7 Most Profitable Biotech Stocks To Buy Right Now

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1. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)

Latest Net Income: $4.41 billion 

The stock that tops our list of the most profitable stocks is Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN). Its primary focus is on creating transformative medications for severe illnesses, such as cancer, inflammation, uncommon genetic disorders, and eye ailments. What makes the company unique is its state-of-the-art VelociSuite technology, which expedites the development of drugs and genetic medicines and helps turn scientific discoveries into useful treatments.

In the fourth quarter of 2024, Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) reported $3.8 billion in revenue, a 10% increase over the same period the previous year. Over the course of the year, it generated $14.2 billion in sales and $1.4 billion in net profits. Its impressive 86% gross margin and $3.7 billion in free cash flow showed the company’s sound financial standing.

Key products like EYLEA, Libtayo, and Dupixent propelled the company’s growth. Dupixent continues to be a major success, treating over a million patients worldwide, and it may find new uses. Meanwhile, the company is creating new treatments for multiple myeloma and lymphoma that might boost its oncology market share.

Despite its successes, Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) continues to confront challenges in the anti-VEGF market as the sales of EYLEA are being hampered by the increasing competition from biosimilars. While managing these expectations, the company must continue to focus on innovation and growth.

Overall, Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) ranks first among the 7 most profitable biotech stocks to buy right now. While we acknowledge the potential of biotech companies, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than REGN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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