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These 3 Medical Stocks Have Wall Street's Bullish Vote for 2026
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Key Takeaways
Wall Street analysts favor COR, ADUS and SEM for their operational strength and long-term growth.
Cencora benefits from higher unit volume and GLP-1 and specialty drug sales.
SEM sees rising admissions, improving occupancy and plans to add 395 beds through early 2027.
The Medical sector is entering a pivotal phase of transformation as we approach 2026, driven by powerful structural trends that are reshaping how care is delivered, financed and experienced. Investors have increasingly shifted attention to the sector as it transitions from a defensive haven to a growth engine, powered by innovation and demographic demand.
At the forefront is artificial intelligence, which is moving beyond pilot projects into core clinical workflows, from diagnostics to drug discovery, unlocking efficiency and precision gains that could dramatically shorten the path from research to treatment. Wearables, digital therapeutics and remote monitoring continue to expand access and engagement, while virtual care models evolve into hybrid and even virtual hospital frameworks that meet patient needs where they are, per a Forbes report.
The industry also faces cost inflation pressures and regulatory shifts, with rising medical expenses pushing providers and payers toward value-based care and operational innovation. Aging populations and chronic disease prevalence sustain long-term demand, while strategic investments in tech-enabled care, outpatient services and personalized medicine create fertile ground for select medical stocks poised for growth in 2026.
3 Medical Stocks Analysts Are Bullish On
As the new year approaches, a handful of medical stocks are earning strong conviction from Wall Street for their mix of operational strength, resilience and long-term growth visibility. Among them, Cencora, Inc. (COR - Free Report) , Addus HomeCare Corporation (ADUS - Free Report) and Select Medical Holdings Corporation (SEM - Free Report) stand out as analyst favorites, backed by solid fundamentals and positioning that aligns well with the evolving U.S. healthcare landscape.
Analyst recommendations matter because they distill company fundamentals against evolving economic and industry conditions. From margin resilience to demand visibility, these insights highlight businesses positioned to outperform. All three medical stocks meet these criteria, offering attractive risk-reward profiles.
These three picks were identified using the Zacks Stock Screener. Each company boasts a Zacks Rank #2 (Buy), a VGM Score of A, and a market capitalization exceeding $1 billion. Additionally, more than 70% of brokers rate them as a strong buy or buy. Our research shows that stocks meeting these criteria offer lucrative opportunities. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
3-Month Price Performance – COR, ADUS, SEM, S&P 500 & Medical Sector
Image Source: Zacks Investment Research
Cencora, a major global pharmaceutical distribution and healthcare solutions provider, is gaining from higher unit volume, improved sales of GLP-1 drugs and specialty products. Strong performance in Canada, expansion in specialty logistics and strategic investments in European distribution infrastructure are vital tailwinds.
The RCA acquisition in early 2025 expanded its MSO platform. Its strategic moves are expected to expand clinical footprint, enhance manufacturer collaboration and boost operating leverage. With pharmaceutical spending expected to increase, demand for Cencora’s services will rapidly grow.
The Zacks Consensus Estimate for COR’s fiscal 2026 earnings is pegged at $17.62 per share, indicating a 10.1% year-over-year jump. It has witnessed six upward estimate revisions in the past 60 days against none in the opposite direction. Cencora beat the Zacks Consensus Estimate for earnings in each of the last four quarters, with an average surprise of 5.5%.
Addus HomeCare offers personal care services to elderly, chronically ill and at-risk individuals. Stable hiring trends aid its personal care segment. With the cost benefits of home-based healthcare services being recognized, the company’s market size is expected to grow further. Strong volumes and rising rates in key markets will support its performance.
Favorable funding support from states, increasing admissions, patient days and revenue per patient day are major tailwinds. The acquisition of some personal care operations from Del Cielo in October 2025 is expected to expand its Texas footprint.
The Zacks Consensus Estimate for Addus HomeCare’s 2025 earnings is pegged at $6.19 per share, signaling 17.7% year-over-year growth, followed by a 10.7% increase in 2026 to $6.85. It has witnessed four upward estimate revisions in the past 60 days against none in the opposite direction. ADUS beat the Zacks Consensus Estimate for earnings in three of the last four quarters and met once, with an average surprise of 2.9%.
Addus HomeCare Corporation Price, Consensus and EPS Surprise
Select Medical is a hospital operator providing services in critical illness recovery facilities, rehabilitation establishments and outpatient rehabilitation clinics. Strategic facility expansions and rising patient admissions are key drivers. Improving occupancy rates in the critical illness and revenue per patient day in the rehabilitation hospital are aiding its performance.
SEM has plans to add 395 additional beds within the period from November 2025 to the first half of 2027. Acquisitions and joint ventures expand its capabilities and footprint to address growing demand.Robert A. Ortenzio, executive chairman, co-founder and director, has submitted an all-cash take-private proposal to the board, which is currently under review.
The Zacks Consensus Estimate for Select Medical’s 2025 earnings is pegged at $1.23 per share, indicating 30.9% year-over-year jump, followed by a 9.9% increase in 2026 to $1.36. It has witnessed one upward estimate revision in the past 60 days against none in the opposite direction. SEM beat the Zacks Consensus Estimate for earnings in two of the last four quarters and missed twice, with an average surprise of 8.7%.
