You know how everyone says pharma stocks are “safe”? Well, they’re not wrong—people will always need medicines. But here’s the thing: the sector’s gotten way more interesting lately. Between aging populations, crazy advancements in biologics, and governments finally waking up to healthcare needs, there’s real money to be made. The trick is picking the right horses in this race.
So I was chatting with Raja Venkatraman—this sharp analyst who’s got a nose for winners—and he dropped three names on June 16 that got me excited. Not your usual big pharma suspects, but companies with actual momentum. Let me break it down for you.
It’s simple math, really. More old people = more prescriptions. Chronic diseases? Not going anywhere. And get this—governments are actually throwing money at healthcare now. Take the U.S. Inflation Reduction Act. Sure, it’s about drug pricing, but it’s also forcing innovation. As Raja puts it: “This isn’t your granddad’s pharma sector anymore.”
Here’s where it gets messy. FDA approvals can take forever—like watching paint dry. And when patents expire? Oof. Remember Humira? That was AbbVie’s golden goose until generics came knocking. Raja’s always saying, “You’ve got to look beyond today’s blockbusters.” Smart guy.
Market Cap: $112B | What They Do: Cystic fibrosis drugs (Trikafta)
Up 28% this year already. Why? They basically own the CF market—no real competition. Plus they’re working on a Type 1 diabetes treatment that could be huge. Raja thinks it’s got another 15% upside. “They’ve built a fortress,” he says. Makes sense to me.
Market Cap: $89B | Cash Cows: Eylea, Dupixent
Dupixent’s sales are growing like crazy—33% year over year. And Eylea just got FDA approval for diabetic retinopathy. Raja calls it a “printing press for cash,” which… yeah, I’ll take that. Their cancer pipeline’s the real dark horse though.
Market Cap: $10B (after Novo bought them) | Business: Makes drugs for other companies
This one’s sneaky smart. They’re behind the scenes making all those GLP-1 weight loss drugs everyone’s obsessed with. Production was a mess last year, but Raja says that’s turning around. “It’s like buying the picks during a gold rush,” he told me. 20% upside potential.
FDA decisions (Vertex has a pain drug in the works) and who’s buying who. That Catalent acquisition? Just the beginning. Raja’s convinced we’ll see more deals.
Let’s not sugarcoat it—supply chains are still a headache. Medicare’s playing hardball on prices. And for every drug that works, there’s a dozen that flop (looking at you, Biogen). Raja’s advice? “Don’t put all your pills in one bottle.” Couldn’t have said it better myself.
So there you have it—Vertex for innovation, Regeneron for steady cash, Catalent for the behind-the-scenes action. Raja’s picks are solid, but hey, markets can be moody. Do your homework, maybe talk to a financial advisor, and for god’s sake don’t invest rent money.
Hungry for more picks? Subscribe for weekly deep dives or follow Raja’s live updates. And if you found this useful, share it with that friend who’s always talking about “getting into healthcare stocks.”
Source: Livemint – Markets
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