Key Healthcare Stocks to Watch Through 2030 for Investors
The healthcare sector remains strong and poised for growth. As healthcare needs persist irrespective of economic conditions, increased demand arises from an aging population, particularly in countries like the U.S. This landscape presents attractive opportunities for investors, prompting the question: which healthcare stocks are likely to excel? Here are three pharmaceutical companies that could emerge as top performers through 2030.
1. Vertex Pharmaceuticals: A Leader in Biotech
The first stock worth considering is Vertex Pharmaceuticals (NASDAQ: VRTX). Known for its significant achievements in cystic fibrosis (CF) treatments, Vertex is expanding its growth prospects with new product lines aimed at other medical conditions.
A standout product on the horizon is Journavx, which recently secured U.S. FDA approval for the treatment of acute pain. Notably, Journavx is not an opioid, addressing growing concerns about opioid addiction and potentially leading to strong sales growth.
Vertex anticipates filing for accelerated approval for povetacicept in treating IgA nephropathy in early 2026, pending positive results from clinical trials. Additionally, a filing for zimislecel, aimed at severe type 1 diabetes, is expected next year.
Although Vertex faces challenges—such as lower than expected first-quarter results due to counterfeit CF drugs in Russia and a temporary hold on a study for VX-522—its overall outlook remains promising for future growth.
2. Iovance Therapeutics: Innovating Cancer Treatment
Next is Iovance Therapeutics (NASDAQ: IOVA), which has made strides with its single product, Amtagvi. This FDA-approved T-cell therapy is designed as a second-line treatment for advanced melanoma, representing a breakthrough in solid tumor therapies.
Iovance is heavily invested in developing tumor-infiltrating lymphocyte (TIL) therapies. These involve isolating TILs from a patient’s tumor, amplifying them, and infusing them back into the patient to combat cancer cells effectively.
The company is advancing clinical studies to assess Amtagvi’s effectiveness against various cancers, including cervical and endometrial cancers. Iovance has also partnered with major players like Merck and Bristol Myers Squibb to explore combination therapies.
Despite facing setbacks—such as Q1 sales falling short due to maintenance of its cell therapy center—Iovance shows strong potential for significant growth in the coming years.
3. Summit Therapeutics: A Future Player in Immunotherapy
Finally, consider Summit Therapeutics (NASDAQ: SMMT), which has yet to launch a product but is expected to make waves shortly. The company has secured the commercial rights for ivonescimab, an immunotherapy developed by Chinese firm Akeso, which has shown superiority over established therapies like Merck’s Keytruda in non-small-cell lung cancer (NSCLC) trials conducted outside the U.S.
Summit is poised to provide its own clinical results soon, with a key study assessing ivonescimab’s effectiveness in combination with chemotherapy expected to report in mid-2025. The company is also investigating other cancer treatments in partnership with MD Anderson and Pfizer.
Given the promising early data, I believe ivonescimab could become a significant commercial success, elevating Summit Therapeutics beyond its current market cap of approximately $17 billion.
Investment Considerations for Summit Therapeutics
Before investing in Summit Therapeutics, it’s important to evaluate expert analyses. While the current recommendations from analysts have identified other stocks as top picks, historical returns from past recommendations provide valuable context for potential investment opportunities.
Ultimately, the healthcare sector continues to present resilient investment choices. Vertex, Iovance, and Summit all demonstrate unique growth trajectories, indicating their potential to be top-performing stocks in the coming years.
Keith Speights holds positions in Bristol Myers Squibb, Pfizer, and Vertex Pharmaceuticals. The Motley Fool has positions in and endorses Bristol Myers Squibb, Iovance Biotherapeutics, Merck, Pfizer, Summit Therapeutics, and Vertex Pharmaceuticals. Disclosure policies apply.
The views expressed are those of the author and do not reflect the opinions of Nasdaq, Inc.
