The growing demand for efficient and viable drugs, vaccines, and treatments for curing chronic diseases and newly emerging coronavirus variants should accelerate the biotech industry’s growth over the long term. Thus, it might be wise to invest in undervalued biotech stocks Regeneron (NASDAQ:REGN), Biogen (BIIB), United Therapeutics (NASDAQ:UTHR), and Exelixis (NASDAQ:EXEL) with immense potential.The biotechnology industry is currently focused on developing viable drugs, therapies, and devices with the integration of advanced technology to identify and treat chronic, life-threatening diseases. Also, the emergence of new coronavirus variants is incentivizing companies having a COVID-19 related product pipeline to conduct better research and develop new vaccines with high efficacy.
Moreover, regulatory approvals from FDA and EUA and growing investment and policy support from governments worldwide forecast a bright outlook for the biotech industry in the long run. Investor optimism in this space is evident from the First Trust NYSE Arca Biotechnology Index ETF’s (FBT) 2.9% gains over the past month versus the SPDR S&P 500 Trust ETF’s (SPY) negative returns. The global biotechnology market is expected to grow at 7.7% CAGR and reach $741.7 billion by 2026.
It might be wise to bet on fundamentally sound and undervalued biotech stocks Regeneron Pharmaceuticals, Inc. (REGN), Biogen Inc. (NASDAQ:BIIB), United Therapeutics Corporation (UTHR), and Exelixis, Inc. (EXEL) now. The growing investments, advanced R&D, and impressive breakthroughs in the industry should enable these companies to profit substantially next year.