5 Most Undervalued Healthcare Stocks To Buy According To Hedge Funds

In this article, we will take a look at the 5 most undervalued healthcare stocks to buy according to hedge funds. To see more such companies, go directly to 13 Most Undervalued Healthcare Stocks To Buy According To Hedge Funds.

5. Moderna, Inc. (NASDAQ:MRNA)

Number of Hedge Fund Holders: 52

Moderna, Inc. (NASDAQ:MRNA) shares are in the limelight as investors look for catalysts beyond the COVID-19 vaccine. Recently, the US FDA gave Breakthrough Therapy status to Moderna, Inc. (NASDAQ:MRNA) and Merck’s (NYSE:MRK) personalized mRNA cancer vaccine mRNA-4157/V940, in combination with Keytruda, for the adjuvant treatment of patients with high-risk melanoma after complete resection.

Recently, Moderna, Inc. (NASDAQ:MRNA) posted its Q4 results. GAAP EPS in the period came in at $3.61, missing estimates by $1.14. Revenue in the quarter fell 29.3% on a YoY basis to $5.1 billion but beat estimates by $80 million.

Hedge fund sentiment for Moderna, Inc. (NASDAQ:MRNA) spiked in Q4. At the end of the quarter, 52 hedge funds in Insider Monkey’s database of 943 hedge funds reported owning stakes in Moderna, Inc. (NASDAQ:MRNA), up from 44 hedge funds in the previous quarter. The total value of these stakes was over $3.1 billion.

ClearBridge Select Strategy made the following comment about Moderna, Inc. (NASDAQ:MRNA) in its Q4 2022 investor letter:

“Moderna, Inc. (NASDAQ:MRNA) became a household name during the pandemic as one of the first developers of a COVID-19 vaccine. But the stock sold off sharply as COVID momentum, including high expectations for booster shots, began to wear off, causing investors to slash its fiscal 2023 earnings estimates by two-thirds over the last year. We believe those downward revisions clouded the prospects for the company’s fully funded pipeline of platform opportunities, including cancer, RSV and flu. The cash-rich company also recently expanded its partnership with Merck to improve cancer treatments.”