15 Small-Cap Healthcare Stocks Hedge Funds Are Buying

8. Biogen Inc. (NASDAQ:BIIB)

No. of Hedge Fund Holders: 52

Market Capitalization: $18.09 Billion

Analyst Upside: 33.45%

Biogen Inc. (NASDAQ:BIIB) is a global biopharmaceutical company that is focused on discovering, developing, and delivering advanced treatments for patients suffering from serious and complex diseases. Biogen operates various portfolios of medicines to treat Alzheimer’s disease, amyotrophic lateral sclerosis (ALS), multiple sclerosis (MS), and spinal muscular atrophy (SMA). The company is aiming to advance its pipeline in neurology, specialized immunology, and rare diseases.

On May 5, Andrew Fein from H.C. Wainwright reiterated a Buy rating on BIIB, reducing the price target from $241 to $187. The price target still implies an upside of almost 34% from the current price levels, as of May 13. The analyst has reduced the price target due to concerns over MS revenue decline and potential tariff impacts. However, Fein remains positive about Biogen’s LEQEMBI growth in the Alzheimer’s market and its broader pipeline.

Biogen Inc. (NASDAQ:BIIB) posted a revenue of $2.43 billion during Q1 2025, surpassing estimates by $197.78 billion and up 6% year-over-year. The company posted a significant increase in revenue from new product launches, accounting for 45% of product revenue. LEQEMBI’s marketing approval in the EU marks a major regulatory backing for its efficacy and safety profile. The company maintains a strong cash position of around $2.6 billion as of Q1 2025. With a pipeline of five Phase III studies starting in 2025, growth opportunities will open for Biogen.