We just covered the Billionaire Joe Edelman\u2019s 10 Stock Picks with Huge Upside Potential<\/strong> and Protagonist Therapeutics, Inc. (NASDAQ:PTGX) ranks 10th on this list.<\/p>\n Elite investors have been positioning themselves in Protagonist Therapeutics, Inc. (NASDAQ:PTGX) stock as the firm transforms from a clinical-stage biotech to a high-margin commercial royalty engine. An important reason for interest in the shares this year has been the FDA approval of Icotyde for moderate-to-severe plaque psoriasis. Icotyde is the only once-daily oral IL-23R peptide on the market. Wall Street views it as a disruptive alternative to existing injectables, offering the convenience of a pill with the potency of a biologic. The drug was developed in collaboration with Johnson & Johnson, which holds exclusive commercialization rights. This partnership de-risks the launch for Protagonist, as J&J\u2019s massive marketing machine will drive adoption while Protagonist collects high-margin royalties.<\/p>\n Protagonist Therapeutics, Inc. (NASDAQ:PTGX) is rapidly improving the balance sheet following the commercial pivot. The FDA approval triggered an immediate $50 million milestone payment from J&J. The company remains eligible for up to $580 million in additional regulatory and sales milestones, plus tiered royalties, 6% to 10%, on global net sales. Hedge funds view this as a guaranteed, low-risk cash flow stream that could fund the rest of the company\u2019s pipeline for years. These funds are also pricing in the success of Rusfertide, the company\u2019s lead candidate for a rare blood disorder. In March, Protagonist submitted its New Drug Application for Rusfertide, backed by successful 52-week Phase 3 data.<\/p>\n While we acknowledge the potential of PTGX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock<\/strong>.<\/p>\n READ NEXT<\/b>:\u00a0Israel Englander Stock Portfolio: Top 10 Stock Picks<\/b>\u00a0and\u00a0Billionaire Stan Druckenmiller\u2019s 10 Small and Mid-Cap Stock Picks with Huge Upside Potential<\/b>.<\/p>\n Disclosure: None.\u00a0Follow Insider Monkey on Google News<\/b>.<\/p>\n<\/p><\/div>\n<\/div>\n<\/div>\n<\/figure>\n