Investing Experts
Finding winners in biotech, probably the riskiest sector
Nov 25, 2024
Jonathan Faison, a biotech investing expert and leader of the ROTY Biotech Community on Seeking Alpha, shares his methods for navigating the volatile biotech sector. He discusses how to identify potential winning stocks amidst fluctuations. The conversation dives into recent challenges in the market, the strategic importance of sector ETFs, and updates on key companies like Sutro Biopharma and Voyager Therapeutics. Faison emphasizes the value of community in investing, highlighting how shared insights can enhance decision-making in the complex biotech landscape.
33:15
Episode guests
AI Summary
Highlights
AI Chapters
Episode notes
Podcast summary created with Snipd AI
Quick takeaways
- Investing in biotech requires a focus on companies with multi-year momentum and diverse drug candidates to manage inherent risks.
- Building a supportive investing community enhances knowledge sharing, helping investors navigate volatility and make informed decisions in biotech.
Deep dives
Tarsus Pharmaceuticals and Market Potential
Tarsus Pharmaceuticals has shown robust growth, particularly with its lead drug, Xdemvi, which targets demodex blepharitis, a condition caused by mites on the eyelids. Initial skepticism surrounding Xdemvi's launch has been alleviated by strong early metrics, resulting in a rise in stock price from $15 to mid-40s. Despite a substantial increase in valuation, the enterprise value remains attractive at just one to one and a half times peak sales, indicating further potential for growth. The launch metrics are expected to accelerate as the drug gains traction into 2025, prompting continued patient position retention.
Remember Everything You Learn from Podcasts
Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
