In this article, we discuss 10 best immunotherapy stocks to buy now.

The global immunotherapy market is rapidly evolving as technological, regulatory, and economic trends combine to alter the growth and risk dynamics within the industry. According to a report by market research firm BCC Research, the global market for immunotherapy drugs could be worth more than $204 billion in value by 2025, up from $139 billion in 2020, representing an annual growth rate of close to 8%. The estimates are based on analysis of new products, regulatory scenarios, and the challenges and opportunities affecting market growth. 

Within the immunotherapy universe, cancer immunotherapies are the largest market. According to data compiled by the American Cancer Society, of all drug approvals between 2010 and 2018, 27% were cancer therapies, compared with 4% in the 1980s. Despite this explosive growth, cancer remains the leading cause of death globally, accounting for nearly 10 million deaths in 2020. To put this figure into context, the coronavirus pandemic killed about 3 million people in the same year. 

Growth Drivers and Challenges Abound for Immunotherapy Marketplace

Investors eager to take advantage of the growth opportunities in the sector should monitor some of the best immunotherapy stocks that include Pfizer Inc. (NYSE:PFE), Eli Lilly and Company (NYSE:LLY), and AbbVie Inc. (NYSE:ABBV). In recent years, immunotherapy research has evolved to include trials studying combinations such as kill switches, removable protein masks, or linkers that bring immune cells and tumor cells into proximity in order to tamp down side-effects. 

There are several reasons that are holding back even faster development within the immunotherapy marketplace. These include the high cost of cancer immunotherapies, strict rules and regulations related to government policies in some regions, manufacturing process related complexities, and concern regarding side effects. The growth drivers, on the other hand, include the increasing prevalence of autoimmune diseases among adults and growing investments in the research and funding of cancer. 

Our Methodology

The companies that operate in the immunotherapy sector were selected for the list. In order to provide readers with some additional context for their investment choices, the business fundamentals and analyst ratings for these stocks are also discussed. The latest pipeline drugs of these firms, under various stages of their development, are mentioned as well for further clarity. A database of around 900 elite hedge funds tracked by Insider Monkey in the second quarter of 2022 was used to identify the number of hedge funds that hold stakes in each firm. 

Best Immunotherapy Stocks To Buy Now

10. Evaxion Biotech A/S (NASDAQ:EVAX)

Number of Hedge Fund Holders: 2     

Evaxion Biotech A/S (NASDAQ:EVAX) is a clinical-stage biotech company that engages in developing artificial intelligence-powered immunotherapies for cancers, bacterial diseases, and viral infections. It is one of the best immunotherapy stocks to invest in. Evaxion Biotech A/S (NASDAQ:EVAX) recently revealed that it enrolled the first patient in a global phase 2b trial of its immunotherapy EVX-01 to treat melanoma, a type of skin cancer. The trial is being conducted at sites in the US, Europe, and Australia in collaboration with drug giant Merck, which is supplying the trial with its blockbuster drug Keytruda. 

On July 18, investment advisory Oppenheimer assumed coverage of Evaxion Biotech A/S (NASDAQ:EVAX) stock with an Outperform rating and a $16 price target. Analyst Jeff Jones issued the ratings update. 

At the end of the second quarter of 2022, 2 hedge funds in the database of Insider Monkey held stakes worth $185,000 in Evaxion Biotech A/S (NASDAQ:EVAX), compared to 2 in the previous quarter worth $1.3 million.

Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in Evaxion Biotech A/S (NASDAQ:EVAX), with 333,100 shares worth more than $650,000. 

Just like Pfizer Inc. (NYSE:PFE), Eli Lilly and Company (NYSE:LLY), and AbbVie Inc. (NYSE:ABBV), Evaxion Biotech A/S (NASDAQ:EVAX) is one of the best immunotherapy stocks to buy right now. 

9. ThermoGenesis Holdings, Inc. (NASDAQ:THMO)

Number of Hedge Fund Holders: 3  

ThermoGenesis Holdings, Inc. (NASDAQ:THMO) develops, commercializes, and markets a range of automated technologies for chimeric antigen receptor (CAR-T) and other cell-based therapies. It is one of the top immunotherapy stocks to invest in. The company currently markets a full suite of solutions for automated clinical bio-banking, point-of-care applications, and automation for immuno-oncology, including its semi-automated, functionally-closed CAR-TXpress platform, which streamlines the manufacturing process for the emerging CAR-T immunotherapy market. 

