In this article, we will be taking a look at the 10 Best Cancer Stocks to Buy for the Long Term.
Pharmaceutical firms have always had a special place in the healthcare market because they provide stability and expansion. The constant demand for drugs, immunizations, and treatments for chronic illnesses, which helps sustain earnings independent of economic cycles, is the source of their protective stance. This resilience is demonstrated by the S&P 500 Pharmaceutical index’s climb of more than 6%, which exceeds the gain of slightly over 1% for the entire S&P 500.
One of the industry’s fastest-growing subsectors is oncology. Growth is mostly being driven by advancements in immunotherapy and targeted medications, as well as a rise in the incidence of cancer worldwide. According to Allied Market Research, the market for cancer medications is expected to increase at a compound annual growth rate of 7.2% and reach $335.2 billion by 2032. The demand for breast cancer medications is predicted to increase at a rate of 5.6% to $6.6 billion in the US alone by 2036 as a result of widespread treatment acceptance, extensive screening programs, and long-term maintenance therapy.
Macroeconomic conditions have continued to be unstable. Despite international tensions and rising oil prices, the S&P 500 recovered to highs within 15 trading days, according to Matt Powers of Powers Advisory Group, who characterized recent movements as a “textbook” V-shaped recovery on April 17. Even if a large portion of the macro risk seems to be priced in, markets are nevertheless susceptible to changes in Federal Reserve policy, energy, and geopolitics.
Investor behavior has changed as a result of this uncertainty. According to John Stoltzfus of Oppenheimer, worries about inflation and high valuations have caused a shift away from large-cap technology stocks and toward more comprehensive diversification strategies. After years of sluggish growth, JPMorgan analysts see signs of stabilization, even if healthcare has lagged, down about 4% this year.
In the meantime, industry fundamentals are being strengthened by increased insider purchasing and merger & acquisition activity. According to Deloitte’s February 16, 2026 Global Health Care Outlook, more than 70% of non-US executives anticipate increased revenues and profits, bolstering confidence in the industry’s long-term growth trajectory.
With that said, Let’s now take a look at the best cancer stocks.
Our Methodology
For our methodology, we filtered for stocks of pure-play cancer companies or companies contributing to the oncology sector, with EPS growth of more than 15%. From that list, we selected companies with the most recent news and developments and ranked them in ascending order based on the total number of hedge fund holders as of Q4 2025, according to 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 cancer stocks to buy for the long term.
10. Dr. Reddy’s Laboratories Limited (NYSE:RDY)
Number of Hedge Fund Holders: 10
Dr. Reddy’s Laboratories Limited (NYSE:RDY) is one of the best cancer stocks on our list.
TheFly reported on April 23 that Goldman Sachs lowered its rating on RDY from Neutral to Sell and reduced the price target from INR 1,225 to INR 1,075, citing concerns that the company’s generic Ozempic prospects in Canada may be weaker and more short-term than previously expected due to rising competition. The firm also noted that RDY’s pipeline for high-value drugs remains limited.
Moreover, on April 29, Dr. Reddy’s Laboratories Limited announced that it had secured regulatory clearance from Health Canada for its generic semaglutide injection, marking a significant step for the company in the Canadian market. The approval makes RDY’s the first drugmaker to obtain authorization to market a generic version of semaglutide in Canada before Health Canada’s expected review timeline.
The authorization includes both the 2 mg/pen and 4 mg/pen versions of the treatment. The company stated that commercial launch activities are already in progress, positioning it to expand access to the medication for patients across Canada. The development also strengthens RDY’s presence in the growing market for diabetes and weight management treatments.
Dr. Reddy’s Laboratories Limited is a global pharmaceutical company based in Hyderabad. Founded in 1984, it develops and manufactures generics, APIs, biosimilars, and branded medicines, with a strong presence in oncology, cardiovascular care, and emerging markets.
9. Halozyme Therapeutics, Inc. (NASDAQ:HALO)
Number of Hedge Fund Holders: 31
Halozyme Therapeutics, Inc. (NASDAQ:HALO) is one of the best cancer stocks to invest in.
TheFly reported on April 29 that H.C. Wainwright increased its price objective for HALO to $95 from $90 and reiterated its Buy recommendation on the stock. The firm pointed to expectations of a first-quarter royalty reset and anticipates stronger royalty growth momentum for HALO beginning in the second quarter and continuing through the remainder of 2026. H.C. Wainwright noted that upcoming quarters could provide indications of improving royalty performance as the company advances its commercial and partnership-driven revenue streams.
