Saturday, June 29, 2013

The Hidden Way to Invest in Obesity

The Motley Fool's health-care show Market Checkup focuses this week on obesity, one of America's largest health-care concerns. Recently classified as a disease, obesity leads to serious health problems, including diabetes, heart disease, and stroke. Currently 35% of adults in the U.S. are classified as obese, but more troubling, one out of three children is as well. All told, obesity adds $190 billion in medical costs to the system, but efforts to tackle this growing problem are increasing.

In this video, health-care analysts David Williamson and Max Macaluso discuss the third and often forgotten obesity-drug maker, Orexigen. This small-cap is stuck running an additional phase 3 trial for Contrave while its two competitors have made it to market. But given its prior positive FDA advisory committee vote and its small market cap, Orexigen may be the best speculative play of all obesity stocks. Watch and find out why.

Rising health-care costs continue to be a hotly debated topic, and even legendary investor Warren Buffett called this trend "the tapeworm that's eating at American competitiveness." To learn more about what's happening to the health-care system -- and how to potentially profit from this trend -- click here for free, immediate access.

Follow David on Twitter: @MotleyDavid.

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