDT), a manufacturer of a whole host of medical devices involved with the management of diabetes and cardiovascular disease, released its Q1 data on Tuesday. Revenues increased 6%, and adjusted earnings per share came in at 79 cents (some of the adjustments were related to restructuring and litigation issues).

The company was able to grow the adjusted-per-share bottom line by 10%. In addition, according to Reuters, Medtronic beat estimates by a penny. Shareholders should keep in mind, however, that the quarter benefited from an extra week.

"Healthcare-related stocks have been trading up and down based on the latest rumor of how the Obama medical plan might be implemented," observes analyst Glenn Rogers.

The contributing editor to Gordon Pape's Internet Wealth Builder asks, "How can we benefit from Obama-Care?" Here, the advisor looks at Walgreen (NYSE: WAG), the largest drugstore chain in the U.S."

"A recent article in Barron's suggested that Walgreens, Caremark CVS, and Target could benefit from whatever new healthcare system emerges from Congress. (Note, Caremark CVS was covered in a previous post today.)

"Regardless of how you analyze the company, CVS Caremark (NYSE: CVS) stands out," says Chuck Carlson.

In The DRIP Investor, he explains, "Our Quadrix stock-rating system ranks more than 4,000 stocks based on more than 100 different variables. CVS scores better than 90% of the stocks in the Quadrix universe."

"CVS's Sector score -- that is, a score devised by evaluating the metrics that have the most influence over performance in that particular sector -- is also impressive at 95 out of a possible 100.

"Johnson & Johnson (NYSE: JNJ) has vast holdings, but its strategy is simple: Support a deep pipeline of new drugs and medical devices with an aggressive acquisition strategy and cost controls," notes blue chip investor Richard Moroney.

In his Dow Theory Forecasts, he adds, "And despite the recession, J&J has kept its financial footing, remaining one of the few companies with the top credit rating of AAA." Here's his long term outlook.

"This year the U.S. pharmaceutical market is expected to contract for the first time in 50 years as fewer people visit doctors or start new therapies for chronic conditions.

"Beyond 2009, an economic recovery should reinvigorate J&J, though it is too early to determine whether health-care reform will help or harm the company.

Boston Scientific (NYSE: BSX), an expert in medical devices and a colleague of Johnson & Johnson (NYSE: JNJ), reported earnings for the second quarter on Monday after the closing bell. Wall Street liked the results. Shares of the company were bid higher by 5.8% in the after-hours session.

Net sales increased 7%. On an adjusted basis, Boston Scientific made 20 cents per share. According to Earnings.com, the business was supposed to bring in only 13 cents per share. Thus, management did a superb job of beating the analysts at their precious game. Unfortunately, Boston Scientific made the same amount of adjusted profit in the year-ago period, so there wasn't any growth on the bottom line.

"Like others, I've been trying to figure out how to play President Obama's policy initiatives in healthcare," says Glenn Rogers.

The contributing editor to Internet Wealth Builder adds, "I think the generic drug makers have the best chance of coming out of the upheaval in healthcare smelling like roses." Here, he looks at one favorite: Perrigo (NASDAQ: PRGO).

"I've chosen a lesser-known generic drug maker that I think should reward investors over the next 12 months with a market-beating performance; Perrigo Company is a leading manufacturer of generic over-the-counter and prescription pharmaceuticals.

An aging U.S. population, and the likelihood that U.S. public policy will be to universalize health care, will lead to at least 3-5 million more citizens per year over the next 8-10 years receiving regular health care services. That means one thing: it's a good time to be a medical supplier. And that means it's a good time to review Covidien, Ltd. (NYSE: COV).

In general, analysts see moderate-to-good earnings growth for COV in FY2009/FY2010, aided by a focus on medical/surgical devices and imaging solutions.

"Generic drug mak Teva Pharmaceutical, Ltd. (NASDAQ: TEVA) delivered respectable earnings results," says Jack Adamo, who added the stock his Insiders Plus model portfolio.

"The company's earnings were up 4% on a proforma non-GAAP basis. In this case, that's the correct measurement. Net GAAP earnings were up tremendously, but aren't really representative of normal business factors.

"Although Teva gets much of its earnings from its proprietary multiple sclerosis drug, Copaxone, its primary business is generic drugs. That segment is inherently lumpy because profitability is greatly affected by which generic drugs it brings to market before any other generic company.

"Genomics may be the 'next big thing' after the Internet and biotech. Finding those who can make money early onwill likely pay dividends to investors," expla]in small cap growth stock specialist Jim Oberweis, Jr.

In his The Oberweis Report, he explains the "politics" behind this bullish scenario as well as his top pick for log-term investors seeking exposure to the developing healthcare technologies if genomics and personalized medicine.

"We believe that the biotech boom was a direct consequence of rising National Health Institute (NIH) funding, cheap equity capital, and the ability to patent NIH-funded discoveries. And we see that happening again.

This post is part of a 12-article feature on the best bets for investing in China. To see all the other recommendations in this special report, click here.

"One Chinese sector being relatively ignored by Wall Street is the biotech industry," notes Keith Fitz-Gerald. In The New China Trader, he looks to a biotech speculation -- Sinovac (AMEX: SVA).

"The government knows that the wheels could fall off the bike rather quickly if average Chinese citizens begin to see a dramatic reversal in their health and happiness.

This post is part of a 12-article feature on the best bets for investing in China. To see all the other recommendations in this special report, click here.

"Mindray Medical International (NYSE: MR), based in Shenzhen, China and run by entrepreneurs, is a great defensive growth play," says Ian Wyatt in Top Stock Insights.Here's his review.

"This maker of medical devices boasts a strong brand and sales network with heavy investments in R&D and a smorgasbord of products.

"Health-care stocks have been volatile of late, as the prospects for significant healthcare reform are impacting the group," notes Chuck Carlson.

In The DRIP Investor, he explains, "Johnson & Johnson (NYSE: JNJ) has not been immune to the weakness. And while these shares could remain under pressure in the short run, the company's prospects are significantly brighter than the typical health-care stock."

"First, Johnson & Johnson's diversified business portfolio, which includes pharmaceuticals, medical technology, and consumer products, should help to smooth out results and cushion declines in any one area.