In this article, we discuss the 12 Best Multibagger Stocks to Buy Heading into 2026.
As we head into 2026, the biggest question market participants are asking is whether the strong momentum this year can carry over into next year. Even more importantly, they are wondering where the next wave of massive returns may emerge.
So, before we jump onto our list of the 12 Best Multibagger Stocks to Buy Heading into 2026, we attempt to frame the broader market backdrop through the lens of leading Wall Street expectations.
Chris Toomey, Managing Director at Morgan Stanley Private Wealth Management, appeared in a CNBC Closing Bell interview on December 16, 2025. Striking a significantly constructive tone for 2026, the analyst laid out his expectations for another solid year for markets, which may be driven by a combination of secular tailwinds, improving earnings visibility, supportive fiscal and monetary policy, and an eventual revival of “animal spirits” on the back of deregulation and heightened M&A activity.
However, Toomey highlighted that risks remain around inflation dynamics and increasing government debt. Yet he stated that the overall setup will remain as a driver for continued growth, given that the resilience in economic expansion remains.
What is increasingly relevant for investors seeking multibaggers is Toomey’s emphasis on market leadership, which he believes will likely broaden. While recent years have seen mega-cap technology stocks dominating returns, the analyst thinks that previously overlooked sectors will present increasing opportunities.
With this backdrop, we will now move on to our list of the 12 best multibagger stocks to buy heading into 2026.
Photo by Joshua Hoehne on Unsplash
Our Methodology
To curate our list of the best multibagger stocks to buy heading into 2026, we used screeners to identify stocks with a market capitalization of over $500 million. Next, we filtered for stocks that delivered at least 150% returns over the past year. Furthermore, these stocks offer at least 50% upside. Finally, we selected the 12 stocks with the greatest potential upside and ranked them in ascending order. Additionally, we considered hedge fund sentiment surrounding these stocks, using Insider Monkey’s hedge fund database that tracks 978 stocks as of Q3 2025.
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).
Note: All pricing data is as of market close on December 17, 2025.
12. CytomX Therapeutics, Inc. (NASDAQ:CTMX)
Market Cap: $696.38 Million
Price Return over 1-Year: 263.72%
Upside Potential: 58.20%
Number of Hedge Fund Holders: 31
CytomX Therapeutics, Inc. (NASDAQ:CTMX) is one of the 12 best multibagger stocks to buy heading into 2026.
As of December 18, 2025, 90% of analysts are bullish on CytomX Therapeutics, Inc. (NASDAQ:CTMX), setting a median price target of $6.50. This translates into a healthy upside potential of 58.20%.
On December 5, 2025, CytomX Therapeutics, Inc. (NASDAQ:CTMX) saw H.C. Wainwright reiterate its “Buy” rating with a $10.00 price target, ahead of a critical data readout for the company’s CX-2051 therapy in colorectal cancer. For the upcoming dataset, the investment firm outlined clear performance benchmarks and categorized potential outcomes into “slam dunk,” “bull,” and “bear” scenarios.
Under the “slam dunk” scenario, the firm expects an objective response rate (ORR) of 25%-30% or higher, median progression-free survival (PFS) of at least six months, and Grade 3 diarrhea in fewer than 5% of patients. Meanwhile, the “bull” scenario would see an ORR of 15-20% or higher, PFS of at least five months, and Grade 3 diarrhea in fewer than 10% of patients. Lastly, the firm’s “bear case” was defined as one with an ORR of 10% or lower and a median PFS of only 2-3 months. The firm’s analysis was based on Dr. Michael Pishvaian’s inputs, who sees CX-2051’s interim performance in irinotecan-pretreated patients as particularly promising.
