Top Life Sciences Stocks for 2026: BofA Highlights Industry Leaders

Investing.com -- Tesla delivery numbers have been an important data point for the stock. A beat or miss usually swings share sharply.

It will likely deliver about 415000 vehicles in the quarter, down 16% from a year earlier and below broader market forecasts, according to UBS.

Though market’s focus may have shifted toward Tesla’s longer-term ambitions in robotaxis and its humanoid robot, Optimus, rather than near-term vehicle volumes.

The delivery slowdown is due to demand pulled forward into the third quarter ahead of the expiry of the $7500 EV tax credit at the end of September. UBS estimates US deliveries could fall more than 35% quarter-on-quarter in Q4, potentially making it Tesla’s weakest US quarter in years.

Europe looks better sequentially, helped by country-specific factors such as tax changes in Norway, but volumes are still expected to be down year-on-year.

China is likely to improve from the third quarter but remain below last year’s levels, even as December traditionally provides a late-quarter boost.

UBS sees 2025 global deliveries of about 1.63 million vehicles, down roughly 9% from last year, with 2026 volumes broadly flat, which is well below current market expectations.

Investors have come to reaslise that Tesla’s auto business is no longer in a clean, high-growth phase.

Tesla shares have reacted even when delivery prints merely matched what buy-side investors were expecting. According to UBS analysts that pattern still holds but the market’s attention has drifted.

That’s because Tesla is increasingly being valued less as a car company and more as a platform company. The optionality around robotaxis, full self-driving, and Optimus, its humanoid robot project, now dominates investor discussions.

A single quarter of weaker deliveries, especially when it is driven by policy changes like tax credits, the risks are seen as noise rather than signal.

But Tesla’s ability to fund and scale its AI ambitions still depends on the cash generation and execution of its vehicle business. Slowing deliveries, heavier incentives and a smaller EV market in the US all put pressure on margins and cash flow.

UBS also points out that energy storage deployments, another growth pillar, remain lumpy and hard to predict quarter to quarter.

Tesla may be entering a phase where traditional auto metrics carry less weight in the stock’s day-to-day trading, even if they remain crucial to the fundamentals, says UBS analysts.

That can work both ways, like if progress on robotaxis or Optimus accelerates, the market may forgive weak delivery numbers.

But if those long-term projects slip, investors could quickly rediscover why deliveries once mattered so much.

Investing.com -- In a comprehensive analysis of the power and automation sector, Evercore ISI has identified seven standout stocks with significant growth potential.

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These companies are positioned to benefit from ongoing industry transformations, with strong fundamentals supporting their outlook. Here’s a breakdown of the top performers in this dynamic sector.

1. GE Vernova Inc. (GEV): Despite its premium valuation, Evercore ISI believes GE Vernova offers compelling value with a target price of $860.00. The firm highlights GEV’s projected organic revenue growth exceeding 10% from 2025-2028, alongside an impressive 1,000 basis points of margin expansion potential.

While the headline P/E ratio might appear expensive, the 2027 estimated PEG ratio stands at just 0.7x, rising to only 0.9x even at the target price, earning it an "Outperform" rating.

GE Vernova recently received credit rating upgrades to ’BBB+’ from Fitch and ’BBB’ from S&P, both citing improved profitability. Additionally, Wells Fargo raised its price target, while Seaport Global Securities downgraded the stock to Neutral.

2. Schneider Electric SE (SU FR): Schneider has room to grow toward Evercore’s €295.00 target price. The firm notes that concerns about AI/DC have affected year-to-date performance, but fundamentals support a return to premium valuation relative to peers, justifying an "Outperform" rating.

Schneider Electric announced a share buyback program of up to €3.5 billion to be implemented through 2030.

3. Siemens AG (SIE DE): Siemens carries a target price of €295.00. Evercore ISI highlights its undervalued industrial software business, recovering automation segment, and upcoming portfolio simplification with the SHL spin-off expected this year, supporting an "Outperform" recommendation.

Siemens AG is reportedly planning a direct spinoff of a significant portion of its stake in Siemens Healthineers.

