In this article, we will look at the 9 Best Drug Stocks to Buy According to Analysts.
On April 27, Jurrien Timmer, director of global macro at Fidelity Investments, appeared on CNBC to talk about the market and oil prices, and how necessary it is for oil prices to retreat from their highs, among other things.
He was of the view that there is not a lot the Fed can do about a supply shock, as if there was a demand shock from fiscal stimulus, like what we saw in 2020 and 2021, it would have been a different story. The Fed acknowledged that it is powerless over a supply shock, and so raising rates just because oil prices are up does not serve much of a purpose. On the other hand, he also stated that cutting rates three more times, which is what was expected earlier this year, is not in the cards either. It is not needed as well, as the economy is running pretty well.
READ ALSO: 10 Best Booming Stocks to Buy According to Hedge Funds AND 8 Best Stem Cell Therapy Stocks to Buy.
Timmer further stated in terms of the market and oil prices that the market has moved on already, but the oil prices are still near $100, and so we have not had that round trip yet. That, according to him, is something that needs to happen before the markets can really and completely declare victory.
With these broader market trends in view, let’s look at the best drug stocks to buy according to analysts.
Our Methodology
We used the Finviz stock screener to make a list of the best drug stocks that analysts are bullish on and picked the top 9 with the highest number of hedge fund holders, as of Q4 2025. We sourced the hedge fund sentiment data from Insider Monkey’s database.
Note: All data was recorded on April 28.
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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
9 Best Drug Stocks to Buy According to Analysts
9. Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH)
Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH) is one of the best drug stocks to buy according to analysts. Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH) was downgraded to Hold from Buy by Jefferies on April 20, with the firm bringing the price target on the stock down to $22 from $30. Despite what it calls an “inexpensive valuation”, the firm cited new launches being “less impactful than expected” and a lack of meaningful upside catalysts for the downgrade.
For additional perspective, in its financial results for the three months and full year ended December 31, 2025, Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH) reported net revenues of $183.1 million and $719.9 million, respectively. GAAP net income was $24.4 million, or $0.51 per share, and $98.1 million, or $2.03 per share, respectively, for fiscal Q4 and the full year. Management further reported that the adjusted non-GAAP net income came up to $34.2 million, or $0.73 per share, and $156.6 million, or $3.25 per share, respectively, for the quarter and full year.
Amphastar Pharmaceuticals, Inc. (NASDAQ:AMPH) develops, manufactures, markets, and sells technically challenging generic and proprietary injectable, intranasal, inhalation, and insulin active pharmaceutical ingredients. The company’s operations are divided into the Finished Pharmaceutical Products and Active Pharmaceutical Ingredients segments.
8. Amneal Pharmaceuticals, Inc. (NASDAQ:AMRX)
Amneal Pharmaceuticals, Inc. (NASDAQ:AMRX) is one of the best drug stocks to buy according to analysts. On April 17, UBS initiated coverage of Amneal Pharmaceuticals, Inc. (NASDAQ:AMRX) with a Buy rating and set a $19 price target. The firm told investors in a research note that the recent share selloff on the macro environment offers an attractive entry point for the company’s “best-in-group growth profile”, adding that it believes the stock’s valuation suggests the market is discounting only modest and gradual revenue growth. UBS further stated that it believes that Amneal Pharmaceuticals’ (NASDAQ:AMRX) specialty growth, driven by its Parkinson’s products and emerging franchises, warrants a premium multiple.
In a separate development, Amneal Pharmaceuticals, Inc. (NASDAQ:AMRX) announced on April 13 that it entered into a definitive agreement to acquire 100% of Kashiv BioSciences, LLC. The transaction has consideration that includes $375 million of cash and $375 million of equity payable at closing. It also includes up to $350 million in potential payments based on the attainment of certain regulatory milestones, the funding of operations through closing, and potential royalties based on commercial milestones.
Amneal Pharmaceuticals, Inc. (NASDAQ:AMRX) is a medicine company that provides pharmaceuticals, with its product portfolio including generics, specialty, biosciences, and a product catalog. The company’s operations are divided into the following segments: Generics, Specialty, and AvKARE.
7. ANI Pharmaceuticals, Inc. (NASDAQ:ANIP)
ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) is one of the best drug stocks to buy according to analysts. ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) announced on April 20 the launch of Pimozide Tablets 1 mg and 2 mg, with the Pimozide Tablets being the generic version of the reference listed drug (RLD) Orap®. The company reported that the US annual sales for Pimozide Tablets totaled approximately $3.1 million, based on February 2026 moving annual total (MAT) IQVIA data. Nikhil Lalwani, President and Chief Executive Officer of ANI Pharmaceuticals, Inc. (NASDAQ:ANIP), stated that the company is excited to “bring limited competition products to market” while continuing to offer generic alternatives to its patients and customers.
In another development, ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) announced the launch of Carbamazepine Extended-Release Capsules, 100 mg, 200 mg, and 300 mg on April 13. The company stated that its Carbamazepine Extended-Release Capsules are the generic version of the reference listed drug (RLD) Carbatrol®. It further reported that the US annual sales for Carbamazepine Extended-Release Capsules totaled approximately $65 million, based on February 2026 moving annual total (MAT) IQVIA data.
ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) is a bio-pharmaceutical company that develops, manufactures, and markets branded and generic prescription pharmaceuticals. The company’s operations are divided into the Generics, Established Brands, and Other, and Rare Disease segments.
6. Kiniksa Pharmaceuticals International, plc (NASDAQ:KNSA)
Kiniksa Pharmaceuticals International, plc (NASDAQ:KNSA) is one of the best drug stocks to buy according to analysts. Kiniksa Pharmaceuticals International, plc (NASDAQ:KNSA) announced its fiscal Q1 2026 financial results on April 28 and also provided updates regarding its recent portfolio execution. The company reported that net product revenue for ARCALYST® in fiscal Q1 2026 reached $214.3 million, representing 56% year-over-year growth. The company experienced growth in both new and repeat prescribers as fiscal Q1 progressed, which offered momentum for its ARCALYST franchise for the rest of the year. Kiniksa Pharmaceuticals International, plc (NASDAQ:KNSA) thus raised its 2026 ARCALYST net sales guidance to between $930 and $945 million from between $900 and $920 million. Total revenue for fiscal Q1 rose to $214.3 million, compared to $137.8 million for the first quarter of 2025.
The company further reported that the KPL-387 Phase 2 recurrent pericarditis data is expected in the second half of 2026, with the Phase 3 pivotal trial expected to initiate by the end of the year. In addition, management stated that the fiscal Q1 2026 cash balance grew to $468.1 million.
Kiniksa Pharmaceuticals International, plc (NASDAQ:KNSA) is a commercial-stage biopharmaceutical company that discovers, acquires, develops, and commercializes therapeutic medicines for patients suffering from debilitating diseases with significant unmet medical needs.
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