In this article, we will be taking a look at the 7 Best Psychedelic Stocks to Buy According to Analysts.

As the psychedelic drug industry shifts from a speculative niche to a potential part of mainstream healthcare, investors have started to keep a careful eye on it. Over the past year, the AdvisorShares Psychedelics ETF, which primarily focuses on psychedelic-related businesses, has increased by 31%, outpacing the Nasdaq Composite by 24% and the S&P 500 by 16%.

Investor confidence has grown alongside increasing recognition of psychedelics’ potential in treating mental health conditions, particularly for patients with limited treatment options. The sector has attracted high-profile investors, including billionaire Peter Thiel and New York Mets owner Steve Cohen, while government support has also increased. Health Secretary Robert F. Kennedy Jr. and FDA Commissioner Marty Makary have expressed optimism about psychedelic therapies, especially for veterans suffering from mental health challenges. Kennedy recently told Congress that these treatments could offer significant benefits when administered in clinical settings and that efforts were underway to advance their availability within 12 months.

Following the success of Johnson & Johnson’s Spravato, an FDA-approved medication for treatment-resistant depression that has been on the market since 2019, commercial momentum has also increased. Sales of the medication exceeded $1 billion in 2024 and are expected to reach $3 billion by 2027–2028, demonstrating the rising need for innovative mental health therapies.

Market projections further support the sector’s expansion. According to Zion Market Research, growing mental health issues and greater knowledge of psychedelic therapies might propel the global market for psychedelic pharmaceuticals from $3 billion in 2023 to $9 billion by 2032. The market as a whole was estimated to be worth $4.51 billion in 2024 and is projected to rise at a compound annual growth rate of 16.8% to reach $15.62 billion by 2032.

The advancement of regulations and commercial scalability will probably determine the next stage of expansion. Despite the uncertainty caused by the FDA’s rejection of MDMA-assisted therapy, 2026 is still a crucial year since late-stage clinical breakthroughs from firms like Compass Pathways and Definium Therapeutics are anticipated to have an impact on the industry’s future. Psychedelics are being positioned as a potential cornerstone of future mental healthcare as the business concentrates on clinical validation, therapist training, and regulated therapy models.

With that said, let’s now move on to the best psychedelic stocks.

Our Methodology

For our methodology, we screened psychedelic stocks with analyst upside potential of at least 20%. From this list, we selected companies with the most recent news and developments and ranked them in ascending order based on their analyst upside as of July 7. These stocks are also favored by hedge funds.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Insider Monkey’s quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).

Here is our list of the 7 best psychedelic stocks to buy according to analysts.

7. Definium Therapeutics, Inc. (NASDAQ:DFTX)

Price Target Upside: 28.15%

Definium Therapeutics, Inc. (NASDAQ:DFTX) is one of the best psychedelic stocks on our list.

TheFly reported on June 30 that Canaccord reduced its price target on DFTX to $58 from $60 while reaffirming a Buy rating on the shares. The firm noted that the company recently delivered strong Phase 3 results from the EMERGE trial evaluating DT120, an orally disintegrating LSD d-tartrate tablet for major depressive disorder. The positive clinical outcome was well received by investors and enabled Definium to raise approximately $805 million in new capital. Canaccord updated its financial model to reflect the recent financing transaction and the resulting increase in the company’s outstanding share count.

Separately, it was reported on June 25 that Definium Therapeutics, Inc. announced the completion of its previously disclosed underwritten public offering of 23,676,471 common shares, including the full exercise of the underwriters’ option for additional shares. The shares were sold at a public offering price of $34.00 per share, generating approximately $805 million in gross proceeds before expenses. Definium plans to allocate the proceeds toward advancing its research and development programs, preparing for the potential commercialization of DT120 ODT if approved, and supporting general corporate needs. J.P. Morgan, Jefferies, Leerink Partners, and BofA Securities served as joint lead bookrunners for the offering, which closed on June 25, 2026.

Definium Therapeutics, Inc. (NASDAQ:DFTX) is a clinical-stage biopharmaceutical company developing psychedelic and psychoplastogenic therapies for brain health disorders, including anxiety, depression, and autism spectrum disorder.

6. COMPASS Pathways plc (NASDAQ:CMPS)

Price Target Upside: 38.57%

COMPASS Pathways plc (NASDAQ:CMPS) is one of the best psychedelic stocks on our list.

TheFly reported on July 7 that Oppenheimer reaffirmed its Outperform rating and $20 price target on CMPS shares following new Phase 3 COMP006 26-week results. The firm stated that the data further support the sustained effectiveness of COMP360 in patients with treatment-resistant depression. Oppenheimer believes the latest findings strengthen the company’s regulatory outlook, including a planned NDA submission in the fourth quarter, while reinforcing the potential for the first FDA approval of a classical psychedelic therapy. The firm also views the stock’s commercial opportunity as not fully reflected in its current valuation ahead of a possible first-half 2027 launch.

