10 Overlooked Healthcare Stocks to Invest in

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In this article, we will be taking a look at the 10 Overlooked Healthcare Stocks to Invest in.

The CEO and co-founder of Claimable, Dr. Warris Bokhari, spoke on CNBC’s “Squawk Box” on July 21 about using AI to challenge health insurance denials and other topics.

Most Americans have endured the frustration of having their health insurance denied, often with no resolution even after contacting carriers by phone and email. This can be changed by Dr. Bokhari’s platform, which employs artificial intelligence (AI) to appeal care denials for about 70 autoimmune illnesses, including Crohn’s disease.

Following patient completion of a form, AI manages the following steps, looking up pertinent state and federal regulations as well as healthcare plans.

According to Dr. Bokhari, the platform was created after ten years of observing one of America’s particular issues: 850 million denials occur annually, and only around 1% of them are ever appealed. According to these figures, between 70 and 90 million Americans face insurance-related problems each year, including denials.

Using AI to create appeal letters based on healthcare plans, the program, which was initially launched in the US on October 2, 2024, assists individuals in appealing care denials for 70 autoimmune disorders.

With these trends in mind, let’s look at the 10 overlooked healthcare stocks to invest in.

10 Overlooked Healthcare Stocks to Invest in

Our Methodology 

For our methodology, we first screened for stocks with a forward price-to-earnings (P/E) ratio below 15 and a market capitalization above $2 billion using a stock screener. From this filtered list, we selected the top 10 companies. These were then ranked according to the total number of hedge fund holders in Q2 2025, as reported 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Here is our list of the 10 overlooked healthcare stocks to invest in.

10. Ardent Health, Inc. (NYSE:ARDT)

Number of Hedge Fund Holders: 16 

Ardent Health, Inc. (NYSE:ARDT), one of the most overlooked stocks, is rapidly expanding its presence in the U.S. healthcare market, focusing on outpatient and ambulatory care through urgent care centers and digital innovations. Operating 30 hospitals and over 280 sites of care across eight states, the company targets mid-sized urban markets with a consumer-focused model that integrates physical and virtual care.

In 2025, Ardent Health, Inc. (NYSE:ARDT) significantly increased its reach by acquiring 18 urgent care clinics in New Mexico and Oklahoma, with plans to add five more urgent care centers and two imaging centers by year-end. The rollout of digital tools, including virtual nursing, AI-enabled scribe technology, and medical wearables, has improved patient outcomes while reducing costs and nurse turnover. The corporation is also developing new ambulatory surgery centers (ASCs) to meet growing demand, emphasizing de novo facility construction alongside acquisitions.

Ardent Health, Inc. (NYSE:ARDT) is expanding cancer care services within its network, exemplified by integrating the Hillcrest Medical Center oncology and infusion clinic into the OU Health Stephenson Cancer Center at Hillcrest. This initiative enhances access to comprehensive oncology services, supports academic-clinical collaboration, and strengthens the continuum of care for cancer patients.

9. Collegium Pharmaceutical, Inc.  (NASDAQ:COLL)

Number of Hedge Fund Holders: 20 

Collegium Pharmaceutical, Inc. (NASDAQ:COLL) is a U.S.-based biopharmaceutical company specializing in innovative pain management solutions, with a focus on abuse-deterrent therapies such as BELBUCA and XTAMPZA ER. Headquartered in Stoughton, Massachusetts, the company emphasizes responsible opioid use, patient safety, and data-driven guidance for healthcare providers.

In 2025, Collegium Pharmaceutical, Inc. (NASDAQ:COLL) is showcasing its leadership in real-world evidence at PAINWeek 2025, presenting nine clinical research posters highlighting the effectiveness, safety, and clinical outcomes of its flagship products in chronic pain management. The studies provide insights into treatment patterns, safety profiles, economic impact, and opioid-use disorder outcomes, particularly in chronic low back pain patients.

By leveraging real-world data, Collegium Pharmaceutical, Inc. (NASDAQ:COLL) aims to support clinical decision-making, reduce unnecessary exposure to high-risk opioids, and promote safer, abuse-deterrent alternatives. The business’s commitment to transparency and evidence-based guidance positions it as a leader in responsibly navigating pain management challenges and shaping clinical and policy discussions around opioid prescribing.

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