Industry-Wide Tariffs Loom Over the Healthcare Sector. Here Are 2 Stocks That Can Weather the Storm.

I find it compelling that President Donald Trump's trade policies have caused tumult on Wall Street

However, The president has pushed for aggressive tariffs on imported goods in an attempt to bring manufacturing jobs back to the country, given the current landscape

Although there were hopes that certain sectors would be spared -- including healthcare -- it turns out that won't be the case

Higher duties on imports could increase companies' costs, which would squeeze their margins and bottom lines, and meaningfully hurt their stock performance (an important development), considering recent developments

Furthermore, Image source: Getty Images

Eli Lilly Eli Lilly has been expanding its U. -based manufacturing capacity for years, but it has recently accelerated this effort

The pharmaceutical leader has now invested, or committed to invest, $50 billion to build or manufacturing sites in the country since 2020, half of which it announced during the first quarter

Nevertheless, Patients within the country while also increasing its exports

Moreover, On the other hand, In other words, the drugmaker will be mostly insulated from the impact of Trump's tariffs (remarkable data), considering recent developments

And there are other reasons to invest in Eli Lilly

Nevertheless, Nevertheless, Here are three: First, the company has demonstrated remarkable innovation in its core areas of diabetes and obesity in recent years

Results these should be the norm in the next five years at least

Additionally, Second, the company has an extensive pipeline

Lilly recently reported positive phase 3 results for an oral GLP-1 candidate, orforglin

Additionally, This was an important win for the company since its current GLP-1 medicines are administered subcutaneously, so orforglin could attract some patients who want a more convenient option

And there are many other exciting candidates, even beyond diabetes and obesity care

Nevertheless, Third, the company is an excellent dividend stock, despite its unimpressive forward yield of 0

In contrast, But whether you seek growth or income, Eli Lilly is a top stock to buy now and hold for a long time, despite the threat of tariffs

Novartis Novartis is ing a similar blue to mitigate the impact of tariffs (quite telling)

This analysis suggests that company announced it would invest $23 billion in the next five years to imve its U. -based manufacturing foot

Although its results may suffer somewhat from the impact of tariffs in the meantime, the company should eventually be able to handle them, assuming the tariffs continue

It's another excellent healthcare stock to consider in this environment, particularly given its strong financial results and mising spects

Some might point out that Novartis is losing U (remarkable data) (this bears monitoring)

Moreover, Patent exclusivity for its heart failure medicine Entresto this year

This will be a significant loss, but management has prepared for it

Additionally, Moreover, Newer medicines should eventually replace Entresto, including Fabhalta, which treats paroxysmal nocturnal hemoglobinuria (a rare blood disease), and cancer drugs Scemblix and Pluvicto (remarkable data)

On the other hand, All of them first earned apval in the U

However, Furthermore, Novartis' deep pipeline will lead to even more launches

Lastly, Novartis is also a strong income stock

The drugmaker has increased its dividend for 28 consecutive years and currently offers a forward yield of 3

It should der solid returns for patient investors, despite an upcoming major patent cliff and potential impacts from tariffs, amid market uncertainty.