Today’s pharmaceutical stocks are facing the challenges of government-imposed drug price caps, waning demand for COVID-19 vaccines and global stock market upheaval.
However, the industry’s major underlying drivers — higher rates of cancer and chronic disease — are still at play and not expected to dissipate.
The US reigns supreme in the pharma market, both in terms of drug demand and development. In 2024, 50 novel medicines were approved by the US Food and Drug Administration (FDA), compared to 55 such approvals in 2023. Last year’s FDA approvals include Eli Lilly and Company’s (NYSE:LLY) Alzheimer’s disease treatment Kisunla.
Big pharma largely steals the show, but some small- and mid-cap NASDAQ pharma stocks have also made gains.
Read on to learn more about their activities this year.
1. DBV Technologies (NASDAQ:DBVT)
Year-to-date gain: 126.14 percent
Market cap: US$141.58 million
Share price: US$7.44
Headquartered in France, DBV Technologies is a clinical-stage biopharma developing treatment for immunologic conditions, such as food allergies, with unmet medical need. Its North American operations are based in New Jersey. Using its proprietary epicutaneous immunotherapy technology platform, Viaskin, the company is developing non-invasive transdermal treatments for food allergies with reactions of mild to life-threatening anaphylaxis.
DBV currently has a number of key food allergy programs in its clinical trial pipeline, including its Viaskin peanut patch, which is being tested in three Phase 3 clinical trials for different age groups: children ages one to three, children ages four to seven and children ages seven to 11. The company is also in Phase 2 testing for its Viaskin milk patch in children ages two to 17.
DBV’s stock experienced its first boost in early January after the company shared positive three year results from its open-label extension Phase 3 trial of the Viaskin peanut patch in toddlers on January 8. The results demonstrated further improvements in efficacy after 36 months of treatment. Shares in DBV jumped nearly 56 percent to US$5.41 on January 10.
The next big boost for DBV shares came in late March with two important developments. First, on March 24, the company announced that it had secured an agreement with the FDA on the safety exposure data required for the biologics license application for its Viaskin peanut patch for four to seven year-olds. This will accelerate the timeline for a BLA filing submission, which DBV now expects in H1 2026.
Next, on March 27, DBV launched a financing of up to US$306.9 million to advance its Viaskin peanut patch product for four to seven year-olds through the BLA submission and the potential commercialization of the product in the United States.
DBV Technologies’ share price hit a year-to-date high of US$7.86 on April 3.
2. Journey Medical (NASDAQ:DERM)
Year-to-date gain: 75.76 percent
Market cap: US$160.81 million
Share price: US$6.96
Journey Medical is a commercial-stage pharma company with a growing portfolio of FDA-approved prescription pharmaceutical products for the treatment of dermatological conditions. The company’s growth model focuses on acquisitions, out-licensing and in-licensing opportunities. Its portfoluo currently has eight products targeting skin conditions, including Accutane for acne, Zilxi for rosacea and Qbrexza for hyperhidrosis.
In the first quarter of 2025, Journey Medical completed the commercial launch of the FDA-approved Emrosi, a prescription drug for the treatment of rosacea in adults. Emrosi has shown head-to-head superiority in efficacy over Oracea, the current market leader. Journey Medical expects Emrosi to be a significant driver of revenue growth and earnings for the company going forward.
Journey Medical’s stock saw its first big gains in early February in anticipation of the commercial launch of Emrosi, with its share price rising 45 percent to US$5.35. The product officially hit the US market on March 24, and shares in Journey Medical reached a year-to-date high of US$7.19 on April 4.
3. Cumberland Pharmaceuticals (NASDAQ:CPIX)
Year-to-date gain: 68.44 percent
Market cap: US$57.41 million
Share price: US$4.11
Cumberland Pharmaceuticals is a Tennessee-based biopharma which develops, acquires and commercializes products for hospital acute care, gastroenterology and oncology markets. The company currently has a portfolio of six FDA-approved brands, including Sancuso for the prevention of nausea and vomiting in chemotherapy patients and Vibativ for the treatment of serious hospital-acquired bacterial infections and ventilator-associated bacterial pneumonia.
Cumberland’s clinical pipeline includes Dyscorban, an oral capsule in Phase 2 trials for the treatment of the cardiomyopathy associated with Duchenne muscular dystrophy (DMD). The FDA has granted the drug candidate both orphan drug designation and rare pediatric disease designation for this indication.
Shares in Cumberland soared by 150 percent to US$5.34 on February 6, following the company’s February 4 release of positive top-line results from its Phase 2 FIGHT DMD trial.
‘These results represent a significant milestone in DMD cardiomyopathy,’ the trial’s principal investigator Dr. Larry W. Markham said. ‘We are seeing evidence that there is an opportunity to potentially alter the course of heart disease in DMD patients.”
The next jolt to Cumberland’s stock came on February 19, pushing the value to US$6.19 per share following the announcement that Vibativ had garnered approval from China’s pharmaceutical regulatory authority.
Cumberland Pharmaceuticals’ share price hit a year-to-date high of US$6.77 on March 5, after the company posted net revenues of US$10.4 million during the fourth quarter of 2024. That figure represents an 11.6 percent increase in net revenues over the prior year period.
4. Nuvectis Pharma (NASDAQ:NVCT)
Year-to-date gain: 51.19 percent
Market cap: US$192.75 million
Share price: US$8.24
Nuvectis Pharma is developing precision medicines targeting unmet needs in oncology. The company has two clinical-stage drug candidates in its pipeline: NXP800 and NXP900.
NXP800 is an oral small molecule GCN2 kinase activator currently in a Phase 1b clinical trial for ovarian cancer and in an Investigator-sponsored clinical trial for the treatment of bile duct cancer. NXP800 has an orphan drug designation from the FDA. Updated Phase 1b results are anticipated for release in Q2 2025.
NXP900 is an oral small molecule inhibitor of the Src family of kinases, which play a crucial role in cancer development and progression. The drug candidate is undergoing a Phase 1a dose escalation study, with a Phase 1b program expected to begin in mid-2025.
Nuvectis closed on a public offering of US$15.5 million on February 7, allowing it to fund the advancement of its development programs through 2027.
Shares in Nuvectis Pharma reached a year-to-date high of US$10.46 on March 28.
5. OptiNose (NASDAQ:OPTN)
Year-to-date gain: 33.63 percent
Market cap: US$92.16 million
Share price: US$9.10
Optinose specializes in the field of ear, nose, and throat (ENT) medicine targeting therapeutic areas such as allergies, chronic rhinosinusitis, nasal polyps, and chronic sinusitis. Its products include the FDA-approved Xhance (fluticasone propionate) and Onzetra Xsail (sumatriptan nasal powder), the latter of which is licensed to private company Currax Pharmaceuticals.
After starting out the year at US$6.70 per share, Optinose stock shot up to its year-to-date high of US$9.15 per share on March 20.
This followed news on March 19 that Massachusetts-based private firm Paratek Pharmaceuticals had inked a potential US$330 million definitive merger agreement to acquire Optinose, “with consideration payable to shareholders of up to US$14 per share, including the payment of contingent value rights (CVRs) tied to future commercial milestones.”
The following week, Optinose released its fourth quarter and full-year 2024 financials, highlighting Xhance net revenue of US$22.4 million for the quarter and US$78.2 million for the year, up 13 percent and 10 percent, respectively, compared to prior year periods. The company also reported 23 percent growth in prescriptions from the third quarter 2024 to fourth quarter 2024.
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.