On August 11, the company reported earnings for the second quarter of 2022, posting a revenue of $3 million, up more than 37% compared to the revenue over the same period last year. The firm is based in California and was founded in 1986. 

At the end of the second quarter of 2022, 3 hedge funds in the database of Insider Monkey held stakes worth $68,000 in ThermoGenesis Holdings, Inc. (NASDAQ:THMO). Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in ThermoGenesis Holdings, Inc. (NASDAQ:THMO), with 195,192 shares worth more than $54,000. 

8. Greenwich LifeSciences, Inc. (NASDAQ:GLSI)

Number of Hedge Fund Holders: 6    

Greenwich LifeSciences, Inc. (NASDAQ:GLSI) is a clinical stage biopharmaceutical company that focuses on the development of novel cancer immunotherapies for breast cancer and other HER2/neu-expressing cancers. It is one of the premier immunotherapy stocks to invest in. Greenwich LifeSciences, Inc. (NASDAQ:GLSI) recently entered into an Open Market Sale Agreement with Jefferies, wherein it may issue and sell from time to time shares at a par value of $0.001 per unit. Greenwich LifeSciences, Inc. (NASDAQ:GLSI) also recently reported that the US Food and Drug Administration had removed a clinical hold on a phase 3 trial of a breast cancer treatment, allowing the trial to progress.

On July 12, H.C. Wainwright analyst Yi Chen reiterated a Buy rating on Greenwich LifeSciences, Inc. (NASDAQ:GLSI) stock with a $78 price target, predicting that the FLAMINGO-01 breast cancer trial of the firm would proceed as planned. 

Among the hedge funds being tracked by Insider Monkey, NewYork-based investment firm Renaissance Technologies is a leading shareholder in Greenwich LifeSciences, Inc. (NASDAQ:GLSI), with 105,159 shares worth more than $891,000. At the end of the second quarter of 2022, 6 hedge funds in the database of Insider Monkey held stakes worth $2.8 million in Greenwich LifeSciences, Inc. (NASDAQ:GLSI), compared to 1 the preceding quarter worth $410,000.

7. ImmunityBio, Inc. (NASDAQ:IBRX)

Number of Hedge Fund Holders: 8  

ImmunityBio, Inc. (NASDAQ:IBRX) is a clinical-stage biotechnology company that engages in developing therapies and vaccines that complement, harness, and amplify the immune system to defeat cancers and infectious diseases. It is one of the major immunotherapy stocks to invest in. ImmunityBio, Inc. (NASDAQ:BRX) recently revealed that the drug authorities in the US had accepted for review the company’s biologics license application (BLA) for its agonist N-803, a treatment of bladder cancer carcinoma in situ. The exact indication for N-803 is for the treatment of patients with BCG-unresponsive non-muscle-invasive bladder cancer carcinoma in situ with or without Ta or T1 disease. 

On August 03, Jefferies analyst Kelly Shi initiated coverage of ImmunityBio, Inc. (NASDAQ:BRX) stock with a Buy rating and lowered price target to $8 from $10, stressing that the price target is lowered to reflect the recent pullback and current market conditions.

At the end of the second quarter of 2022, 8 hedge funds in the database of Insider Monkey held stakes worth $11 million in ImmunityBio, Inc. (NASDAQ:IBRX), compared to 7 the preceding quarter worth $7 million.

6. UroGen Pharma Ltd. (NASDAQ:URGN)

Number of Hedge Fund Holders: 11  

UroGen Pharma Ltd. (NASDAQ:URGN) is a biotechnology company that engages in the development and commercialization of novel solutions for specialty cancers and urothelial diseases. It is one of the elite immunotherapy stocks to invest in. UroGen Pharma Ltd. (NASDAQ:URGN) stock has risen in the past week after the company said that the US FDA had authorized an extension of the in-use period for Jelmyto (mitomycin) for pyelocalyceal solution admixture from 8 hours to 96 hours after reconstitution of the product. 

On April 27, Berenberg analyst Anita Dushyanth initiated coverage of UroGen Pharma Ltd. (NASDAQ:URGN) stock with a Buy rating and a $20 price target, denoting that there was a considerable opportunity for UroGen’s novel RTGel drug-delivery technology in both high- and low-grade bladder cancers given that bladder cancer has a high rate of recurrence and is currently being treated predominantly with surgery. 

