Palo Alto Investors LP

Fundamental concentrated ★Highest signal healthcare specialist (98%) CIK 1306923
League rank
#377
in Fundamental concentrated · #910 overall
Long book
$653.9M
Q1 2026
Positions
51
Top-10 weight
64%
concentration
Last quarter
+17.5%
SPY +14.8%
Turnover
15%
of book per quarter

Strategy in plain words

auto-generated from filings

Palo Alto Investors LP is a concentrated fundamental stock-picker, specialised in healthcare (98% of the long book), running a $653.9M US long book across 51 positions.

The portfolio is concentrated: the top 10 names carry 64% of the portfolio. Turnover is modest: positions are typically held for years. Current anchor positions: INSMED INC, ACADIA PHARMACEUTICALS INC, PTC THERAPEUTICS INC, BIOMARIN PHARMACEUTICAL INC, UNITED THERAPEUTICS CORP.

Over the last 9 quarters its long book ran on average 3pp per quarter ahead of the S&P 500, beating the index in 4 of 9 quarters. We rate its filings highest-signal: new buys here are worth attention.

Implied long-book return vs S&P 500

methodology: positions priced quarterly, no shorts/options
Fund long book S&P 500
Q1 2024
+27.7%
Q2 2024
-3.0%
Q3 2024
-7.4%
Q4 2024
-7.0%
Q1 2025
-0.5%
Q2 2025
+24.4%
Q3 2025
+19.6%
Q4 2025
-4.4%
Q1 2026
+17.5%

Sector allocation

Healthcare
96%
Other
2%
Materials
1%
Financials
0%

Long book by quarter

$886.7M
Q1 2024
$863.0M
Q2 2024
$769.9M
Q3 2024
$645.4M
Q4 2024
$525.1M
Q1 2025
$470.0M
Q2 2025
$540.4M
Q3 2025
$718.4M
Q4 2025
$653.9M
Q1 2026

What does Palo Alto own?

