Over the past two months, mutual funds and hedge funds liquidated momentum stocks, triggering a self-reinforcing selloff. As a result, nearly every single biotech stock has been pushed aggressively lower. When this happens mispricings occur. Fund managers take profits even on stocks that have great fundamentals and huge upside.
So, given this sell off, which of those stocks present a great buying opportunity We ran a screen that looks for the best biotech stocks with the most upside potential.
First, we look for companies with a market capitalization greater than $200 million. For the second level of the screen, the companies must have more than three analysts covering the stock. Third, there has to be more than three analysts that have a price target on the stock. Finally, we want to find stocks that are trading at a huge discount to analyst consensus price targets.
In running this screen for the first of May, the following five stocks have hit our radar as potential home runs. These stocks have an average analyst price target that is at least 200% higher than its current share price.
10 Best Logistics Stocks To Invest In 2015: Johnson & Johnson(JNJ)
Johnson & Johnson engages in the research and development, manufacture, and sale of various products in the health care field worldwide. The company operates in three segments: Consumer, Pharmaceutical, and Medical Devices and Diagnostics. The Consumer segment provides products used in baby care, skin care, oral care, wound care, and women?s health care fields, as well as nutritional, over-the-counter pharmaceutical products, and wellness and prevention platforms under the brands of JOHNSON?S, AVEENO, CLEAN & CLEAR, JOHNSON?S Adult, NEUTROGENA, RoC, LUBRIDERM, DABAO, LISTERINE, REACH, BAND-AID, CAREFREE, STAYFREE, SPLENDA, TYLENOL, SUDAFED, ZYRTEC, MOTRIN IB, and PEPCID AC. The Pharmaceutical segment offers products in various therapeutic areas, such as anti-infective, antipsychotic, contraceptive, dermatology, gastrointestinal, hematology, immunology, neurology, oncology, pain management, and virology. Its principal products include REMICADE for the treatment of immune me diated inflammatory diseases; STELARA for the treatment of moderate to severe plaque psoriasis; SIMPONI, a treatment for adults with moderate to severe rheumatoid arthritis, psoriatic arthritis, and ankylosing spondylitis; VELCADE for the treatment of multiple myeloma; PREZISTA and INTELENCE for treating HIV/AIDS patients; NUCYNTA for moderate to severe acute pain; INVEGA SUSTENNAtm for the acute and maintenance treatment of schizophrenia in adults; RISPERDAL CONSTA for the management of bipolar I disorder and schizophrenia; and PROCRIT to stimulate red blood cell production. The Medical Devices and Diagnostics segment primarily offers circulatory disease management products; orthopaedic joint reconstruction, spinal care, and sports medicine products; surgical care, aesthetics, and women?s health products; blood glucose monitoring and insulin delivery products; professional diagnostic products; and disposable contact lenses. The company was founded in 1886 and is based in Ne w Brunswick, New Jersey.
Advisors' Opinion:- [By Ben Levisohn]
The market’s weak start to the year is slowly becoming a memory as investors used Janet Yellen’s testimony as an excuse to push up economically sensitive stocks like Boeing (BA), Goldman Sachs (GS), Johnson & Johnson (JNJ), Chevron (CVX) and International Business Machines (IBM).
- [By David Schneider]
There are 3 companies in particular that fit these criteria extremely well. First let's take a look at Johnson & Johnson (JNJ). This healthcare developer, manufacturer, and seller has been increasing dividends for over 25 years at an over 5 percent pace. In each scenario, it is reasonable to assume a 5 percent average annual dividend growth rate as well as a conservative 5 percent increase in share price. We will take a long-term view and look at the affects over a 40-year time horizon that younger investors can fully take advantage of.
Hot Biotech Companies To Own For 2014: Agios Pharmaceuticals Inc (AGIO)
Agios Pharmaceuticals, Inc., incorporated on August 7, 2007, is a biopharmaceutical company. The Company is intend to apply its deep understanding of metabolism, coupled with the Company�� ability to create medicines that can inhibit or activate metabolic enzymes, to fundamentally change the way cancer and inborn errors of metabolism (IEMs) are treated. The Company has identified and validated novel and druggable targets in both cancer and IEMs. The Company�� two advanced cancer programs are targeting mutations in the enzymes isocitrate dehydrogenase 1 and 2, referred to as IDH1 and IDH2. The Company�� drug candidates are selective for the mutated forms of IDH1 and IDH2 found in cancer cells versus the normal forms of IDH1 and IDH2 found in all other cells.
