3 Unstoppable Stocks to Buy Hand Over Fist in April

The "it factor." Some stocks have it. Others don't. But when you find stocks with the "it factor," you'll want to load up on them.

Three Motley Fool contributors believe they've identified three stocks that fit the bill. Here's why they think CRISPR Therapeutics (CRSP 1.71%), Eli Lilly (LLY 0.50%), and Vertex Pharmaceuticals (VRTX -0.32%) are unstoppable stocks to buy hand over fist in April.

The sky is the limit for this rising biotech

Prosper Junior Bakiny (CRISPR Therapeutics): If one were to make a list of prominent biotech companies, CRISPR Therapeutics almost certainly wouldn't make the cut. The gene editing specialist has just one product on the shelves and a market cap of $5.6 billion. However, considering the company's progress in the past few years, CRISPR Therapeutics appears to have substantial upside potential.

CRISPR Therapeutics created Casgevy, a gene editing treatment for sickle cell disease (SCD) and transfusion-dependent beta thalassemia (TDT) that has been landing approvals in various countries since late last year. Management shrewdly partnered with a biotech giant, Vertex Pharmaceuticals, to develop and market this therapy. Though this means CRISPR Therapeutics will only get 40% of the profits associated with Casgevy, thanks to the partnership it has been able to earn regulatory nods in places it likely wouldn't have pursued -- or would have done it much later.

Smaller biotechs tend to focus almost exclusively on the more lucrative U.S. market. Casgevy is approved in the U.S., Great Britain, the European Union, Saudi Arabia, and Bahrain. Casgevy is also the first CRISPR-based gene editing therapy on the market. The pioneers of this technique won a Nobel Prize in chemistry. CRISPR Therapeutics' pipeline boasts several other gene editing programs.

CRISPR Therapeutics has been riding solid momentum over the past year. Expect the company to continue delivering solid returns for a long time.

Eli Lilly is a growth machine that isn't going to stop anytime soon

David Jagielski (Eli Lilly): One stock that looks unstoppable these days is Eli Lilly. Although its share price has soared 130% in just the past 12 months, there's still plenty more upside for the stock in the long haul. Given the growth opportunities on the horizon, I wouldn't be surprised for the stock to join the $1 trillion club before the end of the year.

The name of the game in the healthcare industry these days is weight loss. Companies are feverishly working away to get a drug to market in what is shaping up to potentially be a big battle down the road.

The early favorite that won't be easy to beat is Eli Lilly's Zepbound. If you haven't heard its name nearly as much as you've heard Ozempic, that's because it was only approved last year. But in clinical trials, the drug's potential has been nothing short of impressive.

With tirzepatide, the active ingredient in Zepbound and Mounjaro (approved for diabetes), patients were able to lose nearly 27% of their body weight when making lifestyle changes and taking the drug. And that's just the average weight loss over an 84-week period; some patients lost even more weight.

With peak sales of more than $68 billion (according to analysts) coming from these drugs in the future, it's hard to cap the potential for Eli Lilly. Throw into the mix the potential approval of its early Alzheimer's treatment, donanemab, and in a few years you may regret not buying the stock at its current price. While its earnings multiple of 133 looks obscene right now, given the earnings growth Eli Lilly may generate in the future, it could still prove to be a cheap buy today.

A huge biotech that's likely to grow much bigger

Keith Speights (Vertex Pharmaceuticals): Success in treating cystic fibrosis (CF) has helped Vertex Pharmaceuticals become a huge biotech. I expect it will grow much bigger over the next few years.

CF should provide some of this anticipated growth. Vertex enjoys a monopoly in treating the underlying cause of the rare genetic disorder. The company plans to file for approvals of its vanzacaftor triple-drug combo this summer. I predict that this drug will become Vertex's biggest CF moneymaker yet.

As Prosper noted above, Vertex and CRISPR Therapeutics have a potential winner on their hands with Casgevy in treating SCD and TDT. The gene editing therapy is Vertex's first major victory outside CF, but I don't think it will be the biotech's last.

Vertex has high hopes for its pain drug VX-548. The company is on track to file for U.S. approval in mid-2024. Because VX-548 doesn't have the addictive qualities and negative side effects associated with opioids, it could have tremendous commercial potential.

I'm optimistic about another of Vertex's late-stage programs, too. Inaxaplin targets APOL1-mediated kidney disease (AMKD). There are currently no approved therapies that treat the underlying cause of the disease. AMKD affects more patients worldwide than CF, which translates to yet another massive potential market for Vertex.

Last but not least, Vertex is evaluating two cell therapies in early-stage testing that hold the potential to cure type 1 diabetes. If these programs are successful, Vertex just might be one of the top five drugmakers in the world in the next decade.