Sectors & IndustriesHealthcareDrug Manufacturers - Specialty & Generic

Best Pharmaceutical Stocks to Buy Now (2023)

Top pharmaceutical stocks in 2023 ranked by overall Zen Score. See the best pharmaceutical stocks to buy now, according to analyst forecasts for the drug manufacturers - specialty & generic industry.

According to Zen Score, the 3 best pharma stocks to buy right now are:

Viatris (NASDAQ:VTRS) is the top pharmaceutical stock with a Zen Score of 59, which is 33 points higher than the pharmaceutical industry average of 26. It passed 21 out of 38 due diligence checks and has strong fundamentals. Viatris has seen its stock lose -16.64% over the past year, underperforming other pharmaceutical stocks by -3 percentage points.

Viatris has an average 1 year price target of $10.33, an upside of 10.28% from Viatris's current stock price of $9.37.

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

Neurocrine Biosciences (NASDAQ:NBIX) is the second best pharmaceutical stock with a Zen Score of 53, which is 27 points higher than the pharmaceutical industry average of 26. It passed 18 out of 33 due diligence checks and has strong fundamentals. Neurocrine Biosciences has seen its stock lose -7.28% over the past year, overperforming other pharmaceutical stocks by 7 percentage points.

Neurocrine Biosciences has an average 1 year price target of $130.93, an upside of 11.79% from Neurocrine Biosciences's current stock price of $117.12.

Neurocrine Biosciences stock has a consensus Buy recommendation according to Wall Street analysts. Of the 15 analysts covering Neurocrine Biosciences, 40% have issued a Strong Buy rating, 33.33% have issued a Buy, 26.67% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Collegium Pharmaceutical (NASDAQ:COLL) is the third best pharmaceutical stock with a Zen Score of 51, which is 25 points higher than the pharmaceutical industry average of 26. It passed 16 out of 33 due diligence checks and has strong fundamentals. Collegium Pharmaceutical has seen its stock return 11.89% over the past year, overperforming other pharmaceutical stocks by 26 percentage points.

Collegium Pharmaceutical has an average 1 year price target of $36.00, an upside of 40.63% from Collegium Pharmaceutical's current stock price of $25.60.

Collegium Pharmaceutical stock has a consensus Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Collegium Pharmaceutical, 0% have issued a Strong Buy rating, 100% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 8 pharmaceutical stocks that have issued dividends in the past year, the 3 pharmaceutical stocks with the highest dividend yields are:

Siga Technologies (NASDAQ:SIGA) has an annual dividend yield of 8.02%, which is 5 percentage points higher than the pharmaceutical industry average of 3.27%.

Siga Technologies's dividend payout ratio of -562.5% indicates that its high dividend yield might not be sustainable for the long-term.

Phibro Animal Health (NASDAQ:PAHC) has an annual dividend yield of 4.86%, which is 2 percentage points higher than the pharmaceutical industry average of 3.27%. Phibro Animal Health's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Phibro Animal Health's dividend has shown consistent growth over the last 10 years.

Phibro Animal Health's dividend payout ratio of 92.3% indicates that its high dividend yield might not be sustainable for the long-term.

Alkermes (NASDAQ:ALKS) has an annual dividend yield of 4.41%, which is 1 percentage points higher than the pharmaceutical industry average of 3.27%.

Alkermes's dividend payout ratio of 0% indicates that its dividend yield might not be sustainable for the long-term.

Pharmaceutical stocks were up 1.58% in the last day, and up 1.61% over the last week.

We couldn't find a catalyst for why pharmaceutical stocks are up.

Based on WallStreetZen's Valuation Score, the 3 most undervalued pharmaceutical stocks right now are:

Viatris (NASDAQ:VTRS) is the most undervalued pharmaceutical stock based on WallStreetZen's Valuation Score. Viatris has a valuation score of 71, which is 51 points higher than the pharmaceutical industry average of 20. It passed 5 out of 7 valuation due diligence checks.

Viatris's stock has dropped -16.64% in the past year. It has underperformed other stocks in the pharmaceutical industry by -3 percentage points.

Eagle Pharmaceuticals (NASDAQ:EGRX) is the second most undervalued pharmaceutical stock based on WallStreetZen's Valuation Score. Eagle Pharmaceuticals has a valuation score of 71, which is 51 points higher than the pharmaceutical industry average of 20. It passed 5 out of 7 valuation due diligence checks.

Eagle Pharmaceuticals's stock has dropped -83.23% in the past year. It has underperformed other stocks in the pharmaceutical industry by -69 percentage points.

Collegium Pharmaceutical (NASDAQ:COLL) is the third most undervalued pharmaceutical stock based on WallStreetZen's Valuation Score. Collegium Pharmaceutical has a valuation score of 57, which is 37 points higher than the pharmaceutical industry average of 20. It passed 4 out of 7 valuation due diligence checks.

Collegium Pharmaceutical's stock has gained 11.89% in the past year. It has overperformed other stocks in the pharmaceutical industry by 26 percentage points.