The start of a new year is often exciting for kids, but investors are looking forward to seeing some fireworks in their portfolios as well. Three Motley Fool contributors have identified stocks that could provide significant growth opportunities for investors in 2025.
Novo Nordisk (NVO) – A Potential Comeback Stock
Novo Nordisk’s shares were down 14% at the start of 2024, but the company is expected to see a rebound in 2025. The diabetes drugmaker has been generating good growth, but investors have been overly pessimistic about its prospects. Novo Nordisk recently unveiled results from a trial involving weight loss treatment CagriSema, which showed promising results. Despite this, the stock fell by around 20% due to overreaction in the market.
However, with a low valuation and the potential for a rebound, Novo Nordisk could generate monster gains next year. The company has been investing in additional manufacturing capacity to meet surging demand for its weight loss and diabetes treatments.
Summit Therapeutics (SMMT) – A Potential Blockbuster
Summit Therapeutics had an explosive 7x gain in 2024, and the new year is expected to bring more good fortune. The company expects to announce top-line results from a phase 3 study evaluating ivonescimab in combination with chemotherapy for advanced non-small cell lung cancer (NSCLC) in mid-2025.
The U.S. Food and Drug Administration has already granted Fast Track Designation to the therapy, which guarantees expedited approval and close collaboration between Summit and its partner, Chinese pharmaceutical company Akeso. With ivonescimab outperforming Keytruda in Akeso’s late-stage study, it is likely that Summit will have a blockbuster drug on its hands.
Viking Therapeutics (VKTX) – A Promising Mid-Cap Biotech
Viking Therapeutics soared this year after excellent phase 2 results for its investigational weight loss medicine, VK2735. The company should make progress next year with the start of a phase 3 study and the evaluation of an oral formulation of VK2735.
Viking has more promising early-stage candidates than many other companies in the industry, including a brand-new clinical compound that showed encouraging pre-clinical results. With its potential to establish itself as a leader in the anti-obesity therapeutic area, Viking’s shares could once again soar next year and deliver strong performance in the next half-decade.
Source: https://www.fool.com/investing/2024/12/29/3-stocks-that-could-be-monster-winners-in-2025