The Three Biotech Stocks That Have Surged On The Back Of The Monkeypox Outbreak

The Three Biotech Stocks That Have Surged On The Back Of The Monkeypox Outbreak
Stéphane Renevier, CFA

almost 2 years ago1 min

Outbreaks of monkeypox in Europe and North America have been getting people worried about its potential spread, but getting investors excited about the potential for gains. They’ve zoned in on three biotechnology companies that are developing a treatment, with shares of SIGA Technologies (SIGA), Emergent BioSolutions (EBS), and Bavarian Nordic (BVNRY) all posting double-digit gains on Thursday.

Now, monkeypox is neither as easily transmissible as Covid-19, nor as deadly. And there’s a chance the monkeypox spread will be contained as quickly as it’s appeared, which could blunt investors’ enthusiasm for those stocks. After all, the most recent outbreak in the US is believed to have been limited to 47 people.

Still, governments will probably be particularly proactive in clamping down on the virus, given how fresh the initial Covid outbreak is in people’s memories. That attention alone could push the price of those stocks even higher. It’s just worth using a tight stop-loss to limit your losses, in case we’re fortunate enough that they manage to nip it in the bud before too long.

Finimize

BECOME A SMARTER INVESTOR

All the daily investing news and insights you need in one subscription.

Disclaimer: These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment advisor.

/3 Your free quarterly content is about to expire. Uncover the biggest trends and opportunities. Subscribe now for 50%. Cancel anytime.

Finimize
© Finimize Ltd. 2023. 10328011. 280 Bishopsgate, London, EC2M 4AG