The company also received a rating downgrade to Equal-weight from Morgan Stanley, citing growth concerns, though Nomura upgraded the stock to Neutral following strong revenue performance.

4. Hubbell Inc. (HUBB): With a target price of $575.00, Hubbell offers inexpensive exposure to the electrical sector.

The company features 7% organic growth, above-average margins (24% versus 19% for peers), 16% free cash flow margins, and 12% EPS growth. Trading at approximately 14.5x 2027 estimated EV/EBITA and 19x P/E versus peers at 16x and 21x respectively, Hubbell earns an "Outperform" rating.

In its third-quarter 2025 results, Hubbell Inc. reported earnings per share that surpassed analyst estimates, although revenue fell short of projections. The company also priced an offering of $400 million in senior notes for debt refinancing.

5. Siemens Energy AG (ENR DE): With a €200.00 target price, Siemens Energy is positioned as the least expensive, fastest-growing stock with the most margin upside in Evercore’s coverage.

Trading at roughly 14x 2027 estimated EV/EBITA versus electrical peers at 19x, it offers over 200 basis points better organic growth for 2026-2028 and more than 800 basis points of margin expansion over three years.

At half the price of GEV with a PEG ratio below 0.5x even at the target price, it receives an "Outperform" rating.

Recent developments for Siemens Energy AG include a credit rating upgrade to Baa1 from Moody’s, reflecting improved performance. The company has also been approached by activist investor Ananym Capital, which is pushing for a strategic review of its wind division.

6. Honeywell International, Inc. (HON): With a target price of $255.00, Honeywell boasts the richest catalyst path among covered stocks. Currently trading at ex-COVID lows on next-twelve-months EV/EBIT versus automation peers, Evercore sees a pivotal year ahead for the new Honeywell, supporting an "Outperform" rating.

Following the spin-off of its Advanced Materials business, Honeywell has revised its 2025 guidance, lowering its outlook for adjusted sales and earnings per share. The company also announced that former PepsiCo CEO Indra Nooyi will join its Board of Directors.

7. Emerson Electric Co. (EMR): With a target price of $170.00, Emerson features a higher quality portfolio, richer margins, and increased innovation.

These factors should drive stronger growth cycle-on-cycle at above-average EBITA and free cash flow margins, despite the stock having de-rated to a discount versus peers, earning it an "Outperform" rating.

At its recent Investor Day, Emerson Electric Co. introduced new fiscal year 2028 financial targets, including goals for organic growth and earnings per share. The company also received a rating downgrade to Hold from Jefferies, which noted the completion of the company’s portfolio transformation.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Investing.com – Norway stocks were lower after the close on Wednesday, as in the sectors led shares .

At the close in Oslo, the Oslo OBX unchanged 0.00% to hit a new 1-month high.

The best performers of the session on the Oslo OBX were Cmb.Tech NV (OL:CMBT), which unchanged 0.00% or 0.00 points to trade at 95.70 at the close. Meanwhile, Norsk Hydro ASA (OL:NHY) unchanged 0.00% or 0.00 points to end at 77.88 and Mowi ASA (OL:MOWI) was unchanged 0.00% or 0.00 points to 240.20 in late trade.

The worst performers of the session were Cmb.Tech NV (OL:CMBT), which unchanged 0.00% or 0.00 points to trade at 95.70 at the close. Norsk Hydro ASA (OL:NHY) unchanged 0.00% or 0.00 points to end at 77.88 and Mowi ASA (OL:MOWI) was 0.00% or 0.00 points to 240.20.

Falling stocks outnumbered advancing ones on the Oslo Stock Exchange by 0 to 0.

Shares in Norsk Hydro ASA (OL:NHY) unchanged to 52-week highs; unchanged 0.00% or 0.00 to 77.88. Shares in Norsk Hydro ASA (OL:NHY) unchanged to 52-week highs; unchanged 0.00% or 0.00 to 77.88.

Crude oil for February delivery was down 0.27% or 0.16 to $58.22 a barrel. Elsewhere in commodities trading, Brent oil for delivery in February fell 0.46% or 0.29 to hit $62.09 a barrel, while the February Gold Futures contract fell 0.51% or 22.95 to trade at $4,482.75 a troy ounce.

