An aging population, increasing prevalence of chronic diseases, the emergence of advanced drugs, and surging investments in R&D should drive the pharmaceutical industry’s growth. The pharmaceutical market is expected to grow at a 5.9% CAGR to $1.40 trillion by 2026.
Amid the uncertainties surrounding the stock market, the inelastic demand for pharma products makes the industry investor favorite. While fundamentally sound pharma stocks could help survive the market volatility and generate stable returns in the near term, these stocks could help generate solid long-term returns given the industry’s growth prospects.
