Top 10 Biotech Stocks to Buy According to Jeremy Green’s Redmile Group

Published February 17, 2022 at 3:07 am EST Updated August 19, 2026 at 12:32 pm EDT

In this article, we will discuss the top 10 biotech stocks to buy according to Jeremy Green’s Redmile Group.

Jeremy Green is the founder of Redmile Group, LLC. Jeremy Green hails from Paris and moved to the US in 2004. Before moving to the US, Green was the head of the European health care research team and served as the Managing Director at Citigroup. He is currently the Chairman of Prince’s Trust USA and has served on the board of directors of Alder Biopharmaceuticals. Jeremy Green’s net worth is estimated at around $3 billion.

After moving to the United States, Jeremy Green co-founded Steeple Capital and worked as an analyst at Andor Capital. In 2007, Jeremy Green founded the Redmile Group, which focuses mainly on the health care sector.

Redmile Group is based in San Francisco, California, and does venture investments, private equity, and post IPO equity investments. In the third quarter 13F filings, the firm reported $5.73 billion in managed securities. The firm’s largest holding is Fate Therapeutics, Inc. (NASDAQ:FATE), with 12.96 million shares worth $768 million.

LivaNova PLC (NASDAQ:LIVN), Amicus Therapeutics, Inc. (NASDAQ:FOLD) and Deciphera Pharmaceuticals, Inc. (NASDAQ:DCPH) are some of the top stocks in the portfolio of Redmile Group as of the end of the third quarter.

Our Methodology

Here is our list of top 10 biotech stocks to buy according to Jeremy Green’s Redmile Group portfolio. These were picked from the Redmile Group portfolio in the third quarter of 2021.

Top 10 Biotech Stocks to Buy According to Jeremy Green’s Redmile Group

10. Celldex Therapeutics, Inc. (NASDAQ:CLDX)

Redmile Group’s Stake Value: $164.3 million

Percentage of Redmile Group’s 13F Portfolio: 2.86%

Number of Hedge Fund Holders: 27

Celldex Therapeutics, Inc. (NASDAQ:CLDX) is a biopharmaceutical company specializing in immunology to treat various diseases. According to filings for the third quarter, Redmile Group owned 3,043,298 shares in Celldex Therapeutics, Inc. at the end of September 2021, representing 2.86% of the fund’s portfolio.

On September 17, Jefferies analyst Chris Howerton initiated coverage of Celldex Therapeutics, Inc. with a Buy rating and a price target of $66, citing the various successful developments of treatments and an upcoming possible upside opportunity.

9. Beam Therapeutics Inc. (NASDAQ:BEAM)

Redmile Group’s Stake Value: $171.8 million

Percentage of Redmile Group’s 13F Portfolio: 2.99%

Number of Hedge Fund Holders: 20

Beam Therapeutics Inc. (NASDAQ:BEAM) utilizes biotechnology to produce genetic medicines. The company has piqued the interest of many investors as it announced in November 2021 that it received permission from the U.S. Food and Drug Administration (FDA) to begin human trials for an ex vivo base-editing treatment for thalassemia and sickle cell anemia.

Among the hedge funds being tracked by Insider Monkey, Catherine Wood’s fund, ARK Investment Management, holds the largest stake in Beam Therapeutics Inc. with 6.84 million shares worth $595.3 million, representing 1.42% of the portfolio.

On October 19, SVB Leerink analyst Rick Bienkowski initiated coverage of Beam Therapeutics Inc. with an Outperform rating and price target of $117.

Baron Funds mentioned Beam Therapeutics Inc. in its first-quarter 2021 investor letter. Here is what the letter said:

“Beam Therapeutics Inc. is a biotechnology company pioneering a novel technology called base editing, which allows for individual base pairs (the letters of DNA) to be modified. Shares fell along with other biotechnology stocks driven by a sudden rise in treasury yields. Early-stage biotechnology stocks are particularly sensitive to interest rates because their cash flows are further in the future. We believe we are entering into a phase of significant advancement for the gene editing field that will eventually lead to curative therapies, and we think Beam has a unique platform technology.”

8. LivaNova PLC (NASDAQ:LIVN)

Redmile Group’s Stake Value: $173.5 million

Percentage of Redmile Group’s 13F Portfolio: 3.02%

Number of Hedge Fund Holders: 32

LivaNova PLC is a London-based company involved in the development, production, and selling of medical devices and systems.

