Doing financial research has always been complicated. Investors had to review hundreds of news articles, earnings statements, and YouTube videos to find new investment opportunities. This process was much more difficult than necessary. So, I decided to change things up.
I created NexusTrade, a financial research platform powered by AI. NexusTrade makes it easy to experiment with algorithmic trading strategies and discover new investment opportunities. With one click, users can find the most profitable stocks in almost any imaginable sector!
To prove it, I will share the 5 most profitable biotechnology stocks on the market, based on net earnings in 2024.
You can define ‘profitability’ yourself as ‘gross profit’ or ‘profit margin’ and search through more than 140 sectors to find the perfect investments for your portfolio
.
Table of Contents:
5. HCA Healthcare (HCA
)
HCA Healthcare owns and operates several healthcare facilities in the United States, including hospitals and psychiatric facilities. HCA generated more than $1.6 billion in net income on February 17, 2024. Although their gross profit margins are relatively stable (at 41%), their revenue continues to grow, albeit slightly
.
4. Thermo Fisher Scientific Inc. (TMO
)
Thermo Fisher Scientific offers a wide range of products and services that support biological research, drug discovery, and diagnostic processes. The company reported net income of $1.63 billion as of February 23, 2024. Although the gross profit margin has fallen slightly over the past five years, Thermo Fisher remains a solid option for those who want to support biological research
.
3. Bristol-Myers Squibb
Company (BMY)
Bristol-Myers Squibb is known for researching innovative drugs for various diseases, including cancer and cardiovascular problems. With successful drugs such as Eliquis and Opdivo, the company reported a net profit of $1.76 billion on February 14, 2024. Their gross profit margin is 76%, although not growing rapidly
.
2. Eli Lilly and Company (LLY
)
Eli Lilly is a pharmaceutical giant that stands out for researching and developing solutions for diseases such as diabetes and Alzheimer’s. On February 22, 2024, Eli Lilly reported net income of $2.19 billion. In addition to extremely high profit margins, their revenue growth has increased by 83% over the past five years
.
1. Alphabet Inc (GOOG
)
Alphabet, Google’s parent company, is also a major biotechnology company through its life sciences research organization, Verily. Verily applies technological solutions to health and biological problems, such as wearable devices for health monitoring and data analysis platforms for healthcare. Alphabet generated $20.69 billion in net profit on February 1, 2024, and recorded 137% revenue growth over the past
five years.
Discussion of Limitations and Future Potential
Net income alone does not predict future stock price. It’s just one of several metrics that give an idea of a company’s current financial health, but it doesn’t say anything about the future. A comprehensive analysis should consider several key metrics for the biotechnology sector, such as revenues and profit growth
.
In addition, it’s important to diversify your portfolio to reduce risk. Although investing in biotechnology may be a good idea, it is advisable to have positions in different sectors to protect yourself from possible volatility or
scandals in the sector.
The purpose of this article is not to convince you to buy all of these biotech stocks, but rather to demonstrate how modern financial research can be simplified using technology. NexusTrade can quickly provide useful information on the most profitable companies in any industry, reducing the noise associated with financial research
.
