As tech stocks cool and market concentration risks increase, investors should diversify into overlooked sectors. Healthcare, insurance, and regional banking are quietly building momentum. Three recommended stocks are Ligand Pharmaceuticals (royalty-based biotech model with strong growth projections), Aflac (insurance with 44-year dividend history and pet insurance growth), and Atlantic Union Bankshares (regional bank with stable fundamentals and 3.5% dividend yield).

The article compares two biotech companies: CRISPR Therapeutics, which has achieved its first gene-editing product approval for sickle cell disease but faces significant losses and customer concentration risks, versus Viking Therapeutics, a clinical-stage company targeting the obesity and metabolic disorder markets with no approved products yet. While both are highly speculative, the author favors CRISPR due to its existing revenue and approved treatment, despite Viking's potentially larger market opportunity.

XOMA Royalty Corporation announced quarterly preferred stock dividends for Series A and Series B preferred shareholders, with Series A receiving $0.53906 per share and Series B receiving $0.52344 per depositary share, payable on July 15, 2026. The company also announced the redemption of all outstanding preferred stock at $25.00 per share on July 14, 2026, in connection with its pending merger with Ligand Pharmaceuticals through Flex Merger Sub, Inc. Additionally, the record date for CVR distribution to common stockholders has been set for July 13, 2026.

Ligand Pharmaceuticals announced it will host an Investor Day in New York City on December 8, 2026, featuring presentations from senior management on the company's strategy, investment activity, royalty portfolio, and long-term financial outlook. A live webcast will be available through the company's Investor Relations website.

Andrew Reardon, CLO & Secretary at Ligand Pharmaceuticals, sold 5,000 shares worth approximately $1.14 million on June 1, 2026, through the exercise and immediate disposition of stock options. Post-transaction, Reardon retains 41,382 shares and 39,444 employee stock options. The analyst views this as income supplementation rather than a loss of confidence, noting Ligand's strong 123.61% one-year return and growing royalty revenue (up 56% YoY in Q1), though Captisol sales declined.

Investment fund Villere St Denis J & Co LLC completely exited its position in Euronet Worldwide, selling 244,878 shares worth approximately $17.53 million in Q1 2026. The liquidation represents a full exit from a position that previously comprised 1.9% of the fund's assets under management. Euronet shares have declined 25.4% over the past year, underperforming the S&P 500 significantly.

The Schall Law Firm is investigating potential breaches of fiduciary duty by XOMA Royalty Corporation's board and management regarding the company's $739 million acquisition by Ligand Pharmaceuticals. Shareholders are invited to participate in the investigation.

Ligand Pharmaceuticals announced the acquisition of XOMA Royalty Corporation for $739 million ($39.00 per share in cash). The deal is expected to be immediately accretive to adjusted EPS and increases Ligand's 2026 guidance to $8.50-$9.50 per share, with an additional $1.50 per share contribution expected in 2027. The acquisition expands Ligand's royalty portfolio and strengthens its position as a leading biopharma royalty aggregator.

Monteverde & Associates PC announced investigations into multiple companies involved in M&A transactions, including XOMA Royalty Corporation's proposed sale to Ligand Pharmaceuticals at $39.00 per share in cash. The firm is examining whether the deal terms are fair to shareholders.

Ligand Pharmaceuticals announced it will acquire XOMA Royalty Corporation for $39.00 per share in cash, totaling approximately $739 million. The acquisition expands Ligand's royalty portfolio to over 200 assets and adds seven commercial products. Ligand raised its 2026 adjusted EPS guidance to $8.50-$9.50 and expects the transaction to be accretive by $1.50 per share in 2027. The deal is expected to close in Q3 2026.

Ligand Pharmaceuticals CFO Octavio Espinoza sold 3,057 shares worth $688,000 on March 11, 2026, representing 12.70% of his direct holdings. The sale was executed under a prearranged 10b5-1 plan and appears to be a structured liquidity event rather than a red flag. Despite the insider sale, Ligand's fundamentals remain strong with 2025 revenue reaching $268.1 million (60% increase) and net income of $124.5 million, with management forecasting up to $285 million in revenue for 2026.

Bank of America Securities initiated coverage of Ligand Pharmaceuticals with a Buy rating and $244 price target, highlighting the biopharmaceutical royalty aggregator's differentiated business model, strong management, and attractive growth prospects. The company beat Q4 earnings expectations with $2.02 EPS versus $1.56 consensus and $59.7M in sales versus $55.6M estimate, while maintaining fiscal 2026 guidance of $8.00-$9.00 EPS and $245-$285M in sales.