5 Best ADR Stocks To Buy Now

4. Sanofi (NYSE:SNY)

Number of Hedge Fund Shareholders: 32

Country of Origin: France

French pharmaceutical giant Sanofi (NYSE:SNY) has been hit with both good and bad news in 2022, and though its shares are down by nearly 9% this year, that’s quite a bit better than the broader market, so investors appear to be giving it the benefit of the doubt.

Two of Sanofi (NYSE:SNY)’s final-phase drug studies were put on hold by the FDA earlier this year, which sent shares tumbling. Later in 2022, the company scrapped a study of its cancer drug SAR444245, taking a $1.58 billion write-down in the process. Sanofi has a lot of other pokers in the fire to compensate for those misses, having more than 80 projects in its pipeline. The company is expected to grow sales at a double digit rate over the next five years thanks to that robust pipeline, which makes them look like a bargain at their current price.

Hedge fund ownership of Sanofi (NYSE:SNY) bottomed out during the first quarter of 2021, with just 15 funds long the stock, down from over 50 eight years earlier. Numerous funds have since taken a stake in the company, as there was a 45% surge in smart money ownership of SNY during Q2 of this year. Ryan Caldwell’s Chiron Investment Management and Kamran Moghtaderi’s Eversept Partners added Sanofi to their 13F portfolios during that quarter.