Veterinary medicine stocks: the firms keeping your pet healthy

Pet ownership has grown due to the pandemic. That’s good news for animal health stocks, says Dr Mike Tubbs

MoneyWeek cover illustration - a cat in hospital
(Image credit: © Adam Stower)

One of the surprising consequences of Covid-19 was an increase in pet ownership, as families spent more time at home and felt that they could look after a new dog or cat. Around 11% of UK households gained a new pet between March 2020 and March 2021, according to a survey by the Pet Foods Manufacturers’ Association. Another 10% were planning to do so. Among young adults aged 24-35, 35% had already become or intended to become pet owners.

This is a continuation of a long-term trend towards greater pet ownership – and not just in Britain. In the US, the percentage of households owning a pet rose from 56% in 1988 to 66% in 2023, according to the American Pet Association. Dogs and cats are by far the most common pets in both the US and UK.

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Dr Mike Tubbs

Highly qualified (BSc PhD CPhys FInstP MIoD) expert in R&D management, business improvement and investment analysis, Dr Mike Tubbs worked for decades on the 'inside' of corporate giants such as Xerox, Battelle and Lucas. Working in the research and development departments, he learnt what became the key to his investing; knowledge which gave him a unique perspective on the stock markets.

Dr Tubbs went on to create the R&D Scorecard which was presented annually to the Department of Trade & Industry and the European Commission. It was a guide for European businesses on how to improve prospects using correctly applied research and development. He has been a contributor to MoneyWeek for many years, with a particular focus on R&D-driven growth companies.