From Yahoo Finance: 2025-04-17 11:08:00

In a recent article, Insider Monkey highlighted the “10 Best Pharma Stocks to Buy for Long Term Growth,” including Supernus Pharmaceuticals, Inc. (NASDAQ:SUPN). The US pharmaceutical industry is experiencing a notable trend, with approximately 30% of Big Pharma acquisitions in 2024 involving Chinese corporations, up from nearly 0% five years prior, according to DealForma statistics cited by CNBC.

Chinese pharmaceutical companies are gaining attention for their advanced development capabilities, efficient production of potent compounds, and ability to conduct human testing sooner than US counterparts. They can also offer medications at a lower cost, prompting many buyers to engage in licensing agreements to import these drugs. The scarcity of venture capital in China further incentivizes biotech companies to enter into such agreements.

While the influx of Chinese pharmaceutical acquisitions may have lasting effects on the US industry, opinions vary on how this competition will play out. Some experts believe it could lead to the demise of American startups, while others see it as a beneficial challenge that will ultimately strengthen the sector. Tim Opler from Stifel’s global healthcare group noted the industry’s shift towards licensing deals with Chinese companies as a potential game-changer.

Barclays’ Head of European Pharma Research, Emily Field, discussed the performance of obesity medications, the impact of US tariffs, and industry dynamics with CNBC. She anticipates a relatively stable first half of the year for the pharmaceutical sector, though the efficacy of obesity treatments remains a topic of debate due to inconsistent results from leading companies.

Supernus Pharmaceuticals, Inc. (NASDAQ:SUPN) is a key player in the central nervous system (CNS) drug market, specializing in medications for epilepsy, migraine, ADHD, and Parkinson’s disease. Notable products include Qelbree for ADHD and Trokendi XR for epilepsy. The company reported strong financial results in Q3 2024, with a 14% increase in overall revenues and significant growth in net product sales.

SUPN ranks 8th on the list of best pharma stocks for long-term growth, with promising additions to its CNS pipeline like SPN-830 and SPN-817. While SUPN shows investment potential, Insider Monkey suggests exploring AI stocks for higher returns within a shorter timeframe. An AI stock has already seen gains in 2025, outperforming popular AI stocks that faced losses, making it a compelling option for investors seeking growth opportunities.

Read more: Is Supernus Pharmaceuticals, Inc. (SUPN) the Best Pharma Stock to Buy for Long Term Growth?