Bayer Aktiengesellschaft (OTC: BAYRY) and Biogen (NASDAQ: BIIB) are both massive and multinational healthcare companies, but the case in favor of investing in each company is dramatically different. Whereas Biogen's stock requires a steady drumbeat of new drug approvals and rising revenues from drug sales, Bayer relies heavily on the power of its deeply entrenched healthcare brands and agrochemical business to expand sales in global markets. When deciding which company is a better buy, investors need to pay close attention to each company's core competitive competencies.
In a nutshell, neither of these companies are positioned for rapid growth, largely because they are large and mature, and function in crowded and highly competitive markets. So if one of the two companies isn't able to leverage its core strengths effectively over time, its business might even shrink.
Let's explore each company in detail so that we can discern which is going to deliver the stable growth we'd expect and which might detract from your portfolio.
Source Fool.com