Best biotech stocks to buy now: 7 Best Biotech Stocks to Build Your Portfolio

These groups tend to be smaller than corporate labs and have less time to compare every product line when purchasing. Therefore, they tend to purchase from large, trusted companies above all else. ALX has one primary drug — evorpacept — that it is exploring in multiple trials. It’s a combination therapy with Merck’s Keytruda and is in phase 2. Like other CD47 companies, ALX is targeting blood cancers and hopes to prove efficacy in solid tumors.

As you may have guessed, the US dominates the biotechnology market by a wide margin. The only positive stems from the company’s gross margin of 78.18%. Other than that, ROIV represents a potshot on its aspirational goals to improve efficiencies in healthcare. Also, their average price target comes out to $13.71, implying 91% upside potential. Thus, if you can handle the heat, ROIV could be one of the biotech stocks to buy. In order to compile our list of the 12 best biotech stocks under $10 we used overall hedge fund towards biotech stocks that are under $10.

Catalyst is the No. 1 biotech stock, leading an industry group of almost 800 companies. In 2020, the industry was thrust into the pandemic limelight as Pfizer and its partner BioNTech , along with Moderna and Johnson & Johnson , launched a trio of Covid vaccines. But as society learned to live with Covid — and other concerns around the economy, inflation and politics took center stage — interest in biotech fell by the wayside. Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors.

Intellia Therapeutics (NTLA)

Their advances include the creation of Bionauts™, which are micro-robots that can be controlled remotely to deliver targeted treatment. The company is helmed by CEO and co-founder Michael Shpigelmacher, an expert in robotics and AI. The company’s other co-founder, Aviad Maizels, acts as Executive Chairman. According to Global Market Insights, biotech will swell to $775.2 billion by 2024—more than a 100% increase from 2015. There are more than a few biotech startups aiming to grab a piece of that growing market, and we’ve rounded up 44 companies to watch. Not only that, but they developed the drugs faster than any other vaccine in history.

Also, its three-year book growth rate pings at 15.6%, outpacing nearly 66% of its rivals. The least risky biotech companies have drugs already commercially available and many drugs in later phases of testing. The best biotech companies also develop drug candidates with peak annual sales that are forecast to be high. If approved, AXS-05 as a depression treatment could be a blockbuster drug, with peak annual sales — the highest dollar volume of sales per year projected by analysts — estimated at $2.6 billion. The peak annual sales forecast for AXS-07 in the U.S. alone is more than $500 million per year.

Best Biotech Penny Stocks to Buy Now

Management estimates that it treats about half of the 83,000 CF patients in the U.S., Canada, Australia, and Europe. It believes it can eventually treat close to 90% of that population, and it has the track record to get there. In addition, the company has advanced its clinical testing of an experimental drug that has the potential to cure type 1 diabetes in some patients. Kriya Therapeutics develops gene therapy treatments that target obesity, diabetes, and other widespread and serious diseases. They aim to use gene therapy to combat highly pervasive conditions rather than rare monogenic disorders.

Some scientists believe that we’re in the ”golden age” of biotechnology. Scientific advances are creating new ways, previously only imaginable, to treat and prevent diseases. Their goal is to streamline the R&D process from beginning to end and help teams bring research data to a centralized location.

Harmony Biosciences Holdings

The application had been granted priority review, and the FDA had assigned a Prescription Drug User Fee Act action date of August 5, 2023. The stock has an overall rating of A, translating to a Strong Buy in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, with each factor weighted to an optimal degree. Merck looks like a downright bargain in the pharmaceutical industry. The stock’s forward P/E ratio of 12.1 is moderately lower than the industry average of 13.4.

Since the January opener, NTLA gained over 7% of its equity value. Also, Intellia’s operations are a mess, with negatively trending revenue and profitability metrics. Although scientifically compelling, RARE likewise represents a risky example of biotech stocks to buy. Unfortunately, the financials don’t provide much support either, with Gurufocus warning it’s a possible value trap.

He has helped countless investors take profitable rides on some of the hottest growth trends. His previous experience includes writing for Investopedia, Seeking Alpha and MT Newswires. Specifically, INCY is up 13% since mid-March 2020, while the S&P 500 has spiked 83%, and IBB has returned 25%. And since Q2 2020, INCY’s revenues are up 25% and EPS have nearly doubled. This top- and bottom-line growth is expected to continue, with analysts forecasting increases of 14% and 25%, respectively, this fiscal year.

