In this article, we will look at 5 healthcare and biotech stocks to buy amid the monkeypox threat. If you want to explore similar healthcare and biotech stocks, you can also read 10 Healthcare and Biotech Stocks to Buy Amid Monkeypox Threat.
5. SIGA Technologies Inc. (NASDAQ:SIGA)
Number of Hedge Fund Holders: 10
SIGA Technologies, Inc. (NASDAQ:SIGA) is a commercial-stage pharmaceutical company that manufactures TPOXX, an oral formulation antiviral drug for the treatment of human smallpox disease caused by the variola virus. On July 12, SIGA Technologies, Inc. (NASDAQ:SIGA) announced that it has received approximately $28 million of procurement orders for its oral antiviral drug, TPOXX.
While TPOXX is only FDA-approved for the treatment of smallpox, on August 4 it was reported the U.S. FDA is looking to conduct clinical trials of the oral vaccine to determine its efficacy for monkeypox. As of August 5, shares of SIGA Technologies Inc. (NASDAQ:SIGA) have soared 206.18% year to date.
On August 4, Siga Technologies Inc. (NASDAQ:SIGA) reported earnings for the second quarter of 2022. The company reported a revenue of $17 million of which roughly $5 million was attributed to international sales of oral TPOXX and $4 million was attributed to sales of oral TPOXX to the U.S. Department of Defense. The company reported its operating income for the second quarter of 2022 amounted to $3.1 million and its diluted earnings per share came in at $0.03. As of July 31, Siga Technologies Inc. (NASDAQ:SIGA) has received $60 million worth of international orders of which roughly $5 million worth of orders were delivered in the second quarter of 2022.
At the end of Q1 2022, SIGA Technologies Inc. (NASDAQ:SIGA) was spotted on 10 hedge fund portfolios. The total stakes of these hedge funds amounted to $37.66 million. This is compared to 13 positions in Q4 2021 with stakes worth $43.71 million.
As of March 31, AltraVue Capital owns 2.47 million shares of SIGA Technologies Inc. (NASDAQ:SIGA) and is the largest shareholder in the company. The fund’s stakes are valued at $17.52 million and the investment covers 2.38% of its 13F portfolio.
4. Emergent Biosolutions Inc. (NYSE:EBS)
Number of Hedge Fund Holders: 17
Emergent BioSolutions Inc. (NYSE:EBS) operates as a life sciences company that focuses on the provision of preparedness and response solutions that address accidental, deliberate, and naturally occurring public health threats in the United States. The company offers the ACAM2000 for treating smallpox and vaccinia immune globulin intravenous that addresses complications from its smallpox vaccine. The U.S. is stockpiling monkeypox vaccines and has also reportedly stocked the ACAM2000 which can be used to treat monkeypox.
On May 16, Emergent BioSolutions Inc. (NYSE:EBS) announced that it has entered into an agreement with Chimerix, Inc. (NASDAQ:CMRX) to acquire the global exclusive rights for the distribution of TEMBEXA. TEMBEXA is the first FDA-approved antiviral drug for the treatment of smallpox in individuals of all ages.
At the close of Q1 2022, 17 hedge funds held stakes in Emergent Biosolutions Inc. (NYSE:EBS). The total value of these stakes amounted to $137.21 million, up from $124.55 million in the previous quarter with 15 positions. The hedge fund sentiment for the stock is positive.
In the first quarter of 2022, D E Shaw raised its stakes in Emergent Biosolutions Inc. (NYSE:EBS) by 24%, bringing them to $47.77 million. As of March 31, D E Shaw is the largest shareholder in Emergent Biosolutions Inc. (NYSE:EBS).
3. Quest Diagnostics Incorporated (NYSE:DGX)
Number of Hedge Fund Holders: 37
Quest Diagnostics Incorporated (NYSE:DGX) provides diagnostic testing, information, and services in the United States and internationally. The company develops and delivers diagnostic information services, such as routine testing, non-routine & advanced clinical testing, anatomic pathology testing, and other diagnostic information services.
On July 13, Quest Diagnostics Incorporated (NYSE:DGX) announced that it has developed a molecular diagnostic test to diagnose the monkeypox virus. The company’s PCR-based test is the first commercially available test to detect the monkeypox virus and classify it from other non-variola orthopoxviruses. As of August 5, Quest Diagnostics Incorporated (NYSE:DGX) has gained 3.61% over the past six months.
On July 21, Quest Diagnostics Incorporated (NYSE:DGX) reported earnings for the fiscal second quarter of 2022. The company reported earnings per share of $2.36 and beat EPS estimates by $0.09. The company’s revenue for the quarter came in at $2.45 billion and outperformed Wall Street expectations by $117.15 million. On July 22, Mizuho analyst Ann Hynes revised her price target on Quest Diagnostics Incorporated (NYSE:DGX) to $160 from $185 and reiterated a Buy rating on the shares.
