While Nvidia (NVDA) is once again the standout performer in the S&P 500 Index ($SPX) so far this year, with its stock soaring 85% since the beginning of 2024, biotech stocks are coming on strong. As the next wave of artificial intelligence (AI) adoption rolls out to the pharma industry, even Nvidia itself is investing in drug discovery - and meanwhile, anti-obesity treatments are pushing stocks like Novo Nordisk (NVO) to new highs.
Following a nearly 50% uptick in novel drug approvals by the FDA during 2023, it looks as though the biotech industry may be headed for a comeback. Against this backdrop, here are five biotech stocks poised for notable growth. Each has a consensus rating of “Buy” or better among the analysts in coverage, with room to rally 26% or more to Wall Street's mean price target.
