Back to News
investment

2 Biotech Giants to Buy in 2026

newsfeedback@fool.com (Adria Cimino)
Loading...
4 min read
0 likes
⚡ Quantum Brief
Two biotech giants—Regeneron and Vertex—are highlighted as top 2026 buys, combining growth potential with revenue stability due to essential medications and strong pipelines. Regeneron’s growth drivers include Dupixent (34% sales jump) and Eylea HD (66% U.S. growth), alongside Libtayo’s double-digit oncology gains, boosting earnings and justifying its 17x forward P/E. Vertex dominates cystic fibrosis treatments, covering 90% of patients, with IP protection extending into the 2030s and expansion into gene-editing (Casgevy) and non-opioid pain (Journavx). Both companies trade at reasonable valuations—Regeneron below historical P/E levels and Vertex at 24x forward earnings—amid robust revenue streams and late-stage pipeline potential. Their focus on unmet medical needs positions them for long-term gains, balancing innovation-driven growth with patient-dependent revenue stability.
AI Audio Summary
0:00 / 0:00
Click to play
generated-image (58).png
Quantum News · Media Library

By Adria Cimino – Mar 5, 2026 at 8:15AM ESTKey PointsThese companies will offer you the fantastic combination of growth and safety.They're both trading at reasonable prices right now.Biotech stocks may offer your portfolio an element of growth, and that's because these companies are sharply focused on innovation. They set out to tackle some of the most challenging diseases, and as they progress toward the finish line, their stock prices might take off. And once they actually reach their goals and commercialize a product or products, these players should continue to offer you growth, and at the same time, an element of safety -- the idea here is patients need their medications, so revenue may achieve a certain stability. With this in mind, let's check out two biotech giants that have proven themselves with solid pipelines and a number of products on the market. They make great additions to any portfolio in 2026. Image source: Getty Images. 1.

Regeneron Pharmaceuticals Regeneron Pharmaceuticals (REGN 2.87%) has two big sources of growth right now: Dupixent, a drug that treats inflammatory conditions from eczema to asthma, and Eylea HD, a drug for retinal disease. In the recent quarter, global sales of the former rose 34% and U.S. sales of the latter jumped 66%. The biotech company is also generating double-digit growth from cancer immunotherapy Libtayo. These and other products have helped Regeneron increase earnings over time. REGN Revenue (Annual) data by YCharts On top of this, Regeneron has a rich pipeline, including many late-stage programs in areas spanning hematology, immunology, and rare disease. This should fuel new stages of growth down the road -- even if only a handful make it to commercialization. All of this makes Regeneron look like a very reasonable buy at 17x forward earnings estimates, down from past levels that surpassed 25x projected earnings. ExpandNASDAQ: REGNRegeneron PharmaceuticalsToday's Change(-2.87%) $-22.57Current Price$764.93Key Data PointsMarket Cap$81BDay's Range$760.01 - $781.9952wk Range$476.49 - $821.11Volume23Avg Vol828KGross Margin81.56%Dividend Yield0.47% 2.

Vertex Pharmaceuticals Vertex Pharmaceuticals (VRTX 3.57%) is the leading player in the field of cystic fibrosis (CF) treatment. The company sells blockbuster drugs known as CFTR modulators, and they're designed to fix a faulty protein that leads to disease symptoms. Today, Vertex's drugs may treat 90% of the CF patient population, and the company is working on a candidate to address those who can't benefit from its current products. Importantly, Vertex has strong intellectual property that should protect its CF leadership into the later part of the next decade. ExpandNASDAQ: VRTXVertex PharmaceuticalsToday's Change(-3.57%) $-17.07Current Price$460.82Key Data PointsMarket Cap$117BDay's Range$457.18 - $476.9552wk Range$362.50 - $519.68Volume55KAvg Vol1.4MGross Margin86.32% Vertex's CF drugs are bringing in billions of dollars in revenue, and in recent years the company has also expanded into other areas -- it has won approval for Casgevy, a gene-editing treatment for blood disorders, and Journavx, a non-opioid treatment for pain. This expansion could supercharge revenue in the years to come. Trading at 24x forward earnings estimates, Vertex looks like a top biotech buy in 2026. Read NextFeb 24, 2026 •By Prosper Junior Bakiny2 Reasons Regeneron Stock Could Crush the Market for the Next 10 YearsFeb 21, 2026 •By Adria Cimino1 No-Brainer Biotech Stock To Buy Today and Never SellDec 13, 2025 •By Prosper Junior Bakiny2 Reasons to Buy Regeneron Stock Like There's No TomorrowNov 30, 2025 •By Prosper Junior BakinyShould You Buy This Biotech Stock That Just Gained 5% in 1 Day?Nov 24, 2025 •By Scott Levine1 Reason Why Shares of Regeneron Pharmaceuticals Are Surging This MonthAug 3, 2025 •By Rachel Warren2 Biotech Stocks That Could Soar 29% and 165% According to Wall Street's Top AnalystsAbout the AuthorAdria Cimino is a contributing Motley Fool stock market analyst covering healthcare, technology, and consumer goods sectors. Prior to The Motley Fool, Adria covered the European stock market and U.S. stocks pre-market trading for Bloomberg News, Bloomberg TV, and Bloomberg Radio for more than a decade. Earlier in her career, she wrote about biotech, medtech, and technology companies in Boston for Mass High Tech, an American City Business Journals publication. She holds a bachelor’s degree in mass communications from the University of South Florida.TMFAdriaCiminoX@adria_in_parisStocks MentionedRegeneron PharmaceuticalsNASDAQ: REGN$765.03(-2.85%)-$22.47Vertex PharmaceuticalsNASDAQ: VRTX$460.82(-3.57%)-$17.07*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Read Original

Tags

drug-discovery
quantum-commercialization

Source Information

Source: The Motley Fool

Discussion

0 professional contributions

Sign in to join this professional discussion.

Be the first to add a constructive contribution.