In this article, we will take a look at the Top 11 CRISPR Stocks to Invest in.
The pharmaceutical industry is buzzing with innovation, driven by the need for new treatments, tackling unmet medical challenges, and leveraging cutting-edge technologies like pharmacogenomics, digital therapeutics, and artificial intelligence. Among the most exciting breakthroughs are gene therapy and gene editing, with CRISPR-Cas9 leading the charge. This remarkable tool, inspired by bacteria’s natural defenses, acts like precise genetic scissors—faster, cheaper, and more accurate than other genome-editing methods.
Back in 2014, CRISPR and its associated Cas proteins were mostly limited to academic research, generating a lot of excitement but seeming far from real-world applications. Just six years later, after earning a Nobel Prize, CRISPR began to make its way into over 20 clinical trials. The COVID-19 pandemic further demonstrated its potential, with CRISPR-based tests delivering quick and accurate virus detection, while experimental treatments explored its use against the virus—showcasing the technology’s incredible flexibility in tackling public health crises.
The CRISPR technology market is poised for explosive growth. Coherent Market Insights estimates it will be worth $3.64 billion in 2024 and climb to more than $12.46 billion by 2031, growing at an impressive annual rate of 19.2%. Cell and gene therapies are game-changing for treating certain cancers and rare diseases. As of 2024, there are 38 FDA-approved cell and gene therapy products, including six CAR-T cell therapies targeting cancers like lymphoma, leukemia, and multiple myeloma. Several gene therapies are also available for rare genetic disorders, such as spinal muscular atrophy and Duchenne muscular dystrophy. The industry’s focus has evolved from simply proving these therapies work to optimizing their effectiveness, minimizing side effects, and broadening their applications.
However, these therapies can come with eye-watering price tags—ranging from $400,000 to $2 million per dose. Although the sector has faced tough investment conditions since its boom in 2020 and 2021, there are signs of a rebound. Investments in the first half of 2024 reached $10.9 billion, surpassing 2019’s $9.8 billion, though still shy of the record $19.9 billion and $22.7 billion seen in 2020 and 2021. Funding dipped to $12.6 billion in 2022 and $11.7 billion in 2023. But there’s hope: Morgan Stanley suggests that Federal Reserve interest rate cuts could breathe new life into riskier assets like cell and gene therapies, aligning with a broader recovery in biotech.
The regulatory landscape for gene and regenerative therapies has also come a long way. In the U.S., the FDA has created clearer pathways for development, aided by the Regenerative Medicine Advanced Therapy (RMAT) designation, which speeds up review times and offers additional support to developers. Similarly, Europe has made strides with its guidelines for Advanced Therapy Medicinal Products (ATMPs). In 2017, the European Commission introduced a joint action plan to simplify processes for companies. While there’s still progress to be made, the push toward harmonized international regulations has made it easier for companies to secure approvals across multiple regions.
Pixabay/Public Domain
Our Methodology
To identify the top 11 CRISPR stocks to invest in, we started by analyzing companies in the sector using ETF holdings and media coverage. We then narrowed down the list by focusing on top-performing stocks with the highest number of hedge fund investors, as tracked by Insider Monkey’s database of 900 hedge funds at the end of Q3 2024.
At Insider Monkey, we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
11. Sangamo Therapeutics Inc. (NASDAQ:SGMO)
Number of Hedge Fund Holders: 8
Sangamo Therapeutics Inc. (NASDAQ:SGMO) is a biotechnology company at the forefront of gene editing and gene therapy. Leveraging its proprietary zinc finger nuclease technology, Sangamo develops innovative treatments for genetic diseases and cancer. Its flagship Hemophilia A program, co-developed with Pfizer, is in Phase 3 clinical trials. The company is also advancing promising programs for renal transplants and Fabry disease, both in Phase 1/2 trials.
On December 13, Truist Securities upgraded Sangamo’s stock from Hold to Buy, setting a price target of $7. The upgrade was based on several anticipated milestones over the next 12 to 18 months, including the potential filing of a Biologics License Application (BLA) and Marketing Authorization Application (MAA) for its Hemophilia A gene therapy in early 2025. Additionally, full data from the Fabry disease program is expected in the first half of 2025, with a potential BLA filing later that year, positioning Sangamo Therapeutics Inc. (NASDAQ:SGMO) as an appealing partner for further development.
In Q3, Sangamo Therapeutics Inc. (NASDAQ:SGMO) reported net income of $10.7 million ($0.04 per share) on revenues of $49.4 million. The company’s cash reserves, at $39.2 million, are projected to support operations through Q1 2025. Notably, Sangamo Therapeutics Inc. (NASDAQ:SGMO) received $50 million in upfront payments from Genentech, with the possibility of earning up to $1.9 billion in milestone payments.
