US biopharmaceutical companies are heading into a seasonally mixed Q3 with limited earnings surprises expected, while the investor focus shifts to upcoming clinical and corporate catalysts, BofA said Thursday in a research note previewing Q3 results.

The firm said Ionis Pharmaceuticals (IONS) and Jazz Pharmaceuticals (JAZZ) were its top picks heading into year-end, citing strong clinical pipelines and event-driven upside.

BofA adjusted several price objectives, raising Jazz to $230 from $225, Liquidia (LQDA) to $37 from $35, Tarsus (TARS) to $85 from $80, and Teva (TEVA) to $24 from $22, while trimming Amphastar (AMPH) to $31 from $32.

The analysts said they do not expect major Q3 beats or misses but highlighted upcoming events such as Jazz's phase 3 zanidatamab data in gastric cancer, Ionis' trial updates, and Teva's potential TAPI divestiture announcement.

BofA maintained buy ratings on Ionis, Jazz, Liquidia, Tarsus, and Teva.

Price: 70.11, Change: +0.15, Percent Change: +0.21