12 Best Healthcare Stocks to Buy According to Analysts

8) Revolution Medicines, Inc. (NASDAQ:RVMD)

Number of Hedge Fund Holders: 44

Average Upside Potential: 64.9%

Revolution Medicines, Inc. (NASDAQ:RVMD) is a clinical-stage precision oncology company, engaged in developing novel targeted therapies for RAS-addicted cancers. Analyst Eric Joseph of J.P. Morgan maintained a “Buy” rating on the company’s shares, boosting the price objective to $71.00. Joseph’s rating stems from a combination of factors pointing to the promising potential for the company. Notably, Revolution Medicines, Inc. (NASDAQ:RVMD)’s recent data update on its RAS(ON) pipeline resulted in increased success assumptions, mainly for its RMC-6236 drug in second and first-line non-small cell lung cancer (NSCLC) opportunities.

Furthermore, an increase in the price target is because of the derisking of ongoing clinical trials and the expectation of a robust commercial path for RMC-6236 as a standard of care in pancreatic ductal adenocarcinoma. While Revolution Medicines, Inc. (NASDAQ:RVMD) continues to face competition, its focus on RAS inhibitors and its differentiated safety profile for some of its drug candidates have placed it well in the industry. Given Revolution Medicines, Inc. (NASDAQ:RVMD)’s current operating plan, it expects current cash, cash equivalents, and marketable securities to finance planned operations into 2027. As of September 30, 2024, the company reported having $1.54 billion in cash, cash equivalents and marketable securities.