In 2023, the global biotechnology market size was estimated at $1.55 trillion. This number is projected to reach $3.88 trillion by 2030, representing an anticipated CAGR of 13.96% from 2024 to 2030, according to estimates from Grand View Research. The growth of big data, AI, and ML technologies is fueling demand for scalable and high-performance cloud infrastructure. Reports indicate that China is quickly gaining an edge over the US in the biotechnology sector, beyond its advancements in AI. Earlier on June 5, the Harvard Belfer Center for Science and International Affairs, titled “Critical and Emerging Technologies Index,” identified biotech as the area where China has the most immediate opportunity to surpass the US among 5 critical tech sectors, which also include AI, semiconductors, space, and quantum. While the US currently leads in all 5, the narrow gap in biotech suggests a potential shift in global power.
Growing concerns in Washington support this assessment. The US National Security Commission on Emerging Biotechnology, following 2 years of research, stated in an April report that a “ChatGPT moment for biotechnology” is inevitable. If China achieves it first, the US may never catch up. The commission recommended a two-track strategy: accelerating US innovation and slowing down China, proposing that the US government invest ~$15 billion over the next 5 years to support its domestic biotech sector. China’s biotech industry has advanced to the point where, in recent months, US and European pharmaceutical giants have spent billions to acquire China-developed drugs for potential cancer treatment.
That being said, we’re here with a list of the 13 best biotech stocks to invest in now.
A specialized research team in white lab coats working together on a breakthrough biotechnological discovery.
Methodology
We used the Finviz stock screener to compile a list of the top biotech stocks. We then selected the 13 best stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q1 2025. The hedge fund data was sourced from Insider Monkey’s database which tracks the moves of over 1000 elite money managers.
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).
13 Best Biotech Stocks To Invest In Now
13. Travere Therapeutics Inc. (NASDAQ:TVTX)
Number of Hedge Fund Holders: 42
Travere Therapeutics Inc. (NASDAQ:TVTX) is one of the best biotech stocks to invest in now. On June 10, Travere Therapeutics launched a new awareness campaign called ‘Play It Forward’ to support the focal segmental glomerulosclerosis/FSGS community. FSGS is a rare kidney disease that affects both children and adults and is a leading cause of kidney failure.
FSGS is a rare proteinuric kidney disorder that is estimated to affect 40,000+ patients in the US, with similar numbers in Europe. It is characterized by the progressive scarring of the kidneys, often leading to kidney failure. The campaign debuted on the first-ever FSGS Awareness Day and features an anthem created by Grammy-winning musician Brian Kennedy and singer-songwriter David Rush, both of whom live with FSGS. The song celebrates the strength and unity of the FSGS community.
Kennedy and Rush encourage the FSGS community to use this soundtrack to share their creative expressions on social media. The campaign also includes a hero video where Kennedy and Rush discuss their FSGS journeys and the creation of their anthem. Through their shared experiences, they aim to foster connection and empower others living with FSGS. To engage with the campaign, individuals can search using the hashtag #PlayitForwardFSGS or visit RKDandMe.com/PlayItForwardFSGS.
Travere Therapeutics Inc. (NASDAQ:TVTX) is a biopharmaceutical company that identifies, develops, and delivers therapies to people living with rare kidney and metabolic diseases in the US.
12. Amylyx Pharmaceuticals Inc. (NASDAQ:AMLX)
Number of Hedge Fund Holders: 42
Amylyx Pharmaceuticals Inc. (NASDAQ:AMLX) is one of the best biotech stocks to invest in now. On June 3, Amylyx Pharmaceuticals announced that the US FDA granted Fast Track designation to AMX0114. AMX0114 is an investigational antisense oligonucleotide/ASO that is specifically designed to target calpain-2. This protein is believed to be a significant contributor to axonal degeneration, which is a key driver in the progression of amyotrophic lateral sclerosis/ALS.
ALS is a rapidly progressive and fatal neurodegenerative disorder with limited therapeutic options. The Fast Track designation is a crucial step for Amylyx in its mission to develop treatments for ALS. The FDA’s decision acknowledges both the severity of ALS and the encouraging preclinical data supporting AMX0114’s potential.
Calpain-2 is a calcium-activated protease. Research has indicated that overactive calpain-2 activity might accelerate disease progression in ALS and other neurodegenerative conditions by causing the degeneration of axons, which are vital for transmitting signals between neurons and muscles. Preclinical studies of AMX0114 have demonstrated improved neuronal survival and reduced levels of extracellular neurofilament light (NfL), which is a biomarker for neuronal damage across various disease models. AMX0114 was also well-tolerated in preclinical safety studies.
Amylyx Pharmaceuticals Inc. (NASDAQ:AMLX) is a clinical-stage pharmaceutical company that discovers and develops treatments for neurodegenerative diseases and endocrine conditions in the US.
