In this article, we will be taking a look at the 7 Oversold Pharma Stocks to Buy Now.
In 2024, the pharmaceutical sector in the United States was valued at $634.32 billion, and by 2030, it is expected to have grown to $883.97 billion. Customized medication, which is predicted to increase from $169.56 billion in 2024 to $307.04 billion by 2033, growing at 6.82% CAGR, is the main driver of this expansion. Despite expensive development costs and a lack of clinical standards, expansion is driven by advances in sequencing, the need for individualized treatments, and supporting regulations.
Following the implementation of policy changes during Donald Trump’s second term, the pharmaceutical industry in the United States has experienced substantial changes. The administration started a “Build It Here” campaign in 2025 to increase domestic manufacturing and slapped a 100% tariff on imported brand-name medications. The implementation of TrumpRx.gov and Most-Favored-Nation pricing orders are two more initiatives aimed at bringing American prescription prices into line with those of other developed countries. A larger movement toward cost containment and pharmaceutical self-sufficiency has been strengthened by regulatory reforms, which have also expedited the approval of generic and biosimilar products.
Industry hazards also persist despite optimism. The loss of market exclusivity for well-known medications like Keytruda and Eliquis has prompted the Boston Consulting Group to warn of an impending $350 billion worldwide patent cliff. According to analysts, research and development driven by gene treatments, biologics, and artificial intelligence will maintain growth. Deloitte, PwC, and S&P Global Ratings are among the firms that predict robust credit conditions supported by substantial cash reserves, ongoing industrial innovation, and increased merger and acquisition activity.
Michael Yee of UBS recently pointed to robust early-year dealmaking and forecast improved performance in 2026 for pharmaceutical and biotech companies. He highlighted particular strength in cardiometabolic, obesity, cardiovascular, and oncology segments, especially as major patent expirations approach in 2028 and 2029.
With that being said, let’s now take a look at the oversold pharma stocks.
Our Methodology
For our methodology, we began by filtering stocks with a Relative Strength Index (RSI) of under 65 and positive analyst upsides. From this list, we picked the 7 best stocks and ranked them in ascending order based on their RSI. We have also mentioned their analyst upsides.
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. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
Here is our list of 7 oversold pharma stocks to buy now.
7. Hims & Hers Health, Inc. (NYSE:HIMS)
Relative Strength Index: 16.68
Price Target Upside: 94.39%
Hims & Hers Health, Inc. (NYSE:HIMS) is one of the most oversold stocks.
HIMS declared on February 19, 2026, that it has finalized a deal to purchase Eucalyptus for a maximum of $1.15 billion, subject to usual adjustments. The remaining consideration will consist of guaranteed deferred payments over the next 18 months and subsequent earnouts linked to certain financial milestones through early 2029. The business will pay about $240 million in cash upon closing.
Hims & Hers Health, Inc. (NYSE:HIMS) anticipates using current cash and future U.S. operating cash flows to finance the agreement, and it may choose to fund the majority of the deferred and earnout amounts in cash or shares. It is expected that the transaction will close in the middle of 2026, subject to regulatory approvals and other standard conditions.
In other news, on the same day, HIMS moved forward with plans to sell a $49 oral semaglutide weight-loss pill but quickly reversed course after facing immediate backlash from Novo Nordisk (NVO) and U.S. regulators. Within two days of the announcement, the company pulled the offering after the FDA commissioner characterized such products as “illegal copycats.” The abrupt retreat has raised questions about the company’s future growth strategy following the failed launch.
Hims & Hers Health, Inc. (NYSE:HIMS) is a direct-to-consumer telehealth company that provides prescription medications and wellness products in areas such as dermatology, mental health, sexual health, and primary care through its online platform.
6. Neurocrine Biosciences, Inc. (NASDAQ:NBIX)
Relative Strength Index: 40.53
Price Target Upside: 36.79%
Neurocrine Biosciences, Inc. (NASDAQ:NBIX) is one of the most oversold stocks.
TheFly reported on February 17 that Truist reduced its price target on NBIX to $140 from $169 and maintained a Buy rating on the stock. The increase came after management’s 2026 projection, and the company’s fourth-quarter results were included in the firm’s financial model.
