In this article, we will look at the 10 Most Profitable Biotech Stocks to Invest in Now.
Jared Holz, Mizuho health care equity strategist, appeared on CNBC’s ‘Power Lunch’ on March 5 to talk about investing in biotech and the oversaturation in the sector. His motto for investing in the biotech sector is stock picking, as he stated that “stock picking is the only way to make money in biotech.”
Holz further said that the denominator of biotech stocks in the public markets comes to 700 to 800, depending on the day. A quarter of those have enterprise values in negative territories, which translates to the fact that investors, and even the companies themselves, have in some respects exhausted options.
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There are thousands of biotech companies all competing against one another for limited market and revenue opportunities. According to Holz, venture funds should stop creating so many new companies that end up superseding each other in a few years.
With these trends in view, let’s look at the most profitable biotech stocks to invest in now.
A wide shot of a biotech lab, with scientists wearing lab coats and conducting research.
Our Methodology
We used Finviz to make a list of profitable biotech stocks (with a TTM net income over $100 million) and selected the top 10 with the highest number of hedge fund holders as of Q1 2025. We sourced the hedge fund sentiment data from Insider Monkey’s database. The list is sorted in ascending order of hedge fund holders.
Note: All data was sourced on July 23.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10 Most Profitable Biotech Stocks to Invest in Now
10. Genmab A/S (NASDAQ:GMAB)
TTM Net Income: $1.14 billion
Number of Hedge Fund Holders: 20
Genmab A/S (NASDAQ:GMAB) is one of the most profitable biotech stocks to invest in now. In a report released on July 14, Yaron Werber from TD Cowen maintained a Hold rating on Genmab A/S (NASDAQ:GMAB) without a price target.
In other news, Genmab A/S (NASDAQ:GMAB) reported on July 16 that net sales of DARZALEX totaled $3.539 billion in Q2 2025, with net trade sales of $ 2.017 billion in the US and $1.521 billion in the rest of the world.
Genmab A/S (NASDAQ:GMAB) receives royalties on the global net sales of DARZALEX, both the intravenous and SC products, under the exclusive worldwide license to Johnson & Johnson for the manufacturing, development, and commercialization of daratumumab.
Genmab A/S (NASDAQ:GMAB) is an international biotechnology company that develops human antibody therapeutics for the treatment of cancer and other diseases.
Its product pipeline includes DARZALEX to treat certain indications of multiple myeloma, TEPEZZA for the treatment of thyroid eye disease, and Arzerra to treat certain indications of chronic lymphocytic leukemia.
9. Halozyme Therapeutics, Inc. (NASDAQ:HALO)
TTM Net Income: $485.36 million
Number of Hedge Fund Holders: 31
Halozyme Therapeutics, Inc. (NASDAQ:HALO) is one of the most profitable biotech stocks to invest in now. On July 16, Morgan Stanley analyst Sean Laaman maintained a neutral stance on Halozyme Therapeutics, Inc. (NASDAQ:HALO), giving the stock a Hold rating with a $62 price target.
The analyst reasoned that one of the key concerns regarding Halozyme Therapeutics, Inc. (NASDAQ:HALO) is the uncertainty around the CMS draft pricing guidance, as it could potentially affect the pricing negotiations for the company’s combination products.
He stated that this draft guidance may be a matter of concern for Halozyme Therapeutics, Inc.’s (NASDAQ:HALO) long-term revenues, which holds especially true if the products are not exempt from the price negotiations anticipated to take effect in 2028.
Laaman further reasoned that while Halozyme Therapeutics, Inc. (NASDAQ:HALO) raised its financial guidance for 2025 with higher partner orders and royalty revenues, it is still unclear how regulatory updates would affect these estimates.
Halozyme Therapeutics, Inc. (NASDAQ:HALO) is a biopharmaceutical technology platform company that develops, manufactures, and commercializes drug-device combination products through advanced auto-injector technology. They offer commercial or functional benefits, including increased patient comfort and adherence, and enhanced tolerability and convenience.
8. Corcept Therapeutics Incorporated (NASDAQ:CORT)
TTM Net Income: $132.51 million
Number of Hedge Fund Holders: 33
Corcept Therapeutics Incorporated (NASDAQ:CORT) is one of the most profitable biotech stocks to invest in now. On July 14, H.C. Wainwright analyst Swayampakula Ramakanth maintained a Buy rating on Corcept Therapeutics Incorporated (NASDAQ:CORT) and set a price target of $145.00.