H.C. Wainwright’s analysis builds upon CytomX Therapeutics, Inc. (NASDAQ:CTMX)’s Q3 2025 updates that showed continued momentum on the CX-2051 program. The enrollment progressed toward approximately 100 patients ahead of the planned Phase 1 update in Q1 2026. With combination studies alongside bevacizumab set to start in the same quarter, management believes CX-2051 is well-positioned as a first-in-class EpCAM-directed ADC targeting both late-line colorectal cancer and broader EpCAM-expressing tumors.
CytomX Therapeutics, Inc. (NASDAQ:CTMX), a clinical-stage oncology company, develops conditionally activated biologics localized to tumors, including ADCs and T-cell engagers. The company aims for safer, more effective cancer therapies.
11. Trevi Therapeutics, Inc. (NASDAQ:TRVI)
Market Cap: $1.59 Billion
Price Return over 1-Year: 169.11%
Upside Potential: 73.40%
Number of Hedge Fund Holders: 30
Trevi Therapeutics, Inc. (NASDAQ:TRVI) is one of the 12 best multibagger stocks to buy heading into 2026.
On December 4, 2025, Trevi Therapeutics, Inc. (NASDAQ:TRVI) announced the appointment of David Hastings as Chief Financial Officer, effective January 6, 2026. This marks a key leadership change amid the company’s transition into a more advanced stage of development. As the company moves into Phase 3 development for Haduvio, management sees Hastings’ 25 years of financial leadership experience across public life sciences companies as valuable. Over the years, he has helped companies raise $2 billion in equity and debt financing. Furthermore, his experience in helping companies thrive through commercialization, scaling operations, and strategic transactions aligns with Trevi’s next phase of growth.
This move comes amid strong clinical momentum, as its lead program advances steadily toward pivotal trials. In chronic cough associated with idiopathic pulmonary fibrosis (IPF), Trevi Therapeutics, Inc. (NASDAQ:TRVI) is preparing to request an End-of-Phase 2 meeting with the FDA in Q4 2025, having already completed key Phase 2 work. The company expects to initiate a Phase 3 program in the first half of 2026.
Reinforcing the company’s transition into Phase 3, the ongoing Phase 1 TIDAL study in IPF patients has shown no safety signals, and the completed drug-drug interaction study has confirmed that nalbuphine ER can be safely co-administered with standard antifibrotic therapies. Trevi Therapeutics, Inc. (NASDAQ:TRVI) has also presented topline Phase 2b CORAL data, increasing clinical and investor visibility.
With a cash balance of $194.9 million as of the end of Q3 2025, Trevi Therapeutics, Inc. (NASDAQ:TRVI) looks well-established to capitalize on this clinical momentum.
Trevi Therapeutics, Inc. (NASDAQ:TRVI), a clinical-stage biopharmaceutical company, develops Haduvio, an oral extended-release therapy for chronic cough across IPF, Non-IPF ILD, and refractory chronic cough.
10. DBV Technologies S.A. (NASDAQ:DBVT)
Market Cap: $723.20 Million
Price Return over 1-Year: 602.49%
Upside Potential: 77.38%
Number of Hedge Fund Holders: 9
With strong 1-year returns and upside potential, DBV Technologies S.A. (NASDAQ:DBVT) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
On December 17, 2025, H.C. Wainwright raised its price target on DBV Technologies S.A. (NASDAQ:DBVT) from $35 to $40, while reiterating a “Buy” rating, The Fly reported. The firm described the Phase 3 VITESSE trial as a clear execution milestone that materially de-risks the VIASKIN Peanut program. With the company reporting strong results in 4-7-year-old peanut-allergic children, the analyst’s confidence in a straightforward regulatory path is reinforced, supporting a Biologics License Application (BLA) submission in the first half of 2026.
The previous day, DBV Technologies S.A. (NASDAQ:DBVT) announced that its pivotal VITESSE study met its primary endpoint. After 12 months of VIASKIN Peanut patch treatment, 46.6% of children achieved clinically meaningful desensitization, compared with 14.8% on placebo. This is a statistically significant outcome that exceeded prespecified thresholds. Furthermore, the trial showed a favorable safety profile, high compliance, and low discontinuation rates. With these positive trial results, the company reinforced the patch’s potential as a non-invasive treatment option.
