We recently compiled a list of the Why These 15 Stocks Are Skyrocketing in 2025. In this article, we are going to take a look at where BridgeBio Pharma (NASDAQ:BBIO) stands against the other stocks.
Stock gains always get people talking, and 2025 is no exception. Markets have moved higher for a while due to a shift toward tech innovation. The pace might slow after two years of significant returns, but investors have regained their confidence after the Stargate project was announced.
Small and mid-sized companies have started to pick up pace recently and are landing on investors’ radars as mega-cap stocks are now trading at nosebleed valuations. These companies have higher growth potential than their mega-cap rivals, and that explains the sudden surge of interest.
Smaller and mid-tier stocks did face challenges in prior years when corrections and interest rate hikes weighed on market sentiment. However, now that inflation seems more contained and Trump pushes for more rate cuts, things look even better for these mid-sized stocks.
Methodology
For this article, I screened the top-performing stocks year-to-date in the $5 billion to $20 billion market capitalization bracket. Stocks that I have covered recently will be excluded from this list.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds invest in? 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).
A team of scientists in white lab coats reviewing lab results in a research facility.
BridgeBio Pharma (NASDAQ:BBIO)
Number of Hedge Fund Holders In Q3 2024: 46
BridgeBio Pharma (NASDAQ:BBIO) is a biopharma company that makes treatments for genetic disorders. It has programs for cardiomyopathy, muscular dystrophy, skeletal dysplasias, gene therapy, and more.
BBIO stock has risen sharply so far in 2025 due to it receiving FDA approval for its leading drug called acoramidis, which is now branded as Attruby. It treats transthyretin amyloid cardiopathy (ATTR-CM). This approval took effect in late 2024. The commercial uptake so far seems to be strong, and BridgeBio disclosed that 430 prescriptions were written by 248 unique physicians. Moreover, the drug is being adopted at both academic centers and community sites.
In addition, early demand seems pretty solid. They also see three other Phase 3 trials in advanced stages, and these trials target conditions like limb-girdle muscular dystrophy type 2I/R9, autosomal dominant hypocalcemia type 1, and achondroplasia, so there is broad potential for additional approvals in 2025.
BridgeBio ended its last quarter with about $406 million cash on hand. It then secured “up to $1.25 billion of capital” from Blue Owl and CPP Investments in exchange for a 5% royalty on future global net sales of acoramidis.
The average analyst price target on the stock is at $50.6, implying 37% upside potential.
BBIO stock is up 31.2% year-to-date.
Overall BBIO ranks 8th on our list of the stocks that are skyrocketing in 2025. While we acknowledge the potential of BBIO as an investment, our conviction lies in the belief that some 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 BBIO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article was originally published at Insider Monkey.