Corcept Therapeutics Incorporated (NASDAQ:CORT) reported $157.2 million in revenue in fiscal Q1 2025 compared to $146.8 million in the same quarter last year.
Net income per common share (diluted) for the quarter was $0.17, compared to $0.25 in Q1 2024. The company also reiterated its 2025 revenue guidance of $900 million to $950 million.
Corcept Therapeutics Incorporated (NASDAQ:CORT) is a biopharmaceutical company that develops and commercializes therapies that adjust the effects of cortisol, a hormone that regulates various bodily functions.
The company’s flagship product, Korlym, is FDA-approved for treating Cushing’s syndrome, a disorder caused by excessive cortisol production.
7. Bio-Techne Corporation (NASDAQ:TECH)
TTM Net Income: $131.64 million
Number of Hedge Fund Holders: 34
Bio-Techne Corporation (NASDAQ:TECH) is one of the most profitable biotech stocks to invest in now. On July 9, TD Cowen analyst Daniel Brennan initiated a new Buy rating on Bio-Techne Corporation (NASDAQ:TECH) with a $65 price target.
The analyst told investors that Bio-Techne Corporation (NASDAQ:TECH) has potential for margin expansion and strong organic growth, and believes that the company’s current valuation is undervalued and fails to accurately show its robust growth opportunities in high-demand areas of life science tools.
Brennan added that despite the macroeconomic risks affecting the company, Bio-Techne Corporation (NASDAQ:TECH) has a solid portfolio that is primarily focused on consumables and is highly regarded by customers, positioning it well to outperform its peers.
He thus believes that the consensus growth targets for FY26 are reasonable, particularly following a year of downward revisions. The analyst also expects margin recovery with the scaling of mergers and acquisitions and improvement in market conditions.
Bio-Techne Corporation (NASDAQ:TECH) is a global life sciences company that provides innovative tools and bioactive reagents for the research and clinical diagnostic communities. Its operations are divided into the Protein Sciences, and Diagnostics and Genomics segments.
The Protein Sciences segment is involved in the manufacture and development of purified proteins and reagent solutions, while the Diagnostics and Genomics segment develops and manufactures diagnostic products.
6. Exelixis, Inc. (NASDAQ:EXEL)
TTM Net Income: $643.57 million
Number of Hedge Fund Holders: 38
Exelixis, Inc. (NASDAQ:EXEL) is one of the most profitable biotech stocks to invest in now. On July 22, Morgan Stanley analyst Sean Laaman maintained a Buy rating on Exelixis, Inc. (NASDAQ:EXEL) and set a price target of $48.00.
The analyst reasoned that Exelixis, Inc. (NASDAQ:EXEL) recently updated its 2025 revenue guidance, increasing it to a $2.25-2.35 billion range after the higher-than-expected sales of Cabo. He attributed this optimistic outlook to the persistent demand growth and new patient starts in first-line renal cell carcinoma (1L RCC).
Laaman also stated that Exelixis, Inc. (NASDAQ:EXEL) reported that it may update its guidance further as the NET launch progresses and additional revenue opportunities become clearer.
Exelixis, Inc. (NASDAQ:EXEL) discovers, develops, and commercializes new medicines for difficult-to-treat cancers. Its product portfolio includes cabometyx, cometriq, and cotellic.
5. United Therapeutics Corporation (NASDAQ:UTHR)
TTM Net Income: $1.21 billion
Number of Hedge Fund Holders: 43
United Therapeutics Corporation (NASDAQ:UTHR) is one of the most profitable biotech stocks to invest in now. In a report released on July 23, Roanna Ruiz from Leerink Partners maintained a Buy rating on United Therapeutics Corporation (NASDAQ:UTHR) with a price target of $408.00, basing the rating on the company’s growth and stability.
Ruiz expects United Therapeutics Corporation (NASDAQ:UTHR) to undergo meaningful growth in its Tyvaso franchise, especially in the PH-ILD market, which may support the base business.
He also considers the upcoming Phase 3 TETON-2 IPF data, which is anticipated in the second half of 2025, to be a critical catalyst that may considerably boost United Therapeutics Corporation (NASDAQ:UTHR) stock in the case of positive results.
In addition, United Therapeutics Corporation (NASDAQ:UTHR) has strong relationships with key physicians, strategic positioning with payers, and an established commercial presence, factors that Ruiz considers helpful in mitigating competitive pressures.