10. Caribou Biosciences Inc. (NASDAQ:CRBU)
Number of Hedge Fund Holders: 18
Caribou Biosciences, Inc. (NASDAQ:CRBU) is a clinical-stage biopharmaceutical company specializing in genome-edited allogeneic cell therapies for severe diseases. Unlike most CRISPR systems that use all-RNA guides, Caribou’s proprietary chRDNA technology incorporates both RNA and DNA to enhance precision and minimize off-target effects. If the company’s human leukocyte antigen (HLA) matching hypothesis is successful, it could position Caribou as a leader in next-generation cell therapies.
The company currently has three clinical-stage allogeneic CAR-T cell therapies in phase 1 trials, targeting various hematologic cancers. Its lead candidate, CB-010, aimed at treating non-Hodgkin lymphoma, has been under clinical investigation since 2021.
On the financial front, Caribou Biosciences, Inc. (NASDAQ:CRBU) ended the third quarter with $281 million in cash and equivalents, which it expects to sustain operations through the second half of 2026. R&D expenses rose to $30.4 million, driven by ongoing clinical trials, while licensing revenue declined due to the termination of a major agreement. Despite these financial shifts, the company remains committed to advancing its pipeline for long-term growth and innovation.
9. Pacific Biosciences of California, Inc. (NASDAQ:PACB)
Number of Hedge Fund Holders: 20
Pacific Biosciences of California (NASDAQ:PACB) is a biotech company specializing in cutting-edge genomic technologies, including RNA sequencing, epigenetics, target sequencing, and whole genome sequencing. The company has also developed an innovative enrichment method for targeted SMRT Sequencing on its PacBio Sequel System. Utilizing the CRISPR-Cas9 system, this approach eliminates the need for PCR amplification, significantly enhancing sequencing efficiency.
In Q3 2024, Pacific Biosciences of California (NASDAQ:PACB) reported $40 million in revenue, an 11% increase from the previous quarter but a decline compared to Q3 2023. The company is poised for future growth through strategic partnerships and initiatives, including collaborations with Azenta Life Sciences and Singapore’s National Precision Medicine Program. Analysts expect Q4 revenue to remain flat or slightly higher than Q3, with full-year revenue now projected to fall below $170 million.
In contrast, management of Pacific Biosciences remains optimistic about returning to growth in 2025, driven by its strategic initiatives, stronger financial position, and efforts to reduce cash burn. The company is committed to achieving cash flow positivity by the end of 2026, leveraging its strategic partnerships and the launch of innovative products to reach this goal.
8. Prime Medicine, Inc. (NASDAQ:PRME)
Number of Hedge Fund Holders: 21
Prime Medicine, Inc. (NASDAQ:PRME) is a clinical-stage biotech company at the forefront of gene editing, specializing in Prime Editing-based therapies. Its proprietary Prime Editing platform offers a groundbreaking approach to gene therapy, enabling precise DNA editing, correction, insertion, and deletion. This technology has the potential to target a broader range of genes and tissues than conventional editing methods. A standout feature is PASSIGE, a proprietary tool that facilitates the efficient insertion of larger genes into DNA, positioning the company uniquely in the competitive gene-editing landscape and paving the way for treatments of complex genetic disorders.
The company’s lead candidate, PM359, is an ex-vivo hematopoietic stem cell-based therapy designed to treat Chronic Granulomatous Disease (CGD). Analysts view this program as relatively low-risk, providing a strong foundation for further clinical development. Prime Medicine, Inc. (NASDAQ:PRME) has also secured a high-profile collaboration with Bristol Myers Squibb, including a $110 million upfront payment, to apply its Prime Editing technology to develop next-generation T-cell therapies for immunology and oncology.
On December 10, JMP Securities initiated coverage of Prime Medicine, Inc. (NASDAQ:PRME) with a Market Outperform rating and a $10 price target, suggesting significant upside from its current price of $3.22. The firm highlighted the company as a leader in Prime Editing, emphasizing the platform’s ability to address genetic targets beyond the reach of earlier gene-editing technologies.
7. Editas Medicine, Inc. (NASDAQ:EDIT)
Number of Hedge Fund Holders: 23
Editas Medicine, Inc. (NASDAQ:EDIT) is a clinical-stage biotechnology company developing gene-editing therapies using CRISPR technology to treat genetic disorders by modifying patients’ genomes. The company’s lead candidate, EDIT-301, is in late-stage clinical trials for sickle cell disease (SCD) and beta-thalassemia.
On December 12, Editas Medicine, Inc. (NASDAQ:EDIT) announced a strategic pivot to focus on its in vivo CRISPR gene-editing programs, driven by promising preclinical results. The company aims to extend its cash runway into Q2 2027 and plans to demonstrate human proof of concept for its in vivo treatments within the next two years. Editas Medicine, Inc. (NASDAQ:EDIT) sees its in vivo gene-editing platform as a game-changer, with the potential to unlock new therapeutic possibilities and solidify its leadership in the field.
