5 Best Cancer Stocks To Buy Now

In this article, we discuss 5 best cancer stocks to buy. If you want to read our detailed discussion on the oncology industry, head over to 14 Best Cancer Stocks To Buy Now.

5. Bristol-Myers Squibb Company (NYSE:BMY)

Number of Hedge Fund Holders: 66

Bristol-Myers Squibb Company (NYSE:BMY) is one of the best cancer stocks to buy. It is a global biopharmaceutical company engaged in the research, development, licensing, manufacturing, marketing, and distribution of biopharmaceutical products. These products are focused on addressing different medical conditions, including hematology, oncology, cardiovascular, immunology, fibrotic, and neuroscience diseases. On September 20, Bristol-Myers Squibb Company (NYSE:BMY) declared a $0.57 per share quarterly dividend, in-line with previous. The dividend is to be paid on November 1, to shareholders of record as of October 6.

According to Insider Monkey’s second quarter database, 66 hedge funds were bullish on Bristol-Myers Squibb Company (NYSE:BMY), in contrast to the last quarter when 69 funds had invested in the stock. Richard S. Pzena’s Pzena Investment Management is the leading position holder in the company, with 4.33 million shares worth $276.75 million.

RGA Investment Advisors made the following comment about Bristol-Myers Squibb Company (NYSE:BMY) in its Q3 2022 investor letter:

“Bristol-Myers Squibb Company (NYSE:BMY), which we referenced above, boasts a double digit free cash flow yield that gets divided roughly equally between repurchases, a dividend and M&A in what is the best environment for acquisitions perhaps ever. In 2019, BMY acquired Celgene, who had one of the better corporate development programs in the industry. We view this as a great outlet for us as generalists considering a company like BMY should truly thrive with the ability to acquire outstanding assets and science at depressed valuations. We touched on the Turning Point acquisition above and we expect the company to be increasingly active in the M&A landscape. Importantly, Celgene also came to BMY with a phenomenal CAR-T platform. CAR-T is a cell therapy that activates the body’s immune system to target cancers. This will be a key growth vector alongside M&A in overcoming the company’s patent cliff.”

4. Pfizer Inc. (NYSE:PFE)

Number of Hedge Fund Holders: 73

Pfizer Inc. (NYSE:PFE) is a global biopharmaceutical company that is involved in the discovery, development, manufacturing, marketing, and distribution of biopharmaceutical products. The company is notable for its strong oncology portfolio, which comprises over 20 approved medications and ongoing clinical trials, making it one of the best cancer stocks to buy. On September 15, it was revealed that Pfizer Inc. (NYSE:PFE)’s proposed $43 billion purchase of oncology-focused pharmaceutical company Seagen Inc. (NASDAQ:SGEN) will undergo a review by European Union antitrust authorities. The European Commission has set a deadline of October 19 to conclude its initial assessment.

According to Insider Monkey’s second quarter database, 73 hedge funds were bullish on Pfizer Inc. (NYSE:PFE), same as the prior quarter. Ric Dillon’s Diamond Hill Capital held a significant position in the company, with 6.9 million shares worth $253.1 million.

Diamond Hill Large Cap Strategy made the following comment about Pfizer Inc. (NYSE:PFE) in its Q2 2023 investor letter:

“Our bottom contributors in Q2 included health insurance company Humana, biopharmaceutical company Pfizer Inc. (NYSE:PFE) and global entertainment company Disney. Pharmaceutical giant Pfizer has been dealing with a decline in sales due to lower COVID vaccination levels. Additionally, in 2023, management is increasing spend as the company invests in new product launches. That said, we remain positive about the long-term company fundamentals.”

3. AbbVie Inc. (NYSE:ABBV)

Number of Hedge Fund Holders: 74

Ranked third on our list of the best cancer stocks, AbbVie Inc. (NYSE:ABBV) is a global pharmaceutical company engaged in the research, development, manufacturing, and distribution of pharmaceuticals. Its product portfolio includes Imbruvica, used in the treatment of blood cancers in adults; Venclexta/Venclyxto for the management of hematological malignancies; and Lupron, utilized in the treatment of advanced prostate cancer, endometriosis, central precocious puberty, as well as other pharmaceutical products for different medical conditions. On September 8, AbbVie Inc. (NYSE:ABBV) declared a $1.48 per share quarterly dividend, in-line with previous. It is to be paid on November 15 to shareholders of record as of October 13.

