BTIG has released its Top Picks for the second half of 2026, assembling a group of healthcare names the firm views as having compelling catalysts within a 12-month investment horizon. The roster mixes medical device companies, specialty services operators and clinical-stage biotechnology developers that BTIG considers to be at important inflection points driven by product approvals, trial readouts, payer coverage gains or improving financial profiles.
Report overview
The selections emphasize companies with near-term observable catalysts, favorable competitive dynamics and trajectories the firm judges supportive of revenue and margin expansion. Several picks are highlighted for improving free cash flow or balance-sheet metrics; others are singled out for clinical data or regulatory milestones expected to materially alter market positioning.
Company-by-company highlights
ICU Medical (ICUI) - BTIG names ICUI its SMID-Cap Top Pick, noting the Smiths Medical integration is nearing completion. The firm cites expanding margins and accelerating free cash flow generation and points to Baxter’s Novum IQ hold as keeping hospital procurement conversations active. BTIG estimates each large-volume pump win contributes roughly $8-10 million in annual recurring revenue. Looking ahead, pending FDA clearance of the Medfusion 5000 syringe pump and a refreshed CADD ambulatory pump are expected to strengthen ICUI’s position in hospital purchasing decisions. With net leverage approaching management’s 2.0x target, BTIG says capital returns to shareholders are becoming a priority. The stock, BTIG notes, trades at about 15x the firm’s 2027 adjusted EPS estimate of $9.10, materially below the company’s 10-year historical average of 25x.
Jasper Therapeutics (JBIO) - BTIG selected Jasper as a 2H26 Top Pick after recent stock weakness presented what the firm views as an attractive entry point. The firm highlights JADE101 Phase 1 data, which demonstrated approximately 70% IgA reduction in healthy volunteers - a result BTIG states is the highest reported among anti-APRIL monoclonal antibodies to date. BTIG notes the injection burden for JADE101 is expected to be one-third that of competitor VOYXACT. The firm estimates IgA nephropathy (IgAN) could represent a $20 billion-plus market in the U.S. alone, with more than 169,000 patients. BTIG expects Phase 2 IgAN data and Phase 3 trial initiation in 2027 and in the first half of 2027, respectively. The report also points to management experience, observing that the team previously led Chinook Therapeutics, which was acquired by Novartis for $3.2 billion upfront in August 2023.
Cartesian Therapeutics (RNAC) - BTIG expects investor interest to increase ahead of Phase 3 AURORA data for Descartes-08 in myasthenia gravis, anticipated in the first quarter of 2027. The firm emphasizes the BCMA mRNA-based CAR-T’s differentiators - a clean safety profile, no requirement for lymphodepletion and the potential for redosability. BTIG highlights Phase 2b 12-month data that showed dosing intervals of approximately 12 months-plus, which the firm describes as a meaningful improvement versus FcRn antagonists. Cartesian has licensed targeted lipid nanoparticle delivery technology to advance in vivo CAR-T development and BTIG reports a Phase 1 trial in China is expected to begin in the second half of 2026. The company also entered a strategic licensing agreement with WestGene Biopharma focused on in vivo CAR-T therapies for autoimmune diseases and secured a credit facility of up to $150 million, which BTIG says extends its cash runway into 2028.
BrightSpring Health Services (BTSG) - BTIG retains BrightSpring as its Large-Cap Top Pick, citing consistent quarterly results and favorable secular tailwinds. Pharmacy revenue rose 25% year-over-year in the first quarter of 2026, while Provider revenue increased 28% year-over-year. BTIG attributes growth to higher volumes, new drug and generic launches, and structural spending in a specialty drug market it characterizes as growing 8-12% annually. The company is targeting 10-15 acquisitions per year and, BTIG notes, has already achieved a long-term objective of about 2.5x debt-to-EBITDA. At its March Investor Day, BrightSpring guided to a longer-term organic adjusted EBITDA compound annual growth rate of 15-20% from the end of 2026 through 2028.
The Oncology Institute (TOI) - BTIG points to TOI as a deep oncology care platform with over 2 million members across five states. Pharmacy revenue grew 78% year-over-year in the first quarter of 2026, and Provider revenue rose 11% year-over-year in the same quarter. BTIG expects growth to accelerate as approximately 130,000 delegated lives go live in Florida through the remainder of 2026. Medical loss ratio (MLR) has been in the 80-85% range, which BTIG notes is meaningfully better than the 90%-plus levels some health plans are reporting. The firm expects TOI to reach positive adjusted EBITDA in the third quarter of 2026, with a step-up in the fourth quarter of 2026. BTIG also notes the company refinanced $86 million in debt through a new credit facility with OrbiMed.
Guardant Health (GH) - Continued inclusion as a Large-Cap Top Pick reflects BTIG’s view of Guardant as an industry pioneer in liquid biopsy-based oncology testing. The firm highlights FDA approval of G360CDx ahead of expectations and the inclusion of Guardant Shield in American Cancer Society guidelines in the first half of 2026. Achieving ADLT status increased Guardant Shield’s Medicare rate from $920 to $1,495 per test, a 63% increase, according to BTIG. Guardant drove more than 30% growth in its core oncology business in 2025, and BTIG characterizes the launch of the Shield CRC blood-based screening test as being in its very early commercial days. The firm believes Guardant has a two-year first-mover advantage in the large blood-based colorectal cancer (CRC) screening market.
