5 Best Genomics Stocks to Buy Now

3. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)

Number of Hedge Fund Holders: 44

Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is a $69 billion biotechnology company, which is making a foray into genetic sequencing through Regeneron Genetics Center. Furthermore, the Westchester County, New York-based company has its proprietary technologies, which uses genetically humanized mice to produce fully human antibodies. On the traditional front, Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) has a blockbuster eye-care therapy in the form of Eylea. Furthermore, the company’s COVID-19 antibody therapy, REGEN-COV received $2.94 billion from the US government to produce 1.4 million doses. The antibody therapy is effective in all the known strains of COVID-19 now. Phase-III research has shown that administering REGN-COV can reduce the probability of hospitalization or death by 70%.

Evan Seigerman at BMO Capital terms the track record of Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) as the best amongst the large-cap biotech stocks in his research note that was published on November 18. This further strengthens the thesis regarding the shift towards the genetic sequencing and analysis element along with testing and diagnosis. The analyst has also highlighted the “compelling” valuation that undervalues the revenue growth potential with an Outperform rating on Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) stock and a $780 price target.

Oakmark Funds shared its stance on Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) in its Q2 2021 investor letter. Here’s what the investment management firm said:

“We restored Regeneron Pharmaceuticals from a rather trivial to a more normal position size. You may recall Regeneron performed well for the Fund during the Covid-19 crisis, so we significantly reduced our position as its price-value gap narrowed. During the past several quarters, however, the market has experienced the now infamous “reopening trade,” in which companies that performed well during the pandemic trailed as the economy reopened. Regeneron suffered a similar fate and its shares have lagged the S&P 500 by roughly 4000 basis points, despite the company’s strong fundamentals and robust pipeline of new products. The underperformance widened Regeneron’s price-value gap, so we restored it to a more normal position size.”