On the same day, COMPASS Pathways plc (NASDAQ:CMPS) reported 26-week results from Part B of its ongoing Phase 3 COMP006 study evaluating COMP360 for treatment-resistant depression. The findings showed sustained clinical benefits and confirmed the therapy’s rapid onset of action in a population with long-standing, difficult-to-treat depression. The company said 39% of patients receiving the 25 mg dose achieved a clinically meaningful improvement by Week 6, with benefits generally maintained through Week 26. COMP360 also continued to demonstrate a favorable safety profile.

COMPASS Pathways plc (NASDAQ:CMPS) is a UK-based biotechnology company developing psychedelic-based therapies for mental health disorders. Its lead candidate, COMP360, is a synthetic psilocybin treatment combined with psychological support for treatment-resistant depression.

5. Silo Pharma, Inc. (NASDAQ:SILO)

Price Target Upside: 76.68%

Silo Pharma, Inc. (NASDAQ:SILO) is one of the best psychedelic stocks on our list.

SILO reported on July 7 that its wholly owned subsidiary, QwikAgents, joined the NVIDIA Developer Program to support the advancement of its artificial intelligence agent integration platform. The program provides QwikAgents with access to NVIDIA’s AI software ecosystem, development tools, technical resources, and optimization support aimed at improving next-generation AI applications. QwikAgents’ platform is designed to automate complex business processes through autonomous AI agents capable of reasoning, executing tasks, and connecting with enterprise systems. The company expects these resources to help accelerate platform development as it expands solutions for organizations seeking scalable AI-driven operations.

Separately, on June 29, Silo Pharma, Inc. (NASDAQ:SILO) announced that it had partnered with Resyca to conduct a robustness evaluation of the microchip-based nasal spray technology being developed for SPC-15, its lead intranasal treatment candidate for post-traumatic stress disorder. The study will assess device reliability during expected use and examine formulation stability over 30 days. SILO believes the nose-to-brain delivery approach may improve drug concentration in the brain while limiting systemic exposure, potentially supporting faster therapeutic effects and enhanced safety. The company is also using regulatory discussions with the FDA to advance development of SPC-15 through the streamlined 505 pathway.

Silo Pharma, Inc. (NASDAQ:SILO) is a developmental-stage biopharmaceutical company combining psychedelic research with traditional therapeutics to develop treatments for conditions such as PTSD, Alzheimer’s disease, multiple sclerosis, and chronic pain.

4. AtaiBeckley Inc. (NASDAQ:ATAI)

Price Target Upside: 169.75%

AtaiBeckley Inc. (NASDAQ:ATAI) is one of the best psychedelic stocks on our list.

TheFly reported on July 7 that Canaccord increased its price target on ATAI to $17 from $15 while maintaining a Buy rating on the shares. The firm revised its model following the company’s announcement that it had completed dosing the final participant in the Elumina Phase 2 study evaluating VLS-01, a DMT buccal film, for treatment-resistant depression. Canaccord noted that ATAI remains on track to report topline results in the fourth quarter of 2026.

On July 6, AtaiBeckley Inc. (NASDAQ:ATAI) announced the completion of patient dosing in its Phase 2b Elumina clinical trial evaluating VLS-01 in adults with treatment-resistant depression. The multi-center, double-blind, placebo-controlled study enrolled 156 participants, with topline results expected in the fourth quarter of 2026. The company plans to progress VLS-01 into Phase 3 development for major depressive disorder, while generalized anxiety disorder remains a potential future indication. ATAI stated that VLS-01, alongside BPL-003, which is currently in Phase 3 development for treatment-resistant depression with Breakthrough Therapy Designation, could support a broader approach to treating mood and anxiety disorders.

AtaiBeckley Inc. (NASDAQ:ATAI) is a clinical-stage biopharmaceutical company formed through the merger of Atai Life Sciences and Beckley Psytech, focused on developing fast-acting, long-lasting psychedelic-based treatments for difficult-to-treat mental health disorders.

3. Vistagen Therapeutics, Inc. (NASDAQ:VTGN)

Price Target Upside: 322.12%

Vistagen Therapeutics, Inc. (NASDAQ:VTGN) is one of the best psychedelic stocks on our list.

