Regeneron Pharmaceuticals Inc (NASDAQ:REGN) is a rapidly growing biotech with a market cap of $24.6 billion. The stock trades at 15.5 times sales, but the majority of its upside lies in the expansion of Elyea, as well as its large pipeline. In biotechnology, the pipeline is what creates value, and Regeneron’s is among the best. The company has late-stage products in treating rheumatoid arthritis, cholesterol, and asthma, which combined could add peak sales of $11-$13 billion globally. As a result, Regeneron Pharmaceuticals Inc (NASDAQ:REGN) is an investment for the future, and in my opinion, it is a very good one.
I think each of these stocks bring something different to the table. Jazz Pharmaceuticals plc – Ordinary Shares (NASDAQ:JAZZ) looks very promising in the immediate future due to the excitement surrounding Ireland-based biotechs and their tax structure.
Santarus looks to be a good medium-term position as Uceris expands and the company’s pipeline develops further. However, Santarus’ pipeline is no match for the potential of Regeneron Pharmaceuticals Inc (NASDAQ:REGN), and because of Regeneron’s history as a successful product developing company, I think it makes the best long-term position. Therefore, the decision on how to play these stocks is dependent upon your goals, although I think all are good companies.
The article Have These 3 Biotechs Reached A Peak? originally appeared on Fool.com and is written by Brian Nichols.
Brian Nichols is long Santarus, Jazz Pharmaceuticals plc – Ordinary Shares (NASDAQ:JAZZ), and Regeneron Pharmaceuticals.. The Motley Fool has no position in any of the stocks mentioned. Brian is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
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