10 Innovative Healthcare Stocks to Watch in 2025

8. AbbVie Inc. (NYSE:ABBV)

Number of Hedge Fund Holders: 85

AbbVie Inc. (NYSE:ABBV) stands eighth on our list among the best healthcare stocks. It is a research-based pharmaceutical company that develops and sells products to treat chronic diseases in oncology, gastroenterology, rheumatology, dermatology, virology, and various other serious health conditions.

In addition to having solid fundamentals, it made $15.1 billion in fiscal Q4 2024, which was 5.6% higher than analysts had predicted. The company’s ex-Humira platform, a group of medications in its pharmaceutical portfolio, was credited with this expansion. The platform increased sales by over 18% throughout the course of the year, and in fiscal Q4 2024, revenue growth accelerated to 22%.

Because of its two popular medications, Skyrizi and Rinvoq, analysts are upbeat about AbbVie Inc. (NYSE:ABBV)’s growth. By 2027, the yearly sales of these medications—which treat inflammatory bowel disorders, psoriatic illnesses, rheumatology, and dermatology—are expected to surpass $27 billion. In addition, the business declared a 5.8% dividend increase that would take effect in February 2025, carrying on the company’s 52-year dividend growth pattern.

Polaris Capital Management said the following about AbbVie Inc. (NYSE:ABBV) in its Q3 2024 investor letter:

“US biopharma/biotech companies topped the health care sector, with the majority of holdings posting returns over 10%. AbbVie Inc. (NYSE:ABBV) showed positive top-line growth from its immunosuppressive drugs, Skyrizi and Rinvoq. Abbvie’s management continues to work through the loss of exclusivity from Humira, switching patients to Skyrizi or Rinvoq rather than Humira biosimilars.”