10 Cheap NASDAQ Stocks To Invest In Now

5. AstraZeneca PLC (NASDAQ:AZN

Forward Price to Earnings Ratio: 15.86 

Earnings Growth: 41.70%

Number of Hedge Fund Holders: 49

AstraZeneca PLC (NASDAQ:AZN) is a leading biopharmaceutical company headquartered in Cambridge, United Kingdom. The company specializes in the discovery, development, manufacturing, and commercialization of prescription medications. The growth trajectory of the company is anticipated to be driven by three key factors, including robust patent protections, economies of scale, and a strong distribution network.

Recently, the company’s supplemental New Drug Application (sNDA) for CALQUENCE (acalabrutinib) received acceptance and Priority Review status in the United States for treating adult patients with previously untreated mantle cell lymphoma. The company has also achieved multiple product approvals across various therapeutic areas, including a recommendation from European regulators for endometrial cancer treatment and acceptance of an application for COVID-19 pre-exposure prophylaxis in immunocompromised patients. Additionally, Tagrisso has been approved in China and Japan as a first-line treatment for EGFR-mutated advanced lung cancer.

Wall Street analysts express optimism regarding the company’s strategic initiatives, particularly its pursuit of acquisitions to enhance growth prospects. Recent acquisitions include Amolyt Pharma and Fusion Pharmaceuticals, aimed at strengthening AstraZeneca’s PLC (NASDAQ:AZN) portfolio and pipeline. The company is also focused on expanding its breast cancer franchise and introducing antibody-drug conjugates into earlier lines of therapy to potentially replace standard chemotherapy.

Management has set an ambitious goal to achieve $80 billion in total revenue by 2030, up from $45.8 billion in 2023. This growth is expected to stem from significant advancements in its existing oncology and biopharmaceuticals portfolio, alongside the launch of approximately 20 new medicines by the end of the decade.

During the third quarter of fiscal 2024, the company improved its top line by 21% year-over-year driven by an increase in demand for its oncology treatments around the globe. The US remained the major contributor to revenue with 43% of global sales coming from the region. Looking ahead management has increased its full-year guidance for 2024 and now anticipates revenue to increase by a high teens percentage.

Parnassus Growth Equity Fund stated the following regarding AstraZeneca PLC (NASDAQ:AZN) in its Q2 2024 investor letter:

“AstraZeneca PLC (NASDAQ:AZN) gained after announcing robust first-quarter results and setting 2030 targets at an Investor Day that were above consensus expectations. We continue to believe that AstraZeneca’s robust pipeline and industry-leading innovation in oncology should support above-expectation revenue growth for the next several years.”