In this article, we will look at the 11 Best Strong Buy Healthcare Stocks to Invest In.
On February 23, Steven Wieting, CIO Group chief investment strategist, appeared on CNBC’s ‘The Exchange’ to talk about the stock market and the recent price action in stocks. CNBC reported that staples, healthcare, and utilities are all leading, outperforming since January 1 and showing that this is not a one-day trend but has rather been going on since the turn of the calendar. Wieting stated that a lot is going on in the market, with trends showing AI hardware eating software, its effects on the lending industry for software, and several other undercurrents, with healthcare and energy up, the probability of a US strike on Iran, and oil prices picking up sharply at the expense of growth sentiment. He also cited tariffs at 15% and the situation surrounding them.
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Talking about healthcare, Wieting stated that he is strongly overweight in healthcare because of how badly it performed and how much policy concern played a role in its deep underperformance, which is now catching up. While it is not a wonderful year-to-date performer, he thinks that there is more there, and cited its low correlation to tech and the circumstances there.
Wieting also talked about the shifting AI sentiment, stating that the market narrative has generally gone quite negative on the broader impact of AI, with the market pricing in the ongoing AI infrastructure boom while associated applications drive considerable declines in business costs. He further said that there are likely to be mistakes and exaggerations within the market sentiment associated with AI.
With these broad market trends in view, let’s look at the best strong buy healthcare stocks to invest in.
Our Methodology
We sifted through the Finviz stock screener to compile a list of the best healthcare stocks with analyst consensus Strong Buy ratings and selected the top 11 most popular among elite hedge funds as of Q3 2025. We sourced the hedge fund data from Insider Monkey’s database. The stocks are ranked in ascending order of hedge fund sentiment.
Note: All data was recorded on February 26.
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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
11 Best Strong Buy Healthcare Stocks to Invest In
11. Teva Pharmaceutical Industries Limited (NYSE:TEVA)
Teva Pharmaceutical Industries Limited (NYSE:TEVA) is one of the best strong buy healthcare stocks to invest in. Teva Pharmaceutical Industries Limited (NYSE:TEVA) announced on February 20 that the U.S. Food and Drug Administration accepted its New Drug Application (NDA) for olanzapine extended-release injectable suspension for the treatment of schizophrenia in adults. TEV-‘749 is specialized to improve real-world treatment adherence and help patients maintain long-term stability, and aims to address a critical treatment gap for people living with schizophrenia.
Management reported that there is currently no long-acting olanzapine formulation without an FDA-required Risk Evaluation and Mitigation Strategy, which mandates administration in a certified healthcare facility and requires a 3-hour post-injection monitoring period. It further stated that TEV-‘749, administered as a once-monthly subcutaneous injection in the Phase 3 SOLARIS trial, exhibited an efficacy and safety profile consistent with currently available olanzapine formulations and did not show any evidence for the need for post-injection monitoring.
In another development, Teva Pharmaceutical Industries Limited (NYSE:TEVA) and Sanofi announced on February 17 positive results from the RELIEVE UCCD long-term extension study of duvakitug, exhibiting durable clinical and endoscopic efficacy maintained over 44 weeks in patients with ulcerative colitis and Crohn’s disease that initially responded to the induction phase. Duvakitug is an investigational human monoclonal antibody targeting TL1A, and RELIEVE UCCD LTE is a double-blind randomized study looking into the long-term efficacy, safety, and tolerability of duvakitug in UC and CD, which are the two most common forms of inflammatory bowel disease.
Teva Pharmaceutical Industries Limited (NYSE:TEVA) develops, produces, and sells medicines. Its operations are divided into the US, Europe, and International Markets geographical segments. Each business segment covers the entire product portfolio in that region, including specialty, generics, and over-the-counter (OTC) products.
10. Ionis Pharmaceuticals, Inc. (NASDAQ:IONS)
Ionis Pharmaceuticals, Inc. (NASDAQ:IONS) is one of the best strong buy healthcare stocks to invest in. Ionis Pharmaceuticals, Inc. (NASDAQ:IONS) released its fiscal Q4 and full-year 2025 earnings on February 25, reporting that total revenue for the year ended December 31, 2025, was $944 million compared to $705 in the previous year, considerably surpassing expectations due to continued commercial success. The company also earned substantial R&D revenue, including a $280 million upfront payment for the global license of sapablursen to Ono Pharmaceutical Co., Ltd. in fiscal Q2 2025. Total revenue for Q4 was $203 million, compared to $227 million in the prior year period.
Ionis Pharmaceuticals, Inc. (NASDAQ:IONS) further reported that operating expenses for the full year were in line with expectations and rose year over year from investments related to commercialization efforts for TRYNGOLZA, DAWNZERA, and WAINUA. Following the rating update, Needham lifted the price target on Ionis Pharmaceuticals, Inc. (NASDAQ:IONS) to $103 from $90 on February 25, maintaining a Buy rating on the shares and telling investors that it sees upside to the company’s 2026 revenue outlook as the year progresses.
Ionis Pharmaceuticals, Inc. (NASDAQ:IONS) develops and commercializes human therapeutic drugs using antisense technology. It functions through the Ionis Core segment, which generates a pipeline of drugs through a novel drug discovery platform.