In separate news, on May 6, Halozyme Therapeutics, Inc. and Oruka Therapeutics disclosed a worldwide exclusive partnership and licensing deal involving Halozyme’s wholly owned subsidiary, Halozyme Hypercon. Under the agreement, Oruka obtained rights to use HALO’s Hypercon technology for ORKA-001, which is being developed for psoriasis and other inflammatory conditions, with potential expansion to one additional therapeutic target.
Hypercon is designed as a microparticle-based system that enables higher drug concentration, lowering injection volumes, and improving ease of administration for patients. The deal includes an upfront payment from Oruka to HALO, along with the possibility of additional milestone-based payments in the future. HALO is also set to receive mid-single-digit royalty payments on net sales of any products developed using the licensed technology.
Halozyme Therapeutics, Inc. is a biotechnology company based in San Diego that specializes in oncology drug delivery. It is best known for its ENHANZE technology, which enables faster, high-volume subcutaneous drug administration and is widely licensed to pharmaceutical partners for cancer therapies.
8. Novartis AG (NYSE:NVS)
Number of Hedge Fund Holders: 35
Novartis AG (NYSE:NVS) is also one of the best cancer stocks to buy for the long term.
On May 7, NVS began construction on a 46,000-square-foot radioligand therapy manufacturing facility in Denton, Texas. The project is part of the company’s broader $23 billion commitment to expanding U.S.-based manufacturing and research capacity. This site marks NVS’s first production facility in Texas and is intended to strengthen access to radioligand therapies for patients in the southern United States. It also becomes the fifth such facility in the country.
On April 30, Novartis AG outlined plans for a 56,200-square-foot manufacturing site in Morrisville, North Carolina. The facility will focus on producing active pharmaceutical ingredients used in solid oral medicines such as tablets and capsules, as well as supporting RNA-based therapies.
This project represents the seventh new site announced within a year under the company’s $23 billion investment program aimed at expanding U.S. manufacturing and research capabilities. Once completed, it will increase NVS’s footprint in North Carolina to five facilities distributed across three different locations, strengthening its regional production network.
Novartis AG is a global healthcare company based in Basel and a major player in oncology. It develops targeted therapies, cell and gene therapies, and radioligand treatments for cancers like breast and prostate cancer, with a strong focus on precision medicine and expanding its manufacturing capabilities.
7. Exelixis, Inc. (NASDAQ:EXEL)
Number of Hedge Fund Holders: 42
Exelixis, Inc. (NASDAQ:EXEL) is one of the best cancer stocks on this list.
TheFly reported on May 6 that EXEL received an updated valuation outlook as TD Cowen increased its price target to $55 from $51 while reaffirming a Buy rating on the stock. The firm highlighted newly announced combination studies involving zanza in non-small cell lung cancer (NSCLC) and metastatic castration-resistant prostate cancer (mCRPC), noting that these programs support the company’s broader expansion efforts. However, it also pointed out that the overall growth narrative remains mixed, given earlier setbacks associated with cabo-based therapies.
Additionally, alongside its Q1 update on May 5, Exelixis, Inc. confirmed that it is keeping its fiscal 2026 revenue outlook unchanged at $2.525 billion to $2.625 billion. The company noted that this forecast does not include any potential contribution from a future U.S. approval and launch of zanzalintinib for previously treated metastatic colorectal cancer when combined with atezolizumab.
That application is currently under review by the U.S. Food and Drug Administration. Management indicated that the existing guidance only reflects currently approved products and ongoing operations, without factoring in possible upside from this pending regulatory decision.
Exelixis, Inc. is an oncology-focused biopharmaceutical company based in Alameda. It develops small-molecule cancer therapies, led by CABOMETYX (cabozantinib), its main revenue driver. The company is also advancing next-generation drugs like zanzalintinib and expanding into new cancer treatment areas.
6. Incyte Corporation (NASDAQ:INCY)
Number of Hedge Fund Holders: 48
Incyte Corporation (NASDAQ:INCY) is among the best cancer stocks to invest in.
On May 7, INCY reported final 24-week results from its Phase 3 TRuE-AD4 study evaluating Opzelura (ruxolitinib) cream in adults with moderate atopic dermatitis who had limited response or intolerance to standard topical therapies such as corticosteroids and calcineurin inhibitors.
