Should you buy Biotech stock in?

Buying biotech stocks is a popular strategy among many investors today. Indeed, the biotechnology sector has experienced significant growth in recent years, and most of its stocks are growth stocks with attractive performance. Discover the best biotech stocks currently available, along with tips on how to buy them under the best conditions.

Should you buy Biotech stock? – Guide and Steps

If you want buy stocks in online Biotechs, you just have to follow these few steps:

1. Find an attractive online broker like the broker DEGIRO which offers biotech shares
2. Create your online investor account with this broker by filling in your personal information
3. Fund your account by depositing the capital you will need for your investments
4. Search for stocks, ETFs or biotech indices and place your stock market orders

List of the Best Brokers to Buy Biotechnology Stocks

The Most Promising Biotechnology Companies on the Stock Market in

• Investing in Biotech Moderna Stock
• Investing in Biotech GlaxoSmithKline Inc Stock
• Investing in Biotech Reata Pharmaceuticals Stock
• Investing in Biotech Apellis Pharmaceuticals Stock
• Investing in BB Biotech Stock

Investing in Biotech Moderna Stock

• Modern (buy Moderna stock) is one of the leading companies in the biotechnology sector on the stock exchange.
• She was one of the first to develop a vaccine against Covid-19, with Messenger RNA technology.
• Moderna also conducts other research into treatments for infectious diseases, immuno-oncology, cardiovascular diseases, autoimmune diseases and rare diseases.

Investing in Biotech GlaxoSmithKline Inc Stock

• The global healthcare company GSK also specializes in the development of vaccines, but also medicines and healthcare products and offers a diversified portfolio.
• Following the failure of its vaccine candidate developed with Sanofi, the price of this stock has fallen sharply, making it interesting to buy in 2025 and 2025.
• At the same time, the Glaxosmitkline group recently obtained marketing authorizations for certain treatments, including sotrovimab against mild to moderate Covid in adults and children.

Investing in Biotech Reata Pharmaceuticals Stock

• The stock of this biotechnology company specializing in clinical-stage biopharmaceuticals also lost many points last year and is beginning an uptrend.
• Several of its candidate treatments are currently on the verge of obtaining marketing authorizations from the FDA (Food and Drug Administration), in particular in the treatment of rare diseases for which no treatment currently exists.
• As this stock is still little known to investors compared to other biotechs such as Cannara Biotech Inc, it can be acquired at a lower cost and offer very attractive future profitability.

Investing in Biotech Apellis Pharmaceuticals Stock

• This stock has shown strong stability since the beginning of the year but is starting to attract investor interest and could therefore take off in 2025.
• The company has recently developed the drug EMPAVELI which has been approved by the FDA and which is the first targeted treatment for patients suffering from paroxysmal nocturnal hemoglobinuria.
• Finally, and just like other biotechs including Gilead Sciences, Apellis Pharmaceuticals presents a rather optimistic technical analysis and enjoys the support of analysts.

Investing in BB Biotech Stock

• This Swiss company is not strictly speaking a biotech but a holding company which invests in various biotechs.
• It thus makes it possible to invest, like an ETF, in different biotechnology companies.
• The BB Biotech share price fell slightly at the start of 2025 but is currently rising again thanks to rising results.

How to Invest in Biotech? – Guide and Steps

If you want to invest in Biotechs online, you just have to follow these few steps:

1. Find an attractive online broker like the broker DEGIRO which offers biotech shares
2. Create your online investor account with this broker by filling in your personal information
3. Fund your account by depositing the capital you will need for your investments
4. Search for stocks, ETFs or biotech indices and place your stock market orders

With Which Instrument to Invest in Biotechs?

• Buying Biotech Shares with a PEA – The easiest way to invest in biotech is to buy shares of companies in this biotechnology sector and add them to your PEA (French equity savings plan) through a broker. DEGIRO.
• Investing in Biotech with ETFs – There are also ETFs that include several stocks in this biotech sector, allowing you to diversify your investments as well. DEGIRO.
• Trading Biotech Stocks with CFDs – Contracts for Difference are derivative products that allow you to speculate on the rise or fall of biotech stock prices without owning them and therefore without buying them, using leverage. You can do this through a broker. Vantage.
• Investing in Biotech Indices – Finally, there are also biotech indices that replicate the performance of this sector and can also be traded with derivative products.