Select Medical Holdings Corporation Price, Consensus and EPS Surprise
Image: Bigstock
These 3 Medical Stocks Have Wall Street's Bullish Vote for 2026
Key Takeaways
The Medical sector is entering a pivotal phase of transformation as we approach 2026, driven by powerful structural trends that are reshaping how care is delivered, financed and experienced. Investors have increasingly shifted attention to the sector as it transitions from a defensive haven to a growth engine, powered by innovation and demographic demand.
At the forefront is artificial intelligence, which is moving beyond pilot projects into core clinical workflows, from diagnostics to drug discovery, unlocking efficiency and precision gains that could dramatically shorten the path from research to treatment. Wearables, digital therapeutics and remote monitoring continue to expand access and engagement, while virtual care models evolve into hybrid and even virtual hospital frameworks that meet patient needs where they are, per a Forbes report.
The industry also faces cost inflation pressures and regulatory shifts, with rising medical expenses pushing providers and payers toward value-based care and operational innovation. Aging populations and chronic disease prevalence sustain long-term demand, while strategic investments in tech-enabled care, outpatient services and personalized medicine create fertile ground for select medical stocks poised for growth in 2026.
3 Medical Stocks Analysts Are Bullish On
As the new year approaches, a handful of medical stocks are earning strong conviction from Wall Street for their mix of operational strength, resilience and long-term growth visibility. Among them, Cencora, Inc. (COR - Free Report) , Addus HomeCare Corporation (ADUS - Free Report) and Select Medical Holdings Corporation (SEM - Free Report) stand out as analyst favorites, backed by solid fundamentals and positioning that aligns well with the evolving U.S. healthcare landscape.
Analyst recommendations matter because they distill company fundamentals against evolving economic and industry conditions. From margin resilience to demand visibility, these insights highlight businesses positioned to outperform. All three medical stocks meet these criteria, offering attractive risk-reward profiles.
These three picks were identified using the Zacks Stock Screener. Each company boasts a Zacks Rank #2 (Buy), a VGM Score of A, and a market capitalization exceeding $1 billion. Additionally, more than 70% of brokers rate them as a strong buy or buy. Our research shows that stocks meeting these criteria offer lucrative opportunities. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
3-Month Price Performance – COR, ADUS, SEM, S&P 500 & Medical Sector
Cencora, a major global pharmaceutical distribution and healthcare solutions provider, is gaining from higher unit volume, improved sales of GLP-1 drugs and specialty products. Strong performance in Canada, expansion in specialty logistics and strategic investments in European distribution infrastructure are vital tailwinds.
The RCA acquisition in early 2025 expanded its MSO platform. Its strategic moves are expected to expand clinical footprint, enhance manufacturer collaboration and boost operating leverage. With pharmaceutical spending expected to increase, demand for Cencora’s services will rapidly grow.
The Zacks Consensus Estimate for COR’s fiscal 2026 earnings is pegged at $17.62 per share, indicating a 10.1% year-over-year jump. It has witnessed six upward estimate revisions in the past 60 days against none in the opposite direction. Cencora beat the Zacks Consensus Estimate for earnings in each of the last four quarters, with an average surprise of 5.5%.
Cencora, Inc. Price, Consensus and EPS Surprise
Cencora, Inc. price-consensus-eps-surprise-chart | Cencora, Inc. Quote
Addus HomeCare offers personal care services to elderly, chronically ill and at-risk individuals. Stable hiring trends aid its personal care segment. With the cost benefits of home-based healthcare services being recognized, the company’s market size is expected to grow further. Strong volumes and rising rates in key markets will support its performance.
Favorable funding support from states, increasing admissions, patient days and revenue per patient day are major tailwinds. The acquisition of some personal care operations from Del Cielo in October 2025 is expected to expand its Texas footprint.
The Zacks Consensus Estimate for Addus HomeCare’s 2025 earnings is pegged at $6.19 per share, signaling 17.7% year-over-year growth, followed by a 10.7% increase in 2026 to $6.85. It has witnessed four upward estimate revisions in the past 60 days against none in the opposite direction. ADUS beat the Zacks Consensus Estimate for earnings in three of the last four quarters and met once, with an average surprise of 2.9%.
Addus HomeCare Corporation Price, Consensus and EPS Surprise
Addus HomeCare Corporation price-consensus-eps-surprise-chart | Addus HomeCare Corporation Quote
Select Medical is a hospital operator providing services in critical illness recovery facilities, rehabilitation establishments and outpatient rehabilitation clinics. Strategic facility expansions and rising patient admissions are key drivers. Improving occupancy rates in the critical illness and revenue per patient day in the rehabilitation hospital are aiding its performance.
SEM has plans to add 395 additional beds within the period from November 2025 to the first half of 2027. Acquisitions and joint ventures expand its capabilities and footprint to address growing demand.Robert A. Ortenzio, executive chairman, co-founder and director, has submitted an all-cash take-private proposal to the board, which is currently under review.
The Zacks Consensus Estimate for Select Medical’s 2025 earnings is pegged at $1.23 per share, indicating 30.9% year-over-year jump, followed by a 9.9% increase in 2026 to $1.36. It has witnessed one upward estimate revision in the past 60 days against none in the opposite direction. SEM beat the Zacks Consensus Estimate for earnings in two of the last four quarters and missed twice, with an average surprise of 8.7%.
Select Medical Holdings Corporation Price, Consensus and EPS Surprise
Select Medical Holdings Corporation price-consensus-eps-surprise-chart | Select Medical Holdings Corporation Quote