In this article, we discuss 5 best gene editing stocks to buy. If you want to see more stocks in this selection, check out 10 Best Gene Editing Stocks To Buy.
5. Graphite Bio, Inc. (NASDAQ:GRPH)
Number of Hedge Fund Holders: 20
Graphite Bio, Inc. (NASDAQ:GRPH) is a clinical-stage gene editing company based in San Francisco, California. It develops therapies for life-threatening diseases in the United States. Graphite Bio, Inc. (NASDAQ:GRPH) is one of the best gene editing stocks to invest in. As of June 30, the company reported that cash, cash equivalents, and investments in marketable securities came in at $328.3 million. Graphite Bio, Inc. (NASDAQ:GRPH) believes that this money can fund planned operations into the fourth quarter of 2024.
On September 15, Cantor Fitzgerald analyst Olivia Brayer initiated coverage of Graphite Bio, Inc. (NASDAQ:GRPH) with an Overweight rating and a $12 price target. The company’s primary program is still in early stages, but it is gaining visibility in the sickle cell disease space given its potentially unique and curative approach, the analyst told investors.
According to Insider Monkey’s data, 20 hedge funds were bullish on Graphite Bio, Inc. (NASDAQ:GRPH) at the end of June 2022, up from 12 funds in the prior quarter. Samsara BioCapital is the leading position holder in the company, with 8.45 million shares worth $23.2 million.
4. Intellia Therapeutics, Inc. (NASDAQ:NTLA)
Number of Hedge Fund Holders: 27
Intellia Therapeutics, Inc. (NASDAQ:NTLA) was incorporated in 2014 and is headquartered in Cambridge, Massachusetts. The genome editing company focuses on the development of therapeutics for transthyretin amyloidosis, hereditary angioedema, acute myeloid leukemia, sickle cell disease, cancer, and autoimmune disorders.
On October 11, Morgan Stanley analyst Terence Flynn initiated coverage ofIntellia Therapeutics, Inc. (NASDAQ:NTLA) with an Overweight rating and a $84 price target. Naming it “one of the leading genome editing companies,” the analyst noted that Intellia Therapeutics, Inc. (NASDAQ:NTLA) was the first to demonstrate the ability to edit a gene in the body, or “in vivo,” as compared to outside of the body, or “ex vivo.”
According to Insider Monkey’s data, 27 hedge funds held stakes worth $853 million in Intellia Therapeutics, Inc. (NASDAQ:NTLA) at the end of Q2 2022, compared to 35 funds in the prior quarter worth $1.15 billion. Cathie Wood’s ARK Investment Management is the largest stakeholder of the company, with 9.5 million shares worth $439 million.
Carillon Tower Advisers discussed its stance on Intellia Therapeutics, Inc. (NASDAQ:NTLA) in its Q2 2021 investor letter.
“Intellia Therapeutics is a clinical-stage genome editing company focused on the development of proprietary, potentially curative therapeutics. The company’s stock soared after announcing positive interim data from an ongoing phase 1 clinical study of its in vivo gene editing candidate, which is being developed as a single-dose treatment for hereditary transthyretin (ATTR) amyloidosis. This specific form of therapy would be the first of its kind resulting in the precision editing of a gene in a target tissue in the human body.”
3. Agilent Technologies, Inc. (NYSE:A)
Number of Hedge Fund Holders: 41
Agilent Technologies, Inc. (NYSE:A) was incorporated in 1999 and is headquartered in Santa Clara, California. The company provides application-focused solutions to the life sciences, diagnostics, and applied chemical markets worldwide. The Diagnostics and Genomics segment offers arrays for DNA mutation detection, genotyping, gene copy number determination, identification of gene rearrangements, DNA methylation profiling, gene expression profiling, next generation sequencing, target enrichment, and genetic data management. Agilent Technologies, Inc. (NYSE:A) is one of the best gene editing stocks to monitor.
On September 21, Agilent Technologies, Inc. (NYSE:A) declared a $0.21 per share quarterly dividend, in line with previous. The dividend is payable on October 26, to shareholders of record on October 4. The forward yield was 0.66%.
Credit Suisse analyst Dan Leonard on August 24 initiated coverage of Agilent Technologies, Inc. (NYSE:A) with an Outperform rating and a $165 price target. The analyst believes that the Street “underappreciates its ability to grow toward the top end of the industry in multiple macro environments”. The analyst believes a premium multiple to its peers is appropriate for Agilent Technologies, Inc. (NYSE:A) due to its quick growth prospects.
According to Insider Monkey’s Q2 data, 41 hedge funds were bullish on Agilent Technologies, Inc. (NYSE:A), compared to 43 funds in the earlier quarter. Ian Simm’s Impax Asset Management is the biggest stakeholder of the company, with 4.16 million shares worth $495 million.
Here is what Pershing Square Holdings has to say about Agilent Technologies, Inc. (NYSE:A) in its Q2 2021 investor letter:
“Our large commitment to UMG required that we raise cash from the sale of one of our other investments. In light of the high quality of companies in our portfolio, this was a difficult decision to make. Ultimately, we chose to sell Agilent, as its current share price approached our conservative estimate of intrinsic value. If we did not need the capital, we would not have sold the stock.