In the third quarter of 2021, 32 hedge funds in the database of Insider Monkey held skates worth $1.14 billion in LivaNova PLC, down from 36 in the previous quarter worth $901.54 million.

On November 3, Piper Sandler analyst Adam Maeder maintained an Overweight rating on LivaNova PLC stock and raised the price target from $100 to $105, expressing enthusiasm and confidence regarding the company’s pipeline initiatives.

Diamond Hill Capital, an investment management firm, mentioned LivaNova PLC in its third-quarter 2021 investor letter. Here is what it said:

“Our health care holdings were negative in aggregate, but outpaced index peers, which boosted relative performance along with our below-benchmark positioningOn an individual holdings’ basis, we exited global medical technology company LivaNova as shares approached our estimate of intrinsic value.”

7. The Beauty Health Company (NASDAQ:SKIN)

Redmile Group’s Stake Value: $194.35 million

Percentage of Redmile Group’s 13F Portfolio: 3.38%

Number of Hedge Fund Holders: 39

The Beauty Health Company (NASDAQ:SKIN) is a California-based beauty health company that deals in producing and offering products and solutions concerning enhancement and maintenance of the health and beauty of the skin.

According to the filings of the third quarter of 2021, Redmile Group owned 7.48 million shares in the company at the end of September 2021, worth $194.35 million, representing 3.38% of the portfolio.

On November 12, Piper Sandler analyst Erinn Murphy maintained an Overweight rating on The Beauty Health Company stock with a price target of $33.

Baron Funds mentioned The Beauty Health Company in its third-quarter investor letter. Here is what it said:

“The Beauty Health Company is an innovative skincare and aesthetics company providing consumers the benefits of a professional medical treatment with the experience of a consumer brand. Shares outperformed in the third quarter following better-than-expected earnings results and the announcement of two new retail partnerships with Nordstrom and Ulta, where the company expects to sell an aesthetics device that customers can use in their home. We continue to be attracted to the company’s assetlight, recurring revenue business model and see the company doubling its revenues organically over the next few years. We also believe that Beauty Health will boost shareholder value over time through accretive acquisitions.”

6. Amicus Therapeutics, Inc. (NASDAQ:FOLD)

Redmile Group’s Stake Value: $198.6 million

Percentage of Redmile Group’s 13F Portfolio: 3.46%

Number of Hedge Fund Holders: 31

Amicus Therapeutics, Inc. is a biotechnology company that develops medicines for rare metabolic diseases. The firm often works in collaboration with Nationwide Children’s Hospital, University of Pennsylvania, and GlaxoSmithKline.

Among the hedge funds being tracked by Insider Monkey, Perceptive Advisors is the leading shareholder in Amicus Therapeutics, Inc. with 26.56 million shares worth $253.64 million, representing 3.68% of the portfolio.

Amicus Therapeutics, Inc. is one of the top stocks in the portfolio of Redmile Group, along with LivaNova PLC and Deciphera Pharmaceuticals, Inc..

An investment management firm, Carillon Tower Advisers, mentioned Amicus Therapeutics, Inc. in its first-quarter 2021 investor letter. Here is what it said:

“Amicus Therapeutics is a biotechnology company focused on discovering, developing, and delivering novel high-quality medicines for people living with rare metabolic diseases. The firm’s shares slumped after it reported disappointing results in the phase three trial for its drug to be used in the treatment of late-onset Pompe disease (LOPD). Unfortunately, the trial data did not generate statistical significance in the primary endpoint.”

5. ADC Therapeutics SA (NYSE:ADCT)

Redmile Group’s Stake Value: $204.5 million

Percentage of Redmile Group’s 13F Portfolio: 3.56%

Number of Hedge Fund Holders: 6

ADC Therapeutics SA (NYSE:ADCT) is a Switzerland-based biotechnology company involved in drug discovery and development for solid and hematological cancers.

On September 7, Cantor Fitzgerald analyst Brian Cheng maintained an Overweight rating on ADC Therapeutics SA stock with a price target of $46.

According to the third quarter filings of 2021, Redmile Group owned 7.52 million shares of ADC Therapeutics SA worth $204.5 million at the end of September 2021.

