Top AI Healthcare Stocks Revealed! [2023]

Introduction

The stocks on our list of top AI healthcare stocks will be examined in this post. Healthcare is one of the vital sectors that will benefit from the AI revolution and is projected to be one of the numerous industries that artificial intelligence is anticipated to disrupt.

The AI healthcare request is anticipated to develop at a stunning 51.37 CAGR from 2022 to 2029 to reach a value of$175.22 billion, according to a study published in 2022 by Data Bridge Market Research. According to the survey, among many other companies, NVIDIA Corporation, Alphabet, Microsoft, and Medtronic are among the leading participants in this lucrative business.

Top AI Healthcare Stocks

Exscientia PLC (EXAI)

Exscientia is a young biotechnology business working on creating immunology, cancer, and other therapies. The business has an advanced AI-enabled drug discovery program that it expects can speed up and cut down on the cost of developing new drugs. Exscientia is profiting from the AI trade that has rocked Wall Street, according to analyst Alec Stranahan.

The business dosed the first patient in its flagship program, the AI-designed cancer therapy EXS21546, in May. In the next year or two, according to Stranahan, investors may anticipate clinical updates that will confirm Excientia’s AI technology. EXAI stock, which closed at $7.74 on July 28, gets a “buy” rating and a $16 price target from Bank of America.

Certara Inc. (CERT)

Certara is an expert in biosimulation, a method for modeling and running clinical trials using software to speed up the drug development process. Vyasa Analytics LLC, a provider of deep learning and AI technologies, was bought by Certara in January. Certara is a market leader in biosimulation, according to analyst Michael Ryskin, and it has long-term growth drivers in store, such as a secular rise in pharmaceutical R&D investment.

Certara, according to Ryskin, has a sizable addressable market. He predicts double-digit earnings and revenue growth in the upcoming years and claims the firm can meet its fiscal 2023 financial goal. The stock of CERT, which ended July 28 trading at $19.16, has a “buy” rating and a $27 price target from Bank of America.

Relay Therapeutics Inc. (RLAY)

Relay Therapeutics is a biopharmaceutical business in the clinical stages that specializes in creating cancer therapies. ZebiAI, a leader in AI technology, used machine learning to find tiny compounds that bind to proteins in DNA-coded libraries.

Relay purchased ZebiAI in 2021. The two cancer medicines in clinical development by Relay, RLY-4008 and RLY-2608, will be crucial for the company’s medium-term outlook, according to analyst Jason Gerberry. The stock of RLAY, which ended on July 28 at $12.23, has a “buy” rating and a $32 price target from Bank of America.

BioXcel Therapeutics Inc. (BTAI)

A commercial-stage biopharmaceutical business called BioXcel Therapeutics searches for treatments that can be reused for other targets or delivery systems using artificial intelligence (AI) technologies. The stock suffered greatly in June after BioXcel revealed trial conduct problems in its late-stage testing of BXCL501 for treating Alzheimer’s disease-related agitation in assisted living facilities.

Through July 28, shares of BioXcel were down 55.4% for the year, but analyst Greg Harrison argues the decline presents a buying opportunity because the behaviour concerns did not impair trial results. The BTAI stock, which ended at $9.58 on July 28, has a “buy” rating and a $23 price target from Bank of America.

Royalty Pharma PLC (RPRX)

Since its founding in 1996, Royalty Pharma, a biopharmaceutical royalty acquisition business, has spent over $20 billion in more than 50 separate royalty acquisitions. The business offers a variety of investment opportunities for smaller enterprises developing biotechnology innovations, including AI technologies. Because of Royalty’s extremely diversified holdings, according to analyst Geoff Meacham, total risk is reduced.

Meacham adds that the capital-light business model of Royalty makes net margins of more than 70% possible. Finally, because it can make investment decisions based on the information at hand, the company’s model also lowers development-related risk. RPRX stock, which ended July 28 trading at $31.23, has a “buy” rating and a $45 price target from Bank of America.

Alphabet Inc. (GOOG, GOOGL)

From ad pricing to content promotion to Gmail spam filters, Google and YouTube parent firm Alphabet leverages AI and automation in almost every aspect of its operations. Google Health, a division of the firm, creates and tests artificial intelligence (AI) that may be applied to improve the accessibility and precision of medical technology and address the worldwide physician shortage.

The solid second-quarter earnings beat by Alphabet, according to analyst Justin Post, may allay investor worries that the business is losing ground to rival Microsoft Corp. (MSFT) in the fight for AI technology. GOOGL stock, which ended July 28 trading at $132.58, has a “buy” rating and a $146 price target from Bank of America.

Amazon.com Inc. (AMZN)

Targeted advertising, e-commerce search engines, and Amazon Web Services are just a few of the areas where Amazon, like Alphabet, has incorporated AI into every element of its company. The summarising tool HealthScribe, which aids medical professionals in summarising doctor appointments, was among several new AI technologies recently introduced by AWS.