The positive trial results also drew the attention of the investment banking firm Citizens, which raised its price target from $21 to $45 on December 17, 2025, while maintaining an “Outperform” rating, according to The Fly. Beyond clinical efficacy, the bank expects VITESSE’s success to accelerate warrant exercises and potentially unlock $181 million in cash. According to DBV Technologies S.A. (NASDAQ:DBVT), this could be sufficient to support a potential U.S. launch in the 4-7-year-old population.
These analyst views reflect how clinical success and financial flexibility are converging for DBV as it advances toward regulatory submission.
DBV Technologies S.A. (NASDAQ:DBVT) focuses on developing non-invasive immunotherapies, led by its VIASKIN patch technology. The patch aims at desensitizing patients with food allergies and addresses significant unmet needs in pediatric care.
9. Seabridge Gold Inc. (NYSE:SA)
Market Cap: $3.05 Billion
Price Return over 1-Year: 152%
Upside Potential: 78.5%
Number of Hedge Fund Holders: 13
With strong 1-year returns and upside potential, Seabridge Gold Inc. (NYSE:SA) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
As of December 17, the stock is a consensus Buy with all analysts covering it assigning it a Buy or equivalent rating. The consensus 1-year median price target of $52.1 implies a nearly 80% potential upside.
According to TheFly, Nick Giles, an analyst from B. Riley, reiterated his bullish stance on the stock with a Buy rating and raised his price target from $50 to $65 on December 2. The analyst cited two factors supporting his positive thesis. The first was sustained strength in gold prices, a key macro tailwind that improved the economic attractiveness of the company’s large-scale, undeveloped deposits. Additionally, he highlighted continued progress on the Kerr-Sulphurets-Mitchell (KSM) project. Giles noted that recent updates on this project and active joint-venture discussions could increase visibility into the development while mitigating funding and execution risks for Seabridge.
The KSM project is widely regarded as the world’s largest undeveloped gold project and has a significant copper resource. It is a proposed gold, copper, silver, and molybdenum mine with an Environmental Assessment-approved mine life exceeding 50 years.
Seabridge Gold Inc. (NYSE:SA) engages in the acquisition and exploration of gold properties in North America. The company’s principal asset, the KSM project, and its Iskut projects are located in Northwest British Columbia.
8. RAPT Therapeutics, Inc. (NASDAQ:RAPT)
Market Cap: $943.00 Million
Price Return over 1-Year: 393.10%
Upside Potential: 80.80%
Number of Hedge Fund Holders: 20
With strong 1-year returns and upside potential, RAPT Therapeutics, Inc. (NASDAQ:RAPT) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
On December 18, 2025, The Fly reported that TD Cowen initiated coverage of RAPT Therapeutics, Inc. (NASDAQ:RAPT) with a “Buy.” The bullish stance reflects the potential of the company’s lead candidate, ozureprubart. The analyst views ozureprubart as an improved antibody compared with Xolair for food allergy and chronic spontaneous urticaria due to less frequent dosing and broader efficacy. The firm cited Phase 2 data in CSU from China, which demonstrated comparable or superior efficacy with durability lasting up to 16 weeks. With Phase 2b food allergy data expected in the first half of 2027, the firm anticipates a global Phase 3 launch by late 2026.
This optimistic outlook follows tangible clinical and operational progress reported through the end of Q3 2025. In September, RAPT Therapeutics, Inc. (NASDAQ:RAPT) received the FDA’s clearance for its IND to advance ozureprubart into a Phase 2b food allergy trial. Initiated in October, the trial is evaluating every-eight-week and every-twelve-week dosing.
