Welcome to MakeMoneyFacts.com. In this blogpost, we present ideal biotech stocks that could achieve this, and are great picks for 2023.
In the present economic climate, investors typically are faced with two opportunities. The first option is to safely ride out the storm by holding secure, low-risk assets such as treasury bills.
On the other hand, those that are inclined towards risk could experiment with more speculative buys such as biotech stocks. The growth this class of securities offers could potentially be explosive, especially if one has picked the right stock.
Given the bearish market conditions currently dotting the landscape, even high-promise stocks are trading significantly below their intrinsic levels. With biotech stocks, a number of companies that have hit significant milestones are trading at serious bargains.
These are ideal stocks to consider investing in 2023, given the mismatch between price and potential. Investors that take on a calculated risk, and play their cards right, could see their investment portfolios take off significantly with relatively low effort.
1. Soligenix Inc (SNGX)
A biotech company trading under the ticker, SNGX, which has made some serious strides in T-cell lymphoma treatment. Following a successful third-phase flash readout back in March 2020, Soligenix is now ready to file a new drug application for its drug candidate, HyBryte.
HyBryte is essentially a synthetic form of hypericin that has proven highly effective in the treatment of cutaneous T-cell lymphoma, as well as in psoriasis and similar conditions.
The results indicate a significantly positive impact on T-cell lymphoma after 6 weeks of use, compared to the placebo drug. Furthermore. HyBryte also saw a further spike in treatment after 12 and 18 weeks, which is truly a ground-breaking development.
The Soligenix drug, HyBryte is well-positioned to redefine the first-line treatment of T-cell lymphoma, which presents a sizeable market, in the US and the wider global context.
The company has set annual sales guidance for the present year at $808,000, and at $3.4 million for 2023, owing to its anticipated HyBryte success. The management predicts it would be able to reel in over $90 million in sales after the complete commercialization of HyBryte, which could see its present market capitalization jump up from $20 million to over $500 million.
SNGX is down 42% in the last 12 months, despite such promising developments, which signals a great buying opportunity for investors. The stock is clearly poised to fly high in the immediate sense, and will do so with upcoming price catalysts.
2. Enlivex Therapeutics (ENLV)
It is a biopharmaceutical company developing a single drug candidate called Allocetra, and which trades under the ticker, ENLV.
Allocetra is an off-the-shelf treatment which is both highly scalable as well as affordable, and used to treat fatal diseases such as solid tumors and sepsis. It does so through the reconfiguration of macrophages, allowing them to be restored to a homeostatic condition.
Based on phase 1b trials, 100% of human candidates saw their sepsis and organ disfunction fully resolved through the Allocetra cell therapy.
The study on mice with the deadly cancer form, mesothelioma have also been especially promising. In the no-treatment group, all eight mice had died by day 81. In the group where the mice were given high dosages of Allocetra, not only did all the mice survive, but also made a 100% recovery.
Allocetra is clearly a wonder treatment that holds the potential to make a difference in the treatment in some of the most fatal diseases out there. The Enlivex management is confident about the next phase of trials, which will include a fully randomized and placebo-controlled environment in a double-blind study.
This is likely to act as a major catalyst point for a price explosion. ENLV is a great biotech stock to keep on one s radar, given the promise it offers. As per the company’s latest balance sheet, it holds cash and short-term securities worth $62 million, which is ideal for it to pull through its development through to completion.
3. Incyte Corporation (INCY)
Incyte Corporation is a biotech company trading under the ticker, INCY, and one that develops world-class proprietary therapeutic treatments. Incyte Corporation is a large company with a market capitalization of over $15 billion, with its prime offerings relating to oncology and dermatology treatment.
The number one star product for the company is “JAKAFI” which is effective against both myelofibrosis and polycythemia vera.
Through stellar demand of JAKAFI among adults diagnosed with either myelofibrosis or polycythemia vera, Incyte has been seeing impressive financial performance.
In its most recent quarter, Incyte s quarterly revenue grew from $705 million to nearly $912 million, on a year-on-year basis.
Similarly, the company saw its quarterly EPS exceed expectations of $0.75, and delivered an impressive $1.01 instead. Incyte is not just a great pick due to its present strength in a fast-growing market niche, but also due to its late-stage dermatology pipeline that has been showing some highly impressive results.
For instance, Incyte s Opzelura cream was recently granted approval as treatment against moderate eczema, as well as for nonsegmental vitiligo. This opens up a new avenue of a related market for the company, which strengthens its position in the dermatological realm.
To add, Incyte also holds the promise of an early clinical oncological pipeline, which, although uncertain at present, significantly enhances the company s upside potential. The stock clearly has much to offer, despite which its price has fallen by 17% in the last six months alone.
Its attractive valuation and strong offerings makes it a favorite amongst bulls, which could very well drive up its price in the short term.
4. I-Mab (IMAB)
I-Mab is the China-based biopharmaceutical company, which trades under the ticker, IMAB, and specializes in cancer and autoimmune disorders. The stock took a beating in the markets, when its price fell by almost 95% in the last 12 months.
This was due to dismal performance, which saw its annual revenue from 2020 to 2021 fall from over $236 million to merely less than $14
million. Despite this bleak outlook, the company stands well-positioned to take off once again, on account of a number of positive updates that are anticipated, as well as several upcoming catalyst points.
The I-Mab management is fully focused on ensuring a revival through core milestone achievements. For one, the company stands confident in regards to its Lemzoparlimab drug candidate. This product aims to treat high-risk MDS patients, and awaits the go-ahead toward phase 3, from China s health and regulatory body.
Similarly, company shareholders are also eagerly awaiting phase 2 trial results of uliledlimab for the treatment of lung cancer. These results
are expected to be publicized during the upcoming months, before 2023.
I-Mab further has reason to look forward to the short-term future, with at least three biological licensing applications, before 2025. These include the highly awaited eftansomatropin alfa for growth hormone deficiency, as well as felzartamab for multiple myeloma, both of which tap into multi-billion dollar global markets.
IMAB is a promising biotech name which had recently taken a beating. It now stands ideally positioned to truly take off with a series of catalyst points, making the stock ripe for the taking.
5. Intellia Therapeutics (NTLA)
It is a biotech player which trades under the ticker, NTLA, and dabbles in the realm of one-time gene therapies for rare diseases. In particular, the company has been making steady progress in the field of CRISPR gene editing, and is evidently emerging as a rising star in the domain.
Intellia holds a core advantage over gene-treatment competitors, which relates to its pricing. Typically, treatments like Onpattro cost over $10,300 per injection, and life-long RNA treatments, which are repeatedly administered can be as high as $500,000 per annum.
On the other hand, Intellia’s CRISPR treatments come in DIY self-administer kits which can cost as low as $39. At present, Intellia has five different products already commercialized on its CAR-T platform, as a result of which its annual revenue for 2021 stood at over $33 million, and is projected to exceed $48 million in the upcoming year.
Similarly, the company’s cash holding and short-term securities stand at almost $900 million, allowing it to finance further development in the CRISPR field. The company enjoys tremendous price flexibility, and is looking to make an entry into the European markets following crucial approvals.
This could very well enhance Intellia s upside potential by a significant margin.