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What Makes Nektar Therapeutics (NKTR) a Promising Mid-Cap Healthcare Stock

Nektar Therapeutics (NASDAQ:NKTR) is one of the 10 most promising mid-cap healthcare stocks according to hedge funds.

On May 11, Wedbush analyst Martin Fan decreased the price target on Nektar Therapeutics (NASDAQ:NKTR) from $95 to $80 while reiterating a Neutral rating. This revision is followed by the recent corporate earnings report, where Nektar has reaffirmed forward-looking guidance across its broader product portfolio.

RAJ CREATIONZS / shutterstock.com

Additionally, the company has confirmed that by July 2026, it will be initiating the Phase 3 ZENITH-AD program for rezpegaldesleukin, which is used to treat atopic dermatitis. Despite this clinical progression, the analyst is still quite uncertain about the possibility of significant first-line market penetration.

Fan believes that Dupixent’s well-established commercial dominance is a major factor in this cautious approach. Furthermore, within two years of any prospective rezpegaldesleukin launch alternative biosimilars are expected to enter the market, posing a threat to the competitive environment.

On May 8, while retaining an Overweight rating on the stock, Yasmeen Rahimi from Piper Sandler increased the firm’s price target on Nektar Therapeutics (NASDAQ:NKTR) from $105 to $192. The adjustments lead to a highly lucrative upside potential of over 200% at the prevailing level.

The firm noted that Nektar disclosed its first quarter results and provided an update on REZPEG’s Phase 3 ZENITH-AD program design, which will comprise five trials in total. The two biologic-naive AD studies will begin in July 2026, and the first ZENITH-AD readout will occur in mid-2028. Additionally, a third trial with AD patients with biologic experience is included in ZENITH-AD, with commencement taking place some months after biologic naive.

Nektar Therapeutics (NASDAQ:NKTR) is a biopharmaceutical company that discovers and develops drugs targeting immunological dysfunctions. It develops rezpegaldesleukin, NKTR-0165, NKTR-0166, NKTR-422, and NKTR-255. These are used to treat autoimmune disorders, ulcerative colitis, and multiple sclerosis, autoimmune diseases, fibrotic diseases, and solid tumors/large B-cell lymphoma, respectively.

While we acknowledge the risk and potential of NKTR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NKTR and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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Wall Street calls this $3 stock a “Melting Ice Cube.” They said the same thing about BTI before it returned 90%.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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