Why Biotech Stocks Are Soaring: These 10 Stocks are to Blame

Aug 18, 2022

Why Biotech Stocks Are Soaring: These 10 Stocks are to Blame

Following a long and harsh winter, biotech stocks are on fire this summer.

Barron's searched to uncover the top ten gainers, ranging from acquisition target Global Blood Therapeutics to Karuna Therapeutics, which reported favorable results from a pharmaceutical trial.

From its peak in early February 2021 through June 14 of this year, the SPDR S&P Biotech exchange-traded fund, which monitors the biotech industry, dropped 63.6%. Since then, the sector has been on the mend, with the XBI up 45.1%.

The XBI's price remains significantly below where it began the year, not to mention its February 2021 peak. It is now trading in the $90 level, but it finished 2021 at $110 per share and peaked at more than $170 per share. Still, the $90 price range is significantly above the XBI's May lows of approximately $60 per share.

Nothing fundamental has changed in the biotech industry in the last few months. What has changed is the news: things have been looking good for biotechs, as certain closely watched drug trials have provided favorable results, and M&A activity has increased.

While some of the largest movers have featured prominently in analyst commentary and media coverage of the biotech rally, the stock activity hasn't been restricted to just a few names in the industry. We conducted a screen to search for under-the-radar movers driving the sector's bull run to dive into which businesses have been driving the surge in biotech stock prices.

We searched the XBI and another ETF that tracks the sector, the iShares Biotechnology ETF (IBB), for the ten equities that rose the highest between the closure of the market on June 14 and the end of the market on August 15.

To focus on the most significant movers, we narrowed our search to firms having a market capitalization of more than $3 billion.

Some of the names that made it through the screening process are no surprise: Global Blood Therapeutics has risen 200% after Pfizer announced a $5.4 billion purchase transaction in early August. Chemocentryx is up 117.4% after Amgen agreed to pay $3.7 billion for the firm.

10 Biotech Stocks Fueling the Revival

https://liquidity-provider.com/app/uploads/2022/08/unnamed-11.png

Other biotech stocks that have witnessed significant gains in recent months, on the other hand, have not been the subject of company-altering news articles. Consider Repligen, which manufactures instruments used in the production of complex pharmaceuticals. Its stock has risen 77.4% since mid-June, boosted by confidence in the larger bioprocessing business, which has boosted the stock of firms such as Danaher, but not by any news event.

Following an unexpectedly favorable outcome in a study of their schizophrenia therapy KarXT, Karuna is up 176.6%. Beam Therapeutics, a gene-editing company, is up 128.1%, while PTC Therapeutics, which obtained approval from EU authorities in late July for its gene therapy Upstaza, which treats aromatic L-amino acid decarboxylase deficiency, is up 106.2%.

Fate Therapeutics has increased by 93.6%, while Intellia Therapeutics has increased by 77.8%. Apellis Pharmaceuticals is up 76.6%; Citi Research analyst Yigal Nochomovitz suggested in an Aug. 10 note that the business might be an M&A target.

Subscribe Our Newsletter

Mark Zuckerberg's Year of Hell. Zuck, Make Things Right Before It's Too Late!
Mark Zuckerberg’s Year of Hell. Zuck, Make Things Right Before It’s Too Late!

2022 was supposed to be the year of Mark Zuckerberg. But the CEO of social media giant Meta Platforms will probably want to forget it.

Companies
China to Close Loophole Used by Tech Firms for Foreign IPOs
China to Close Loophole Used by Tech Firms for Foreign IPOs

China is planning to ban companies from going public on foreign stock markets through variable interest entities, according to people familiar with the matter, closing a loophole long used by the country’s technology industry to raise capital from overseas investors.

Companies
B2BROKER Liquidity B2BROKER Liquidity
Sponsored
Liquidity Provider

How Does the Cryptocurrency Exchange Business Work?
Unlike any other moment in contemporary history, the universal adoption of Bitcoin has been unparalleled. There has been a rapid growth in the number of firms that specialize in bitcoin.

discover
Crypto Trading For Beginners

Tamta

Crypto Trading For Beginners

Since Bitcoin's debut in early 2009, the popularity of cryptocurrencies has skyrocketed significantly. Although Cryptocurrencies' primary goal was to serve as a fast and decentralized payment alternative, they soon gained recognition as an option to generate a passive income.

