5 Best Drug Stocks to Buy Now

3. AbbVie Inc. (NYSE:ABBV)

Number of Hedge Fund Holders: 71

AbbVie Inc. (NYSE:ABBV) is a Chicago, Illinois-based pharmaceutical company that came into being following its spin-off from Abbott Laboratories (NYSE:ABT) in 2013.

In a research note issued on September 21, Chris Schott at JPMorgan picked AbbVie Inc. (NYSE:ABBV) as a top pick amongst the large-cap stocks. The analyst anticipates an attractive setup for AbbVie Inc. (NYSE:ABBV) in the upcoming quarters following more clarity on the dynamics of Humira drug. Keeping in view AbbVie Inc.’s (NYSE:ABBV) expansion plans, Schott anticipates strong bottom-line growth and cash flow expansion for AbbVie Inc. (NYSE:ABBV) in the future. Based on these expectations, the analyst has given AbbVie Inc. (NYSE:ABBV) stock an Overweight rating with a target price of $180.

Here’s what Baron Funds said about one of the best pharmaceutical stocks in its Q2 2022 investor letter:

“We added to our position in AbbVie Inc., a leading global biopharmaceutical company. We wrote about AbbVie in last quarter’s letter. We think Abbvie is well positioned for growth off trough earnings levels next year when the company’s lead drug Humira loses patent protection.”

AbbVie Inc. (NYSE:ABBV) was held by 71 hedge funds at the end of Q2 2022.