Biotech stocks may offer a growth element to your portfolio, and that’s because these companies are increasingly focused on innovation. They are set to fight some very challenging diseases, and as they progress toward the finish line, their stock prices may decline. And once they really reach their goals and commercialize a product or a product, these players must continue to promote you, and at the same time, the safety element – the idea here is that patients need their medicine, so the income may achieve a certain stability.
With that in mind, let’s look at two biotech giants that have proven themselves with strong pipelines and a number of products in the market. They make great additions to any portfolio in 2026.
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Regeneron Pharmacy (NASDAQ: REGN ) Right now it has two big sources of growth: Dupexant, a drug that treats inflammatory conditions from acne to asthma, and Eylea HD, a drug for retinal disease. In the most recent quarter, global sales rose 34% and US sales rose 66%. The biotech company is also making double-digit growth from cancer immunotherapy labs. These and other products have helped Regeneron increase revenue over time.
In addition, Regeneron has a rich pipeline, including several late-stage programs in the areas of hematology, immunology, and rare diseases. That should fuel new phases of growth down the road — even if only a few people make it to commercialization.
All in all, Regeneron looks like a very reasonable buy at 17x forward earnings estimates, down from previous levels that hovered around 25x estimated earnings.
Vertex Pharmacy (NASDAQ: VRTX ) is a leading player in the treatment of cystic fibrosis (CF). The company sells blockbuster drugs known as CFTR modulators, and they are designed to fix the misfolded protein that causes disease symptoms. Today, Vertex’s drug may treat 90% of CF patients, and the company is working on a candidate to target those who cannot benefit from current products.
Importantly, Vertex has strong intellectual property that should maintain its CF leadership in the latter part of the next decade.
Vertex’s CF drugs bring in billions of dollars in revenue, and in recent years the company has expanded into other areas — it won approval for Casgevy, a gene-editing therapy for blood disorders, and Journavx, a non-opioid treatment for pain. This expansion could increase revenue in the coming years.