Among the hedge funds being tracked by Insider Monkey, Oregon-based investment firm Stonepine Capital is a leading shareholder in UroGen Pharma Ltd. (NASDAQ:URGN), with 1.1 million shares worth more than $9 million. At the end of the second quarter of 2022, 11 hedge funds in the database of Insider Monkey held stakes worth $33 million in UroGen Pharma Ltd. (NASDAQ:URGN), compared to 9 the preceding quarter worth $19 million.

In addition to Pfizer Inc. (NYSE:PFE), Eli Lilly and Company (NYSE:LLY), and AbbVie Inc. (NYSE:ABBV), UroGen Pharma Ltd. (NASDAQ:URGN) is one of the best immunotherapy stocks to buy right now according to smart investors. 

5. Acumen Pharmaceuticals, Inc. (NASDAQ:ABOS)

Number of Hedge Fund Holders: 15     

Acumen Pharmaceuticals, Inc. (NASDAQ:ABOS) is a clinical-stage biopharmaceutical company that discovers and develops therapies for the treatment of Alzheimer’s disease. It is one of the best immunotherapy stocks to invest in. The shares have rallied in the past few weeks on the back of promising results from a late-stage data for an experimental Alzheimer’s therapy, Lecanemab, by rivals of the firm. In the trial involving nearly 1,800 patients, the amyloid-targeting monoclonal antibody cut the cognitive and functional decline in the early stage of Alzheimer’s by 27%, compared to placebo. 

On October 05, BTIG analyst Thomas Shrader kept a Buy rating on Acumen Pharmaceuticals, Inc. (NASDAQ:ABOS) stock and raised the price target to $22 from $15, underlining that recent positive Lecanemab data from Biogen supports the therapeutic rationale of Acumen’s ACU193, increasing the modeled probability of success from 30% to 40%.  

At the end of the second quarter of 2022, 15 hedge funds in the database of Insider Monkey held stakes worth $85.5 million in Acumen Pharmaceuticals, Inc. (NASDAQ:ABOS), compared to 16 the preceding quarter worth $65.4 million.

4. Avid Bioservices, Inc. (NASDAQ:CDMO)

Number of Hedge Fund Holders: 17    

Avid Bioservices, Inc. (NASDAQ:CDMO) is a contract development and manufacturing organization that provides process development and current good manufacturing practices (CGMP) focused on biopharmaceutical drug substances derived from mammalian cell culture. It is one of the top immunotherapy stocks to invest in.

On June 30, RBC Capital analyst Sean Dodge kept an Outperform rating on Avid Bioservices, Inc. (NASDAQ:CDMO) stock and lowered the price target to $22 from $32, noting that the company’s commercial activity has remained strong with the backlog rising 30%, though its initial guidance is building in a bit more conservatism to account for greater macro uncertainty. 

At the end of the second quarter of 2022, 17 hedge funds in the database of Insider Monkey held stakes worth $82.7 million in Avid Bioservices, Inc. (NASDAQ:CDMO), compared to 15 in the previous quarter worth $108 million.

In its Q2 2022 investor letter, Laughing Water Capital, an asset management firm, highlighted a few stocks and Avid Bioservices, Inc. (NASDAQ:CDMO) was one of them. Here is what the fund said:

“How Cheap is Cheap Enough?

Consider the case of Avid Bioservices (NASDAQ:CDMO), a large molecule, small batch Contract Drug Manufacturing Organization that will be familiar to all but our newest partners, as we owned shares from 1H 2018 until all but exiting our position in the low $30s in Q4 of 2021. Since that time, shares have declined precipitously as the company is both a “growth” stock and in the S&P Biotech ETF (XBI), which has declined ~36% YTD to quarter end. However, in my view Avid Bio is a baby with the bathwater, and we once again made Avid Bioservices a large position during the quarter.

First, unlike most “growth” stocks, Avid Bioservices is not a “disruptor.” You don’t have to make any blind assumptions about total addressable market (TAM), customer acquisition costs (CAC), or churn. There is very little risk of “garbage in, garbage out” when modeling Avid’s future. Rather, Avid’s assumed growth is tied to building additional manufacturing capacity. In my view, it is a much easier task to understand the dynamics of building an additional manufacturing facility than it is to understand the dynamics of alleged TAM, potential CAC, and unknown churn.

Second, unlike most biotech stocks, Avid is a real business, not a binary bet on whether or not a drug will meet its hoped-for end state. Lastly, and most importantly, Avid Bio has one characteristic that staunchly separates it from other high flying growth stocks and biotech stocks that have been punished by the market: it is set to gush cash in the not-too-distant future.”

