Biotech ETFs have been the focus of many investors this week after Valeant Pharmaceuticals Intl. Inc. (NYSE: VRX) shares dropped more than 46% last week.
One biotech ETF with Valeant as a holding slumped 8.4% in the past three months, as VRX stock continues to fall.
Biotech ETFs have been the focus of many investors this week after Valeant Pharmaceuticals Intl. Inc. (NYSE: VRX) shares dropped more than 46% last week.
One biotech ETF with Valeant as a holding slumped 8.4% in the past three months, as VRX stock continues to fall.
The S&P 500 has dropped 3.8% since the end of July, but that's nothing compared to the losses we've seen from biotech stocks.
In fact, this week's latest pullback has many biotech stocks in bear market territory.
Here's just how far they've fallen...
Today, we're recommending a biotech stock to buy that Money Morning Biotech Investing Specialist Ernie Tremblay says has a "nearly limitless" profit potential.
It's a medical device company with a revolutionary product that helps restore vision to people suffering from blindness.
Here's the revolutionary technology behind this biotech stock to buy...
Investors who know how to choose the best biotech stocks to buy can cash in. In the last twelve months alone, the Nasdaq Biotechnology Index ETF has outperformed the broader Nasdaq Composite by 25.5%. And the SPDR S&P Biotech ETF has outperformed the S&P 500 almost sevenfold.
Watch our three-minute video for five easy steps to picking the best biotech stocks to buy...
One of the last week's biggest IPOs, the food allergy company Aimmune Therapeutics Inc. (Nasdaq: AIMT), hit the market on Thursday, Aug. 6, and has already climbed more than 20%.
AIMT's early success underscores one of the best biotech stocks to buy that Money Morning Executive Editor Bill Patalon has been recommending all year.
Spending on cancer treatment has been skyrocketing globally. According to the IMS Institute of Health, spending on cancer topped $100 billion globally in 2014. That was a 10% increase from 2013.
That's why many biotech stocks tied to cancer treatments have seen triple-digit gains in the last two years.
Organovo Holdings Inc. (NYSE: ONVO) stock is up 12.7% this week after the company reported quarterly and fiscal year earnings on Tuesday.
For the quarter ending March 31, ONVO reported an earnings per share (EPS) loss of $0.10. That was below the consensus estimate of a $0.09 loss.
Here's what else investors need to know about ONVO stock now...
One of our favorite biotech stocks of 2015, Organovo stock, has climbed 41% since the end of March. And that's just the start for this revolutionary biotech investment.
You see, Organovo Holdings Inc. (NYSEMKT: ONVO) is part of one of the most exciting biotech industries on the market. It's called 3D bioprinting, and the applications are huge.
Biotechnology is tech's fastest-growing sector. In fact, there are more than 100 biotech companies set to go public in 2015.
Of those 100 IPOs, 60 are expected to launch before April 1. So you have to move fast to ride this $320 billion biotech wave.
Those IPOs are all but certain to keep the biotech bull market going through the year. Biotech stocks have soared 290% in the past five years. That's more than triple the S&P's 88%.
And biotech IPOs are not the only catalysts that will lift biotech shares across the board in 2015.
Biotech stocks to buy in 2015: Biotech was one of the most profitable sectors this year. Through Dec. 18, the S&P 500 Biotechnology Index is up 43.6% in 2014, and the Nasdaq Biotechnology Index is up 36.9%.
Those gains are three to six times as big as the broader markets'. In 2014 through Dec. 18, the Dow Jones Industrial Average is up just 6.1%, the S&P 500 10.3%, and the Nasdaq 12.8%.
There are more than 1,000 biotech companies in North America alone. They cover a wide range of sectors including pharmaceuticals, biologics, generics, and medical devices.
But finding the right stocks in such a broad industry is no easy task.
That's why we've targeted the best biotech ETF to buy now. It offers investors an excellent way to play the entire industry, without having to pick a specific sector.
It's a common thought that investing in biotech stocks is just too risky for the average investor - but that's not the case.
It's true that biotechnology stocks can be very volatile - especially when companies have developmental drugs going through clinical trials - so they aren't the right stocks for every investor. But when investors are able to limit risk, they can find their portfolio's biggest profits from biotech.
Money Morning's BioScience Investment Strategist Ernie Tremblay recommends investors use this one simple strategy when investing in biotech.
It helps limit risk and maximize profits. Take a look…
Investing in biotech stocks is risky for those who haven't done enough research. But with just a couple of tips, investors can drastically reduce the risk - and go on to benefit from massive windfalls generated by a company's breakthrough drug development.
To find out the best way to minimize risk in biotech investing, we turned to Money Morning's BioScience Investment Specialist Ernie Tremblay.
According to Tremblay, there are a couple of types of biotech stocks that are especially risky…
