In 2025, the biotech and drug sector saw a rebound with large drugmakers’ pricing agreements and increased M&A activity. The FDA approved 44 novel therapies, with 26 approvals in the last six months, signaling regulatory acceleration.

Despite a challenging year, Altimmune, ImmunityBio, and Seres Therapeutics are poised for a comeback in 2026 due to positive pipeline updates and regulatory approvals.

Altimmune’s stock plummeted 46% due to mixed results from a study on pemvidutide. However, recent data showed promising improvements in liver health biomarkers, and the company reached alignment with the FDA for a late-stage study.

ImmunityBio experienced a setback with an FDA refusal letter but saw a significant increase in sales for Anktiva. The drug’s expansion into the European market is pending approval, and studies in various cancer indications are ongoing.

Seres Therapeutics reported positive results for SER-155, showing a reduction in bacterial infections. The FDA supports its advancement to mid-stage development, with plans for an interim update soon.

Zacks has identified the top 10 stocks for 2026, with past performance showing significant gains compared to the S&P 500. Don’t miss the release of these stocks on January 5 for potential investment opportunities.

Read more at Nasdaq: 3 Beaten-Down Biotech Stocks to Buy for a 2026 Turnaround