In this article, we will discuss: 10 Best Biotech Stocks to Invest In According to Billionaire Steve Cohen.
On April 30, Bloomberg reported that Steve Cohen resigned as president of Point72 Asset Management, and Harry Schwefel was appointed co-CIO. Cohen retained his chairman and CEO positions and established an executive committee to steer strategy. “Over the past few years, our firm has grown across virtually every metric,” Cohen said, pointing out AUM, headcount, and global reach. He added that he wants a structure that matches scale and ambition. Schwefel will collaborate closely with macro and quantitative heads.
Point72 grew after expanding to outside investors in 2018, with assets reaching $50 billion as of April 1. According to a person familiar with the matter, the firm’s returns this year until April 23 were 7.5%, up 3.5% from 17.5% in 2025. Bloomberg reported double-digit rises spanning multiple years since 2018. Cohen said, “I remain fully committed to driving innovation and the strategic direction of the firm.”
With that said, here are the 10 Best Biotech Stocks to Invest In According to Billionaire Steve Cohen.
Methodology:
To curate our list of Steven Cohen’s 10 best Biotech stocks, we scanned Point72 Asset Management’s Q4 2025 13F filings, using Insider Monkey’s 13F database. We have limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds. The stocks are ranked in ascending order of Point72 Asset Management’s stake value.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10. Relay Therapeutics, Inc. (NASDAQ:RLAY)
Point72 Asset Management: $117,248,595
On April 29, 2026, H.C. Wainwright hiked Relay Therapeutics, Inc. (NASDAQ:RLAY)’ price target from $19 to $25. It also maintained a Buy rating on the stock. The firm noted Phase 1 zovegalisib triplet results that “derisk” the anticipated Phase 3 study.
On May 5, 2026, Relay Therapeutics, Inc. (NASDAQ:RLAY) announced that the FDA had granted Breakthrough Therapy designation to zovegalisib paired with fulvestrant for PIK3CA-mutant, HR+/HER2- advanced breast cancer, which the Phase 1/2 ReDiscover study findings supported. At ESMO TAT, the company reported 400mg BID doublet results. It showed 11.1 months of median progression-free survival in severely pre-treated patients, with essentially equal efficacy across kinase and non-kinase variants.
For frontline breast cancer, Relay Therapeutics, Inc. (NASDAQ:RLAY) chose zovegalisib plus atirmociclib as the next triplet, with a 44% objective response rate in median third-line patients at unoptimized dosages. A Phase 3 trial aimed at endocrine sensitive patients is planned to begin in early 2027, with Pfizer providing atirmociclib.
Relay Therapeutics, Inc. (NASDAQ:RLAY) ended the first quarter with $642.1 million in cash from $554.5 million at the end of the previous year. It also stated that existing finances would sustain operations through 2029.
Relay Therapeutics, Inc. (NASDAQ:RLAY) is a firm that works to transform the drug discovery process. It focuses on advancing small-molecule therapeutic discovery in targeted oncology.
9. Merck & Co., Inc. (NYSE:MRK)
Point72 Asset Management: $140,885,142
On April 30, Reuters reported that Merck & Co., Inc. (NYSE:MRK) surpassed first-quarter forecasts, with revenue of $16.3 billion, up 5% and beyond analysts’ $15.8 billion projection as per LSEG data. Keytruda sales went up by 12% to $8 billion, exceeding the $7.6 billion consensus and sending shares up as much as 5% premarket.
The quarter carried a one-time cost, i.e., a $3.62 per share charge for the Cidara Therapeutics buyout, pushing results into net loss territory. Even though the adjusted loss of $1.28 per share still surpassed the $1.51 analysts expected.
Winrevair rose 88% to $525 million, exceeding its $479 million forecast. Gardasil’s sales dropped by 19% to $1.07 billion because demand in China and Japan decreased.
CEO Rob Davis said that the company is actively introducing more than 20 new products. The majority of these have blockbuster potential. Merck & Co., Inc. (NYSE:MRK) raised its 2026 earnings forecast to $5.04-$5.16 per share on $65.8-$67 billion in sales. Cantor analyst Carter Gould deemed the revision less persuasive, given the already conservative guidance at the start of the year.
Merck & Co., Inc. (NYSE:MRK) is a healthcare firm that provides health solutions, vaccines, biologic therapies, animal health, and consumer care products. It operates in pharmaceuticals, animal health, and other segments.
