JPMorgan has put AstraZeneca PLC (LSE:AZN, NASDAQ:AZN) at the top of its UK healthcare picks for 2026, arguing that the company enters the new year with one of the most catalyst-rich pipelines in global pharma.
The bank says a wave of clinical readouts (and a high likelihood of success) positions AstraZeneca to benefit disproportionately as investors shift their attention away from US drug-pricing fears and back towards innovation.
GSK PLC (LSE:GSK, NYSE:GSK), however, finds itself at the opposite end of JPM's league table. Analysts remain 'underweight', warning that the growth outlook through to 2030 looks “muted” and that consensus forecasts remain too high.
With few meaningful trial results expected next year, JPMorgan sees limited scope for a re-rating.
Beyond the UK names, Novartis is also highlighted as a potential top performer. Like AstraZeneca, the Swiss group is seen as having one of the sector’s richest pipelines, prompting an upgrade to Overweight.
The bank also pitches Bayer as a possible “dark horse”. It argues that underlying business trends are improving and that 2026 could finally bring clarity on the scale of the group’s litigation liabilities, a key factor that has weighed on the shares for years.
JPM believes a successful clean-up could unlock a substantial re-rating.
Novo Nordisk remains a favourite too, with stronger prescription volumes expected to offset US price cuts, albeit after earnings expectations are reset. Roche is nudged up to Neutral after better-than-expected data for its breast cancer candidate giredestrant.
Sanofi, meanwhile, is lowered to 'neutral', with analysts unconvinced that its 2026 pipeline offers enough firepower to shift market sentiment.