Market Overview

Leerink Is Back On Board The Biotech Train

Leerink Is Back On Board The Biotech Train

Leerink has restarted coverage on eight large-cap biotech stocks following a prolonged period of share price underperformance. In a new report, analyst Geoffrey Porges explained why now is the time to buy back into biotech, but investors still must be selective.

Porges pointed out that the selloff has sent many top stocks plummeting to or near all-time lows in terms of revenue and earnings multiples.

“This sell off has occurred in an environment of relatively solid operating performance and strong industry fundamentals; we remain very positive about the industry’s research productivity, returns on capital, commercial efficiency and regulatory prospects,” Porges explained.

Related Link: Is Big Pharma Hinting At A SMID-Cap Biotech Rally?

Many of the large-cap biotech names are currently in transition periods for their business, in which they are making heavy investments in external acquisitions and portfolio diversification. Leerink prefers innovative names that are at the beginning of a growth cycle with focused portfolios and transparent balance sheets.

Leerink names the following Outperform-rated stocks as its top picks:

  • Alexion Pharmaceuticals, Inc. (NASDAQ: ALXN)
  • Regeneron Pharmaceuticals Inc (NASDAQ: REGN)
  • Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX)
  • Gilead Sciences, Inc. (NASDAQ: GILD)

In addition, the firm set Market Perform ratings for the following:

  • Celgene Corporation (NASDAQ: CELG)
  • Biogen Inc (NASDAQ: BIIB)
  • Medivation Inc (NASDAQ: MDVN)
  • Amgen, Inc. (NASDAQ: AMGN)

Disclosure: The author holds no position in the stocks mentioned.

Image Credit: Public Domain

Latest Ratings for ALXN

Feb 2021SVB LeerinkMaintainsOutperform
Jan 2021Raymond JamesDowngradesOutperformMarket Perform
Dec 2020Truist SecuritiesDowngradesBuyHold

View More Analyst Ratings for ALXN
View the Latest Analyst Ratings


Related Articles (ALXN + AMGN)

View Comments and Join the Discussion!

Posted-In: Analyst Color Biotech Long Ideas Initiation Top Stories Analyst Ratings Trading Ideas General Best of Benzinga

Latest Ratings

WKHSRoth CapitalMaintains15.0
HCKTRoth CapitalMaintains22.0
ARECRoth CapitalInitiates Coverage On7.5
SLABWells FargoMaintains180.0
PENWells FargoMaintains310.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at