Significant updates on clinical development are not expected in the near term, with the next major insights anticipated in early 2025. At that time, the company is expected to outline additional potential indications for its CRISPR technology. Meanwhile, Editas has reported promising preclinical results in gene editing of hematopoietic stem cells (HSCs), showing potential for treating both sickle cell disease and beta-thalassemia.
6. Beam Therapeutics Inc. (NASDAQ:BEAM)
Number of Hedge Fund Holders: 24
Based in Cambridge, Massachusetts, Beam Therapeutics Inc. (NASDAQ:BEAM) is a biotechnology company at the forefront of precision genetic medicine, leveraging its proprietary base-editing technology. Traditional CRISPR therapies rely on enzymes to create double-stranded breaks in DNA. However, Beam Therapeutics highlights that the repair process can disrupt the gene sequence at the cut site, leading to inconsistent cell effectiveness. With that in mind, the company is focused on developing lifelong treatments for severe diseases and is advancing investigational therapies such as BEAM-101, a personalized treatment for sickle cell disease, and BEAM-201, aimed at specific blood cancers.
BMO Capital has reaffirmed its Outperform rating for Beam Therapeutics Inc. (NASDAQ:BEAM), maintaining a price target of $57. The company recently reported encouraging results from its cell therapy programs for sickle cell disease and beta-thalassemia and has forecasted $74 million in revenue for 2024. Despite projected losses, the company is supported by approximately $1.1 billion in cash and equivalents. A major upcoming milestone is the expected readout for its Alpha-1 Antitrypsin Deficiency (AATD) program in the first half of 2025. BMO Capital also highlighted the potential of BEAM-302, noting that a strong safety profile could drive the stock’s value up by 50% to over 100%.
5. Verve Therapeutics, Inc. (NASDAQ:VERV)
Number of Hedge Fund Holders: 25
Verve Therapeutics, Inc. (NASDAQ:VERV) is a clinical-stage biotechnology company aiming to transform cardiovascular disease treatment through innovative CRISPR-based gene-editing therapies. Its lead candidate, VERVE-101, is an in-vivo liver gene-editing therapy targeting the PCSK9 gene to reduce LDL cholesterol production by disrupting PCSK9 protein synthesis.
In November, H.C. Wainwright adjusted Verve’s stock price target to $14 from $15 while reaffirming a Buy rating. This update came after Verve Therapeutics, Inc. (NASDAQ:VERV) announced that, as of October 29, 2024, it had dosed seven patients with its second-generation PCSK9 base editor, VERVE-102, in the Phase 1b Heart-2 clinical trial. This study targets adults with heterozygous familial hypercholesterolemia (HeFH) and premature coronary artery disease (CAD). Initial data from the trial is anticipated in the first half of 2025.
Financially, Verve Therapeutics, Inc. (NASDAQ:VERV) reported a strong cash position of $539.9 million in Q3, sufficient to fund operations through 2026. The company recorded $6.9 million in collaboration revenue, up from $3.1 million the previous year, alongside increased R&D expenses of $49.9 million. While the quarter ended with a net loss of $50.1 million, Verve’s progress in clinical trials, financial stability, and upcoming data releases provide a promising outlook for 2025.
4. Qiagen N.V. (NYSE:QGEN)
Number of Hedge Fund Holders: 26
Qiagen NV (NYSE:QGEN) is a leading provider of sample and assay technologies for molecular diagnostics, applied testing, academic, and pharmaceutical research. Renowned for its robust portfolio in healthcare, the company focuses on biotechnology, genomics research, and point-of-care diagnostics. Qiagen NV (NYSE:QGEN) recently enhanced its product offerings with the introduction of the QIAprep& CRISPR Kit and CRISPR Q-Primer Solutions, which streamline gene-editing workflows by integrating liquid-based sample preparation with PCR detection and Sanger sequencing.
On December 9, Jefferies initiated coverage of Qiagen NV (NYSE:QGEN) with a Buy rating and a price target of $54. The firm highlighted Qiagen’s competitive edge through its comprehensive product lineup spanning sample technologies, molecular diagnostics (qPCR and dPCR), and genomic consumables. Qiagen’s strong presence in high-margin sample-prep instrumentation and blood-based tuberculosis testing provides a solid foundation for its growth. Jefferies also cited the company’s Five Pillar growth strategy, which aims to deliver double-digit earnings growth through 2028, driven by mid-to-high single-digit revenue growth.
