Best Pharmaceutical Stocks to Buy in 2025

Investing in Pharmaceutical Stocks

By Keith Speights – Updated Aug 9, 2025 at 9:32 PM | Fact-checked by Frank Bass

Key Points

Invest in pharma stocks like AbbVie, Eli Lilly, and Pfizer with strong pipelines and dividends.
Look for stocks showing consistent growth in revenue and earnings despite market challenges.
Assess a company's drug pipeline strength as a key indicator of its future market performance.

The global pharmaceutical market totals roughly $1.7 trillion and continues to grow. This huge sector improves the quality of life for many people while creating attractive opportunities for long-term investors.

Before you invest in pharmaceutical companies, find out some top picks and learn how to choose the best stocks in the pharmaceutical sector.

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Pills in the form of a dollar sign. — Image source: Getty Images.

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Source: Yahoo! Finance.
Company	2024 Revenue	2024 Earnings
AbbVie (NYSE:ABBV)	$56.3 billion	$4.3 billion
Eli Lilly (NYSE:LLY )	$45 billion	$10.6 billion
Johnson & Johnson (NYSE:JNJ )	$88.8 billion	$14.1 billion
Pfizer (NYSE:PFE )	$63.6 billion	$8 billion

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NYSE: ABBV

AbbVie

Today's Change

(-0.19%) $-0.43

Current Price

$228.25

Key Data Points

Market Cap

$403B

Day's Range

$227.25 - $229.86

52wk Range

$163.81 - $244.81

Volume

Avg Vol

5.4M

Gross Margin

70.97%

Dividend Yield

0.03%

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NYSE: LLY

Eli Lilly

Today's Change

(1.06%) $8.61

Current Price

$821.04

Key Data Points

Market Cap

$777B

Day's Range

$806.02 - $824.70

52wk Range

$623.78 - $935.63

Volume

587

Avg Vol

4.6M

Gross Margin

82.64%

Dividend Yield

0.01%

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NYSE: JNJ

Johnson & Johnson

Today's Change

(-0.32%) $-0.62

Current Price

$192.32

Key Data Points

Market Cap

$464B

Day's Range

$191.55 - $193.75

52wk Range

$140.68 - $194.48

Volume

322K

Avg Vol

8.4M

Gross Margin

68.27%

Dividend Yield

0.03%

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NYSE: PFE

Pfizer

Today's Change

(-0.20%) $-0.05

Current Price

$24.67

Key Data Points

Market Cap

$140B

Day's Range

$24.51 - $24.78

52wk Range

$20.91 - $29.17

Volume

41K

Avg Vol

49M

Gross Margin

67.34%

Dividend Yield

0.07%

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The average cost for major companies to develop a new drug is around $2.3 billion, according to Deloitte. The average elapsed time between drug discovery and regulatory approval is 10 to 15 years. But the payoff for developing an effective treatment, especially for a common ailment, can be massive. Owning an important patent can generate significant profits for a pharmaceutical company for many years, with little or no competition from other drugmakers.

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About the Author

Keith Speights is a contributing Motley Fool healthcare analyst covering publicly traded companies across pharmaceuticals, biotechnology, medical devices, technology, and marijuana. Prior to The Motley Fool, Keith was CEO of Constant Care Technology, a healthcare technology company; vice president of American HealthTech, a healthcare software company; and a director of operations for Blue Cross Blue Shield of Mississippi, a health insurer. He holds a B.S. in Industrial Engineering from Mississippi State University.

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Keith Speights has positions in AbbVie and Pfizer. The Motley Fool has positions in and recommends AbbVie and Pfizer. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.