During the same month, RAPT Therapeutics, Inc. (NASDAQ:RAPT), in partnership with Shanghai Jeyou, announced positive Phase 2 topline data in CSU from China. This dataset showed comparable safety and efficacy to omalizumab with numerically favorable outcomes, supporting advancement to Phase 3. With the completion of a $250 million equity offering, the company also extended its cash runway into mid-2028.
RAPT Therapeutics, Inc. (NASDAQ:RAPT), a clinical-stage biopharmaceutical company, develops immunology-based therapies. These therapies are designed to modulate key immune pathways in inflammatory and immunological diseases.
7. Ventyx Biosciences, Inc. (NASDAQ:VTYX)
Market Cap: $548.75 Million
Price Return over 1-Year: 224.47%
Upside Potential: 82.10%
Number of Hedge Fund Holders: 34
With strong 1-year returns and upside potential, Ventyx Biosciences, Inc. (NASDAQ:VTYX) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
As of December 18, 2025, 90% of analysts are bullish on Ventyx Biosciences, Inc. (NASDAQ:VTYX), setting a median price target of $14.00. This translates into a massive upside potential of 82.05%.
Amid this bullish momentum, Ventyx Biosciences, Inc. (NASDAQ:VTYX) was seen advancing its clinical and strategic initiatives, visible through the updates the company shared earlier in December.
On December 2, 2025, Ventyx Biosciences, Inc. (NASDAQ:VTYX) announced the addition of two prominent experts: Mark McKenna as Strategic Advisor and Dr. Peter Libby as Clinical Advisor. With these additions, the company strengthened its advisory board.
At the same time, Ventyx Biosciences, Inc. (NASDAQ:VTYX) shared progress in its ongoing phase 2 study of VTX2735 in patients with recurrent pericarditis. Management stated that this expanded advisory team will enable key decisions across both VTX2735 and VTX3232, the latter having already generated two positive Phase 2 data sets earlier this year.
Within the same announcement, Ventyx Biosciences, Inc. (NASDAQ:VTYX) also revised its guidance for the interim analysis of the Phase 2 recurrent pericarditis study. The revised guidance shifted the expected topline data release to Q1 2026. Management clarified that the modest delay enables the introduction of dose-ranging evaluations with a new once-daily formulation and expansion of clinical activity into Canada, the EU, and the UK. With this strategy, the company expects to help accelerate Phase 3 timelines. Meanwhile, the ongoing study’s focus on evaluating safety, pain reduction, and inflammatory markers remains robust, with extended follow-up planned for eligible patients.
That said, Ventyx Biosciences, Inc. (NASDAQ:VTYX) shares declined 15.35% from the prior close of $9.38, ending the session at $7.94, with the stock falling 10% earlier in the day amid investor reaction to the delayed interim data.
Ventyx Biosciences, Inc. (NASDAQ:VTYX), a clinical-stage biopharmaceutical company, develops oral small-molecule therapies for autoimmune, inflammatory, and neurodegenerative diseases, with multiple Phase 2 programs targeting NLRP3, TYK2, and S1P pathways.
6. Fulcrum Therapeutics, Inc. (NASDAQ:FULC)
Market Cap: $796.92 Million
Price Return over 1-Year: 166.08%
Upside Potential: 90.40%
Number of Hedge Fund Holders: 27
Fulcrum Therapeutics, Inc. (NASDAQ:FULC) is one of the 12 best multibagger stocks to buy heading into 2026.
Following encouraging updates from the ongoing Phase 1b PIONEER study evaluating pociredir in sickle cell disease, analyst sentiment around Fulcrum Therapeutics, Inc. (NASDAQ:FULC) appears to be growing.
As of December 18, 2025, 80% of analysts are bullish on Fulcrum Therapeutics, Inc. (NASDAQ:FULC), setting a median price target of $18.00. This translates to a 90.40% upside potential.
One such update came from Truist on December 11, 2025, where the firm raised its price target on Fulcrum Therapeutics, Inc. (NASDAQ:FULC) from $14 to $18, while reiterating a “Buy” rating, according to The Fly. The bank attributed its bullish stance to sustained positive reception around partial Cohort 4 data. According to the firm, the readout is a clear win for the company, reflecting growing confidence in pociredir’s emerging clinical profile.