United Therapeutics Corporation (NASDAQ:UTHR) is a biotechnology company that develops and commercializes products for patients with chronic and life-threatening conditions. Its product portfolio includes Adcirca, Orenitram, Remodulin, TYVASO, and Unituxin.
4. Argenx SE (NASDAQ:ARGX)
TTM Net Income: $1.06 billion
Number of Hedge Fund Holders: 54
Argenx SE (NASDAQ:ARGX) is one of the most profitable biotech stocks to invest in now. On July 8, Deutsche Bank analyst Emmanuel Papadakis upgraded Argenx SE (NASDAQ:ARGX) to Buy from Hold with a EUR 550 price target.
Argenx SE (NASDAQ:ARGX) reported that it generated global product net sales of $790 million in Q1 2025, inclusive of both VYVGART and VYVGART SC.
The company also exhibited strong underlying fundamentals across key patient and prescriber metrics, with 99% product net sales growth year-over-year compared to Q1 2024, along with a 7% product net sales growth from Q4 2024.
Argenx SE (NASDAQ:ARGX) is a biotech company that develops treatments for severe autoimmune diseases. The company operates through four segments: the United States, Japan, EMEA, and China.
3. BioMarin Pharmaceutical Inc. (NASDAQ:BMRN)
TTM Net Income: $523.88 million
Number of Hedge Fund Holders: 59
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) is one of the most profitable biotech stocks to invest in now. On July 23, analyst Joseph Schwartz of Leerink Partners reiterated a Buy rating on BioMarin Pharmaceutical Inc. (NASDAQ:BMRN), retaining the price target of $105.00.
The analyst based the rating on the company’s growth potential and strategic initiatives, stating that BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) is focused on the expansion of the use of Voxzogo for various short stature disorders.
The company is also advancing BMN351 for Duchenne muscular dystrophy, factors which the analyst considers significant growth drivers for BioMarin Pharmaceutical Inc. (NASDAQ:BMRN).
Schwartz further reasoned that BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) is making notable strides with Palynziq for the treatment of phenylketonuria, which is also expected to boost the company’s market potential.
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) develops and commercializes therapies for serious and life-threatening medical conditions and rare diseases. The company’s product pipeline includes Valoctocogene roxaparvovec, Vosoritide, and BMN 307.
2. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)
TTM Net Income: $4.5 billion
Number of Hedge Fund Holders: 66
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is one of the most profitable biotech stocks to invest in now. Canaccord updated estimates on Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) on July 24, reiterating a Buy rating on the stock with an $850 price target.
The firm stated that it anticipates weakness to continue in EYLEA sales for Q2 2025, primarily because of biosimilar competition and continued co-pay assistance shortfalls.
Canaccord further said that it is on the lookout for updates from the pipeline (Factor XI, Obesity) to point to potential upside in the second half of 2025.
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is a biotechnology company that develops, discovers, and commercializes therapies for several diseases, including cancer, eye disorders, and allergic conditions.
1. Gilead Sciences, Inc. (NASDAQ:GILD)
TTM Net Income: $5.97 billion
Number of Hedge Fund Holders: 79
Gilead Sciences, Inc. (NASDAQ:GILD) is one of the most profitable biotech stocks to invest in now. TD Cowen analyst Tyler Van Buren maintained a Buy rating on Gilead Sciences, Inc. (NASDAQ:GILD) on July 23, setting a price target of $110.00.
Buren based the optimistic rating on the company’s market position and financial projections, increasing the estimates for its HIV franchise and Veklury due to potential growth and solid performance in these domains.
While the analyst acknowledged the drop in projections for the total liver and cell therapy franchises, he reiterated a positive overall outlook for Gilead Sciences, Inc. (NASDAQ:GILD) due to the solid performance in other segments.
Gilead Sciences, Inc. (NASDAQ:GILD) is a biotech company that advances medicines to prevent and treat serious diseases such as cancer, immunodeficiency virus (HIV), viral hepatitis, and COVID-19.
Its portfolio of drugs focuses on medical areas with unmet needs and includes AmBisome, Atripla, Biktarvy, Cayston, Complera, and others. Gilead Sciences, Inc. (NASDAQ:GILD) operates in over 35 countries.
While we acknowledge the potential of GILD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than GILD and that has 100x upside potential, check out our report about this cheapest AI stock.
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