Post claims that Amazon is well-positioned in key growth industries, such as cloud computing, online advertising, and linked devices, and is investing extensively in AI technology. He claims that increasing retail margins and accelerated AWS growth might increase the stock’s profit multiple. The shares of Amazon, which ended at $132.21 on July 28, have a “buy” rating and a $154 price target from Bank of America.

International Business Machines Corp. (IBM)

To transform the fields of academics, banking, law, and healthcare, IBM has been working on adapting its AI supercomputer Watson for years. In 2022, IBM sold its Watson Health division to Francisco Partners. Despite this, the corporation is still attempting to employ AI to enhance patient care and operational effectiveness in the healthcare industry.

IBM has an underestimated AI portfolio in addition to its appealing 4.6% yield, according to analyst Wamsi Mohan. Mohan believes that IBM’s sales expansion and free cash flow recovery will continue. The IBM stock, which ended the day on July 28 at $143.45 has a “buy” rating and a $160 price target from Bank of America.

GE Healthcare (GEHC)

Healthcare IT solutions, medical imaging, diagnostic services, medicines, medical devices, and medical research are all services offered by GE Healthcare Technologies (NASDAQ: GEHC). After General Electric (NYSE: GE), a multinational corporation broke out its division, the global medical technology firm started trading on the public market in January.

There are four business divisions within GE Healthcare: imaging, ultrasound, patient care solutions, and pharmaceutical diagnostics. To assist its healthcare practitioners in doing research and coming to more informed judgments, the firm employs artificial intelligence. The organization is better able to comprehend the demands of its consumers because of its Edison platform which offers suitable solutions.

To understand how GE Healthcare’s products are used and how they could be improved, Edison employs big data analytics. They make adjustments based on this knowledge to improve patient care and boost GE Healthcare’s bottom line.

GE Healthcare released strong financial results in January for the whole 2022 calendar year and the fourth quarter. Due to growth in its imaging and ultrasound businesses, full-year sales totaled $18.3 billion, up 4%. The company’s net income decreased from $2.2 billion in 2021 to $1.96 billion in 2018, mostly as a result of higher investment in R&D that was anticipated, fluctuating currency exchange rates, and inflation.

Medtronic (MDT)

The largest manufacturer of medical equipment worldwide is Medtronic (NYSE: MDT). It has offices all around the world and its headquarters are in Minneapolis, Minnesota. It has received praise for its cutting-edge goods, such as the first portable insulin pump to receive FDA approval, the Medtronic Minimed. To assist the healthcare industry catch up with other industries, Medtronic has been boosting its AI efforts in recent years.

For improved adenoma diagnosis, GI Genius, an intelligent endoscopic module, is employed. It can also detect early lesions that develop into colorectal malignancies, according to recent research. GI Genius is the only AI system permitted to do colonoscopies. Recent strong financial results for the third quarter of fiscal 2023 from Medtronic exceeded expectations.

Microsoft Corporation (MSFT)

A long-running business is Microsoft( NASDAQ MSFT). It’s one of the top businesses in the IT sector and has a history of innovation. One of the top businesses in the technology sector is Microsoft. It has a history of invention and was innovated in 1975 by Bill Gates and Paul Allen. Over 74 of particular computers in the world use Windows, the operating system for which Microsoft is best known.

Despite being one of the most well-known technological firms, Microsoft is also one of the most creative. To be competitive, the industry powerhouse in software is always coming up with new ideas. Due to Microsoft’s association with ChatGPT-maker OpenAI, investors and analysts have most lately been drooling over the prospect of investing in the company. As part of a “multiyear, multimillion-dollar” investment in the cutting-edge AI business, the internet giant is reportedly putting $10 billion into OpenAI.

Conclusion

In this article, we know about top ai healthcare stocks. Opportunities to improve how healthcare professionals work have been made possible by the development of artificial intelligence technologies.

AI has the potential to be employed in a variety of healthcare applications, including illness prevention, condition detection and diagnosis, procedure execution, patient monitoring, medication creation and prescription, and a host of other duties. Healthcare data may be analyzed by AI to detect trends and insights that humans are unable to. Even healthcare organizations may utilize AI to enhance their services and make wiser business decisions.

FAQs

What are the top 3 stocks in artificial intelligence?

This list does not necessarily include the best AI stocks for long-term investing; rather, it just includes the top-performing AI stocks for 2023. What is the biggest AI firm in India? Microsoft (MSFT), Alphabet (GOOG), and Apple (AAPL) have all fared well in terms of stock prices this year with increases of at least 40% year to date.

Biggest AI business in India?

The creation of AI-powered solutions has been spearheaded by businesses like Wipro, TCS, and Infosys. To assist businesses in automating procedures and boosting productivity, these organizations are utilising cutting-edge technology.

Leave a comment