The companies are testing a cell replacement drug in type 1 diabetes. Bullishly, CPRX shares have a best-possible Composite Rating of 99, according to IBD Digital. This puts the biotech stock in the top 1% of all stocks in terms of fundamental and technical measures. Its 12-month performance, measured by the Relative Strength Rating, is also in the top 3% of all stocks. For the fourth quarter that ended December 31, 2022, VRTX’s net product revenues increased 11.1% year-over-year to $2.30 billion. Its non-GAAP operating income grew 18% from the year-ago value to $1.15 billion.

It also has consistent royalty revenue for many of its franchises including MS drug Ocrevus, which saw a 29% increase in the last quarter. Plus, BIIB has a strong balance sheet with minimal debt and nearly $3 billion in cash. You can reduce your investment risk by focusing on biotech companies with strong financial positions. Biotech companies that are unprofitable are at risk of not having enough money to successfully fund clinical studies and complete regulatory filings to bring a new drug to market. ElevateBio is a biotechnology company focused on creating and developing cell and gene therapies to treat genetic diseases and cancer. Their platform, ElevateCell, integrates various capabilities such as R&D, process development, and manufacturing to expedite the development of transformative therapies.

• Also, on February 2, GILD announced that its board of directors declared an increase of 2.7% in its quarterly cash dividend to $0.75 per share of common stock, payable on March 30, 2023.
• A major factor in share-price decline is the controversial approval of its Alzheimer’s disease drug, Aduhelm.
• Currently, the firm has a valuation of $2.5 billion with $366 million in sales over the last 12 months.
• At least for now, it leaves a proven innovator with a stronghold in one disease area trading at a significant discount to its own historical levels.

In its best biotech stocks to buy now, Amphastar’s sales jumped 12% and adjusted earnings surged 74%. Sales of its biggest product, Primatene Mist, edged 4% higher to $22.3 million. Through a deal with Eisai , Catalyst now sells anti-seizure medicine Fycompa in the U.S. Catalyst also sells Firdapse, a treatment for Lambert-Eaton myasthenic syndrome, or LEMS. LEMS is a rare autoimmune condition that saps muscle strength and often occurs in lung cancer patients.

Finally, Merck’s animal health segment posted $1.5 billion in revenue during the quarter. $131.5 billion market capitalization comfortably makes it a large-cap stock. Unsurprisingly, the company enjoys both a stacked drug portfolio and a deep pipeline of drugs. With this context and industry outlook in mind, let’s start our list of 10 best biotech stocks to buy for 2021.

The level of innovation has been pretty astounding; discoveries are being made, and new items are reaching the market faster. In any case, given its distinct characteristics, the biotech sector ought to be included in diversified investment portfolios. The current stock prices offer an opportunity to add to or start new long-term holdings in the biotech industry. On February 22, 2023, Kite, a GILD company, acquired Tmunity Therapeutics, a clinical-stage biotech startup focused on next-generation CAR T-therapies and technology. The COVID-19 pandemic led to increased interest and funding in the biotech industry. Many companies in this space rushed to develop therapeutics and vaccines to help the world fight the deadly virus.

Amphastar develops, manufactures and sells a variety of injectable drugs. It also works on drugs that can be inhaled or delivered in the nose. Biotech stocks have been on a roller-coaster ride, but continue to outperform the broader market.

Most recently, Cantor Fitzgerald upped its price target to $138 from $121, implying upside of more than 50%. Increased NIH funding means more labs can move into the highly specialized research areas Bruker supports. It offers the machines and techniques needed for modern, high-quality proteomics research. There’s a truism in biochemistry that “you are what your proteins are.” That means proteins must be studied to understand modern diseases and how to treat them.

Several of the entities are specifically focused on https://forex-world.net/ therapy or genetics. Olaris seeks to provide better, more personalized treatment plans for patients by understanding people’s individual biomarkers. Olaris was founded in 2014 by Dr. Liz O’Day, a Harvard-educated professional with a biological and biomedical specialization. Bionaut Labs uses a precision-targeted medicine method to transform the way brain disorders are treated.