12 Best Psychedelic Stocks to Buy in 2025

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7. COMPASS Pathways plc (NASDAQ:CMPS)

Number of Hedge Fund Holders: 26 

COMPASS Pathways plc (NASDAQ:CMPS) is a British pharmaceutical company leading the development of psychedelic medicine, primarily focused on COMP360, a synthetic psilocybin therapy for treatment-resistant depression (TRD). While it doesn’t generate revenue from drug sales, it funds operations through research grants and investor capital. What sets the company apart is its advanced clinical progress—COMP360 is currently in Phase 3 trials, making it one of the most developed psychedelic treatments. If successful, it could become the first FDA-approved psychedelic-assisted therapy for a major mental health condition.

COMPASS Pathways plc (NASDAQ:CMPS) is a biotechnology company developing COMP360, a proprietary synthetic psilocybin therapy for treatment-resistant depression (TRD). By combining COMP360 with psychological support, the company aims to revolutionize mental health treatment.

In Q3 2024, COMPASS Pathways plc (NASDAQ:CMPS) reported a net loss of $38.5 million, driven by continued investment in its Phase 3 trials. R&D expenses were $32.9 million, while G&A expenses totaled $15.0 million. With a strong cash position of $207 million, the corporation expects to fund operations into 2026.

The company’s Phase 3 trials for COMP360 are the largest of their kind, with key data from the COMP005 trial expected in Q2 2025 and the COMP006 trial results anticipated in H2 2026.

The bull case for COMPASS Pathways plc (NASDAQ:CMPS) rests on its potential to deliver a breakthrough TRD treatment, a strong financial position to support clinical milestones, and an undervalued stock relative to its market opportunity. A strategic focus on its core COMP360 program could enhance efficiency and increase success probability.

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