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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:

Innoviva (NASDAQ:INVA) is the #1 top biotech stock out of 605 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 Innoviva (NASDAQ:INVA) is: Value: A, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: A, and AI: C.

Innoviva (NASDAQ:INVA) has a Due Diligence Score of 56, which is 31 points higher than the biotech industry average of 25.

INVA passed 17 out of 33 due diligence checks and has strong fundamentals. Innoviva has seen its stock return 32.68% over the past year, overperforming other biotech stocks by 39 percentage points.

Innoviva has an average 1 year price target of $37.33, an upside of 54.01% from Innoviva's current stock price of $24.24.

Innoviva stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 3 analysts covering Innoviva, 66.67% have issued a Strong Buy rating, 33.33% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Jazz Pharmaceuticals (NASDAQ:JAZZ) is the #2 top biotech stock out of 605 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: B, Growth: A, Momentum: B, Sentiment: C, Safety: C, Financials: B, and AI: C.

Jazz Pharmaceuticals (NASDAQ:JAZZ) has a Due Diligence Score of 16, which is -9 points lower than the biotech industry average of 25. Although this number is below the industry average, our proven quant model rates JAZZ as a "A".

JAZZ passed 5 out of 33 due diligence checks and has weak fundamentals. Jazz Pharmaceuticals has seen its stock return 97.92% over the past year, overperforming other biotech stocks by 104 percentage points.

Jazz Pharmaceuticals has an average 1 year price target of $223.91, an upside of 10.07% from Jazz Pharmaceuticals's current stock price of $203.42.

Jazz Pharmaceuticals stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 11 analysts covering Jazz Pharmaceuticals, 63.64% have issued a Strong Buy rating, 27.27% have issued a Buy, 9.09% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Xeris Biopharma Holdings (NASDAQ:XERS) is the #3 top biotech stock out of 605 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 Xeris Biopharma Holdings (NASDAQ:XERS) is: Value: B, Growth: A, Momentum: C, Sentiment: B, Safety: C, Financials: B, and AI: C.

Xeris Biopharma Holdings (NASDAQ:XERS) has a Due Diligence Score of 23, which is -2 points lower than the biotech industry average of 25. Although this number is below the industry average, our proven quant model rates XERS as a "A".

XERS passed 8 out of 33 due diligence checks and has weak fundamentals. Xeris Biopharma Holdings has seen its stock return 54.99% over the past year, overperforming other biotech stocks by 61 percentage points.

Xeris Biopharma Holdings has an average 1 year price target of $11.25, an upside of 76.61% from Xeris Biopharma Holdings's current stock price of $6.37.

Xeris Biopharma Holdings stock has a consensus Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Xeris Biopharma Holdings, 25% have issued a Strong Buy rating, 50% have issued a Buy, 25% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

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 22.77%, which is 18 percentage points higher than the biotech industry average of 4.4%.

Dominari Holdings's dividend payout ratio of -42.4% indicates that its high dividend yield might not be sustainable for the long-term.

Oramed Pharmaceuticals (NASDAQ:ORMP) has an annual dividend yield of 6.44%, which is 2 percentage points higher than the biotech industry average of 4.4%.

Oramed Pharmaceuticals's dividend payout ratio of 16.3% indicates that its high dividend yield is sustainable for the long-term.

Novo Nordisk (Ozempic) (NYSE:NVO) has an annual dividend yield of 3.15%, which is -1 percentage points lower than the biotech industry average of 4.4%. 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 46.1% indicates that its dividend yield is sustainable for the long-term.

Biotech stocks were up 2.04% in the last day, and up 5.55% over the last week. Forum Markets was the among the top gainers in the biotechnology industry, gaining 81.01% yesterday.

Forum Markets shares are trading higher after the company announced a series of Board-authorized actions to maximize value for all shareholders.

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:

Harmony Biosciences Holdings (NASDAQ:HRMY) 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.

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 gained 5.38% in the past year. It has overperformed other stocks in the biotech industry by 11 percentage points.

Exelixis (NASDAQ:EXEL) 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.

Exelixis 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.

Exelixis's stock has gained 24.04% in the past year. It has overperformed other stocks in the biotech industry by 30 percentage points.

Incyte (NASDAQ:INCY) 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.

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 68.05% in the past year. It has overperformed other stocks in the biotech industry by 74 percentage points.

62.77% of biotech stocks rated by analysts are a strong buy right now. On average, analysts expect biotech stocks to rise by 53.28% over the next year.

2.4% of biotech stocks have a Zen Rating of A (Strong Buy), 4.8% of biotech stocks are rated B (Buy), 49.78% are rated C (Hold), 32.31% are rated D (Sell), and 10.7% are rated F (Strong Sell).