Biotech stocks were some of the top performers on the stock market throughout 2020. With the coronavirus vaccine tailwind carrying over to 2021, investors still have their eyes peeled on the industry. Rightfully so, even throughout the pandemic, there were innovations across the world of biotech. This includes vaccines, cancer treatments, gene-editing technology, and rare disease treatment to name a few. To add to that, the efforts to vaccinate the world are only just beginning. If anything, investors could see more room for the industry to grow in the months to follow.
I don’t blame them for doing so. There are constantly new breakthroughs and developments in the form of various clinical trial stages and phases. In light of positive developments, companies can see up to three-digit gains in a day in the best cases. For example, in early December 2020, Curis (CRIS Stock Report) saw gains of over 300% in a day after news broke of its leukemia treatment breakthrough. Aside from that, there are also biotech companies that have shown steady growth in the stock market. Fate Therapeutics (FATE Stock Report) with its gains of over 350% in the past year shows this. Whether it is investors looking to jump on explosive gains or those willing to hold for the long-run, options abound.Do The Rewards Outweigh The Risks For Biotech Stocks?
Some may wonder if these gains seem too good to be true. Admittedly, the industry is known for its volatility as well. The results from clinical trials can at times be a double-edged sword. Negative news could send share prices spiraling down. If you’re still here after all of this, I’d say you are still up for the ride. In line with that, here is a list of the top biotech stocks making moves now.
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- BioNano Genomics (BNGO Stock Report)
- Pandion Therapeutics (PAND Stock Report)
- EyePoint Pharmaceuticals (EYPT Stock Report)
BioNano (NASDAQ: BNGO) is a San Diego-based genome analysis company. In brief, the company operates using its industry-leading optical genome mapping platform, Saphyr. With its supposed greater efficiency and cost-effectiveness, most would say that BioNano is ahead of its competitors. If that wasn’t enough, BNGO stock surged by 133% over the first trading day of 2021. That came after the company’s announcement of a publication.
Yesterday, BioNano announced the publication of its study on autism risk genes. It was a comprehensive genome analysis of Professor Temple Grandin who is a high functioning individual with Autism Spectrum Disorder (ASD). The company said, “the study identified novel variants in known ASD risk genes and other genetic variants important to her health and wellness. Despite Dr. Grandin’s high level of functioning and acute awareness of how her ASD manifests, these findings have led to improved clinical management of many of her symptoms.” With this development, BioNano appears to be proving its capabilities. As a result, BNGO stock has definitely appeared on investors’ radars.
CEO Erik Holmlin had this to say, “Widespread adoption of genetic testing is important to patients and families because it creates a better understanding of ASD, but more importantly, informs families and patients about immediate health risks associated with ASD that could personalize treatment options and provide potentially life-saving information.” BioNano appears to be the frontrunner in this field of treatment. On top of that, the company also reportedly ended its recent quarter with $18.87 million in cash on hand. With solid financials and its developmental edge over the competition, BioNano seems to have its work cut out for itself. Do you think this could mean big gains for BNGO stock investors down the line?Top Biotech Stocks To Add To Your January 2021 Watchlist #2: Pandion Therapeutics Inc.
Another top biotech stock to watch this week is Pandion (NASDAQ: PAND). PAND stock surged by 48% over yesterday’s trading session. Investors may be curious as to what news could have caused the jump in PAND stock. In brief, Pandion is a biotech company that develops bispecific antibody therapeutics. The company’s work mainly focuses on autoimmune and inflammatory diseases.
On January 4, Pandion announced positive top-line data from its Phase 1a treatment known as PT101. The study showed proof of mechanism in the treatment of inflammatory bowel disease, lupus, and other autoimmune diseases. In particular, PT101 was well-tolerated and produced no serious adverse effects in volunteers. Harvard Professor of Medicine Scott Snapper said, “PT101’s high selectivity for and expansion of Tregs could allow for a fulsome exploration of the potential of this mechanism in autoimmune diseases, and I look forward to seeing its continued clinical development by Pandion.” Should things go as planned, Pandion could be looking at long-term gains. Given these findings, I’m not surprised that investors flocked to PAND stock.
In its recent quarter fiscal posted in November, the company reported bringing in $2.63 million in total revenue. Moreover, it ended the quarter with $232 million in cash which puts it in a solid financial position. If the company is able to make the most of all this, do you see PAND stock flourishing this year?Top Biotech Stocks To Add To Your January 2021 Watchlist #3: EyePoint Pharmaceuticals Inc
Last but not least, we have EyePoint (NASDAQ: EYPT). EyePoint is a biopharmaceutical company that specializes in developing and commercializing treatments for serious eye disorders. It’s two flagship products now include DEXYCU and YUTIQ. Notably, EYPT stock has been on a tear for the past month with gains of over 80%. Just yesterday, it saw gains upwards of 36%. This comes as news of a $15.7 million equity investment into the company broke on Sunday.
On January 3, EyePoint announced that it received an investment from Ocumension Therapeutics, a China-based ophthalmic pharmaceutical company. EyePoint CEO Nancy Lurker said, “This investment underscores our continued strong partnership with Ocumension for YUTIQ and DEXYCU in Asia… We are excited about the significant potential of these products in both the U.S. and in Asia and for our R&D pipeline.” It seems to be that EyePoint is looking to broaden its existing market. Besides, it has an impressive backer to support that endeavor. The company appears to be kicking into high gear, to say the least.
Back in November, the company also reported stellar financials in its third-quarter fiscal. EyePoint reported raking in $15.7 million in total revenue which marked a 525% increase year-over-year. Furthermore, it also ended the quarter with $28.73 million in cash on hand. EyePoint expects its cash position and projected cash inflows from product sales and other financing activities can fund its operating plan into 2021. Thus, the company is in a good financial position to pursue its ambitions moving forward. Should the company play its cards right in expanding its market, I could see investors jumping on the EYPT stock train. How about you?