Qiagen NV (NYSE:QGEN) exceeded Q3 expectations, reporting $502 million in sales, reflecting a 6% increase at constant exchange rates. Adjusted diluted EPS reached $0.57, surpassing the $0.55 estimate. The company raised its 2024 adjusted EPS target to $2.19, up from $2.16, and projected a minimum Q4 adjusted EPS of $0.60. Key growth drivers included the Diagnostic Solutions product group and consumables, with the QIAstat product line achieving an impressive 40% growth. Moreover, the company reaffirmed its 2024 sales outlook, forecasting at least $1.985 billion.
3. CRISPR Therapeutics AG (NASDAQ:CRSP)
Number of Hedge Fund Holders: 27
CRISPR Therapeutics AG (NASDAQ:CRSP) is a pioneering leader in gene-editing technology, leveraging its proprietary gene sequencing platform to develop precise DNA modification therapies for serious diseases.
The company’s recent launch of Casgevy and its expanding pipeline have drawn significant attention from investors and analysts. To date, CRISPR Therapeutics AG (NASDAQ:CRSP) has activated over 35 Authorized Treatment Centers globally, reflecting a substantial increase from prior quarters.
Operating in a rapidly expanding market projected to grow at an annual rate of 22.3% from 2022 to 2027, CRISPR Therapeutics AG (NASDAQ:CRSP) is poised to capture a significant share of the gene-editing industry, expected to reach a total value of $9.2 billion. Over the past year, the company reported revenue exceeding $200 million, bolstered by substantial royalty payments, particularly from Vertex Pharmaceuticals for a sickle cell treatment.
2. Intellia Therapeutics, Inc. (NASDAQ:NTLA)
Number of Hedge Fund Holders: 30
Intellia Therapeutics, Inc. (NASDAQ:NTLA) is a biotech company at the forefront of CRISPR-Cas9 gene-editing technology, working on innovative therapies for both in vivo and ex vivo applications. Its leading program, NTLA-2001, is aimed at treating transthyretin amyloidosis, a currently incurable condition. Another promising treatment in its pipeline, NTLA-2002, targets hereditary angioedema (HAE) and has shown promising results in early clinical trials.
BMO Capital remains optimistic about Intellia’s prospects, maintaining an Outperform rating and a $70 price target in October. This confidence is bolstered by the Phase II trial results for NTLA-2002, which demonstrated an 81% reduction in attack rates compared to placebo over 5 to 16 weeks, with 73% of patients remaining attack-free. However, some concerns were noted: NTLA-2002 didn’t meet expectations of having over 80% of patients attack-free, and the attack-free rate appeared to decline as the trial progressed, a trend observed in other HAE trials as well.
In Q3, Intellia Therapeutics, Inc. (NASDAQ:NTLA) reported several milestones: FDA clearance for the Phase III MAGNITUDE-2 trial of nexiguran ziclumeran for ATTR amyloidosis, strong enrollment in the MAGNITUDE study, and active screening for the HAELO Phase III trial for HAE. The company ended the quarter with $944.7 million in cash, a solid runway extending into late 2026. Financially, it recorded $9.1 million in collaboration revenue, $123.4 million in R&D expenses, and a net loss of $135.7 million.
1. Thermo Fisher Scientific Inc. (NYSE:TMO)
Number of Hedge Fund Holders: 98
Thermo Fisher Scientific Inc. (NYSE:TMO) provides a wide range of products and services in life sciences solutions, analytical instruments, specialty diagnostics, and laboratory products, serving diverse markets worldwide. The company provides a comprehensive range of genome editing solutions, including CRISPR proteins, mRNA, plasmids, and guide RNA (gRNA). To streamline and accelerate tool development, TMO has also integrated Gibson Assembly into its CRISPR workflows, making it easier to clone large DNA fragments efficiently.
On December 20, RBC Capital Markets revised its outlook on Thermo Fisher Scientific Inc. (NYSE:TMO), lowering the price target from $711 to $692 while maintaining an Outperform rating. RBC Capital emphasized the company’s strong management and its impressive track record of over 20 years of successful consolidations and share price growth, underscoring its potential for sustained expansion in the life sciences and diagnostics (LST&Dx) sector. While RBC flagged potential revenue challenges in 2025, they noted that buy-side expectations for organic growth are currently at 4%, slightly below the 4.7% street average, which has been trending downward.
Thermo Fisher Scientific Inc. (NYSE:TMO) reported mixed results for Q3 on October 24. The company’s EPS of $5.28 slightly beat expectations, but revenue of $10.6 billion missed forecasts by $30 million. Despite this, Thermo Fisher Scientific Inc. (NYSE:TMO) raised its full-year EPS guidance to a range of $21.35 to $22.07, up from the previous lower bound of $21.29. Revenue guidance remained steady, projected between $42.4 billion and $43.3 billion.
While we acknowledge the potential of TMO, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than TMO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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