Meanwhile, on December 9, 2025, Bank of America also increased its price target on Fulcrum Therapeutics, Inc. (NASDAQ:FULC) from $6 to $7. However, the bank reiterated an “Underperform” rating. The firm expects a potential 2029 launch for pociredir in sickle cell disease, assuming nominal peak sales of $1.5 billion by 2038.
These updates were preceded by Fulcrum Therapeutics, Inc. (NASDAQ:FULC)’s December 6, 2025, press release, which detailed positive initial results from the 20 mg dose cohort of the PIONEER study. The positives highlighted by management included robust early increases in fetal hemoglobin, a clear dose-response versus lower doses, and a favorable safety profile with no serious side effects. With these positives, the company reinforced pociredir’s potential as a once-daily oral therapy.
Amid these developments, Fulcrum Therapeutics, Inc. (NASDAQ:FULC) priced a public offering on December 10, 2025, which is expected to raise $175 million in gross proceeds and provide additional balance sheet flexibility.
Fulcrum Therapeutics, Inc. (NASDAQ:FULC) is a clinical-stage biopharmaceutical company focused on developing small molecules. Led by pociredir, these molecules aim to address genetically defined rare diseases such as sickle cell disease.
5. Taysha Gene Therapies, Inc. (NASDAQ:TSHA)
Market Cap: $1.49 Billion
Price Return over 1-Year: 167.98%
Upside Potential: 93.00%
Number of Hedge Fund Holders: 32
With strong 1-year returns and upside potential, Taysha Gene Therapies, Inc. (NASDAQ:TSHA) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
As of December 17, 2025, Taysha Gene Therapies, Inc. (NASDAQ:TSHA) is maintaining levels near its 52-week high, following peaks at $5.95 on December 12 and 13. The investor sentiment remains heightened as the company continues to advance the Rett syndrome program.
Amid this strong share price momentum, The Fly reported that Goldman Sachs upgraded Taysha Gene Therapies, Inc. (NASDAQ:TSHA) on December 4, 2025, to “Buy” from an Early-Stage Biotech designation. Setting an $11 price target, the bank expressed optimism around TSHA-102. The firm believes the company can achieve the 33% response rate, the minimum success threshold in the REVEAL study. The metric is a significant benchmark tied to regulatory progress.
Corporate updates in the Q3 2025 results, announced on November 4, 2025, reinforced optimism. During the quarter, Taysha Gene Therapies, Inc. (NASDAQ:TSHA) received FDA Breakthrough Therapy Designation for TSHA-102 for Rett syndrome. Furthermore, the company finalized alignment with the agency surrounding the critical REVEAL trial protocol and statistical analysis plan, with the design including a six-month interim analysis that could support a future Biologics License Application. Earlier in October, the company regained full rights to TSHA-102, enhancing its strategic flexibility.
Together, these developments portray a story of regulatory clarity, clinical momentum, and renewed market optimism.
Taysha Gene Therapies, Inc. (NASDAQ:TSHA) is focused on developing gene therapy treatments for severe genetic diseases of the central nervous system. The company’s primary focus is on advancing TSHA-102 for Rett syndrome.
4. Compass Therapeutics, Inc. (NASDAQ:CMPX)
Market Cap: $882.20 Million
Price Return over 1-Year: 224.18%
Upside Potential: 101.60%
Number of Hedge Fund Holders: 23
Compass Therapeutics, Inc. (NASDAQ:CMPX) is one of the 12 best multibagger stocks to buy heading into 2026.
On December 3, 2025, Compass Therapeutics, Inc. (NASDAQ:CMPX) saw Canaccord analyst John Newman initiate coverage of the stock with a “Buy” rating and a $10 price target. The analyst attributed the bullish stance to positive data in the first quarter of 2026 from second-line biliary tract cancer studies. Newman sees tovecimig as the central value driver, alongside additional clinical-stage assets that hold potential to support longer-term diversification.