EUR/NOK was down 0.49% to 11.77, while USD/NOK fell 0.35% to 9.99.

The US Dollar Index Futures was up 0.03% at 97.64.

Investing.com – Israel stocks were higher after the close on Wednesday, as gains in the Real Estate, Oil & Gas and Technology sectors led shares higher.

At the close in Tel Aviv, the TA 35 gained 0.23% to hit a new all time high.

The best performers of the session on the TA 35 were ICL Israel Chemicals Ltd (TASE:ICL), which rose 3.71% or 61.00 points to trade at 1,706.00 at the close. Meanwhile, Shapir Engineering Industry (TASE:SPEN) added 2.92% or 90.00 points to end at 3,170.00 and NICE Ltd (TASE:NICE) was up 2.52% or 890.00 points to 36,170.00 in late trade.

The worst performers of the session were Clal Insurance Enterprises Holdings Ltd (TASE:CLIS), which fell 2.08% or 470.00 points to trade at 22,140.00 at the close. Migdal Insurance (TASE:MGDL) declined 1.93% or 33.00 points to end at 1,677.00 and First International Bank of Israel Ltd (TASE:FIBI) was down 1.70% or 450.00 points to 26,080.00.

Rising stocks outnumbered declining ones on the Tel Aviv Stock Exchange by 259 to 213 and 76 ended unchanged.

Shares in Shapir Engineering Industry (TASE:SPEN) rose to 3-years highs; rising 2.92% or 90.00 to 3,170.00.

Crude oil for February delivery was down 0.26% or 0.15 to $58.23 a barrel. Elsewhere in commodities trading, Brent oil for delivery in February fell 0.46% or 0.29 to hit $62.09 a barrel, while the February Gold Futures contract fell 0.50% or 22.75 to trade at $4,482.95 a troy ounce.

USD/ILS was unchanged 0.10% to 3.19, while EUR/ILS unchanged 0.03% to 3.75.

The US Dollar Index Futures was up 0.03% at 97.64.

Wednesday’s market has seen swings in various stocks based on news and other factors. Today, stocks like Micron Tech and Citigroup are rallying, while others are experiencing declines. Below are highlights of some of the biggest stock movers, from mega-caps to small caps.

Mega-Cap Movers ($200 billion USD or higher)

• Micron Tech (MU) +3.9%
• Citigroup (C) +2.09%

Large-Cap Stock Movers ($10-$200 billion USD)

• SanDisk Corp-Exch (SNDK) +5.01%
• Nike (NKE) +4.75%
• Lumentum Holdings Inc (LITE) +2.6%
• AltC Acquisition (OKLO) -2.81%
• Hecla Mining Comp (HL) -3.08%
• Datadog Inc (DDOG) -3.32%
• New Providence Acquisition Corp N (ASTS) -3.96%
• Coeur dAlene Mines Corp (CDE) -3.61%
• dMY Technology Group III (IONQ) -4.38%
• DPCM Capital (QBTS) -6.39%

Mid-Cap Stock Movers ($2-$10 billion USD)

• Edgewise Therapeutics (EWTX); Edgewise reports positive interim safety data for HCM drug EDG-7500 +19.52%
• Uipath (PATH) +7.08%
• CF Acquisition Corp VI (RUMBW) +6.5%
• Retrophin I (TVTX) +13.73%
• BETA Technologies (BETA) -4.7%
• StubHub Inc (STUB) -4.64%
• Via Transportation Ltd (VIA) -5.41%
• BillionToOne (BLLN) -5.58%
• Mudrick Capital A (HYMC) -6.25%

Small-Cap Stock Movers ($300 million -$2 billion USD)

• Dynavax Tech (DVAX); Sanofi to acquire Dynavax for $2.2 billion in cash deal +38.55%
• Studio City International Holdings (MSC) +21.36%
• Aspirational Consumer Lifestyle (UP) +18.13%
• Agios Pharm (AGIO); FDA approves Agios’ AQVESME for thalassemia anemia treatment +15.05%
• Fast Acquisition Corp II (FBYD) +9.99%
• MUU (MUU) +8.06%
• Vor Biopharma (VOR); Vor Biopharma adds two investment partners to board of directors +11.24%
• NovaBay Pharmaceuticals Inc (NBY) +3.17%
• Velo3D (VELO) -4.93%
• IONX (IONX) -8.56%

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This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Investing.com -- Canadian equity futures are drifting slightly lower on Wednesday morning as market participants head to the sidelines for a holiday-shortened session. The subtle retreat follows a historic milestone for the S&P/TSX Composite, which reached a record closing high on Tuesday, fueled by a meteoric rise in the metals and mining sectors.

