2024-02-13 23:48:12 ET
Summary
- The thirty-month bear market in biopharmaceutical stocks ended last October. The subsequent rally was standard, beginning with acquisitions at generous premiums.
- A mild correction followed in January. I believe that the next leg (the most profitable) may soon unfold, driving the XBI 20% higher.
- The underpinnings of the US healthcare industry remain strong, given age demographics, the prevalence of chronic diseases, and full employment.
Last December, I wrote an article in which I stated that the 30-month bear market in biopharmaceutical stocks had ended and that a rally had begun. I discussed the standard underpinnings of the rally, namely attractive valuations accompanying several acquisitions at generous premiums....
Read the full article on Seeking Alpha
For further details see:
Biopharmaceutical Stocks: The Next Leg Of The Rally May Begin Soon