Buying the biotech ETF during JPMorgan’s once-a-year wellness-care convention, the industry’s largest gathering, has tested to be a rewarding trade, according to analysis by the financial commitment financial institution.
“Biotech has historically outperformed the broader current market during The J.P. Morgan Healthcare Conference,” biotech analysts at the business wrote in a note to clientele ahead of the celebration, which will get spot Jan. 9-twelve in San Francisco.
In the past sixteen several years, the NYSE Arca Biotechnology index (BTK), which measures the effectiveness of 30 biotechnology companies, has outperformed the S&P 500 index by practically three percent during JPMorgan’s convention, analysis by the business reveals.
“We noticed that the BTK has outperformed the S&P 500 during JPM week ~81 percent of the time (all but three several years),” the report mentioned.
NYSE Arca Biotechnology vs. S&P 500 (Overall performance during JPMorgan’s wellness-care convention)
Investors usually pay shut notice to biotech firms presenting at the celebration as stock-shifting information is usually unveiled, like earnings advice and updates on drug developments.
(Editor’s note: CNBC’s Meg Tirrell will be interviewing some of the prime CEOs from the convention following week, like Sarepta’s Dr. Ed Kaye, completely for CNBC Pro.)
Right here are some of the firms JPMorgan thinks traders “can’t miss out on” and the reasoning from analysts as to why those people shares could shift.