Why Invest in Biotechs – Profitable Actions?

It is not without reason that the biotech sector currently attracts so many investors and has done so for several years now. Here are the main arguments that make these stocks profitable stocks:

• Numerous IPOs – Since the end of the 2008 crisis, the number of IPOs of biotechnology companies has exploded and this sector has gained significant weight on the stock market.
• Unparalleled performance – Some biotech stocks have already allowed many traders to generate very significant profits, with prices multiplying by 20 or more.vantage. This was particularly the case for the Sartorius Stedim Biotech share and the Eurofins Scientific share.
• Numerous innovations – Biotech companies are increasingly innovating in increasingly promising research segments such as oncology, immunology, and prosthetics.
• Partnerships with major laboratories – Large global pharmaceutical groups are increasingly using the services of biotech companies to help them renew their portfolio of products and drugs.
• Devices havevantageux – Finally, and for almost 20 years now, governments have been encouraging researchers to create start-ups through various forms of aid and facilities such as seed funds, research tax credits, or direct investments.

Best ETFs for Investing in Biotechs

If you are hesitating between several biotech stocks to buy, ETFs can be an interesting investment solution. Indeed, these investment products bring together several stocks from this sector of activity and allow you to invest directly in a diversified basket of promising stocks from this sector. Here is the ranking of the 5 best current ETFs for investing in biotechs:

1. Lyxor Stoxx Europe Healthcare ETF – This ETF comprises the 600 largest healthcare companies in Europe and is eligible for the French PEA savings plan with €551 million in assets under management. Its holdings include shares of Roche, Novartis, AstraZeneca, Novo Nordisk, and Sanofi.
2. Lyxor MSCI World Health Care ETF – This ETF is an indirect swap replica of the MSCI Daily TR World Net HealthCare index and has €518 million in assets under management. It tracks the performance of large and mid-cap companies in 23 different markets within the healthcare sector. Its holdings include shares of Johnson & Johnson, UnitedHealth Group, Roche, Pfizer, and Merck.
3. Amundi MSCI Europe Healthcare ETF (Buy Amundi ShareThis fund invests in European healthcare equities and tracks the performance of large and mid-cap companies in 15 developed European countries, with €42 million in assets under management. It is eligible for the French PEA savings plan and includes shares of Roche, Novartis, AstraZeneca, Novo Nordisk, and Sanofi.
4. SPDR S&P US Health Care Select Sector ETF – This ETF tracks US healthcare stocks with dividends reinvested. It is a full replica of the index of the same name, with stocks weighted by market capitalization. It currently holds €144 million in assets under management, including shares of Johnson & Johnson, UnitedHealth Group, Pfizer, Merck, and Abbott Laboratories.
5. iShares US Healthcare Providers ETF – This ETF aims to track the performance of the Dow Jones US Select Health Care Providers Index, which comprises US healthcare provider stocks representing nearly 90% of the index's assets. Its holdings include UnitedHealth Group, CVS Health Corp, Anthem Inc., HCA Healthcare, and Teladoc Health.

All this, without forgetting Nanobiotix 

How to Spot and Track a Promising Biotech Action?

To find the best Biotech stocks to buy, you should of course carry out an analysis of the different companies with the following elements:

• Cash level – Ideally, a biotech company should have at least 18 months of cash on hand, and companies close to a refinancing period should be avoided.
• The experience of the leader – Knowing who is leading the biotech company you have identified will help you understand its potential.
• Industrial partnerships – Although not essential, these partnerships are a sign of the confidence of large companies in biotech.
• Progress of programs in development – ​​Here it is more sensible to follow biotechs whose clinical trials are in intermediate phase, i.e. in phase II.
• The company's market – Following the ecosystem in which biotech operates makes it possible to identify changes in scientific paradigms that could cause a stock to fall.
• Keeping up with the competition – If another biotech company is working in similar areas and is about to validate an effective treatment candidate, this can harm your biotech company's performance.

