In this article, we discuss 5 biotech stocks with biggest upside. If you want to read our detailed discussion on the recent developments in the biotech industry, you can go directly to 10 Biotech Stocks with Biggest Upside.
5. Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR)
Average Target Price: $58.91
Potential Upside: 110.1%
Number of Hedge Fund Holders: 29
Value of Hedge Fund Holdings: $265,427,670
Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR) is a Pasadena, California-based biotech company developing RNA interference (RNAi) therapies for rare diseases.
Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR) has a proprietary platform called Targeted RNAi Molecule (TRiM) created to provide tissue-specific targeting. Experts believe that the company has an attractive RNA interference (RNAi) portfolio and strong partnerships. Although Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR) is incurring operational losses, it has a runway of three-and-a-half years based on the current cash burn. The company has a target of having 20 products either in the clinical stage or in the market by 2025.
4. Intellia Therapeutics, Inc. (NASDAQ:NTLA)
Average Target Price: $82.70
Potential Upside: 117.8%
Number of Hedge Fund Holders: 29
Value of Hedge Fund Holdings: $758,970,450
Intellia Therapeutics, Inc. (NASDAQ:NTLA) is a Cambridge, Massachusetts-based biotech company that was founded in 2014 by Nessan Bermingham. The clinical-stage genome editing company is focused on developing curative therapeutics using CRISPR technology.
Intellia Therapeutics, Inc.’s (NASDAQ:NTLA) most advanced program is NTLA-2001 for treating transthyretin (ATTR) amyloidosis. It is the first-ever systemically administered CRISPR therapy candidate to enter clinical trials. Other pipeline programs include editing candidates for hemoglobinopathies like sickle cell disease and beta-thalassemia, autoimmune diseases, and cancer immunotherapies. Intellia Therapeutics, Inc. (NASDAQ:NTLA) has a broad intellectual property portfolio and proprietary editing platform built around CRISPR/Cas9 technology.
3. Denali Therapeutics Inc. (NASDAQ:DNLI)
Average Target Price: $55.58
Potential Upside: 133.1%
Number of Hedge Fund Holders: 25
Value of Hedge Fund Holdings: $243,606,110
Denali Therapeutics Inc. (NASDAQ:DNLI) is a San Francisco, California-based clinical-stage biotechnology company. It went public in 2018 and is focused on developing therapies for neurodegenerative diseases.
The lead candidates of Denali Therapeutics Inc. (NASDAQ:DNLI) are small molecule inhibitors of LRRK2 kinase for Parkinson’s disease and antibodies targeting TREM2 for Alzheimer’s disease. Other pipeline programs target ALS, dementia with Lewy bodies, and multiple system atrophy, among others. With such a strong pipeline, analysts are bullish on Denali Therapeutics Inc. (NASDAQ:DNLI) as one of the best biotech stocks.
2. Ultragenyx Pharmaceutical Inc. (NASDAQ:RARE)
Average Target Price: $89.91
Potential Upside: 136.4%
Number of Hedge Fund Holders: 33
Value of Hedge Fund Holdings: $514,878,820
Ultragenyx Pharmaceutical Inc. (NASDAQ:RARE) is a Novato, California-based biotech company founded in 2010 that is focused on developing therapeutics to treat rare or ultra-rare genetic diseases.
Ultragenyx Pharmaceutical Inc. (NASDAQ:RARE) has achieved success once as its lead product, Crysvita (burosumab), was approved by the FDA in 2018 for the treatment of X-linked hypophosphatemia (XLH), a rare genetic bone disease. In a research report issued to investors on August 4, Jeffrey Hung at Morgan Stanley maintained an Overweight rating on Ultragenyx Pharmaceutical Inc. (NASDAQ:RARE) stock and reiterated a target price of $95.
1. Zai Lab Limited (NASDAQ:ZLAB)
Average Target Price: $70.21
Potential Upside: 145.1%
Number of Hedge Fund Holders: 23
Value of Hedge Fund Holdings: $222,428,960
Zai Lab Limited (NASDAQ:ZLAB) is a Shanghai, China-based biopharmaceutical company focused on bringing innovative medicines to the Chinese and global markets.
Zai Lab Limited (NASDAQ:ZLAB) licenses or acquires late-stage drug candidates from Western biopharma companies and develops and commercializes them in Greater China. The company has licensed products like Zejula (niraparib) for ovarian cancer and Optune for glioblastoma, both licensed from GSK and Novocure, respectively. The pipeline of Zai Lab Limited (NASDAQ:ZLAB) comprises drugs for cancer, autoimmune disorders, and infectious diseases.
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