Thursday, May 26, 2011

2011-2020

From the murmurs I see in the market I suspect this is going to be the decade of large cap pharma and large cap tech.

I can't explain why I think that about the big pharma, but they sure seem to be showing signs of moving. 2000-2010 was the lost decade for big pharma but for some unknown reason they seem to be finding favor this decade. It could be that enough people have gotten out of it to make it interesting or maybe people think that there is a next big way of innovation that is coming in healthcare that will be a game changer. Maybe its just that consolidation will make these organizations far more lean and profitable. Either way I think big pharma seems like an attractive proposition for this decade.

Large cap tech also seem like a good bet. No one needs to be told that 2000-2010 has been the lost decade for large cap tech. But now with the new wave of mobility and web apps looks like things are picking up again. This time around folks with the money behind them will succeed. The push for mobility will create a wave of big players out of the large caps since they would be the ones that can afford to do it.

2011-2020 is here and I hope I got this right.

1 comment:

  1. This has been a good call 4 years into the decade. Both sectors have outperformed and PFE, MSFT, INTC and AAPL have all paid off.

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