BB Biotech Share – An Attractive Value

Another original way to invest in biotech shares is to buy shares in funds and holdings in this area. This is the case of BB Biotech, which is a fund listed on the Zurich Stock Exchange and whose securities can be purchased.

BB Biotech's portfolio is thus composed of American companies for the most part with shares in the Ionis Pharmaceuticals group but also in other companies in this sector such as Endocrine Biosciences, Incyte, Vertex Pharmaceuticals, Esperion Therapeutics, Agios Pharmaceuticals, Alnylam Pharmaceuticals, Argenx SE, Alexion Pharmaceuticals or Halozyme Therapeutics.

This portfolio focuses 39% on rare diseases, 25% on oncology, 15.8% on neutological diseases, 8.7% on cardiovascular diseases, 8.3% on metabolic problems, 0.2% on infectious diseases and 2.8 % for the rest.

BB Biotech is thus considered a profitable investment with an increase in the net value of its inventory of 18.5% last year and an overall return on its portfolio which reached 23.4%.

moreover, this holding differs from traditional biotechnology companies by distributing dividends on a regular basis. Indeed, this title has returned an average of 10% per year of return to shareholders since 2013.

What is a Biotech?

Biotech – Definition

The term Biotech or Biotechnology refers to a range of scientific research, as well as applications and technologies related to living organisms, which explains the presence of the prefix "bio" in this word. Biotech thus includes the development of new pharmaceutical treatments, research in genetics or genomes, oncology, the physics and chemistry of living organisms, and modeling.

The products and applications developed by biotechs can be the following:

• Human-related technologies with lenses for diabetics, self-adaptive neural implants for Parkinson's disease, subcutaneous digital chips and others.
• Biorobotics with in particular remote surgical technologies.
• Biocompatible prostheses allowing for example to repair heart valves or bionic prostheses for amputees.
• Innovative pharmaceutical treatments such as certain vaccines or work on cells for the treatment of cancers or rare diseases.
• Agriculture with GMOs or even the study of algae as a biofuel and, in general, all chemical mutagenesis, bioenergy and biomass.

Companies in the biotech sector are generally grouped into three categories with green for plants, red for medical, blue for marine biotechnologies and white for industry.

The Growth of the Biotech Market

The growth of biotechs on the stock market is not new and this sector has been exploding on the markets for several years now. Since the first records from major biotech stocks, some biotech companies have continued to advance but others have not. However, and more generally, the biotech market remains a bull market.

In particular, we were able to witness a strong rebound in this market with my Covid-19 pandemic, which led to a race for vaccines and treatment to stem the epidemic. Some stocks have broken real records on the stock market.

But the growth prospects of this market for the coming years are also interesting because health remains a particularly strong sector. It should also be noted that biotechs do not only cover the medical sector and that they will undoubtedly provide satisfactory but also profitable answers to other modern problems such as climate and environmental issues. Find out how Buy Carmat Stock on the stock exchange which is also listed in this sector.

The Best Broker to Buy Biotech Stocks

Currently, if you are looking for the best broker on the market to buy biotech shares, we recommend that you turn to the broker that seems to be the most qualitative and competitive at the moment. He thus proposes thevantagefollowing:

• Low fees – You will be able to buy shares of biotechnology companies with competitive brokerage fees and among the lowest on the market.
• Efficient customer service – The customer service department is known for its responsiveness and expertise and is therefore able to quickly answer all your questions.
• Free real-time Euronext quotes – You will have access to live, real-time quotes for all Euronext market securities, at no extra cost.
• A simple and ergonomic platform – Finally, the investment platform will allow you to place your stock market orders very easily and quickly with ideal execution speed.

5 Tips for Investing in Biotech

To succeed in your investments in biotech, here are 5 tips that you can follow and apply:

• Does the technology developed bring value? – Here you need to understand the value proposition that the technology developed by the biotech company will bring to its market. Therefore, ask yourself what market it is targeting and what added value it will provide.
• Understanding the business model – While most biotech companies are not yet profitable, you need to understand their business model in order to try to anticipate their future returns.
• Studying growth dynamics – You should also look at three fundamental financial characteristics of growth companies such as biotechs, including their revenue, profits and investments.
• Target market size – Here we will study the share of the addressable market and the maturity of this market in order to ensure that once developed and approved, the proposed products will find a buyer.
• Combining stocks and ETFs – One of the best ways to invest in biotech is to combine a stock picking strategy with the purchase of promising stocks on the stock market with an investment in one or more ETFs.

