The Biotech Forum 3 Small Biotechs After Pullback | Page 2

The biotech sector has been hit hard in October after spending most of August & September in a tight trading range after a huge surge in July. The main biotech indices have lost over 10% of their value from recent highs in what has been a brutal and indiscriminate decline. The main trigger for this huge shift of sentiment is politics. Thanks to the implosion of the Republicans nominee’s presidential campaign fears have growth that the Democrats could engineered a “clean sweep” this November and control all three branches of government. This could result in more regulation other negative legislative actions on the Pharma & Biotech industries.

The Senate could well “flip”. However, given how gerrymandered the House districts have become, the high negative ratings of both candidates and the fact two thirds of the nation thinks the country is heading in the wrong direction; a "clean sweep" is still only a 25% or 33% possibility in my view.

I have gotten a lot of questions on what smaller biotech stocks I would add to here after this week's steep decline. Here is a quick synopsis of three small concerns that are deeply undervalued within the market after the recent sell-off in the biotech and pharma sectors.