12 Best Performing Healthcare Stocks to Buy Right Now

Industry Overview - Healthcare spending in the US is projected to reach $5.3 trillion in 2023, making it one of the largest sectors globally [1] - The healthcare industry has shown mediocre returns over the past three years, with a decline of 3.6% in 2022, followed by slight increases of 0.3% in 2023 and 0.9% in 2024 [2] - The healthcare sector is one of four S&P 500 sectors experiencing negative returns in 2025 [2] Regulatory and Political Environment - The underperformance of the healthcare sector in 2025 is attributed to the Trump administration's actions, including pressure for reduced drug pricing and tariffs on pharmaceuticals [3] - Cuts to programs like Medicaid and health research have exacerbated the challenges faced by healthcare organizations [3] - Ongoing political and regulatory uncertainties deter investment interest in the sector [4] Long-term Outlook - Despite recent poor performance, the long-term outlook for the healthcare industry remains favorable due to the essential nature of its goods and services [4] - Many equities in the sector are currently trading at significant discounts, indicating potential investment opportunities [4][5] Investment Strategy - The article emphasizes the importance of hedge fund interest in stocks, suggesting that mimicking top hedge fund picks can lead to market outperformance [8] - A methodology was employed to identify the best-performing healthcare stocks, focusing on those with year-to-date returns of 20% or more and ranked by hedge fund holdings [7] Company Highlights - Celcuity Inc. (NASDAQ:CELC): A clinical-stage biotechnology company focused on oncology therapies, with a lead drug candidate, gedatolisib, recently accepted for NDA by the FDA [10][11] - ABIVAX Société Anonyme (NASDAQ:ABVX): Developing therapies for chronic inflammatory diseases, with positive Phase 3 trial results for its lead candidate, obefazimod, and plans for regulatory submissions in 2026 [13][15][16] - Indivior PLC (NASDAQ:INDV): A pharmaceutical company specializing in opioid use disorder treatments, reporting strong Q2 results with a revenue increase and raised full-year guidance [17][18][19]