The Company focused on developing medicines to address IEMs, with a novel approach to these orphan diseases for which no effective or disease-modifying therapy is available. The Company has also de-validated and terminated numerous programs, including many that have been reported in scientific journals. In the Company�� IEM portfolio, it uses an equally rigorous set of validation techniques.
Advisors' Opinion:- [By Jake L'Ecuyer]
Shares of Agios Pharmaceuticals (NASDAQ: AGIO) got a boost, shooting up 29.08 percent to $40.84 after the company reported quarterly results.
Stage Stores (NYSE: SSI) was also up, gaining 13.47 percent to $22.41 after the company reported Q4 results and announced the sale of its Steele's off-price division to a new retail unit of Hilco Global.
- [By Roberto Pedone]
Another stock that insiders are moving into here is Agios Pharmaceuticals (AGIO), which focuses on the development and commercialization of therapeutics in the field of cancer metabolism and inborn errors of metabolism in the U.S. Insiders are buying this stock into major strength, since shares are up big so far in 2014 by 79%.
Agios Pharmaceuticals has a market cap of $1.4 billion and an enterprise value of $1.5 billion. This stock trades at a premium valuation, with a price-to-sales of 53.91 and a price-to-book of 11.51. Its estimated growth rate for this year is 48.1%, and for next year it's pegged at 15%. This is a cash-rich company, since the total cash position on its balance sheet is $162.27 million and its total debt is zero.
A director just bought 2,300 shares, or about $100,000 worth of stock, at $43.98 per share.
From a technical perspective, AGIO is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been selling off after a failed breakout attempt for the last few weeks, with shares moving lower from its high of $50.37 to its intraday low of $42.15 a share. That move is quickly pushing shares of AGIO within range of tagging its 50-day moving average of $40.27 a share.
If you're bullish on AGIO, then I would look for long-biased trades as long as this stock is trending above its 50-day at $40.27 and then once it breaks out above some near-term overhead resistance at $45 a share with high volume. Look for a sustained move or close above that level with volume that hits near or above its three-month average action of 419,691 shares. If that breakout starts soon, then AGIO will set up to re-test or possibly take out its next major overhead resistance level at its all-time high of $50.37 a share. Any high-volume move above that level will then give AGIO a chance to tag $55 to $60 a share.
- [By Lisa Levin]
Agios Pharmaceuticals (NASDAQ: AGIO) shares touched a new 52-week low of $18.83. Agios Pharmaceuticals' trailing-twelve-month profit margin is -102.87%.
- [By Ben Levisohn]
3. We see 23+ partnered pipeline assets and are most positive on Phase I/II MOR202 anti-CD38 for myeloma with data in 2015, and others such as Acceleron Pharma (XLRN), Agios Pharmaceuticals (AGIO), Epizyme (EPZM), Concert Pharmaceuticals (CNCE) (just started Phase I for next-gen Revlimid).
Hot Biotech Companies To Own For 2014: Regulus Therapeutics Inc (RGLS)
Regulus Therapeutics Inc., incorporated on September 5, 2007, is a biopharmaceutical company focused on discovering and developing microRNAs to treat a range of diseases. microRNAs are naturally occurring ribonucleic acid (RNA), molecules that play a critical role in regulating key biological pathways. The Company uses its microRNA product platform to develop chemically modified, single-stranded oligonucleotides that the Company calls anti-miRs. As of December 31, 2012, the Company�� operations included acquiring and in-licensing intellectual property rights, developing its microRNA, undertaking basic research around microRNA targets and conducting preclinical studies for its initial programs.
The Company is developing RG-101 for the treatment of HCV and is advancing other microRNA therapeutics toward clinical development in several areas, including oncology, fibrosis and metabolic diseases. The Company intends to focus its resources on product opportunities in therapeutic areas where development and commercialization activities are appropriate for its size and financial resources, which the Company anticipates will include niche indications and orphan diseases.
The Company competes with Groove Biopharma, Inc., miRagen Therapeutics, Inc., Mirna Therapeutics, Inc., and Santaris Pharma A/S.
Advisors' Opinion:- [By Brian Orelli]
Partners like this investment idea
When Regulus Therapeutics (NASDAQ: RGLS ) went public last year, investors weren't the only ones buying the share offering; Regulus' partners and founders clearly thought it was a good investment idea, because they bought more shares. Lots of them. AstraZeneca, Biogen Idec, Sanofi, GlaxoSmithKline�and Isis combined to purchase more than 70% of the shares that raised nearly $81 million for the biotech. - [By Sean Williams]
A blast to the past
It's occasionally very difficult to value biotech stocks, because of the wide range of outcomes possible given their pipelines. Other times, as in the case with Regulus Pharmaceuticals (NASDAQ: RGLS ) , I bang my head against a table and wonder what the heck investors are thinking.