Trading
Contact us bg

Contact Us

Contact the Liquidity Provider
for any questions and advertising inquiriesb2broker

    Please fill out this contact form to get in touch with us

    / 3000

    By clicking “Get in touch” button, you agree to the privacy policy

    Successful!
    Thank you for your request.
    We will contact you shortly.
    Close

    Hazem

    MetaTrader vs cTrader: Which Trading Platform Shall You Choose?

    MetaTrader vs cTrader: The Full Breakdown

    Сonstantine

    Will Dogecoin Reach $1? Tokenomics and Price Analysis

    Will Dogecoin Reach 1 Dollar Analysis

    Сonstantine

    How to Get a Crypto Exchange License?

    How to Get Crypto Exchange License

    Сonstantine

    Best Crypto to Buy Now: Guide for Investors

    Best Crypto To Buy Now

    Hazem

    Grok vs ChatGPT: What’s the Best AI Assistant You Need in 2025

    Grok vs ChatGPT

    Сonstantine

    How to Choose the Right Liquidity Provider for Your Brokerage

    How to Choose the Right Liquidity Provider for Your Brokerage

    Сonstantine

    Low-Latency Trading Defined: Speed, Strategy and Technology

    Low-Latency Trading Explained

    Hazem

    How Liquidity Depth Affects Slippage in High-Volume Trading

    Liquidity depth and slippage in trading

    Hazem

    What is FIX API Liquidity Connection and How Does it Power Institutional Trading?

    FIX API in institutional trading

    Сonstantine

    OTC Trading Strategies and Technologies to Succeed in Over-the-Counter Markets

    OTC Trading Strategies

    Alexander

    What is OTC Trading? A Complete Guide for 2025

    what is OTC

    Alexander

    Synthetic Futures: A Trader’s Guide to Replicating Positions with Options

    How to Trade Synthetic Futures

    Сonstantine

    Order Book Depth: What It Is And Why It Matters?

    Order Book Depth What It is And Why It Matters

    Alexander

    Spot vs Perpetual Futures: Which Is Right for You?

    Spot vs Perpetual Futures explained

    Hazem

    5 Reasons Traders Are Switching to Perpetual Futures

    5 Reasons to Switch to Perpetual Futures

    Constantine

    Top 3 Liquidity Challenges Facing New Exchanges and How to Solve Them

    Top 3 Liquidity Challenges Facing New Exchanges Today

    Constantine

    Financial Planning in the Cryptocurrency Era — Master Crypto and Digital Asset Strategies

    Financial Planning in the Cryptocurrency Era

    Hazem

    Best Platforms to Trade Perpetual Futures in 2025

    Best platforms to trade perpetual futures in 2025

    Alex

    Top 10 Fintech Website Development Agencies for 2025

    Best Fintech Website Development Agencies for 2025

    Сonstantine

    Internal vs External Range Liquidity In ICT Trading Explained

    Internal vs External Range Liquidity In ICT Trading

    Constantine

    Portfolio Backtesting — Tools, Metrics, and Methods Explained

    Portfolio Backtesting

    Сonstantine

    ICT Trading Explained: Smart Money Concepts, Tools and Setups

    ICT Trading Explained

    Сonstantine

    CFD Trading Strategies: A Practical Guide to Risk and Execution

    CFD Trading Strategies

    Alexander

    What is a Fair Value Gap? A Guide to Trading Market Imbalances

    What is Fair Value Gap
    liquidity-provider-logo
    • News
      • Stock Market Forecast
      • Stocks
      • Banks and Finance
      • Companies
      • Crypto
      • Forex
      • AI
      • Technology
      • DeFi
      • NFT
    • Articles
      • Crypto Payments
      • Trading
      • Crypto Exchange Business
      • Forex Business
      • Fintech
      • Liquidity
      • FinTech Awards
      • Blockchain
      • Investing
      • NFT
      • DeFi
    • More
      • Videos
      • Liquidity Providers List
      • Crypto Payment Providers
      • White Label Brokerage Platforms
      • Broker CRM Platforms
    [email protected]

    © 2024 Liquidity Provider. All Rights Reserved

    Privacy Policy Cookie Policy
    This site is registered on wpml.org as a development site. Switch to a production site key to remove this banner.