Amphastar Pharmaceuticals, Inc. Is (Amph) the best pharmaceutical strain to buy for long-term growth?
Recently I published the list 10 Best Pharmaceutical Stocks to Buy for Long-Term Growth. In this article, we will introduce Amphastar Pharmaceuticals, Inc. We’ll see where (NASDAQ: AMPH) will compete with other best pharmaceutical strains and buy for long-term growth.
As large American pharmaceutical companies are constantly searching for medicines in China, the US pharmaceutical industry is experiencing unique trends that they have never seen before. As reported by CNBC, according to Dealforma statistics, approximately 30% of pre-involved large pharmaceutical acquisitions of at least $50 million in 2024 were involved in Chinese companies. This was an increase of nearly 0% just five years ago, from 20% the previous year.
Experts cite several causes of this trend. Some people believe that Chinese pharmaceutical companies are pulling out notifications for sophisticated development skills, which will allow them to produce large quantities of powerful compounds. In addition to being able to start testing human subjects more quickly, these Chinese companies can charge lower prices for these drugs than in the US. According to CNBC, buyers have developed a business strategy that allows them to import drugs through licensing agreements. The shortage of venture capital in China is putting even more pressure on biotech companies to enter into these contracts.
Experts believe this situation remains here despite several possible causes of this trend. The US pharmaceutical industry is expected to be affected, but it is unclear how these effects will manifest. If a major pharmaceutical company finds good Chinese medicines at low prices, some experts believe it could destroy American startups. Others believe that competition benefits the sector. Tim Opler, managing director of Stifel’s Global Healthcare Group, said the following regarding the situation:
“It’s like, “We don’t necessarily have to buy biotechnology from us. If that makes sense, we can buy really good biotechnology assets, but we can buy completely good biotechnology assets through licensing with Chinese companies, that’s kind of a fork moment.”
Emily Field, head of European Pharmaceutical Research at Barclays, spoke to CNBC on February 20th about obesity drug performance, the impact of US tariffs, and the dynamics of the pharmaceutical industry. She said the industry may be performing poorly, at least in the first half of this year. However, the effectiveness of obesity drugs is still controversial as large companies in this sector have shown inconsistent results in the past.
Speaking about tariffs, she said implementation raises some unanswered questions to the pharmaceutical industry as some companies gather products in the US after they produce them overseas. Therefore, these companies have relatively low manufacturing costs. This is an important factor to consider when assessing the impact of tariffs. She thought these companies could easily absorb the higher costs of tariffs. This topic hasn’t been generated much from revenue calls this quarter, and the market is approaching the end of its reporting season.
In this article, we have selected companies operating in the pharmaceutical industry. From that list, we identified stocks that have achieved positive revenue growth over the past five years. They then chose companies with a 10% revenue growth rate over five years, ranking them in the top 10 based on their hedge fund sentiment in the fourth quarter of 2024, according to the Insider Monkey database.
Why are hedge funds interested in the stocks they accumulate? The reason is simple. Our research shows that mimic the top stock picks of the best hedge funds can outperform the market. Quarterly Newsletter’s strategy was to select 14 small and large caps per quarter, returning 373.4% since May 2014, surpassing the benchmark by 218 percentage points (For more information, please see here).
Amphastar Pharmaceuticals, Inc. Is (Amph) the best pharmaceutical strain to buy for long-term growth?
Close-up of a female hand syringe containing biopharmaceutical drugs.
Number of hedge fund holders: 23
Amphastar Pharmaceuticals, Inc. (NASDAQ: AMPH) is a biopharmaceutical company specializing in the development, manufacturing, marketing and sales of generics and proprietary injection, inhalation and intranasal products. The company operates primarily in the US, China and France.
In the third quarter of 2024, Amphastar Pharmaceuticals, Inc. (NASDAQ: AMPH) reported net revenue of $191.2 million, up 6% from the previous year. The introduction of Primaten Mist ($26.1 million), Baqsimi ($40 million) and Albuterol MDI ($40.4 million) was credited by the company for this growth. Primaten Mist is on track to surpass $100 million in annual sales by the end of 2024, with the business planning to expand the Baqsimi market and strengthen its sales team, ranking 10th among them. Best Pharmaceutical Inventory To see.
Amphastar Pharmaceuticals, Inc., due to an adjusted net profit decline of $49.6 million (53% vs. 60% in 2023) and an increase in operating expenses. (NASDAQ: AMPH) has generated $60 million in cash flow and acquired $35 million in shares. Additionally, the company has launched a $50 million share buyback program. Continuing discussions with the FDA regarding the insulin pipeline are expected to drive future growth.
As of the fourth quarter of 2024, 23 hedge funds held stakes in the stock as tracked in the Insider Monkey Database.
Overall, Amph 10th place A list of the best pharmaceutical stocks to buy for long-term growth. We acknowledge the potential of pharmaceutical companies, but our conviction lies in the belief that AI stocks provide higher returns and hold a greater commitment to doing it within a shorter time frame. There have been AI stocks that have risen since the beginning of 2025, and the popular AI stocks have lost around 25%. If you’re looking for AI stocks that are more promising than AMPH, but are trading under 5x revenue, check out our report on this Cheapest AI stocks.