Agilent has been a highly successful investment since our original purchase nearly two years ago, compounded by our additional investment in the company in the Covid market decline last year. Agilent’s stock price has increased 2.2 times since our initial purchase as a result of the company’s acceleration in revenue growth and profitability. Agilent has been a critical supplier of technology and services to labs around the world fighting the Covid pandemic. The company’s management team led by Mike McMullen deserves enormous credit for the company’s success and for its important contribution to science and the fight against Covid for which we all should be extremely grateful.”
2. Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX)
Number of Hedge Fund Holders: 45
Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) is a Boston-based biotechnology company that develops and commercializes therapies for treating cystic fibrosis. On September 28, MaxCyte, Inc. (NASDAQ:MXCT) announced that it has signed a non-exclusive licensing deal with Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX), allowing the latter to use MaxCyte’s Flow Electroporation technology and ExPERT platform to develop the gene-edited therapy exa-cel, previously known as CTX001. Vertex is already developing exa-cel, currently in phase 2/3, with CRISPR Therapeutics AG (NASDAQ:CRSP). Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) is one of the best gene editing stocks to purchase.
On September 27, after Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) and CRISPR Therapeutics AG (NASDAQ:CRSP) announced that Vertex has concluded discussions with the FDA and will submit its biologics licensing application for exa-cel for a review starting in November and expects to finish the submission by the end of Q1 2023, Morgan Stanley analyst Matthew Harrison called the timeline “better than feared.” Investors had worried the U.S. filing may not occur until Q4 2023, so this news is optimistic, noted the analyst. He maintained an Equal Weight rating and a $253 price target on Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) shares.
According to Insider Monkey’s data, 45 hedge funds were long Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) at the end of Q2 2022, compared to 49 funds in the prior quarter. Jim Simons’ Renaissance Technologies is the leading position holder in the company, with 1.76 million shares worth over $496 million.
Here is what Carillon Tower Advisers specifically said about Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) in its Q2 2022 investor letter:
“Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX), a provider of cystic fibrosis medications, rallied on a better outlook for its new product pipeline and fading concerns about potential competitive offerings in cystic fibrosis. The stock also may have attracted significant investor attention as a potential safety trade due to its relative low valuation and defensive business characteristics.”
1. AbbVie Inc. (NYSE:ABBV)
Number of Hedge Fund Holders: 71
AbbVie Inc. (NYSE:ABBV) is headquartered in North Chicago, Illinois, and the company manufactures and sells pharmaceuticals worldwide. In February 2021, AbbVie Inc. (NYSE:ABBV) announced a collaboration with Caribou Biosciences, Inc. (NASDAQ:CRBU), where they planned to work together to improve CAR-T cell therapies with the help of CRISPR gene editing technology. AbbVie Inc. (NYSE:ABBV) is one of the best gene editing stocks to consider.
On September 9, AbbVie Inc. (NYSE:ABBV) declared a per share quarterly dividend of $1.41, in line with previous. The dividend is distributable on November 15, to shareholders of record on October 14. The dividend yield on October 14 came in at 3.95%.
JPMorgan analyst Chris Schott said on September 21 that AbbVie Inc. (NYSE:ABBV) continues to be one of his favorite large cap ideas as investor focus centers on Humira generics and the company’s trough earnings profile. The analyst sees an attractive setup for AbbVie Inc. (NYSE:ABBV) stock given further clarity on Humira generic dynamics expected over the next few quarters. The analyst continues to see a solid case for multiple expansion and reiterated an Overweight rating on the shares with a $180 price target.
According to Insider Monkey’s data, 71 hedge funds held stakes worth $2.8 billion in AbbVie Inc. (NYSE:ABBV) at the end of June 2022, compared to 76 funds in the prior quarter worth $3.6 billion. Peter Rathjens, Bruce Clarke, and John Campbell’s Arrowstreet Capital is the largest stakeholder of the company, with 4.2 million shares valued at $654 million.
Here is what ClearBridge Investments said about AbbVie Inc. (NYSE:ABBV) in its Q2 2022 letter:
“We added to our health care exposure in the quarter with the purchases of Straumann Holding (OTCPK:SAUHF), a Swiss manufacturer of medical instruments, implants and related supplies for dental procedures, in the secular bucket and U.S. pharmaceutical maker AbbVie Inc. (NYSE:ABBV) in the structural bucket. Straumann is the global market leader in dental implants with 29% overall share, a meaningful position within premium implants and smaller share in value implants. The company is also involved in clear aligners through a series of acquisitions as well as peripheral capital equipment around those businesses.
Growth will come from increasing share in both value implants and clear aligners through expansion in emerging markets on top of market growth in its premium implant business. AbbVie is undergoing a transition in anticipation of loss of exclusivity for its blockbuster Humira in the next several years with several commercial therapeutics, led by Skyrizi for psoriasis and Rinvoq for rheumatoid arthritis.”
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