Biotech stocks are one of the most fluctuating ones. They can reach record highs or lows in a matter of days. Their fate often depends on the clinical trial results or an FDA decision. A lot rides on the companies’ capabilities to find the right solutions for problems and evolve, as well as its financial security. Sometimes even those factors aren’t enough if the company fails to find a new catalyst for increasing the value of their shares. Here are three stocks that look promising. As it seems, they endured all the obstacles on the way so far and are poised to succeed this year.
This biotech signed a licensing deal with the Swiss company, Teoxane Laboratories. Due to the agreement, it gets the exclusive US rights to its platform of hyaluronic-acid dermal fillers. The company also filed a Biologics License Application (BLA) for DAXI. It’s a long-lasting formulation of a neurotoxin treatment to cure frown lines. Needham’s Serge Belanger thinks that RVNC’s product line can get quite a significant portion from the $5 billion neuromodulator market. Thus far, Revance Therapeutics gets the Strong Buy rating. With the potential to gain 42% over the next year.
The biotech specializes in cancer treatment. It develops monoclonal antibody-based products. Last year they tried to launch their new product – sacituzumab govitecan. The drug is meant to be the final cure for metastatic triple-negative breast cancer if the two preceding therapies fail. But the FDA sent them the CRL (complete response letter), issuing concerns about “chemistry, manufacturing, and control” issues in the place, where the company raised the drug plant. Immunomedics addressed the problems and resent the application to FDA. The experts are quite confident in IMMU’s potential. They already raised the price from $26 to $31 and are aiming to 63% upside.
This company focuses on several therapies in various areas, including cardiovascular, respiratory, gastrointestinal, inflammatory, infectious, and immunology diseases. So far, they have done everything correctly, but the performance of their stock leaves a lot to desire. As it seems, it may change this year. The FDA approved Theravance’s new drug on the market. Cantor Fitzgerald’s Louise Chen thinks Theravance as “undervalued and underappreciated,” but entered into 2020 with strong momentum.