In this article, we will be taking a look at the 10 Best Biotech Stocks Under $10 to Buy.
According to Eli Casdin, CEO of Casdin Capital, biotech is currently experiencing a momentary stop despite being in one of the best economic environments in years. The start of this year has been more muted, despite the great performance from the previous year. However, he did note that earlier in the year, there had been a similar trend, with momentum growing. Today, there is still a lot of underground activity, including mergers and acquisitions for more than $225 billion, which has contributed to stable prices. According to Casdin, investors are currently searching for the next big opportunity while in an experimental phase.
There is a lot of hope for the future due to a significant change in the industry: by 2030, almost $200 billion in pharmaceutical revenue is anticipated to face patent expirations. Large pharmaceutical companies are under pressure to reinvest and rebuild their pipelines due to the availability of over a trillion dollars in funding, which encourages more dealmaking. Casdin also emphasized the importance of artificial intelligence, stressing that although it can speed up invention and change procedures, it cannot take the place of the biological and physical aspects of medication development. Rather, AI serves as a potent instrument that promotes innovation and increases productivity.
Investors are also paying more attention to the larger healthcare industry. After a period of underperformance due to policy concerns, it has been outperforming since the beginning of the year alongside normally protective sectors. Because healthcare is less correlated with technology and sentiment is improving, analysts predict continued upside.
This outlook is further supported by industry trends. As businesses increase their purchases in response to impending patent cliffs, biopharma is starting the year with newfound vigor. Smaller biotech companies with promising pipelines are also seeing an increase in investor confidence. Furthermore, the convergence of digital health and biotechnology is drawing additional investment, setting the industry up for long term growth and potential.
With that said, let’s view the best biotech stocks.
Our Methodology
For our methodology, we began by screening for stocks with a closing price under $10 as of April 10 and positive upside potential. From the filtered results, we selected stocks with the most recent news and developments, and then ranked them in ascending order based on the total number of hedge fund holders as of Q4 2025, as tracked by the Insider Monkey database.
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).
Here is our list of the 10 best biotech stocks under $10 to buy.
10. MacroGenics, Inc. (NASDAQ:MGNX)
Number of Hedge Fund Holders: 15
Stock Price as of Last Close on April 10: $3.60
MacroGenics, Inc. (NASDAQ:MGNX) is one of the best biotech stocks.
TheFly reported on April 10 that B. Riley raised its rating on MGNX to Buy from Neutral and assigned a $9 price target. The firm highlighted the company’s positioning in the evolving antibody-drug conjugate landscape, particularly within the ADAM9 TOPO1 inhibitor segment. Its view follows recent industry developments, including a notable transaction involving Gilead, which prompted a reassessment of valuation approaches for next-generation ADC platform companies.
Separately, on April 8, MacroGenics, Inc. (NASDAQ:MGNX) announced that the U.S. Food and Drug Administration lifted the partial clinical hold on its Phase 2 LINNET trial evaluating lorigerlimab, an investigational bispecific antibody targeting PD-1 and CTLA-4. During the restriction period, patients already enrolled were permitted to continue treatment.
With the hold now removed, the company plans to restart enrollment of new participants under an updated study protocol that incorporates added safety measures to address potential blood-related and cardiac risks. The company indicated that it worked closely with regulators to resolve concerns and remains on schedule to provide a clinical update on the program later in the year, as development of the therapy continues.
MacroGenics, Inc. (NASDAQ:MGNX) is a clinical-stage biopharmaceutical company focused on developing antibody-based therapies for cancer. It leverages proprietary technologies to create targeted treatments designed to enhance immune response and improve outcomes for patients with unmet medical needs.
9. Karyopharm Therapeutics Inc. (NASDAQ:KPTI)
Number of Hedge Fund Holders: 21
Stock Price as of Last Close on April 10: $8.00
Karyopharm Therapeutics Inc. (NASDAQ:KPTI) is one of the best biotech stocks on this list.
TheFly reported on April 7 that RBC Capital reduced its price target on KPTI to $16 from $23 while maintaining an Outperform rating. The revision was part of a broader biotech sector preview ahead of first-quarter results. The firm noted potential short-term pressures from seasonal dynamics, reimbursement resets, fewer selling days, and weather-related disruptions, particularly affecting newly launched and clinic-administered products. Despite these challenges, it highlighted that renewed merger and acquisition activity, along with improved visibility on pricing and tariff-related factors, could help support sentiment and offset broader macroeconomic uncertainty within the sector.
Moreover, earlier on March 24, Karyopharm Therapeutics Inc. (NASDAQ:KPTI) entered into a securities purchase agreement with RA Capital Management for a private financing expected to generate approximately $30 million in gross proceeds, with potential for additional funds if associated warrants are exercised.
The transaction includes the sale of common stock, pre-funded warrants, and accompanying warrants, with closing anticipated later in the month, subject to customary conditions. The company plans to use the proceeds to support general corporate activities, including advancing its clinical development programs. Combined with existing resources, the funding is expected to sustain operations into the third quarter of 2026.
Karyopharm Therapeutics Inc. (NASDAQ:KPTI) is a commercial-stage biopharmaceutical company focused on developing and commercializing novel cancer therapies. It specializes in selective inhibitors of nuclear export (SINE) to treat hematologic malignancies and solid tumors.
