US Stocks haven’t had the best of time recently as the Greek Debt Crisis spirals into worldwide markets and the Iranian nuclear negotiations cause investors to worry about oil price drops. Nonetheless, there are three stocks in biotech that I think are simply waiting in the wings for their opportunities to shine. Here are the three stocks and why I think they’re headed for growth.
Synergy Pharmaceuticals Is Getting Closer To Plecanatide Approval
Synergy Pharmaceuticals Inc (NASDAQ: SGYP)
Synergy Pharmaceuticals has been a hot topic in healthcare for weeks now; and for good reason. A few weeks ago, SGYP released results from its first of two Phase 3 studies looking into the effectiveness and safety of plecanatide in the treatment of irritable bowel syndrome with constipation. The results of the study were a hit. Not only was plecanatide incredibly effective, it proved to have less danger of causing diarrhea than the current market leader. As a result, SGYP climbed in the stock market and the company initiated the second of the two part phase 3 study. Considering how close plecanatide is to a New Drug Application with the FDA, it makes sense that investors are so excited about SGYP. With that said, now may be the time to start looking for dips as they are likely going to prove to be great buying opportunities.
MannKind Corporation Is Ready To Bring Afrezza To The Major League
MannKind Corporation (NASDAQ: MNKD)
If you follow CNA Finance or my writing elsewhere, you know that I’m a big fan of MannKind. However, MNKD hasn’t seen much support from investors recently. After Goldman Sachs downgraded the stock earlier in the year, we saw massive declines that didn’t reverse until relatively recently when results of a survey showed that 65% of endocrinologists know about and plan on using Afrezza in the future. Since the reversal, we’ve seen more dull activity surrounding the stock. However, I think we’re going to see a bit of an explosion relatively soon. That’s because MannKind will be sending Afrezza directly to consumers in their Direct-to-Consumer campaign that’s planned to be kicked off very soon. There’s no doubt in my mind that this campaign will generate high levels of sales and prove to be a major catalyst for MNKD.
Gilead Sciences Is One Of The Few Stocks On The Market That Are Undervalued
Gilead Sciences, Inc. (NASDAQ: GILD)
Finally, Gilead Sciences is another favorite of mine in the biotech space. The company has grown to take control of the HIV and HCV treatment markets. However, thanks to AbbVie’s decision to step into the HCV market, GILD hasn’t necessarily had a fair shake from investors. With the competition in mind, investors simply haven’t been willing to send GILD to a valuation that it deserves. As a result, the stock is currently trading with a PE ratio of under 10; which is unheard of in biotech. This means that the stock is incredibly undervalued. However, I’m not expecting the undervaluation to last forever. So, this is another one to start looking at for entrance times.
Do You Know Of Any Others?
Do you know of any other biotech stocks that are waiting in the wings before an explosion in value? If so, let us know in the comments below!