Hot Biotech Companies To Own For 2014: Medizone International Inc (MZEI)
Medizone International, Inc. (Medizone), incorporated in January 31, 1986, is a development-stage company. The Company is engaged in research into the medical uses of ozone. Medizone focuses in the field of hospital sterilization. It is a research and development company engaged in developing its AsepticSure. The Company is developing an ozone-based technology (AsepticSure) for decontaminating and sterilizing hospital surgical suites, emergency rooms, and intensive care units.
The Company started hospital beta-testing of a prototype system utilizing the original technology. The first round of in-hospital beta-testing for this AsepticSure hospital disinfection system was completed at a Hotel Dieu hospital in Kingston, Ontario, Canada. In addition to the hospital disinfection system, it employs an ozone-destruct unit which is used following disinfection of the treated infrastructure to reverse the O3 gas in the space, and turn it back into O2 in a short period of time. The Company�� subsidiaries include Medizone Canada, Ltd. (MedCan). As of December 31, 2011, the Company had not generated any revenues.
Advisors' Opinion:- [By CRWE]
Today, MZEI surged (+5.64%) up +0.0048 at $.0899 with 21,900 shares in play thus far (ref. google finance Delayed: 1:32PM EDT October 16, 2013).
Medizone International, Inc. previously reported that its WHO award-winning green infection control technology, AsepticSure has been Granted a patent by the United States Patent and Trademark office. (US 61/223,219) titled “Healthcare Facility Disinfecting System”. The AsepticSure infection control system has repeatedly demonstrated 100% microbial kill rates when used to decontaminate hospital rooms of the causative agents of HAI (hospital acquired infections).
“With patent protection now established in the United States, Canada and Singapore and pending applications in process for the 37 member countries of the EU as well as Korea, Japan, China, India, Brazil and Mexico, our patent momentum is clearly gaining strength,” stated Edwin Marshall, Medizone’s CEO.
Hot Biotech Companies To Own For 2014: Elite Pharmaceuticals Inc (ELTP)
Elite Pharmaceuticals, Inc. (Elite), incorporated on October 1, 1997, is a specialty pharmaceutical company principally engaged in the development and manufactures of oral, controlled-release products, using technology and the development and manufacture of generic pharmaceuticals. Elite has four products: Phentermine 37.5 milligram tablets, Methadone 10 milligram tablets, Lodrane D Immediate Release capsules and Hydromorphone Hydrochloride 8 milligram tablets. During the fiscal years ended March 31, 2012 (Fiscal 2011), the Company manufactured and sold Lodrane 24 and Lodrane 24D (the Lodrane Extended Release Products).
The Company has a pipeline of additional generic drug candidates under active development, including, without limitation, ELI-154, a once-a-day oxycodone product and ELI-216, an abuse resistant oxycodone product which utilizes the Company�� propriety formulation for abuse resistant products utilizing the pharmacological approach (Elite�� Abuse Resistant Technology). ECR Pharmaceuticals (ECR), a wholly owned subsidiary of Hi-Tech Pharmacal, Inc. and the owner and marketer of the Lodrane Extended Release Products. Elite also purchased from Mikah Pharma LLC, an approved Abbreviated New Drug Application (ANDA) for Naltrexone 50 milligram tablets.
For ELI-154, Elite has developed a once-daily oxycodone formulation using its technology. An investigational new drug application (IND) has been filed and Elite has completed two pharmacokinetic studies in healthy subjects that compared blood levels of oxycodone from dosing ELI-154 and the twice-a-day product that is on the market, OxyContin marketed in the United States by Purdue Pharma LP. ELI-216 utilizes the Company's abuse-deterrent technology that is based on a pharmacological approach. ELI-216 is a combination of a narcotic agonist, oxycodone hydrochloride, in a sustained-release formulation intended for use in patients with moderate to severe chronic pain, and an antagonist, naltrexone hydrochloride, formulat! ed to deter abuse of the drug. Products utilizing the pharmacological approach to deter abuse such as Suboxone, a product marketed in the United States by Reckitt Benckiser Pharmaceuticals, Inc., and Embeda, a product marketed in the United States by Pfizer, have been approved by the United States Food & Drug Administration (FDA). ELI-216 demonstrates a euphoria-blocking effect when the product is crushed. Elite has developed ELI-154 and ELI-216 and retains the rights to these products.
