5 Best Small-Cap Healthcare Stocks To Buy Now

3. Revance Therapeutics, Inc. (NASDAQ:RVNC)

Number of Hedge Fund Holders: 23

Market Capitalization as of December 12: $1.773 Billion

Revance Therapeutics, Inc. (NASDAQ:RVNC) is a Tennessee-based biotechnology company that specializes in the development, manufacture, and commercialization of neuromodulators for various aesthetic and therapeutic indications in the United States and internationally. On November 8, Revance Therapeutics, Inc. (NASDAQ:RVNC) reported a Q3 revenue of $29 million, up 47.2% year-over-year, beating Wall Street consensus by $0.76 million. It is one of the best healthcare stocks to invest in. 

On November 16, investment advisory Barclays raised the firm’s price target on Revance Therapeutics, Inc. (NASDAQ:RVNC) to $37 from $35 and kept an Overweight rating on the shares after meeting with management. Analyst Balaji Prasad issued the ratings update. 

According to Insider Monkey’s data, 23 hedge funds were long Revance Therapeutics, Inc. (NASDAQ:RVNC) at the end of September 2022, with collective stakes worth $428 million, compared to 15 funds in the prior quarter worth $179.2 million. Brian Ashford-Russell and Tim Woolley’s Polar Capital is the biggest position holder in the company, with 4.46 million shares worth $120.4 million. 

Baron Funds made the following comment about Revance Therapeutics, Inc. (NASDAQ:RVNC) in its Q3 2022 investor letter:

“Shares of Revance Therapeutics, Inc. (NASDAQ:RVNC), an aesthetics-forward biotechnology company, contributed to performance in the quarter. Following several delays, the U.S. FDA finally approved Daxxify, the company’s longer-acting competitor to Botox in September. Unlike Botox, Daxxify contains a peptide that helps the toxin localize to the injection site and adhere to neurons. While the effect of Botox tends to fade in three to four months, Daxxify’s effects last on average six months. We think the longer duration of action is a key selling point for consumers. Revance is launching Daxxify to a select group of injectors over the next six months to gain real-world experience before a broader launch in the second quarter of 2023. We think consumer and injector demand is strong, and we expect to see meaningful uptake in the second half of 2023. Ultimately, we see Daxxify and Revance’s already launched RHA fillers capturing significant share in the fast-growing $4 billion-plus facial injectables market and supporting more than twice Revance’s current valuation.”