As of 9:05 ET, S&P/TSX 60 Futures Index Standard Futures were down 2.4 points or 0.13%, mirroring a cautious tone in global markets. Trading volumes are expected to remain exceptionally thin today, as the Toronto Stock Exchange prepares to close early at 1:00 PM ET for Christmas Eve. Analysts warn that low liquidity could amplify price swings, though many investors appear content to lock in profits after a banner year for Canadian equities.

Record Territory: Tuesday Recap

The benchmark S&P/TSX Composite Index finished Tuesday’s session up 58.63 points, or 0.18%, to settle at a new record of 32,058.73. The advance marked the fourth consecutive winning day for the index, which has now surged nearly 30% year-to-date.

Tuesday’s gains were driven almost exclusively by commodities:

• Gold and Silver Miners: Outsized gains in the sub-indexes (up over 100% this year) continued as precious metals hit fresh peaks.

• Energy: Resilience in crude prices provided a secondary floor for the index, even as domestic economic data surprised to the downside.

The bullish momentum successfully offset a disappointing report from Statistics Canada, which revealed that real GDP contracted 0.3% in October. The decline was wider than the 0.2% drop economists had anticipated, hampered by a 1.5% slump in manufacturing and a series of high-profile labor stoppages, including a nation-wide postal strike and teacher strikes in Alberta.

Gold Shatters $4,500 Barrier

In a historic move on Wednesday, Gold Futures broke past the $4,500 per ounce resistance level. The yellow metal reached a peak of $4,554/oz in trade, extending a rally that has seen prices climb roughly 70% in 2025. Gold Futures now sit at $4,515.25/oz, a 0.2% gain.

The "flight to safety" is being propelled by a cocktail of geopolitical and macroeconomic factors:

1. US-Venezuela Tensions: Renewed friction between Washington and Caracas over oil shipments has heightened regional supply risks.

    

2. Fed Expectations: Despite robust US GDP data, investors remain firm in their belief that the Federal Reserve will pivot toward further rate cuts in 2026.

    

3. Currency Weakness: The US Dollar Index is hovering near 12-week lows, making dollar-denominated bullion more attractive to international buyers.

Energy & Commodities Watch

Oil prices remained relatively stable on Wednesday morning. Brent Oil Futures edged up 0.14% to $62.46 per barrel, while Crude Oil WTI Futures gained 0.3% to trade at $58.55.

Supply risks remain the primary catalyst, as the Trump administration intensifies enforcement actions against vessels linked to Venezuelan crude. While Venezuela accounts for a small fraction of global supply, the potential for wider maritime interdiction has re-introduced a significant risk premium into energy markets.

Tech Spotlight: Intel Slumps on Nvidia Snub

In corporate news, Intel Corporation (NASDAQ:INTC) saw its shares tumble 3.3% in premarket trading. The move comes following reporting from Reuters saying that NVIDIA Corporation (NASDAQ:NVDA) has halted testing of Intel’s "18A" advanced manufacturing process.

The 18A node is considered the linchpin of Intel’s turnaround strategy to become a premier foundry for third-party chip designers. While an Intel spokesperson maintained that the technology is "progressing well," the decision by Nvidia, the world’s most valuable chipmaker, to step away from testing dealt a heavy blow to investor sentiment.

Looking Ahead

U.S. markets are also expected to see light activity today, with the S&P 500 and Nasdaq 100 Futures trading near flat after their own record-setting sessions on Tuesday. The New York Stock Exchange will join the TSX in an early 1:00 PM ET close today, and both will remain shuttered on Thursday for Christmas Day.