Are These Biotech Stocks Poised For Breakouts This Week?
Unless you have been under a rock lately, you know how volatile the markets are right now. For investors constantly looking for the next breakout, small-cap biotech stocks have been the focus this year. Now, perhaps you are new to this space. Maybe you have been following top biotech stocks such as Gilead Sciences (GILD Stock Report) or even Vertex Pharmaceuticals (VRTX Stock Report) and have been wondering if there’s any huge upside to these stocks. The answer is yes and no. Yes, if your investment horizon is 5 to 10 years long or more. But if you are hoping GILD stock to double to $150 by the end of the week from its current share price of $77, the answer is probably no.
Now, there’s a resurgence of coronavirus cases in the US, with Brazil catching up fast. The need for safe and effective coronavirus vaccines and treatments are becoming increasingly prominent. As such, investors have been looking for the next biotech stock with the potential to skyrocket overnight. Like I’ve said previously, small-cap biotech stocks represent the ultimate risk-reward play in the stock market today. Like all small-cap stocks, biotech stocks under $3 usually represent shares of companies in the very early, pre-clinical, or clinical stage companies with no actual product in the market.
How To Find The Best Small-Cap Biotech Stocks To Buy?
Small-cap biotech stocks have always been a big focus for investors but this year has been one of the most active years for the sector. These smaller-cap biotech stocks have consistently been dominating the volatility game since the start of Covid-19. Every investor and trader is looking for the next big thing and there is a lot of trial and error before getting it right.
We all know small-cap stocks are notoriously volatile, and so are biotech stocks. Put the two together and you have a recipe for headlines. Therefore, if you are looking for an industry with massive breakouts, this is the one to be in. But how do we get ourselves around in an industry that is so volatile? Some would say that trading biotech stocks are almost no different from playing roulette. That could be true to a certain extent. But keeping close details on the clinical data and development would increase our odds of betting correctly. With all that being said, are these biotech stocks on your watchlist this week?
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Top Biotech Stocks Under $3 To Buy Or Sell: Sintx Technologies
First, up the list, shares of Sintx Technologies (SINT Stock Report) have risen more than 150% since its March low. SINT stock is not like many of the high-volatility biotech stocks. Its stock price has been exhibiting slow and consistent uptrend for the past few weeks. SINT stock is still in the red compared to its stock price on January 30 this year, when one SINT stock was worth $2.06. But that could change materially when the market opens today. Why? The company announced over the weekend that in a controlled laboratory study, the SARS-CoV-2 virus was inactivated when exposed to SINTX’s sintered silicon nitride powder.
“The preliminary results are encouraging,” said Dr. Sonny Bal, CEO of SINTX. “The antiviral data are consistent with the well-established anti-bacterial properties of SINTX’s silicon nitride, and with previously reported effectiveness against several single-strand RNA viruses. Additional testing at independent, outside laboratories is in progress to corroborate the effectiveness of silicon nitride against SARS-CoV-2.”
Top Biotech Stocks Under $3 To Buy Or Sell: Evoke Pharma Inc
Shares of Evoke Pharma Inc (EVOK Stock Report) are up more than 70% in pre-market trade Monday. This came after the FDA approval of the company’s nasal spray, Gimoti, for the relief of symptoms in adults with acute and recurrent diabetic gastroparesis. I know what you are thinking. This company has nothing to do with coronavirus treatments nor vaccines. But hey, there are also other diseases that are plaguing us. As such, this wonderful news deserves the attention of the investing community too.
The FDA approval of Gimoti allows the company to access its existing $5 million line of credit from its partner Eversana. This funding will help the company with manufacturing and commercializing. Now that the product has the green light to roll out to the market once ready, will this be the top biotech stock to watch this week?