4. Argenx SE (NASDAQ:ARGX)

Redmile Group’s Stake Value: $220.6 million

Percentage of Redmile Group’s 13F Portfolio: 3.84%

Number of Hedge Fund Holders: 28

Argenx SE (NASDAQ:ARGX) is a biopharmaceutical company known for pipelining therapeutic solutions that utilize anti-bodies, and it is done with the company’s discovery platform called Simple Antibody. In November 2021, one of the focus drugs of the firm, called Efgartigimod, received orphan status from the FDA.

Among the hedge funds tracked by Insider Monkey, Julian Baker and Felix Baker’s placement agency, Baker Bros. Advisors, holds the most significant stake in Argenx SE with 1.11 million shares worth $338.10 million, representing 1.48% of the fund’s portfolio.

Artisan Partners, an investment management firm, mentioned Argenx SE in its quarter-two investor letter. Here is what it said:

“Argenx is a Dutch biotechnology company developing antibodybased therapies for autoimmune diseases and cancer. Commercial preparations are underway for the company’s FcRn drug efgartigimod, which is used to treat patients with severe autoimmune diseases. Discussions with health insurance payers have been positive, and the manufacturing/supply chain is well-positioned. Argenx appears to be not only first-in-class (a first mover) but also the best-inclass asset in a high value and competitive field of FcRn drugs. First-inclass drugs typically take the majority of market share, and with a best-in-class profile, Argenx could solidify a dominate market position.”

3. IGM Biosciences, Inc. (NASDAQ:IGMS)

Redmile Group’s Stake Value: $225.3 million

Percentage of Redmile Group’s 13F Portfolio: 3.92%

Number of Hedge Fund Holders: 13

IGM Biosciences, Inc. (NASDAQ:IGMS) operates as a clinical-stage biotechnology company that manufactures IgM antibodies to be used in different therapeutic solutions. The firm, previously known as Palingen, Inc., is in a license agreement for different antibody agents for the SARS-CoV-2 virus with AvantGen Inc.

On November 5, Wedbush analyst Robert Driscoll upgraded the rating from Neutral to Outperform on IGM Biosciences, Inc. stock with a price target of $82, citing the valuation after the selloff.

According to the filings of the third quarter, Redmile Group owned 3.42 million shares in IGM Biosciences, Inc. worth $225.25 million, representing 3.92% of the fund’s portfolio.

2. Allakos Inc. (NASDAQ:ALLK)

Redmile Group’s Stake Value: $225.7 million

Percentage of Redmile Group’s 13F Portfolio: 3.93%

Number of Hedge Fund Holders: 15

Allakos Inc. (NASDAQ:ALLK) is a California-based publicly traded and clinical-stage biopharmaceutical company that develops therapeutic treatments that are antibody-based and treat allergic and inflammatory diseases.

Among the hedge funds being tracked by Insider Monkey, 15 funds held stakes in Allakos Inc. worth $378.21 million at the end of the third quarter, up from 12 funds having stakes worth $344.51 million in the previous quarter. Redmile Group decreased its activity in the company by 4% in the third quarter.

As per the filings of the third quarter, Redmile Group owned 2.13 million shares in Allakos Inc. worth $225.7 million, representing 3.93% of the portfolio.

1. Fate Therapeutics, Inc. (NASDAQ:FATE)

Redmile Group’s Stake Value: $768 million

Percentage of Redmile Group’s 13F Portfolio: 13.39%

Number of Hedge Fund Holders: 36

Fate Therapeutics, Inc. is a biopharmaceutical clinical-stage company that develops new and advanced cellular immunotherapies to treat cancer and immune disorders. The firm works to produce improved cell therapies by using its proprietary iPSC product platform.

On November 8, Citi analyst Yigal Nochomovitz upgraded the rating from Neutral to Buy on Fate Therapeutics, Inc. stock and lowered the price target from $94 to $87.

According to Insider Monkey’s database of 867 funds, 36 hedge funds have stakes in Fate Therapeutics, Inc. worth $2.1 billion at the end of the third quarter, down from 40 funds having stakes worth $2.767 billion in the last quarter.

Fate Therapeutics, Inc. is the biggest investment in Redmile Group’s portfolio. As of the end of the third quarter, the fund owned 12.96 million shares in the company worth $768 million, comprising 13.39% of the portfolio.

You can also take a look at the Top 10 Stock Picks of Joe Huber’s Huber Capital Management and Top 10 Stock Picks of Leon Lowenstein’s Lionstone Capital Management.

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