Artificial intelligence is reshaping biotech, pushing drug discovery and medical research into uncharted territory. Some of the biggest players in the industry are using AI to accelerate innovation, cut costs, and bring new treatments to market faster. Three companies—AbbVie, Gilead Sciences, and Moderna—are leading the charge, making them intriguing stock picks for investors in February.
AbbVie’s AI-Driven Drug Discovery Gains Momentum
AbbVie (NYSE: ABBV) has built a strong reputation in the pharmaceutical space with blockbuster drugs like Humira, Skyrizi, and Rinvoq. The company’s latest earnings report was well received, showing continued momentum in immunology and oncology. But what really sets AbbVie apart right now is its growing investment in AI.
The AbbVie Research and Development Convergence Hub (ARCH) is at the heart of the company’s AI strategy. By leveraging machine learning and big data, the platform enables faster drug discovery and optimization of complex molecular compounds.
One of the biggest hurdles in drug development is time—new medicines can take over a decade to reach the market. AI has the potential to cut that timeline in half, giving AbbVie a competitive advantage.
- The company’s 2025 adjusted earnings per share (EPS) target is projected between $12.12 and $12.32, a 21% increase over last year.
- Strong sales from Skyrizi and Rinvoq are helping offset Humira’s patent expiration losses.
- AI integration could reduce research and development costs while improving drug success rates.
For investors, AbbVie represents a mix of strong financial performance and long-term innovation potential. As AI continues to shape biotech, AbbVie’s early investments could pay off in a big way.
Gilead Sciences Expands AI Collaborations
Gilead Sciences (NASDAQ: GILD) has been on an impressive run, with its stock up 26% over the past year. Known for its dominance in antiviral treatments, particularly for HIV and hepatitis C, Gilead is now making strategic moves to expand its AI capabilities.
The company recently deepened its partnership with Cognizant to develop custom AI solutions aimed at improving efficiency across the organization. This includes streamlining clinical trials and optimizing data analysis for new drug candidates.
Additionally, Gilead has partnered with Terray Therapeutics, which specializes in AI-driven drug discovery. Through this collaboration, Gilead gains access to Terray’s tNova platform, allowing it to screen millions of molecular compounds with unprecedented speed and accuracy.
Gilead’s AI focus is already delivering results:
- Strong demand for Livdelzi, a treatment for primary biliary cholangitis (PBC), has boosted earnings.
- The company is preparing for multiple late-stage clinical trial readouts in 2025.
- AI is helping identify new targets for cancer therapies, strengthening its oncology pipeline.
As one of the top-performing biotech stocks recently, Gilead offers a solid balance of stability and future growth potential, making it a stock to watch in February.
Moderna Seeks a Comeback With AI-Powered Research
Unlike AbbVie and Gilead, Moderna (NASDAQ: MRNA) is in need of a turnaround. The company’s stock has plunged 64% over the past year, largely due to fading demand for its COVID-19 vaccines. But despite this downturn, Moderna is doubling down on AI to drive its next phase of growth.
One of Moderna’s biggest bets is its AI-powered mRNA research platform, designed to accelerate vaccine and drug development. The company is working with OpenAI and IBM to integrate generative AI tools into its drug discovery pipeline.
- New vaccines for norovirus and cytomegalovirus (CMV), both of which have large market potential.
- A $590 million U.S. government award to develop an avian flu (H5N1) vaccine.
- An ambitious goal of 10 new product approvals within the next three years.
While Moderna’s stock performance has been rough, the company is positioning itself as a leader in AI-driven biotech. Investors willing to take a long-term approach might see Moderna’s current dip as an opportunity to buy in before its next big breakthrough.
These three biotech stocks are at different stages—AbbVie and Gilead are leveraging AI to strengthen their already solid businesses, while Moderna is using AI to fuel a potential rebound. With AI expected to reshape the industry in the coming years, all three companies are worth watching closely.