Compass Therapeutics, Inc. (NASDAQ:CMPX) was also revisited by Citizens JMP analyst Reni Benjamin the same day, who initiated coverage with an “Outperform” rating and a $10 price target. Reported by The Fly, Benjamin cited recent data from a pivotal Phase 2/3 study. The data showed a 17% overall response rate for tovecimig in combination with paclitaxel in biliary tract cancers, versus 5% in the paclitaxel-only arm. This reinforces the program’s clinical momentum, the analyst noted.
In its Q3 2025 update, management provided further context on the therapy’s progress and confirmed that analyses of key secondary endpoints, including overall survival and progression-free survival from the COMPANION-002 Phase 2/3 trial, are expected to be reported in late Q1 2026 once the pre-specified event threshold is met. Compass Therapeutics, Inc. (NASDAQ:CMPX)’s management also confirmed that preparations are advancing for a Phase 2 basket study across multiple DLL4-positive tumors, alongside continued enrollment in an investigator-sponsored first-line combination trial.
Compass Therapeutics, Inc. (NASDAQ:CMPX), a clinical-stage oncology biopharmaceutical company, develops proprietary antibody-based therapies, which target angiogenesis, immune activation, and tumor-driven immune suppression to treat multiple cancers.
3. Palvella Therapeutics, Inc. (NASDAQ:PVLA)
Market Cap: $1.15 Billion
Price Return over 1-Year: 607.77%
Upside Potential: 106.50%
Number of Hedge Fund Holders: 16
With strong 1-year returns and upside potential, Palvella Therapeutics, Inc. (NASDAQ:PVLA) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
On December 16, 2025, analyst confidence in Palvella Therapeutics, Inc. (NASDAQ:PVLA) was seen rising, as the company announced encouraging Phase 2 data for QTORIN rapamycin in cutaneous venous malformations (cVM).
The Fly reported that Palvella Therapeutics, Inc. (NASDAQ:PVLA) saw Canaccord analyst Whitney Ijem raise the firm’s target from $148 to $204, while reiterating a “Buy” rating. The analyst believes the better-than-expected improvement on the cVM-IGA at Week 12 should enable an efficient, lower-cost pivotal trial design. While management had targeted at least a 30% response rate, the firm noted that the improvement far exceeded expectations.
On the same day, Palvella Therapeutics, Inc. (NASDAQ:PVLA) also saw Truist raising its price target from $105 to $190, while maintaining a “Buy” rating. Incorporating risk-adjusted cVM sales into its model, the bank noted that the small proof-of-concept study meaningfully de-risked the opportunity. Additionally, Truist believes observed efficacy may not fully reflect the treatment effect, with responses appearing to deepen over time.
Palvella Therapeutics, Inc. (NASDAQ:PVLA) announced its positive topline Phase 2 TOIVA data on December 15, demonstrating broad clinical improvement and favorable tolerability.
On December 16, 2025, Palvella Therapeutics, Inc. (NASDAQ:PVLA) announced that the FDA granted Fast Track designation to QTORIN rapamycin for angiokeratomas. This regulatory win reinforces the company’s expanding development path and regulatory visibility.
Palvella Therapeutics, Inc. (NASDAQ:PVLA) is focused on developing novel topical therapies for serious, rare skin diseases. Its pipeline is led by the QTORIN platform, which targets conditions including venous malformations and angiokeratomas.
2. Gossamer Bio, Inc. (NASDAQ:GOSS)
Market Cap: $823.98 Million
Price Return over 1-Year: 309.17%
Upside Potential: 152.10%
Number of Hedge Fund Holders: 36
With strong 1-year returns and upside potential, Gossamer Bio, Inc. (NASDAQ:GOSS) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
Amid the company’s continued efforts to advance seralutinib across two late-stage pulmonary hypertension programs, analyst confidence in Gossamer Bio, Inc. (NASDAQ:GOSS) remains high.
