In this article we discuss the 5 best BioTech stocks to buy for 2021. If you want to read our detailed analysis of the biotech industry, go directly to 10 Best Biotech Stocks To Buy For 2021.
5. Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX)
Vertex Pharmaceuticals (NASDAQ: VRTX) is a Boston-based firm that aims to develop and manufacture transformative medicine for people with serious diseases. It has a market cap of well over $55 billion and generates an annual revenue of well over $6 billion. In fact, in 2020, the revenue soared 50% compared to the previous year. The company enjoys a monopoly in treating cystic fibrosis and presently markets four drugs related to the disease. A new drug in this group has soared to incredible highs in the US and is now slated for worldwide growth.
Late last month, the Australian government approved the use of the Vertex drug to treat cystic fibrosis patients in the country. The firm has received positive feedback from European regulators as well. In addition to cystic fibrosis treatment, the company is now looking to expand into other areas. According to reports, the research and development wing of the firm is working on medicines for other rare genetic diseases like alpha-1 antitrypsin deficiency, mediated kidney diseases, beta-thalassemia, and sickle cell disease.
Alger Spectra Fund, in their Q4 2020 investor letter, mentioned Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX). Here is what Alger Spectra Fund has to say about Vertex Pharmaceuticals Incorporated in their Q4 2020 investor letter:
“Vertex Pharmaceuticals has become the world’s leading cystic fibrosis company by introducing the first drugs that treat the underlying disease rather than just the symptoms. Cystic fibrosis is caused by genetic abnormalities. Vertex has been able to target the proteins made by defective genes and allow them to function more normally. The shares detracted from portfolio performance when Vertex announced a disappointment in its drug discovery efforts for VX-814, one of two treatments the company is developing for Alpha-1Antitrypsin Deficiency (AATD), a genetic disorder that causes lung and liver disorders. The very surprising results were released three months earlier than expected and are delaying the development of the AATD drug.”