Domestic formulations, chronic therapies to drive Pharma Q1; US generics remain drag

The healthcare sector anticipates strong growth in domestic formulations and emerging markets. Companies with less US generics dependence will likely see broad-based growth. Specialty products and biosimilars are expected to be key growth drivers. Hospitals are projected to continue outperforming with capacity additions and improving occupancy. Margins may contract due to higher costs and new facility ramp-up expenses.