By the end of Q3 2025, Gossamer Bio, Inc. (NASDAQ:GOSS) confirmed completion of enrollment in its global Phase 3 PROSERA study for pulmonary arterial hypertension, with 390 patients enrolled. Management reported the double-blind, placebo-controlled trial evaluating seralutinib on top of background therapy, with a primary endpoint focused on six-minute walk distance at 24 weeks.
Meanwhile, Gossamer Bio, Inc. (NASDAQ:GOSS) expects topline data from PROSERA to come out in February 2026. At the same time, the company reported activation of the first clinical site for its registrational Phase 3 SERANATA study in pulmonary hypertension associated with interstitial lung disease. With this, the company sees seralutinib’s clinical scope broadening into a second indication.
Amid this clinical progress, Gossamer Bio, Inc. (NASDAQ:GOSS) has received positive analyst sentiment. Piper Sandler analyst Yasmeen Rahimi reiterated a “Buy” rating on December 9, 2025, while setting a $15.00 price target. Earlier, on November 19, 2025, the company received a “Buy” rating and a $10.00 price target from H.C. Wainwright analyst Patrick Trucchio. Trucchio cited the steady advancement of both PROSERA and SERANATA, viewing the upcoming PAH readout and expansion into PH-ILD as key milestones reflecting confidence in seralutinib’s long-term potential.
Gossamer Bio, Inc. (NASDAQ:GOSS), a late-stage biopharmaceutical company, develops seralutinib to treat pulmonary arterial hypertension and pulmonary hypertension associated with interstitial lung disease.
1. Nektar Therapeutics (NASDAQ:NKTR)
Market Cap: $924.12 Million
Price Return over 1-Year: 196.93%
Upside Potential: 153.10%
Number of Hedge Fund Holders: 36
With strong 1-year returns and upside potential, Nektar Therapeutics (NASDAQ:NKTR) secures a spot on our list of the 12 best multibagger stocks to buy heading into 2026.
Nektar Therapeutics (NASDAQ:NKTR) experienced a boost in analyst sentiment on December 16, 2025, following strong topline results from the 36-week induction period of the Phase 2b REZOLVE-AA study.
The trial narrowly missed its primary endpoint; however, Oppenheimer highlighted that omitting four patients with eligibility violations yielded nominal statistical significance. Seeing compelling activity for rezpegaldesleukin, the firm raised the probability of success for the indication to 50%. Accordingly, the bank increased its price target on Nektar Therapeutics (NASDAQ:NKTR) from $98 to $115, while maintaining an “Outperform” rating, according to The Fly.
Meanwhile, H.C. Wainwright also expressed optimism the same day, raising its price target from $120 to $135 on Nektar Therapeutics (NASDAQ:NKTR) with a “Buy” rating. Citing the topline results as encouraging, the firm raised its probability of rezpegaldesleukin launch for alopecia areata to 25%. H.C. Wainwright projects risk-adjusted revenues of $59 million in 2030, expecting it to grow to $380 million by 2035.
With 92 patients enrolled, the REZOLVE-AA trial saw both dose arms more than double the hair regrowth treatment effect compared to placebo. Meanwhile, patients demonstrating growth but not yet reaching SALT > 20 could continue in a blinded 16-week extension. The study showed consistency in terms of safety, reporting mostly mild-to-moderate adverse events and low discontinuation rates. The results not only reinforce proof-of-concept for rezpegaldesleukin in alopecia areata but also expand the drug’s clinical and commercial potential.
Nektar Therapeutics (NASDAQ:NKTR), a clinical-stage biotechnology company, develops immunology-based therapies. These therapies, led by rezpegaldesleukin, aim at treating autoimmune and chronic inflammatory diseases through targeted regulatory T-cell modulation.
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