The pharmaceutical industry is expected to attract significant investor attention in the coming months as the demand for vaccines and therapies continues to soar with the resurgence of COVID-19 cases globally. This demand, coupled with an astonishing level of scientific advances for treating several critical diseases, will likely bolster the industry’s growth. Therefore, we believe that under-the-radar pharmaceutical stocks Catalyst Pharmaceuticals (CPRX), Kamada (NASDAQ:KMDA), and Opiant Pharmaceuticals (NASDAQ:OPNT) could deliver excellent returns in the near term. Let’s discuss.With the resurgence of COVID-19 cases worldwide, fueled by the rapid spread of the virus’ Delta variant, the pharmaceutical industry is again in the spotlight. This, along with the growing need for personalized therapies and the treatment of rare diseases, has significantly improved the industry's growth prospects. Investors’ interest in pharmaceutical stocks is evidenced by the Invesco Dynamic Pharmaceuticals ETF’s (PJP) 15.1% returns year-to-date.
Also, the growing use of advanced technologies and artificial intelligence to accelerate drug discovery and provide life-transforming treatments should further propel the industry’s growth. Consequently, the global pharmaceuticals market is expected to hit $1,700.97 billion in 2025, growing at an 18% CAGR.
Therefore, we think under-the-radar pharmaceutical stocks Catalyst Pharmaceuticals, Inc. (CPRX), Kamada Ltd . (KMDA), and Opiant Pharmaceuticals, Inc. (OPNT), which have increased their R&D spending significantly, are well-positioned to continue rallying. Hence, it could be wise to bet on these stocks now.