How to identify biotech diamonds in the rough

While it may seem valuations are likely to stop falling at this level, this is not necessarily the case in biotech. Typically, these early-stage companies are yet to have a product approved, and they subsequently rely heavily on external backing to fund the development of new treatments. This makes these sorts of companies particularly risky prospects for investors in the biotech space. However, among companies whose values have dropped 70-80% from their peak levels in the spring of 2021 are some gems, with compelling science and sound underlying business fundamentals. 'Big Short' Bur...