The Company competes with Collegium Pharmaceuticals, Inc., Purdue Pharma LP, Acura Pharmaceuticals, Inc., Durect Corporation, Mylan Laboratories, Inc., Par Pharmaceuticals, Inc., Alkermes, Inc., Teva Pharmaceuticals Industries Ltd., Aptalis Pharma, Impax Laboratories, Inc., and Watson Pharmaceuticals.
Advisors' Opinion:- [By James E. Brumley]
Exactly one month ago today I penned some bullish thoughts on Elite Pharmaceuticals Inc. (OTCBB:ELTP). If you're familiar with the company - or a regular reader of this site - then you may know why that sounds a little "off." See, at the time, ELTP shares were falling rather quickly, giving up all the gains they had made just a few days before. Almost needless to say, my premise was not a well received one. Let's just say I received some "colorful disagreements" by being optimistic about the biopharma company.
- [By James E. Brumley]
Judging from the company it's keeping Green Automotive Co. (OTCMKTS:GACR) may have just made its way into the upper echelon of small cap stock opportunities. The electric car company joins Elite Pharmaceuticals Inc. (OTCBB:ELTP), Amarantus Bioscience Holdings, Inc. (OTCBB:AMBS), and only three other companies as Wall-Street.com's "Best 6 Stocks" for January of 2014. As one of the top information resources for investors - particularly in terms of information regarding small and micro cap stocks - being named among the site's top pick is an accolade for AMBS, ELTP, and GACR. Even more impressive is that Green Automotive Co. was the only consumer-goods name among those six. Amarantus Bioscience Holdings and Elite Pharmaceuticals are biotechnology names... an industry that can and often does attract a lot of attention just by the nature of the business. The other three names making the "Best 6" list were an energy explorer, a power-management technology manufacturer, and prescription/medical food producer. For an electric car manufacturer to make the list speaks quite highly of GACR.
Hot Biotech Companies To Own For 2014: Biota Pharmaceuticals Inc (BOTA)
Biota Pharmaceuticals, Inc., formerly Nabi Biopharmaceuticals, incorporated on March 14, 1969, is an anti-infective drug development company, with key expertise in respiratory diseases, particularly influenza. Biota developed the neuraminidase inhibitor, zanamivir, subsequently marketed by GlaxoSmithKline as Relenza. The Company�� researches include a series of candidate drugs aimed at treatment of respiratory syncytial virus (RSV) disease and Hepatitis C (HCV) virus infections. In addition, Biota and Daiichi Sankyo co-own a range of second generation influenza anti-virals, of which the lead product lnavir, is approved for marketing in Japan.
The Company�� products include Zanamivir, Inavi, Phoslyra, BioStar OIA FLU and BioStar OIA FLU A/B. Zanamivir is a neuraminidase inhibitor for the treatment and prophylaxis of influenza marketed as Relenza by GlaxoSmithKline. Inavi (laninamivir) is a neuraminidase inhibitor marketed by Daiichi Sankyo in Japan. Phoslyra is a phosphate binder indicated to reduce serum phosphorus in patients with end stage renal disease (ESRD). BioStar OIA FLU and BioStar OIA FLU A/B are influenza diagnostic tests, which are marketed by Inverness Medical as part of their BioStar product range.
Relenza is delivered directly to the primary site of infection on the lungs, using a Disk Inhaler device. Relenza is approved in over 50 countries for the treatment of influenza, including in the United States, the European Union, Japan and Australia. Relenza is also approved for use as a preventative (prophylactic) treatment against influenza. Inavir is approved for sale in Japan for the treatment of influenza in adults and children. Daiichi Sankyo has applied to sell Inavir in Japan for the prevention of influenza.
PhosLo and Phoslyra are different dose forms of calcium acetate; a phosphate binder approved in multiple countries for the control of hyperphosphatemia (high serum phosphate) in patients with end stage renal disease (ESRD). PhosLo and Pho! slyra were sold to Fresnius Medical Care. Biota, together with its Japanese based partner, Daiichi Sankyo, have developed an inhaled antiviral compounds for influenza, called long acting inhaled neuraminidase inhibitors (LANI). Biota's human rhinovirus (HRV) drug for the prevention and treatment of the causes of the common cold, BTA798, has completed Phase I, Phase IIa and Phase IIb clinical trials.
Advisors' Opinion:- [By gurujx]
Biota Pharmaceuticals Inc (BOTA) Reached the 3-year Low of $2.42
The prices of Biota Pharmaceuticals Inc (BOTA) shares have declined to close to the 3-year low of $2.42, which is 93.3% off the 3-year high of $34.92.
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