Baron
Baron Health Care Fund
US Large-cap Healthcare
Dec 2024 → Jun 2026
Our archive holds 8 letters from this strategy, behind 45 investment theses and positions in 44 companies. Every quote below is copied verbatim from the letter it came from.
8 letters in 3 years — follow all of Baron for every strategy.
What it bought and sold
We established a new position in Sartorius Stedim Biotech S.A. , which supplies equipment and reagents to biopharmaceutical companies for the production of biologic drugs.
We added to our position in Mettler-Toledo International Inc ., a company we have owned in the Fund since inception.
We sold Apogee Therapeutics, Inc. and Terns Pharmaceuticals, Inc. following announcements that they were being acquired, Apogee by AbbVie Inc. and Terns by Merck & Co., Inc. , another Fund holding .
We reduced our positions in AstraZeneca PLC and Ionis Pharmaceuticals, Inc. due to valuation.
We sold Apogee Therapeutics, Inc. and Terns Pharmaceuticals, Inc. following announcements that they were being acquired, Apogee by AbbVie Inc. and Terns by Merck & Co., Inc. , another Fund holding .
We reestablished positions in UnitedHealth and Elevance during the quarter as discussed below in the Recent Activity section.
We sold Stryker Corporation because of concerns about slowing hospital inpatient trends and hospital capex spending due to expiration of the ACA subsidies and stricter Medicaid eligibility requirements.
We added to our position in Revolution Medicines, Inc. , a biotechnology company developing medicines to treat cancers driven by rat sarcoma (RAS) mutations.
We reduced our positions in AstraZeneca PLC and Ionis Pharmaceuticals, Inc. due to valuation.
We reestablished positions in UnitedHealth and Elevance during the quarter as discussed below in the Recent Activity section.
Also held
- Insmed Incorporated
- Intuitive Surgical, Inc.
- RadNet, Inc.
- Guardant Health, Inc.
- Eli Lilly and Company
- argenx SE
- BillionToOne, Inc.
- Roivant Sciences Ltd.
- Gilead Sciences, Inc.
- Welltower Inc.
- Thermo Fisher Scientific Inc.
- IDEXX Laboratories, Inc.
- Merck & Co., Inc.
- Johnson & Johnson
- Teva Pharmaceutical Industries Limited
Its investment theses
- Revolution Medicines, Inc.Jun 2026Revolution Medicines develops RAS-targeted cancer drugs, with breakthrough pancreatic data and potential for rapid adoption and large peak sales.
- UnitedHealth Group IncorporatedJun 2026UnitedHealth provides diversified managed care services, with improving insurance-cycle fundamentals, AI-driven cost savings, and margin recovery potential.
- Elevance Health, Inc.Jun 2026Elevance Health offers diversified managed care services, with a favorable insurance cycle, AI cost benefits, and margin recovery upside.
- Insmed IncorporatedJun 2026Insmed has a pulmonology pipeline with multi-billion-dollar peak sales potential, led by Brinsupri and once-daily TPIP.
- Eli Lilly and CompanyJun 2026Eli Lilly leads in diabetes and obesity therapies, supported by broad coverage, strong clinical data, and a top-tier metabolic pipeline.
- Mettler-Toledo International Inc.Jun 2026Mettler-Toledo supplies precision instruments and services, supported by strong competitive advantages, a long growth record, and attractive valuation.
- Sartorius Stedim Biotech S.A.Jun 2026Sartorius Stedim Biotech supplies single-use bioprocessing equipment, benefiting from industry growth, customer advantages, and valuation upside.
- Edwards Lifesciences CorporationJun 2026Edwards Lifesciences specializes in structural heart therapies and is valued for its leadership in mitral and tricuspid replacement with a durable growth runway.
- Merck & Co., Inc.Mar 2026Merck is a large pharma company managing the Keytruda patent cliff with acquisitions, pipeline investment, and a discounted valuation.
- Johnson & JohnsonMar 2026Johnson & Johnson is a diversified health care leader with accelerating growth, strong cash flow, and a higher-multiple case.