3. Immunocore Holdings plc (NASDAQ:IMCR)

Number of Hedge Fund Holders: 17

Immunocore Holdings plc (NASDAQ:IMCR) is a commercial-stage biotechnology company that engages in the development of immunotherapies for the treatment of cancer, infectious, and autoimmune diseases. It is one of the premier immunotherapy stocks to invest in. Immunocore Holdings plc (NASDAQ:IMCR) shares have slid recently after the company announced initial data for its off-the-shelf T cell receptor immunotherapy IMC-F106C from a Phase 1 trial involving patients with solid tumors. A bi-specific protein, based on the Immunocore Holdings plc (NASDAQ:IMCR) therapeutic platform ImmTAC, IMC-F106C, is the company’s first drug candidate to target the PRAME antigen in tumors.

On September 09, investment advisory Jefferies kept an Overweight rating on the Immunocore Holdings plc (NASDAQ:IMCR) stock with a $68 price target. Analyst Michael Yee issued the ratings update. 

Among the hedge funds being tracked by Insider Monkey, Baltimore-based firm Rock Springs Capital Management is a leading shareholder in Immunocore Holdings plc (NASDAQ:IMCR), with 2.7 million shares worth more than $99.7 million. 

2. Novavax, Inc. (NASDAQ:NVAX)

Number of Hedge Fund Holders: 25     

Novavax, Inc. (NASDAQ:NVAX) is a biotechnology company that focuses on the discovery, development, and commercialization of vaccines to prevent serious infectious diseases and address health needs. On August 10, B Riley analyst Mayank Mamtani maintained a Buy rating on Novavax, Inc. (NASDAQ:NVAX) stock and lowered the price target to $126 from $171, underlining that COVID vaccine product sales were meaningfully below Street expectations and the fiscal 2022 outlook was worse than feared for the firm. 

Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Graham Capital Management is a leading shareholder in Novavax, Inc. (NASDAQ:NVAX), with 85 million shares worth more than $85 million. 

1. argenx SE (NASDAQ:ARGX)

Number of Hedge Fund Holders: 35   

argenx SE (NASDAQ:ARGX) is a biotechnology company that focuses on developing various therapies for the treatment of autoimmune diseases. It is one of the elite immunotherapy stocks to invest in. Argenx SE (NASDAQ:ARGX) recently submitted an application to the US Food and Drug Administration (FDA) seeking approval of subcutaneous (SC) efgartigimod to treat adult patients with generalized myasthenia gravis (gMG).The Biologics License Application was backed by data from a phase 3 trial called ADAPT-SC, which showed non-inferiority of SC efgartigimod compared to intravenously administered Vyvgart.

On August 26, Piper Sandler analyst Allison Bratzel kept an Overweight rating on Argenx SE (NASDAQ:ARGX) stock and raised the price target to $465 from $450, stating that the feedback indicates strong initial demand among refractory patients driving early uptake, which bodes well for Vyvgart, a pipeline drug of the firm. 

At the end of the second quarter of 2022, 35 hedge funds in the database of Insider Monkey held stakes worth $2.4 billion in argenx SE (NASDAQ:ARGX), compared to 31 in the preceding quarter worth $1.95 billion. 

In its Q2 2022 investor letter, Artisan Partners, an asset management firm, highlighted a few stocks and argenx SE (NASDAQ:ARGX) was one of them. Here is what the fund said:

“argenx SE (NASDAQ:ARGX) is a commercial stage biotechnology company with an approved, first-, and potentially best-in-class therapy (FcRn) for autoimmune diseases. In its first full quarter of sales, Vyvgart meaningfully exceeded consensus sales expectations, indicating strong early market traction. In addition, it released positive phase 3 results for Vyvgart’s use in treating immune thrombocytopenia purpura, a blood disorder characterized by low platelet levels. We believe this second indication could receive FDA approval in early 2023, and the news confirms our thesis that Vyvgart is a “pipeline in a product”—a compelling new molecule which is likely to be safe and effective in numerous rare autoimmune disorders.”

You can also take a peek at 10 Best Stocks to Buy According to Angela Aldrich’s Bayberry Capital Partners and Top 10 Tech Stocks to Buy According to Billionaire Louis Bacon.

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Disclosure. None. 10 Best Immunotherapy Stocks To Buy Now is originally published on Insider Monkey.