generation known as the "baby
boomers" has had a huge influence
on the economy and the stock market.
this bulge in the population was born,
companies that produced baby products
(food, toys, etc.) had increased
profits. Stocks of toy companies went up
when the baby boomers became toddlers,
kids, and teenagers. Clothing companies
did well when the generation needed to
be "hip", "cool" and
popular. When the baby boomers entered
the work force, car sales increased
dramatically and stocks like Ford (F)
and General Motors (GM) did well. When
the baby boomers were buying their first
houses, real estate stocks looked
promising. Such a surge in the
population has dictated the course of
certain markets, and now the baby
boomers are nearing the end of their
careers and retirement.
are used more by older people than
anyone else, and a great many people are
approaching the age where they become
more dependent on medications. With all
of the current wonder-pills out on the
market (Viagra, Prozac, Lipitor, etc.),
and with the largest part of our
population approaching a greater need
for them, drug and pharmaceutical
companies are looking like good stock
knows what Pfizer (PFE) will come out
with next? Aside from a large market for
the normal health drugs, they have a
deep pipeline and are coming out with
new drugs all the time. Their Viagra
pill was a huge success, and many think
that there are more great ideas coming.
Most people don.
t like to think about it, but
as humans grow older their health starts
to fail. Merck (MRK) has been dedicated
to improving the quality of
human life for over a century, and Merck
will continue to do its best to keep
Americans, and the world, in good health.
The company. s vision statement
are in the business of preserving
human life. All of our actions must
be measured by our success in
achieving this goal."
Merck. s outlook
on its business and its market certainly
makes it a great company, especially
since the baby boomers will provide
it with a larger market than they.
ve ever had. People are living
longer now, and pharmaceutical companies
are in demand.
Merck isn. t
the only good pharmaceutical company
out there (but it. s certainly
one of the biggest and best). Following
large influences on markets, like
observing the effects of the baby
boomers, can lead to accurate
predictions of the future, good stock
picks, and financial success.