Q1 2026 13F
CompanySectorSharesValue% of bookChange
INSM INSMED INCHealthcare415.3K$67.9M10.4%-15.2%
ACAD ACADIA PHARMACEUTICALS INCHealthcare2.9M$63.9M9.8%+15.6%
PTCT PTC THERAPEUTICS INCHealthcare921.6K$62.8M9.6%+2.0%
BMRN BIOMARIN PHARMACEUTICAL INCHealthcare685.2K$38.7M5.9%-8.2%
UTHR UNITED THERAPEUTICS CORPHealthcare62.8K$37.2M5.7%+7.9%
ANAB ANAPTYSBIO INCHealthcare638.2K$35.4M5.4%-7.5%
MIRM MIRUM PHARMACEUTICALS INCHealthcare325.2K$30.0M4.6%+107.9%
DYN DYNE THERAPEUTICS INCHealthcare1.7M$30.0M4.6%+12.3%
BIIB BIOGEN INCHealthcare140.7K$25.8M3.9%-23.3%
IRON DISC MEDICINE INCHealthcare401.7K$25.7M3.9%+26.5%
IOVA IOVANCE BIOTHERAPEUTICS INCHealthcare6.3M$22.3M3.4%-10.8%
SNDX SYNDAX PHARMACEUTICALS INCHealthcare865.0K$20.2M3.1%+8.9%
ANNX ANNEXON INCHealthcare2.9M$16.3M2.5%+23.7%
AM6 AMICUS THERAPEUTICS INC1.1M$16.1M2.5%-78.6%
NVCR NOVOCURE LTDHealthcare1.3M$14.0M2.1%-1.4%
RARE ULTRAGENYX PHARMACEUTICAL INHealthcare596.5K$12.5M1.9%+29.3%
PRTA PROTHENA CORP PLCHealthcare1.2M$11.7M1.8%-8.5%
BCAX BICARA THERAPEUTICS INCHealthcare550.4K$10.9M1.7%+84.3%
CLDX CELLDEX THERAPEUTICS INCMaterials296.4K$9.4M1.4%New
CDNA CAREDX INCHealthcare531.9K$9.2M1.4%+11.2%
ALKS ALKERMES PLCHealthcare242.6K$8.6M1.3%Held
CMPX COMPASS THERAPEUTICS INCHealthcare1.5M$8.0M1.2%-40.2%
AGIO AGIOS PHARMACEUTICALS INCHealthcare213.6K$7.2M1.1%+0.5%
ALGN ALIGN TECHNOLOGY INCHealthcare41.5K$7.1M1.1%Held
CAPR CAPRICOR THERAPEUTICS INCHealthcare229.8K$7.0M1.1%+1.5%
TVTX TRAVERE THERAPEUTICS INCHealthcare230.5K$6.8M1.0%+108.1%
TSHA TAYSHA GENE THERAPIES INCHealthcare1.4M$6.2M1.0%+17.6%
ACRS ACLARIS THERAPEUTICS INCHealthcare1.6M$6.1M0.9%+3.0%
DNLI DENALI THERAPEUTICS INCHealthcare234.6K$4.5M0.7%-63.4%
XENE XENON PHARMACEUTICALS INCHealthcare51.3K$3.0M0.5%-46.8%
ORKA ORUKA THERAPEUTICS INCHealthcare60.0K$2.9M0.4%Held
STOK STOKE THERAPEUTICS INCHealthcare84.6K$2.8M0.4%+17.5%
EW EDWARDS LIFESCIENCES CORPHealthcare33.6K$2.7M0.4%Held
NBIX NEUROCRINE BIOSCIENCES INCHealthcare18.1K$2.4M0.4%Held
NUVB NUVATION BIO INCHealthcare508.8K$2.2M0.3%-5.4%
CYTK CYTOKINETICS INCHealthcare32.2K$2.1M0.3%New
EHTH EHEALTH INCFinancials1.5M$1.9M0.3%-3.2%
CRSP CRISPR THERAPEUTICS AGHealthcare39.6K$1.9M0.3%-3.9%
PYXS PYXIS ONCOLOGY INCHealthcare1.0M$1.5M0.2%-2.6%
VSTM VERASTEM INCHealthcare246.1K$1.3M0.2%New
MDGL MADRIGAL PHARMACEUTICALS INCHealthcare1.8K$935K0.1%New
HUM HUMANA INCFinancials4.0K$691K0.1%Held
XERS XERIS BIOPHARMA HOLDINGS INCHealthcare104.4K$606K0.1%New
ABEO ABEONA THERAPEUTICS INCHealthcare108.9K$488K0.1%Held
INSP INSPIRE MEDICAL SYSTEMS INCHealthcare8.8K$452K0.1%Held
URGN UROGEN PHARMA LTDHealthcare24.5K$441K0.1%Held
PRQR PROQR THERAPEUTICS NVHealthcare188.8K$306K0.0%Held
ALDX ALDEYRA THERAPEUTICS INCHealthcare155.7K$263K0.0%-30.9%

13F filing history

PeriodFormFiledEntriesReported valueFlagsSource
Q1 202613F-HRMay 15, 202651$653.9M canonicalSEC ↗
Q4 202513F-HRFeb 17, 202649$718.4M canonicalSEC ↗
Q3 202513F-HRNov 14, 202544$540.4M canonicalSEC ↗
Q2 202513F-HRAug 14, 202545$470.0M canonicalSEC ↗
Q1 202513F-HRMay 15, 202544$525.1M canonicalSEC ↗
Q4 202413F-HRFeb 14, 202543$645.4M canonicalSEC ↗
Q3 202413F-HRNov 14, 202445$769.9M canonicalSEC ↗
Q2 202413F-HRAug 14, 202439$863.0M canonicalSEC ↗
Q1 202413F-HRMay 15, 202438$886.7M canonicalSEC ↗