Neurocrine Biosciences, Inc. (NASDAQ:NBIX) announced its fourth-quarter and full-year 2025 financial results earlier on February 11, which show strong top-line growth. According to the report, overall net product sales increased by 29% and 22% year over year to $798.3 million in Q4 and $2.83 billion for the entire year, respectively.
INGREZZA generated $657.5 million in fourth-quarter sales and $2.51 billion for the full year, reflecting 7% and 9% annual growth, which is supported by strong prescription demand but partially offset by lower net pricing tied to formulary access investments. Additionally, the report also shows that CRENESSITY contributed $135.3 million in Q4 sales and $301.2 million for the year, which is driven by robust patient enrollment and reimbursement coverage.
Neurocrine Biosciences, Inc. (NASDAQ:NBIX) is a biopharmaceutical company developing treatments for neurological and endocrine-related disorders, focusing on innovative therapies for conditions like movement disorders, epilepsy, and hormonal diseases.
5. Sanofi (NASDAQ:SNY)
Relative Strength Index: 46.82
Price Target Upside: 23.37%
Sanofi (NASDAQ:SNY) is one of the most oversold stocks.
TheFly reported that on February 20, SNY’s price target was lowered at Citi by EUR 5. On the other hand, earlier on February 12, BofA reduced its price target for SNY from EUR 102 to EUR 92 and downgraded the stock from Buy to Neutral. Following the announcement that Belén Garijo, the former CEO of Merck KGaA, will succeed Paul Hudson as CEO, the stock was downgraded.
Despite Garijo’s strong track record, the analyst pointed out that investors might be leery of this impending stage of strategy reconstruction and transition because there aren’t many pipeline triggers, and R&D failures have happened in the past.
In other news, Texas Attorney General Ken Paxton sued Sanofi-Aventis U.S. LLC on February 19, alleging that the corporation had illegally paid kickbacks to doctors in order to promote the prescription of their medications over alternatives. The suit highlights Sanofi (NASDAQ:SNY)’s “Free Nurse Program” and “Support Services Program,” which provide in-kind services to providers in violation of the Texas Health Care Program Fraud Prevention Act.
According to Paxton, these initiatives were created to have an impact on the drugs that patients were prescribed, possibly bringing in long-term profits from chronic care even in cases where other solutions could have been more suitable. The lawsuit, which highlights worries about the effect of these tactics on the standard of care for Texans, demands more than $1 million in civil penalties as well as an injunction to stop additional illegal activities.
Sanofi (NASDAQ:SNY) is a global pharmaceutical company developing prescription medicines, vaccines, and consumer healthcare products, focusing on diabetes, cardiovascular, oncology, and rare diseases.
4. Aquestive Therapeutics, Inc. (NASDAQ:AQST)
Relative Strength Index: 47.65
Price Target Upside: 128.14%
Aquestive Therapeutics, Inc. (NASDAQ:AQST) is among the most oversold stocks.
TheFly reported on February 3 that Lake Street Capital Markets reduced its price target on AQST to $6 from $8 and maintained a Buy rating. This update followed the company’s announcement that it would resubmit its application in the third quarter after receiving a Complete Response Letter for Anaphylm. In order to account for the expected delay in approval, the company revised its revenue forecasts and modified its valuation.
Aquestive Therapeutics, Inc. (NASDAQ:AQST) also revealed on February 20 that it will present new clinical results for its investigational product, Anaphylm (dibutepinephrine) sublingual film, at the 2026 American Academy of Allergy, Asthma and Immunology (AAAAI) Annual Meeting, which will take place in Philadelphia from February 27 to March 2. Additional evidence bolstering Anaphylm’s profile as a non-invasive substitute for injectable epinephrine in the treatment of severe allergic responses, including anaphylaxis, will be presented in the presentations.
Aquestive Therapeutics, Inc. (NASDAQ:AQST) is a specialty pharmaceutical company developing and commercializing orally administered and film-based drug delivery therapies for neurological and other central nervous system disorders.
3. Organon & Co. (NYSE:OGN)
Relative Strength Index: 51.36
Price Target Upside: 24.46%
Organon & Co. (NYSE:OGN) is among the most oversold pharma stocks.
