Stem Cells Live: An Investor’s Guide to Stem Cells

stem-cells

‘People have no idea how well the industry is doing right now’

These were the words of Conkos Securities’ Navid Malik during his presentation this morning. And he wasn’t alone in singing the praises of the industry and it’s financial performance over the last few years. Both Greg Bonfiglio, MD Proteus Venutre Partners, and Dr Michael West, CEO BioTime, also highlight the NASDAQ BioTech Index’s performance superior performance to the NASDAQ, LSE, and any number of reputable industries.

The success story amongst the biotech boom though is that of the top regenerative medicine companies who consistently traded above the average NASDAQ BioTech average.

A warning through from Greg Bonfiglio, BioTech look to be coming to the end of a cycle. Thats not to say that the bottom is about to fall out of the market, but rather that we may not expect to see growth in quite the same as we have seen throughout the last decade.

But, as Arnold Caplan said in an earlier session, 2014 could be the breakout year for stem cells. If he is right, we could see a surge in market activity for the top Stem Cell developers who successfully move from development to commercialisation.

One driver behind future positive market activity for cell therapy developers could well be the interest BigPharma will no doubt show in this young sector, a point Dr West was keen to impress upon the audience.

Tomorrow’s morning session will be looking at the blockbuster potential of regenerative medicine. Dr West believes that cell therapies will inevitably become blockbusters with an ageing population in the US and Europe, 80% of who suffer from age related chronic illnesses, and with generic competition for cell based therapies unlikely, BigPharma will no doubt be knocking on the door of the industry soon enough.

But Dr West warns against the current trend of companies being acquired and then stripped of their profitable parts whilst having their R&D departments cast aside.

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