Biotech Stocks Are Trending In The Stock Market Now
As an investor in the stock market, biotech stocks have always been an intriguing sector to invest in. Companies in this industry are usually less affected by global events and economic uncertainties. This is because, regardless of the economic climate, biotech companies are still on the hunt for the next big breakthrough. Often, the value of the stock is speculative and based on the promise of a new drug or treatment. So, investing in biotech stocks may seem like a gamble. However, on the bright side, the stock prices of these companies are often very low right up until news break. Therefore, if proper research is done and you get in early, this sector could be a very profitable sector to invest in.
For example, we all knew that COVID-19 vaccines were going to be a thing when we were initially struck by the global pandemic. Investors who saw this coming and invested in potential vaccine companies would have made a fortune by now. Just look at Moderna (NASDAQ: MRNA) and Novavax (NASDAQ: NVAX) that were closely linked to the development and discovery of COVID-19 vaccines. The first case was detected in the U.S. back on January 21, 2020. Since then, both companies have seen astronomical gains. Believe it or not, MRNA stock has skyrocketed by over 600%. Meanwhile, NVAX stock which last traded at $144.45 was still considered a penny stocks back then. So if this gets you excited, here’s a look at some of the top biotech stocks in the stock market today.
Top Biotech Stocks To Consider Buying Today
Kinnate Biopharma Inc
Kinnate Biopharma is a biopharmaceutical company that specializes in small molecule kinase inhibitors for the treatment of cancers. The company utilizes its deep specialization in structure-based drug discovery, translational research, and patient-driven precision medicine, collectively referred to as Kinnate Discovery Engine, to develop its targeted therapies. At this point, the company’s product candidates are KIN-2787, KIN-3248, and KIN004. As you would expect from a company in the biotech industry, the stock price is often dictated by its recent developments or advancements. KNTE stock soared by 11.31% on Tuesday after some positive news concerning its product. Now let us have a look at why investors responded favorably to it.
On Monday, Kinnate announced that the U.S. FDA has cleared an investigational new drug application for the RAF inhibitor KIN-2787. Therefore, the company plans to begin trials later this year. The first part of the trial will establish the recommended dose, and the second part will be a dose-escalation portion. For those unaware, KIN-2787 will be for the treatment of patients with BRAF-mutated solid tumors. This is a huge step for the company as it demonstrates the progress it is making in its transition to becoming a clinical-stage company. With that in mind, would KNTE stock be worth investing in?
Legend Biotech Corp
Next to make this exciting list is Legend Biotech. The clinical-stage biopharmaceutical company engages in the discovery and development of cell therapies for oncology and other indications. Its lead product candidate, LCAR-B38M/JNJ-4528, is an autologous CAR-T cell therapy that targets the B-cell maturation antigen (BCMA). LEGN stock received a boost on Tuesday, rising by 14.24%.
Investors seemed to be responding positively to its first-quarter earnings report announced on Tuesday. During the first quarter, revenue was $13.7 million, an increase of $2.2 million. Back in April, the company also completed the submission of the Marketing Authorisation Application (MAA) to the European Medicines Agency (EMA) seeking approval of ciltacabtagene autoleucel (cilta-cel) for the treatment of patients with relapsed and/or refractory multiple myeloma. Therefore, this is a testimony to the promising efficacy and safety results of cilta-cel. All things considered, is this the right time to add LEGN stock into your portfolio?
Sarepta Therapeutics Inc
Sarepta Therapeutics is a biopharmaceutical company. The company focuses on the discovery and development of ribose nucleic acid (RNA)-targeted therapeutics for the treatment of rare neuromuscular diseases. It operates through discovering, developing, manufacturing, and delivering therapies to patients with Duchenne muscular dystrophy (DMD). SRPT stock closed 8.4% higher on Tuesday and was up as much as 12% earlier in the trading session. As you would’ve guessed, this came after the announcement of positive data from the company.
On Tuesday, Sarepta announced positive 12-week expression and safety results from the first 11 participants enrolled in Study SRP-9001-103. In results from the first clinical study using commercially representative material, SRP-9001 demonstrated robust expression of micro-dystrophin and no new safety signals from prior studies. This supports its potentially differentiated profile for the treatment of DMD. Therefore, armed with these data, it will be able to seek a meeting with the FDA with the goals of starting its registrational study. So if you believe SRPT stock will be able to rebound from its previous free-fall back in January, could this be a good opportunity to buy the dip?
When it comes to COVID-19 vaccinations, most people would have heard of Pfizer. This is because it is the first COVID-19 vaccine company to gain FDA’s emergency use authorization (EUA). Its success in developing a safe and effective vaccine has given the company the confidence to invest in the technology that underpins that vaccine. On Monday, Europe’s drug regulator recommended extending the storage time for the Pfizer-BioNTech COVID-19 vaccine at normal fridge temperatures to 31 days from 5 days. The change is applicable only to unopened vials. Hence, this would ease logistical challenges during the vaccination rollouts in the region.
On top of that, a Spanish study on mixing COVID-19 vaccines has found that giving a dose of Pfizer’s drug to people who have already received a first shot of AstraZeneca (NASDAQ: AZN) vaccine is highly safe and effective. The study run by Spain’s state-backed Carlos III Health Institute found the immune response in people who received a Pfizer shot was between 30 and 40 times greater than in a control group who only had one AstraZeneca dose. Given these new discoveries relating to the company’s vaccine, would you consider buying PFE stock now?