TheFly reported on February 12 that OGN announced its fourth-quarter and full-year 2025 financial results. According to the report, for the full year, the company’s revenue totaled $6.2 billion, which represents a 3% decline both on a reported basis and in constant currency. Diluted earnings per share were $0.72, while non-GAAP adjusted diluted EPS came in at $3.66. The company generated $1.91 billion in adjusted EBITDA, which includes $6 million in IPR&D expenses, resulting in a 30.7% adjusted EBITDA margin.
Moreover, the company also reported that looking ahead to 2026, it expects revenue of approximately $6.2 billion and adjusted EBITDA of about $1.9 billion, roughly consistent with 2025 performance.
Separately, earlier on January 28, Organon & Co. (NYSE:OGN) announced that it had finalized the sale of its JADA System to Laborie Medical Technologies Corp. The company confirmed the transaction’s completion and referred to its earlier disclosure for detailed financial terms. The JADA System is designed to manage and treat abnormal postpartum uterine bleeding or hemorrhage when conservative intervention is appropriate.
Organon & Co. (NYSE:OGN) is a global pharmaceutical company focused on women’s health, biosimilars, and established medicines, developing and commercializing treatments across reproductive health, cardiovascular, and other therapeutic areas.
2. Bausch Health Companies Inc. (NYSE:BHC)
Relative Strength Index: 51.76
Price Target Upside: 27.59%
Bausch Health Companies Inc. (NYSE:BHC) is one of the most oversold stocks.
TheFly reported on February 19 that Bank of America raised its price target for Bausch + Lomb (BLCO) to $15 from $13 and kept an Underperform rating. The firm pointed out that Bausch + Lomb’s fourth-quarter revenue was 2% more than anticipated and that the company expects the contact lens market to increase by at least 4.5% in 2026. The assessment indicates continued concern regarding BHC’s complete separation, notwithstanding these positives.
Bausch Health Companies Inc. (NYSE:BHC) released its financial results for the fourth quarter and the entire year 2025 on February 18. The company reported consolidated sales of $10.27 billion for the entire year, a 7% increase year over year, and $2.80 billion for the fourth quarter, up 9% from the same period in 2024.
The full-year GAAP net income was $157 million, but the fourth-quarter GAAP statistics revealed a net loss of $112 million. Strong demand for Xifaxan helped the Salix sector continue to drive growth, generating $693 million in Q4 revenue. These outcomes highlight BHC’s continuous operational performance and the beneficial input from its main business divisions.
Bausch Health Companies Inc. (NYSE:BHC) is a global pharmaceutical company specializing in eye care, dermatology, gastrointestinal, and branded generic medicines, providing prescription and over-the-counter products to improve patient health worldwide.
1. BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX)
Relative Strength Index: 61.87
Price Target Upside: 163.69%
BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX) tops our list for being one of the oversold stocks.
TheFly reported on February 18 that Evercore ISI reinstated coverage of BCRX with an Outperform rating and a $17 price target. The analyst pointed out that BCRX is well-positioned for long-term growth with the recent acquisition of Astria Therapeutics, pointing out that Orladeyo may reach peak sales of $900 million by 2029 and that Navenibart may generate $1 billion in risk-adjusted revenue.
Separately, earlier on February 11, BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX) announced that it will feature nine abstracts from its hereditary angioedema (HAE) portfolio at the 2026 American Academy of Allergy, Asthma & Immunology (AAAAI) Annual Meeting in Philadelphia, scheduled for February 27 to March 2.
Six abstracts on ORLADEYO (berotralstat) are included in the presentations; these abstracts address real-world and clinical trial outcomes, including pediatric data for kids two years of age and older. One late-breaking presentation on March 1 reported interim results from the long-term ALPHA-SOLAR trial, showing sustained HAE attack suppression with dosing every three or six months. Three other abstracts center on navenibart, a long-acting monoclonal antibody that targets plasma kallikrein.
BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX) is a biopharmaceutical company focused on developing oral and small-molecule therapies for rare diseases and serious conditions, including antiviral and complement system disorders.
While we acknowledge the potential of BCRX to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BCRX and that has 100x upside potential, check out our report about this cheapest AI stock.
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