Biotech trading at 1.96X sales vs. 2.66X historical median
Historic valuation disconnect creating rare entry opportunity...
Hey there,
Despite an innovation surge, biotech valuations have reached historically attractive levels, trading at just 1.96 times price-to-sales compared to a five-year median of 2.66 times.
The NASDAQ Biotech Index has pulled back to 4,243 from September 2024 highs near 4,955, creating significant upside potential for quality companies. Access full story here.
-Christopher
P.S. Small-cap biotechs are particularly affected by this valuation compression as funding concentrates in larger players. You really need to read this before it's too late.