TheFly reported on June 30 that VTGN announced topline findings from the PALISADE-4 Phase 3 trial evaluating intranasal fasedienol for the acute treatment of social anxiety disorder. The study did not meet its primary endpoint, with fasedienol failing to demonstrate a statistically meaningful improvement compared with placebo based on the change from baseline in SUDS scores. The trial also showed no treatment advantage over placebo across secondary endpoints. However, fasedienol maintained a favorable safety and tolerability profile, consistent with observations from earlier placebo-controlled clinical studies.

Separately, earlier on June 15, Vistagen Therapeutics, Inc. (NASDAQ:VTGN) reported its financial results for the fiscal year ended March 31, 2026, along with a corporate update. Research and development expenses increased to $55.0 million from $39.4 million in the prior fiscal year, primarily due to activities supporting the PALISADE Program for fasedienol, manufacturing efforts, and development of the company’s pherine candidates. General and administrative expenses rose to $18.4 million compared with $17.1 million a year earlier. The company recorded a net loss of $69.7 million for the fiscal year, compared with $51.4 million in the previous period. As of March 31, 2026, VTGN reported $45.4 million in cash, cash equivalents, and marketable securities, which it expects to support operations into 2027.

Vistagen Therapeutics, Inc. (NASDAQ:VTGN) is a clinical-stage neuroscience company developing rapid-onset intranasal therapies for psychiatric disorders. It is often categorized among psychedelic stocks due to its focus on mental health innovation, though its proprietary therapies are not classic psychedelics.

2. Cybin D/B/A Helus Pharma (NASDAQ:HELP)

Price Target Upside: 430.68%

Cybin D/B/A Helus Pharma (NASDAQ:HELP) is one of the best psychedelic stocks on our list.

TheFly reported on July 1 that Canaccord analyst Sumant Kulkarni lowered the price target on HELP to $42 from $45 while maintaining a Buy rating on the shares. The firm highlighted Helus Pharma’s lead candidate, HLP003, a deuterated psilocin analog currently being evaluated in a Phase 3 program for adjunctive treatment of major depressive disorder (MDD). Canaccord expects significant potential upside from upcoming Phase 3 APPROACH trial results for HLP003, which are anticipated in the fourth quarter of 2026.

In other news, earlier on June 24, Cybin D/B/A Helus Pharma (NASDAQ:HELP) announced the pricing of an underwritten public offering involving 10,309,280 common shares. The shares were offered for $4.85 each, generating approximately $50 million in gross proceeds for the company. The offering was expected to close on June 25. Cantor and Barclays served as joint bookrunning managers for the transaction, while Bloom Burton Securities and Lucid Capital Markets acted as lead managers. The capital raise is intended to support HELP’s ongoing operations and advancement of its development programs.

Cybin D/B/A Helus Pharma (NASDAQ:HELP) is a clinical-stage neuropsychiatry company developing psychedelic-based therapies and novel serotonergic agonists for mental health conditions such as major depressive disorder and generalized anxiety disorder.

1. NRx Pharmaceuticals, Inc. (NASDAQ:NRXP)

Price Target Upside: 1,029.81%

NRx Pharmaceuticals, Inc. (NASDAQ:NRXP) is one of the best psychedelic stocks on our list.

TheFly reported on June 25 that NRXP issued a statement responding to claims made by Kadima Neuropsychiatry Institute regarding the failed acquisition of Kadima by HOPE Therapeutics, a majority-owned subsidiary of NRx. The company stated that it had initiated arbitration proceedings over Kadima’s failure to satisfy key transaction requirements, including asset ownership verification and business condition obligations. NRXP said management believes pursuing the acquisition would not benefit patients or shareholders and emphasized that HOPE’s strategy remains focused on developing advanced treatments for depression, PTSD, and other serious conditions. The company also highlighted ongoing initiatives involving neuronavigated TMS technology, neuroplastic medicines, and partnerships supporting its evolving personalized medicine approach.

In other news, on June 22, NRx Pharmaceuticals, Inc. (NASDAQ:NRXP) announced that the FDA approved an Intermediate Population Expanded Access Protocol for NRX-101, a fixed-dose combination of D-cycloserine and lurasidone, to support its use alongside accelerated Transcranial Magnetic Stimulation (TMS). The program is intended to provide access to NRX-101 through FDA-authorized compassionate use pathways for patients unable to participate in the company’s pivotal trial. NRXP stated that the initiative supports broader evaluation of the therapy’s potential to improve TMS outcomes. The company also highlighted its upcoming SPARC-TMS pivotal trial, which will assess the combination’s ability to address depression remission and suicidality in patients with treatment-resistant depression.

NRx Pharmaceuticals, Inc. (NASDAQ:NRXP) is a clinical-stage biopharmaceutical company developing CNS therapies for severe mental health conditions, including suicidal depression, bipolar depression, and PTSD.

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