The results, presented at a European dermatology conference, showed that early treatment benefits observed at Week 8 were generally sustained through Week 24. Among patients continuing therapy, a high proportion maintained strong clinical responses, with improvements in skin involvement and itch control remaining consistent over time. Safety findings were in line with earlier data, showing good tolerability and no new safety concerns during extended use up to 24 weeks.
Separately, earlier on May 1, Incyte Corporation announced that the U.S. Food and Drug Administration approved Jakafi XR, an extended-release formulation of ruxolitinib. The approval covers treatment of adults with intermediate- or high-risk myelofibrosis, adults with polycythemia vera who do not respond adequately to or cannot tolerate hydroxyurea, and both adults and adolescents aged 12 and older with steroid-refractory acute graft-versus-host disease or chronic GVHD after prior systemic therapy.
The company highlighted that the once-daily formulation expands dosing convenience for eligible patients while maintaining the established clinical role of Jakafi in hematologic and immune-related conditions, broadening therapeutic options without altering its core use.
Incyte Corporation is a biopharmaceutical company based in Wilmington focused on oncology, hematology, and inflammation. Its key drug is Jakafi (ruxolitinib), used for blood cancers and related conditions, along with other therapies for cancer and skin diseases.
5. AstraZeneca PLC (NYSE:AZN)
Number of Hedge Fund Holders: 52
AstraZeneca PLC (NYSE:AZN) is among the best cancer stocks on this list.
TheFly reported on May 6 that CDT Equity announced that AZD5904, a selective inhibitor of human myeloperoxidase originally licensed from AstraZeneca PLC, has entered the Patent Cooperation Treaty stage, expanding its potential for international intellectual property protection. The compound has been evaluated across five Phase 1 clinical studies involving 181 participants, where it showed an acceptable safety profile with no clear drug-related adverse effects reported.
The company also highlighted supporting patent coverage, including composition-of-matter and method-of-use protections related to idiopathic male infertility, backed by preclinical findings. CDT is also exploring broader applications in oncology-associated infertility and is actively pursuing partnerships to advance further development and commercialization opportunities.
Separately, earlier on May 1, an FDA oncology advisory panel noted a positive benefit–risk assessment for AZN’s Truqap when used with abiraterone and androgen deprivation therapy for patients with PTEN-deficient metastatic hormone-sensitive prostate cancer, based on results from the CAPItello-281 Phase III study. The panel vote supported the evaluation, reflecting a strong consensus.
Trial data showed a reduction in disease progression or death risk and a meaningful extension in radiographic progression-free survival compared with standard therapy plus placebo. Additional secondary endpoints also favored the combination, including delayed resistance and fewer skeletal complications. Overall survival data remain immature as the study continues.
AstraZeneca PLC is a global biopharmaceutical company headquartered in Cambridge, focused on oncology. It develops a broad portfolio of cancer treatments targeting lung, breast, ovarian, and blood cancers, aiming to advance science-led therapies across multiple platforms.
4. IDEXX Laboratories, Inc. (NASDAQ:IDXX)
Number of Hedge Fund Holders: 58
IDEXX Laboratories, Inc. (NASDAQ:IDXX) is one of the best cancer stocks.
TheFly reported on May 5 that IDXX saw its valuation outlook reduced as BofA Securities lowered its price target to $660 from $790 while maintaining a Neutral stance on the stock. The firm acknowledged that first-quarter results reflected solid operational performance despite difficult market conditions. However, it expressed uncertainty regarding the durability of broader macroeconomic trends and the pace of inVue system installations for the remainder of the year. The commentary also pointed to slightly weaker than expected placements in the first quarter and ongoing pressure from a challenging operating environment, which contributed to the revised outlook.
In addition to that, IDEXX Laboratories, Inc. updated its fiscal 2026 outlook on the same day, raising expected reported revenue growth to 8.6%–10.6%. It also projected CAG Diagnostics recurring revenue growth of 9.6%–11.6% on a reported basis and 8.7%–10.7% organically, alongside overall organic revenue growth of 7.7%–9.7%. Consensus estimates for FY26 stand at about $4.68 billion in revenue and $14.51 in EPS, reflecting expectations tied to steady demand in its diagnostics business.
IDEXX Laboratories, Inc. is a global leader in veterinary diagnostics based in Westbrook. It develops advanced cancer detection tests for animals, including blood-based screening that can help detect cancers like lymphoma early, often months before symptoms appear.