According to Insider Monkey’s second quarter database, 74 hedge funds were bullish on AbbVie Inc. (NYSE:ABBV), compared to 75 in the preceding quarter. Ken Griffin’s Citadel Investment Group is a significant position holder in the company, with over 1.9 million shares worth $260.17 million.

Diamond Hill Large Cap Strategy made the following comment about AbbVie Inc. (NYSE:ABBV) in its Q2 2023 investor letter:

“Also among our bottom contributors were AbbVie and Truist Financial Corp. Pharmaceutical company AbbVie Inc. (NYSE:ABBV)’s stock declined in the quarter due to biosimilar competition against its largest drug, Humira. We believe management is successfully navigating biosimilars, as this has been a known generic entry for years. We still believe the company has attractive long-term prospects despite this near-term headwind.”

2. Merck & Co., Inc. (NYSE:MRK)

Number of Hedge Fund Holders: 78

Merck & Co., Inc. (NYSE:MRK) is a global healthcare company with two primary segments – Pharmaceutical and Animal Health. Within the Pharmaceutical segment, the company provides a range of human health pharmaceutical products covering oncology, hospital acute care, immunology, neuroscience, virology, cardiovascular, diabetes, and vaccines. Merck & Co., Inc. (NYSE:MRK) is one of the top cancer stocks. On September 22, Merck & Co., Inc. (NYSE:MRK) reported successful results in a Phase 3 clinical trial for its anti-PD-1 therapy Keytruda when used in combination with Seagen Inc. (NASDAQ:SGEN)’s antibody-drug conjugate Padcev. This combination treatment demonstrated positive outcomes for patients with bladder cancer.

According to Insider Monkey’s second quarter database, 78 hedge funds were bullish on Merck & Co., Inc. (NYSE:MRK), an increase from 75 funds in the last quarter. Cliff Asness’ AQR Capital Management held the largest position in the company, with approximately 2.91 million shares valued at $331.84 million.

Carillon Eagle Growth & Income Fund made the following comment about Merck & Co., Inc. (NYSE:MRK) in its Q2 2023 investor letter:

“Merck & Co., Inc. (NYSE:MRK) presented positive clinical data for a new drug in its oncology pipeline, announced an acquisition that was viewed favorably by investors, and reported strong first-quarter financial results while also increasing its earnings guidance for 2023.”

1. Johnson & Johnson (NYSE:JNJ)

Number of Hedge Fund Holders: 88

Johnson & Johnson (NYSE:JNJ) conducts research, development, manufacturing, and distribution of healthcare products worldwide. The company’s Pharmaceutical segment offers products for different medical conditions, including  prostate cancer, hematologic malignancies, lung cancer, and bladder cancer, autoimmune diseases, infectious diseases, mental health disorders, as well as treatments for thrombosis, diabetes, macular degeneration, and pulmonary arterial hypertension. On September 6, Johnson & Johnson (NYSE:JNJ)’s Janssen division reported that its bispecific antibody Rybrevant successfully achieved the dual primary objective of extending progression-free survival in a Phase 3 clinical trial involving lung cancer patients with particular genetic mutations.

According to Insider Monkey’s second quarter database, 88 hedge funds were bullish on Johnson & Johnson (NYSE:JNJ), up from 86 funds in the preceding quarter. Ray Dalio’s Bridgewater Associates held a significant position in the company, with 3.18 million shares valued at $526.59 million.

ClearBridge Large Cap Value Strategy made the following comment about Johnson & Johnson (NYSE:JNJ) in its first quarter 2023 investor letter:

“The tech-dominated quarter was a headwind for both defensive and cyclical sectors, with shares of health care holdings such as UnitedHealth Group (UNH), Elevance (ELV) and Johnson & Johnson (NYSE:JNJ) declining after a strong 2022.”

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