BillionToOne (BLLN) - BTIG names BillionToOne a SMID-Cap Top Pick for the first time, calling out robust revenue and margin expansion. The company reported 100% year-over-year revenue growth in 2025 with gross margins of 68% and exited 2025 with an 11% GAAP operating margin. First quarter 2026 delivered 84% year-over-year revenue growth, 73% gross margins and a 16% GAAP operating margin. BillionToOne has secured payor coverage agreements with large health plans Anthem and UnitedHealthcare, representing approximately 300 million covered lives in the U.S. market. BTIG highlights UNITY as the first non-invasive prenatal test to screen for recessive conditions such as sickle cell disease and references a potential target opportunity of about $150 billion.
Perspective Therapeutics (CATX) - BTIG selects Perspective as a 2H26 Top Pick ahead of a catalyst-rich back half of 2026, with data expected by year-end across all three clinical programs. The firm’s investment thesis centers on VMT-α-NET, a lead-212 targeted alpha therapy (TAT) for SSTR2-positive neuroendocrine tumors (NETs), a space BTIG links to the commercial validation of Lutathera, which has generated over $800 million in worldwide sales. BTIG notes a recent VMT-α-NET update showing a 43% objective response rate (ORR) across a broad cohort 2 patient population versus Lutathera’s roughly 18% ORR. With $174 million in cash, Perspective has a runway into late 2027, and BTIG’s base case assigns $2.7 billion in peak U.S. sales to VMT-α-NET and $337 million to VMT01. The company has dosed first patients in new cohorts of its Phase 1/2a studies for both [212Pb]VMT-α-NET and [212Pb]PSV359 and presented updated interim results at a medical conference.
Faeth Therapeutics (FTH) - Chosen as a 2H26 Top Pick ahead of Phase 2 data in endometrial cancer, Faeth is advancing PIKTOR, a dual oral regimen comprised of serabelisib and sapanisertib for endometrial, breast and other solid tumors. BTIG believes the PI3K-alpha selectivity of PIKTOR should limit toxicity and that oral administration will be a commercial differentiator. The firm models $794 million in peak U.S. sales for second-line-plus PI3K/mTOR-mutated endometrial cancer and $2.2 billion in peak sales across first- and second-line HR-positive/HER2-negative breast cancer.
Edwards Lifesciences (EW) - Edwards remains BTIG’s Large-Cap Top Pick for the second half of 2026. BTIG points to strong underlying demand for the core transcatheter aortic valve replacement (TAVR) franchise and growing revenue contribution from the transcatheter mitral and tricuspid therapies (TMTT) segment. BTIG notes a recently released National Coverage Determination (NCD) proposal contains several constructive changes the firm expects will remove barriers and lead to higher TAVR procedure volumes, with a final decision expected in September. BTIG models roughly 7% year-over-year sales growth for the TAVR business and about 36% year-over-year revenue growth for the TMTT segment in the second half of 2026.
Additional names - BTIG’s roster also includes a list of other healthcare companies the firm highlights as top picks for the second half of 2026, including iRhythm Technologies, Harrow, Opus Genetics, Praxis Precision Medicines, Zevra Therapeutics, Solventum and Glaukos.
Context for investors
Across the selections BTIG emphasizes commercial and clinical catalysts, moves to improve capital allocation and balance-sheet flexibility and milestones that could shift payer or provider behavior. Several names are characterized by rapidly improving revenue and margin dynamics, while others hinge on clinical or regulatory readouts that BTIG expects will clarify long-term prospects.
Key points
- BTIG’s list spans medical devices, specialty healthcare services and clinical-stage biotech, with selections rooted in near-term catalysts such as FDA clearances, trial readouts and payer coverage changes.
- Several companies on the list are noted for improving cash-flow or balance-sheet metrics, including ICU Medical - which is approaching a 2.0x net leverage target - and Cartesian Therapeutics - which secured a credit facility of up to $150 million extending runway into 2028.
- Reimbursement and regulatory developments feature prominently, highlighted by Guardant Health’s ADLT-driven Medicare rate increase for Shield and Edwards Lifesciences’ favorable NCD proposal that BTIG expects could increase procedural volumes.
Risks and uncertainties
- Clinical and regulatory outcomes - Several names depend on upcoming trial data or FDA clearances (for example, ICU Medical’s Medfusion 5000 syringe pump and multiple clinical readouts across Jasper, Cartesian, Perspective and Faeth). Adverse or delayed outcomes would affect commercial prospects and near-term valuation; this risk primarily impacts the biotech and device sectors.
- Reimbursement and market adoption - Payer coverage and reimbursement changes play a material role for diagnostics and screening tests; while Guardant achieved ADLT status and a Medicare rate increase for Shield, broader commercial adoption remains a factor for realized revenue growth, affecting diagnostics and oncology services.
- Balance-sheet and cash-runway considerations - Several companies are highlighted for securing financing or improving leverage, but continued access to capital or execution on planned acquisitions (for example BrightSpring’s 10-15 acquisition target) could affect growth trajectories for healthcare services and biopharma developers.
Investor takeaway
BTIG’s second-half 2026 Top Picks reflect an emphasis on companies with identifiable near-term inflection points - whether commercial, regulatory, reimbursement or clinical - and several selections are also underpinned by improving cash generation or balance-sheet moves. Investors evaluating the list should weigh the specific catalysts called out for each company alongside the clinical, regulatory and reimbursement risks that remain.