3. Gilead Sciences, Inc. (NASDAQ:GILD)
Number of Hedge Fund Holders: 71
Gilead Sciences, Inc. (NASDAQ:GILD) is among the best cancer stocks to invest in.
TheFly reported on May 7 that GILD revised its fiscal 2026 outlook, now expecting adjusted earnings per share between a loss of $1.05 and a loss of $0.65, compared with prior guidance of $8.45 to $8.85 and below consensus estimates of $8.65. The updated forecast reflects a substantial downward adjustment driven by roughly $11.5 billion in acquired in-process research and development charges, along with financing costs tied to recent transactions involving Arcellx, Ouro Medicines, and Tubulis. Management indicated that these factors significantly impacted both GAAP and non-GAAP earnings expectations for the year.
Separately, on April 29, in a pivotal regulatory development, Gilead Sciences, Inc. announced that the U.S. Food and Drug Administration had formally accepted its New Drug Application for a once-daily single-tablet regimen combining bictegravir 75 mg and lenacapavir 50 mg.
The investigational therapy is intended for adults living with HIV who are already virologically suppressed. The agency has also granted the application priority review status and set a target action date of August 27, 2026, under the Prescription Drug User Fee Act timeline. This designation shortens the review period and signals potential regulatory importance for the proposed combination treatment.
Gilead Sciences, Inc. is a biopharmaceutical company based in Foster City that has expanded from antivirals into oncology. Through acquisitions like Kite Pharma and Immunomedics, it focuses on CAR-T cell therapies and antibody drug conjugates to treat blood and breast cancers.
2. Johnson & Johnson (NYSE:JNJ)
Number of Hedge Fund Holders: 104
Johnson & Johnson is among the best cancer stocks.
TheFly reported on May 5 that JNJ released Phase 3 FUZION study results evaluating TREMFYA in adults with active perianal fistulizing Crohn’s disease. At 24 weeks, the therapy showed statistically meaningful improvements over placebo in combined fistula remission, a strict endpoint requiring full closure of external fistulas and no fluid collection on MRI. Both dosing regimens demonstrated higher remission rates compared with placebo. The findings are notable given the difficulty of treating this severe disease manifestation and represent the first randomized controlled trial in two decades to show clear efficacy in this patient population. Safety remained consistent with prior data.
In a simultaneous announcement on May 5, Johnson & Johnson reported Phase 2b findings from the DUET-UC and DUET-CD trials evaluating JNJ-4804, an investigational dual-target co-antibody therapy designed to inhibit interleukin-23 and tumor necrosis factor-alpha. The studies enrolled patients with moderately to severely active ulcerative colitis or Crohn’s disease who had limited response to multiple prior systemic treatments.
At Week 48, the therapy demonstrated improvements across key clinical and endoscopic endpoints in a difficult-to-treat, highly refractory patient subgroup. These results were presented as part of the company’s late-breaking data at Digestive Disease Week 2026.
Johnson & Johnson is a global healthcare company based in New Brunswick with a strong focus on oncology. It develops treatments for blood cancers and solid tumors, and its cancer drug business is driving strong growth.
1. Eli Lilly and Company (NYSE:LLY)
Number of Hedge Fund Holders: 137
Eli Lilly and Company (NYSE:LLY) is one of the best cancer stocks.
TheFly reported on May 5 that Barclays increased its valuation outlook for LLY, raising the price target to $1,400 from $1,350 while maintaining an Overweight rating. The adjustment followed the company’s first-quarter earnings update, which led to higher estimates. The firm highlighted that strong ongoing demand for tirzepatide is reinforcing investor attention on the company’s broader long-term growth narrative, shifting focus back to its core pipeline strength and market positioning after the recent results.
In a separate development, on May 6, Eli Lilly and Company announced an additional $4.5 billion investment across two of its manufacturing sites in Lebanon, Indiana, expanding its long-term capital commitment in the state to more than $21 billion since 2020. The decision was driven by expected growth in demand for its medicines and continued expansion of its pipeline.
The funding will support advanced production capabilities, including updated manufacturing technologies at its active pharmaceutical ingredient facility and the development of its dedicated genetic medicine production site. This expansion reflects the company’s ongoing efforts to strengthen its U.S.-based manufacturing and support future therapeutic development.
Eli Lilly and Company is a global pharmaceutical company based in Indianapolis that is expanding its oncology portfolio. Alongside its strong diabetes and obesity business, it is growing in precision cancer therapies for breast, lung, and blood cancers through strategic acquisitions and development programs.
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