How to Analyze Biotech Stocks?

The analysis of biotech stocks is a bit specific given that these companies have a very specific financial model. Thus, while for other stocks it is advisable to use fundamental analysis as a priority, this type of analysis will be of little importance here. This is because most biotechs are growth stocks that reinvest all or part of their profits, which makes them difficult to analyze financially.

However, here is how to succeed in your analysis of these values:

• Analyzing investments – One of the elements that can be used to analyze the growth capacity of a biotech company concerns the amounts it invests in research and development compared to sales as a percentage.
• Analyzing Funding Methods – Research and product development conducted by biotech companies requires significant funding. A biotech company that benefits from substantial financial support from partners or institutional investors will have avantage chance to grow and become profitable in the future.
• Analyzing the types of products developed – The type of treatment or drug developed is also important for medical biotech companies. Indeed, some specialize in developing orphan treatments, which are more expensive, while treatments targeting a broader audience tend to be more lucrative in the long run.

Avantages and Disadvantages of Biotech Stocks

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Benefits

• Sometimes spectacular performances
• Many values ​​for a good diversification
• Interesting ETFs and indices
• Simple analyzes

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Drawbacks

• Growth stocks but no yield
• Sometimes dizzying falls
• Volatility that calls for caution

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Other Interesting Biotech Stocks to Buy

• Investing in Boiron shares (Buy Boiron shares);
• Invest in Celyad shares (Buy Celyad Stock);

Conclusion – Should You Buy Biotech Stocks in?

So is there still time to buy biotech stocks for this year? According to analysts specializing in this market, biotechnology remains a sector of opportunity for investors, although it presents certain risks.

However, these actions will be given priority as part of a long-term conservation strategy. Indeed, it sometimes takes several long years of research before a biotech finally becomes profitable. Investors looking for short-term profits may, however, be interested in IPOs of promising biotechs or biotechs that are about to receive approval and marketing authorization.

Thus, the future of the biotechnology sector remains very positive with strong opportunities to seize for individuals who wish to make investments there. With the expansion of populations, medical and health care needs will continue to increase, in particular thanks to improving equipment in emerging countries.

Finally, we note that the climate change that we are currently experiencing may make the task of the agricultural industry more complex and require the use of biotechs to provide enough food for everyone.
Do you want to invest in biotech and are looking for a reliable broker in this sector? Do not hesitate to ask us for advice by leaving us a comment!

What Avantages to Invest in a Biotech?

Biotechs are companies that have been operating in a sector that has been booming for several years and which are performing well on the stock market. Buying biotechnology stocks allows investors to take advantage of the long-term growth opportunities of these companies. In addition, the choice of stocks in this sector is vast and makes it possible to create a diversified portfolio.

❓ How to Invest in a Biotech?

To invest in a biotech, you must buy shares of it when it is listed on the stock market. It may also be interesting to participate in the initial public offering or IPO of a biotech in order to buy its shares at a low price and benefit from the increase in their price in the months or years that follow. Go through an online broker like DEGIRO is an excellent way to invest in this area.

Where to Buy the Best Biotech Stocks?

The best biotech stocks can be purchased from online brokers specializing in stock markets like Broker DEGIRO. It will allow you to build a valuable portfolio in the biotechnology sector with numerous shares of the best companies in this field and with brokerage fees among the lowest on the market.

✔️ Why Invest in Biotech?

Investing in biotechs makes it possible to make investments in a sector with a future. Biotechnology responds to many current and future needs, in particular due to the aging and increase in the world's population, but also due to current ecological and environmental issues. These stocks are considered growth and performance stocks and have already enabled many investors to generate significant income over the past few years.

What is Medical Biotechnology?

Medical biotechnology corresponds to the search for treatments, drugs, care solutions, vaccines or other products and services in the field of health. The possible applications here are innumerable and there are more and more listed companies working in this field, which is commonly called biotech.

Are you already investing in biotech stocks and would like to share your opinions and recommendations with us? Share your experience by leaving a comment!