Biotech stocks are hot on just about everyone’s radar right now.
It’s only natural since they’ve been the go-to stocks for most investors during quarantine, and President Trump just signed the $900 billion relief bill into law. A good amount of that money is going straight to healthcare to help distribute COVID-19 vaccines.
And as long as you know the right places to look, the best biotech stocks to watch in 2021 aren’t that hard to find.
So if you’re about to have some extra cash in your pockets and want to put it to work in the stock market, take a look at these two biotech stocks to watch in 2021.
The COVID-19 pandemic has been a huge wake-up call. Mostly about the importance of what happens in laboratories all around the world.
But this wake-up call also extends to the financial markets…
And most specifically, the ones where we can find biotech stocks to invest in companies behind the labs. This is driving up the market for leading biotech stocks as tracked by the S&P 500 that has given us about 59% in 2020 so far.
I have found two biotech stocks to watch in 2021 that I want us to take a look at today. I think they will give us a good risk-return tradeoff in 2021, along with some potential solid returns.
The first biotech stock on my watchlist is actually a REIT (real estate investment trust).
It’s Alexandria Real Estate Equities Inc (NYSE: ARE). Alexandria is a REIT that invests in office buildings and medical laboratories leased to tenants in the life science and technology industries.
If you know anything about medical labs, they’re not easy.
You have to know what you’re doing. So putting all of your money into individual companies (especially biotech ones), can be risky.
That’s why I’m suggesting you check out this biotech REIT. This biotech stock to watch in 2021 is a smart investment because you get protection by having multiple companies in the same investors, like a mutual fund. And of course, Alexandria knows what it’s doing.
But what about the second stock on my list of biotech stocks to watch in 2021?
It’s the world’s largest producer of medicine and vaccinations for our favorite two- and four-legged friends. The company used to be a subsidiary of Pfizer Inc (NYSE: PFE), the world’s largest drug maker.
Pretty cool, huh?
But as far as this biotech stock to watch in 2021 goes… you’ll have to watch the video below to find out its name.
Check out this short video to reveal my second biotech stock to watch in 2021, and be sure to leave your thoughts in the comment section below.