At the close of Q1 2022, 37 hedge funds were bullish on Quest Diagnostics Incorporated (NYSE:DGX) and held stakes worth $442.83 million in the company. This is compared to 32 positions in the previous quarter with stakes worth $602.84 million.
As of March 31, Renaissance Technologies is the leading shareholder in Quest Diagnostics Incorporated (NYSE:DGX) and owns roughly 1.13 million shares of the company. The investment covers 0.18% of Jim Simons’ 13F portfolio.
2. Moderna, Inc. (NASDAQ:MRNA)
Number of Hedge Fund Holders: 41
Moderna, Inc. (NASDAQ:MRNA), a leading healthcare company, announced on May 24 that it is working on a vaccine to treat monkeypox. Back in May 2022, the company was running vaccine tests against monkeypox at a pre-clinical level. On August 3, Moderna, Inc. (NASDAQ:MRNA) announced that its pre-clinical trials of a monkeypox vaccine are still ongoing and that the company is simultaneously focusing on its vaccines against COVID-19. As of August 5, Moderna, Inc. (NASDAQ:MRNA) has returned 21.87% to investors over the past six months.
On August 3, Moderna, Inc. (NASDAQ:MRNA) reported earnings for the fiscal second quarter of 2022. The company reported earnings per share of $5.24 and beat EPS estimates by $0.75. The company reported a revenue of $4.75 billion, up 9.07% year over year, and beat revenue consensus by $794.40 million.
At the end of Q1 2022, 41 hedge funds were bullish on Moderna, Inc. (NASDAQ:MRNA) and held stakes worth $3.79 billion in the company. This is compared to 43 positions in the previous quarter with stakes worth $3.88 billion.
As of March 31, Coatue Management is the largest shareholder in Moderna, Inc. (NASDAQ:MRNA) and holds a stake worth $1.19 billion in the company. The investment covers 8.72% of Coatue Management’s 13F portfolio.
1. Abbott Laboratories (NYSE:ABT)
Number of Hedge Fund Holders: 68
Abbott Laboratories (NYSE:ABT) discovers, develops, manufactures, and sells health care products worldwide. The company operates through four segments: Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. Although the company does not currently have a vaccine to treat monkeypox, on May 26, Abbot Laboratories (NYSE:ABT) announced that it is developing a test to diagnose monkeypox. Jorge Osorio, a monkeypox expert, and a pandemic defense coalition partner at Abbott Laboratories (NYSE:ABT), explained everything there is to know about monkeypox and what measures can individuals take to protect and prevent its spread.
On July 20, Abbot Laboratories (NYSE:ABT) released earnings for the fiscal second quarter of 2022. The company reported earnings per share of $1.43 and outperformed EPS estimates by $0.29. The company’s revenue for the quarter amounted to $11.26 billion, up 10.11% year over year, and beat Wall Street expectations by $856.54 million.
Wall Street is bullish on Abbot Laboratories (NYSE:ABT). On July 21, Citi analyst Joanne Wuensch revised her price target on Abbott Laboratories (NYSE:ABT) to $123 from $125 and reiterated a Buy rating on the shares.
At the end of Q1 2022, 68 hedge funds were long Abbot Laboratories (NYSE:ABT) with stakes worth $4.09 billion. This is compared to 64 positions in the previous quarter with stakes worth $4.25 billion.
As of March 31, Fisher Asset Management owns more than 9.1 million shares of Abbot Laboratories (NYSE:ABT) and is the largest shareholder in the company. The investment covers 0.63% of Ken Fisher’s 13F portfolio.
Here is what Diamond Hill Capital had to say about Abbot Laboratories (NYSE:ABT) in its “Diamond Hill Large Cap Concentrated Fund” first-quarter 2022 investor letter:
“Abbott Labs announced a recall of its infant formula brand Similac® in the US. Though the recall will impact near-term revenues, we are not concerned about any long-term impacts. We remain optimistic about the company’s prospects over the long run because, in our view, it is one of the highest quality names in health care with a talented management team that makes smart capital allocation decisions. Abbott also has leading health care and consumer franchises with a particularly strong competitive position in the medical device business. Abbott continues to launch innovative products in key strategic areas (such as diabetes, structural heart and diagnostics), which should help drive not only revenue growth but margin expansion.”
You can also take a look at 11 Best Covid Vaccine and Pill Stocks To Invest In and 10 Healthcare Dividend Stocks with Over 3% Yield.
