In 2026, the biotech industry has shown resilience against economic uncertainty, characterized by strong fourth-quarter results, new drug approvals, and increased M&A activity. The Zacks Biomedical and Genetics industry has gained 18.8% in the last six months, outperforming both the Zacks Medical sector (5.6%) and the S&P 500 (3.3%). As of now, the Zacks Industry Rank stands at #142, indicating a challenging outlook due to macroeconomic conditions.
Major acquisitions include Johnson & Johnson’s purchase of Halda Therapeutics OpCo to enhance its prostate cancer treatment offerings, and Novartis’s $12 billion acquisition of Avidity Biosciences, aimed at bolstering its neuroscience pipeline. Gilead Sciences plans to acquire Arcellx for an equity value of $7.8 billion, further emphasizing the ongoing consolidation in this sector.
Key biotech companies like Liquidia Corporation, ANI Pharmaceuticals, ADMA Biologics, and Terns Pharmaceuticals are positioned for growth, with notable developments such as Liquidia’s Yutrepia generating $148.3 million in sales in 2025 and ANI’s ACTH-based injection Cortrophin Gel seeing a 75.6% sales increase to $347.8 million.
