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Best Biotech Stocks to Buy Now (2026)

Top biotech stocks in 2026 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best biotech stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best biotechnology stocks to buy right now are:

Jazz Pharmaceuticals (NASDAQ:JAZZ) is the #1 top biotech stock out of 603 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Jazz Pharmaceuticals (NASDAQ:JAZZ) is: Value: A, Growth: A, Momentum: B, Sentiment: B, Safety: C, Financials: B, and AI: C.

Jazz Pharmaceuticals (NASDAQ:JAZZ) has a Due Diligence Score of 34, which is 10 points higher than the biotech industry average of 24.

JAZZ passed 11 out of 33 due diligence checks and has average fundamentals. Jazz Pharmaceuticals has seen its stock return 104.87% over the past year, overperforming other biotech stocks by 179 percentage points.

Jazz Pharmaceuticals has an average 1 year price target of $256.58, an upside of 11.95% from Jazz Pharmaceuticals's current stock price of $229.19.

Jazz Pharmaceuticals stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 12 analysts covering Jazz Pharmaceuticals, 66.67% have issued a Strong Buy rating, 25% have issued a Buy, 8.33% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Exelixis (NASDAQ:EXEL) is the #2 top biotech stock out of 603 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Exelixis (NASDAQ:EXEL) is: Value: A, Growth: B, Momentum: C, Sentiment: C, Safety: C, Financials: A, and AI: C.

Exelixis (NASDAQ:EXEL) has a Due Diligence Score of 48, which is 24 points higher than the biotech industry average of 24.

EXEL passed 16 out of 33 due diligence checks and has strong fundamentals. Exelixis has seen its stock return 23.46% over the past year, overperforming other biotech stocks by 98 percentage points.

Exelixis has an average 1 year price target of $48.00, a downside of -9.42% from Exelixis's current stock price of $52.99.

Exelixis stock has a consensus Buy recommendation according to Wall Street analysts. Of the 7 analysts covering Exelixis, 14.29% have issued a Strong Buy rating, 14.29% have issued a Buy, 71.43% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Aurinia Pharmaceuticals (NASDAQ:AUPH) is the #3 top biotech stock out of 603 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Aurinia Pharmaceuticals (NASDAQ:AUPH) is: Value: B, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: B, and AI: C.

Aurinia Pharmaceuticals (NASDAQ:AUPH) has a Due Diligence Score of 58, which is 34 points higher than the biotech industry average of 24.

AUPH passed 19 out of 33 due diligence checks and has strong fundamentals. Aurinia Pharmaceuticals has seen its stock return 93.86% over the past year, overperforming other biotech stocks by 168 percentage points.

Out of 6 biotech stocks that have issued dividends in the past year, the 3 biotech stocks with the highest dividend yields are:

Dominari Holdings (NASDAQ:DOMH) has an annual dividend yield of 30%, which is 24 percentage points higher than the biotech industry average of 6.1%.

Dominari Holdings's dividend payout ratio of -19.1% indicates that its high dividend yield might not be sustainable for the long-term.

Oramed Pharmaceuticals (NASDAQ:ORMP) has an annual dividend yield of 6.85%, which is 1 percentage points higher than the biotech industry average of 6.1%.

Oramed Pharmaceuticals's dividend payout ratio of 9.4% indicates that its high dividend yield is sustainable for the long-term.

Novo Nordisk (Ozempic) (NYSE:NVO) has an annual dividend yield of 3.02%, which is -3 percentage points lower than the biotech industry average of 6.1%. Novo Nordisk (Ozempic)'s dividend payout is not stable, having dropped more than 10% eight times in the last 10 years. Novo Nordisk (Ozempic)'s dividend has shown consistent growth over the last 10 years.

Novo Nordisk (Ozempic)'s dividend payout ratio of 43.1% indicates that its dividend yield is sustainable for the long-term.

Biotech stocks were up 1.7% in the last day, and up 2.6% over the last week. Nuvalent was the among the top gainers in the biotechnology industry, gaining 39.28% yesterday.

Nuvalent shares are trading higher after GSK announced it will acquire the company.

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued biotech stocks right now are:

Rigel Pharmaceuticals (NASDAQ:RIGL) is the most undervalued biotech stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Rigel Pharmaceuticals has a valuation score of 43, which is 30 points higher than the biotech industry average of 13. It passed 3 out of 7 valuation due diligence checks.

Rigel Pharmaceuticals's stock has gained 40.59% in the past year. It has overperformed other stocks in the biotech industry by 115 percentage points.

Incyte (NASDAQ:INCY) is the second most undervalued biotech stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Incyte has a valuation score of 71, which is 58 points higher than the biotech industry average of 13. It passed 5 out of 7 valuation due diligence checks.

Incyte's stock has gained 47.7% in the past year. It has overperformed other stocks in the biotech industry by 122 percentage points.

Harmony Biosciences Holdings (NASDAQ:HRMY) is the third most undervalued biotech stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Harmony Biosciences Holdings has a valuation score of 71, which is 58 points higher than the biotech industry average of 13. It passed 5 out of 7 valuation due diligence checks.

Harmony Biosciences Holdings's stock has dropped -3.73% in the past year. It has overperformed other stocks in the biotech industry by 71 percentage points.

67.53% of biotech stocks rated by analysts are a strong buy right now. On average, analysts expect biotech stocks to rise by 71.01% over the next year.

2.86% of biotech stocks have a Zen Rating of A (Strong Buy), 4.4% of biotech stocks are rated B (Buy), 42.64% are rated C (Hold), 38.24% are rated D (Sell), and 11.87% are rated F (Strong Sell).