Core Insights - Healthcare stocks have remained stagnant since April, contrasting with a 27% rise in the S&P 500, which raises interest for contrarian investors [2] - Seven healthcare stocks offer yields up to 7.1%, indicating potential investment opportunities due to their underperformance relative to the broader market [2] Group 1: High Yield Healthcare Stocks - Omega Healthcare Investors (OHI) has a yield of 6.4% and operates skilled nursing and assisted living facilities, with a portfolio of 93,961 beds across over 1,000 properties [3] - OHI has shown progress by beating estimates for adjusted funds from operations (AFFO) and raising its full-year AFFO guidance, while also acquiring 57 properties [4] - LTC Properties (LTC) offers a 6.3% yield and is transitioning some contracts to RIDEA-structured contracts, which could enhance growth potential [7][8] - Healthpeak Properties (DOC) has a yield of 7.0% and a diversified portfolio, but may face growth challenges due to headwinds in its life sciences segment [10] - Sila Realty Trust (SILA) has a yield of 6.4% and has shown a nearly 20% total return since its IPO, with a strong financial position [11][12] - Siga Technologies (SIGA) offers a high yield of 7.1% but is concentrated on a single product, TPOXX, which limits diversification [13][21] - Bristol-Myers Squibb (BMY) has a yield of 5.3% and a market cap of nearly $100 billion, but has underperformed significantly over the past five years [14][15] - Pfizer (PFE) has a yield of 6.9% and is facing challenges with declining COVID drug sales and upcoming patent expirations, leading to a high yield not seen since the Great Recession [18][19] Group 2: Market Context and Challenges - The healthcare sector is facing uncertainties including potential cuts to Medicaid, health research funding, and initiatives aimed at lowering drug costs [6] - The overall healthcare market has underperformed compared to the S&P 500, with BMY experiencing a 25% decline in price over the past five years [15] - Pfizer is targeting over $7 billion in cost savings by the end of 2027, but its long-term prospects depend on the success of its product pipeline [19][20]