15 Best Biotech Stocks to Buy According to Billionaires

3. Natera, Inc. (NASDAQ:NTRA)

Number of Billionaires: 14 

Dollar Value of Billionaire Holdings: $2,302,821,195 

Natera, Inc. (NASDAQ:NTRA), standing third among the best biotech stocks to buy according to billionaires, is a clinical genetic testing company specializing in non-invasive cell-free DNA (cfDNA) technology. It offers genetic tests in women’s health, oncology, and organ health, with its flagship product, Panorama, a prenatal test that screens for genetic disorders as early as nine weeks of pregnancy. The company stands out for its innovative use of cfDNA technology, combining molecular biology, bioinformatics, and AI to detect genetic abnormalities with high sensitivity and accuracy, giving it a competitive edge in the biotech sector.

Natera, Inc. (NASDAQ:NTRA)’s Q4 2024 financial results show strong growth and improving financial health. Total revenue reached $476.1 million, up 53% from Q4 2023, which was driven by a 53.9% increase in product revenues. The company also saw a significant jump in test volume, processing 792,800 tests, a 26.5% increase from the previous year, with oncology tests rising by 54.7%. Gross margin improved to 62.9% from 51.4% in Q4 2023, reflecting higher efficiency.

For the full year, Natera, Inc. (NASDAQ:NTRA)’s revenues totaled $1.7 billion, a 56.7% increase, with a gross margin of 60.3%. This growth was fueled by higher test volumes and better pricing strategies. Although operating expenses rose due to an increase in headcount and legal costs, they grew at a slower rate than revenue, showing better operational efficiency. Despite reporting a net loss of $53.8 million for Q4 2024 and $190.4 million for the full year, the company’s reduced losses compared to last year signal progress toward profitability.