Cash In on the Longevity Boom: 3 Biotech Stocks to Buy Now
Longevity efforts are forefront of the news cycle today, due in large part to recent coverage of tech billionaire Bryan Johnson’s unique strategy to delay aging. This has investors trying to sniff out which biotech stocks to buy. But pumping millions into longevity research isn’t new. Big-ticket longevity backers include Amazon’s (NASDAQ:AMZN) Jeff Bezos and Palantir’s (NYSE:PLTR) Peter Thiel. In fact, longevity funding is so critical that one expert claims cash is holding the field back more than any other factor, and that “curing aging is a question of investment, not time.”
Although most of us can take action in the fight against aging by eating well and exercising, opportunities for retail investment in longevity research have been sparse. These three biotech stocks to buy for the longevity trend can help investors cash in, while providing much-needed capital to some of the most promising companies in the space.
Recursion Pharmaceuticals (RXRX)
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Recursion Pharmaceuticals (NASDAQ:RXRX) is one of the newer innovative biotech stocks to buy. Having gone public in April 2021, the company claims it is working to reinvent drug discovery. They employ cutting-edge, artificial intelligence-enabled technologies in biology, chemistry, automation and machine learning to streamline and speed up the pharmaceutical development processes.
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At its core is the Recursion Operating System, which uses large custom datasets and powerful computational tools alongside one of the world’s top supercomputers. This system creates comprehensive biological maps to better predict effective therapies, minimize human bias and optimize efficiency. Recursion’s efforts within biotech, in addition to their own therapy development, have largely used these tools to assist longevity-focused partners in identifying and prioritizing the most viable options amongst those researched.
The company largely relies on partnerships, grants and equity issues for funding. But, Recursion eyes a future market potential of over $1 billion in annual sales from its pipeline. Its ultimate goal is to deliver faster, more affordable treatments to patients, potentially impacting human longevity.
Geron Corporation (GERN)
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Geron Corporation (NASDAQ:GERN) is a late-stage biopharmaceutical firm that targets blood cancers. The main way they achieve this is by inhibiting the enzyme telomerase with their innovative cancer product candidate, Imetelstat.
While Geron’s research bodes well in the fight against cancer, understanding telomeres is crucial to longevity studies. Telomeres are the protective end caps of chromosomes which naturally shorten as cells divide, contributing to the aging process. Therefore, maintaining or extending telomere length could potentially delay cellular aging, thus promoting healthier, longer lifespans. Additionally, telomere dysfunction is implicated in various age-related diseases, so understanding and manipulating telomeres may offer new avenues for disease prevention and treatment.
Even though the company seems closer to marketability by the day, Geron has an operating deficit of over $1 billion with no current revenue-generating opportunities. Still, Geron’s Imetelstat shows considerable promise as a primary blood cancer treatment, which will be a huge revenue opportunity if approved. With patent protection until 2033, Geron could become a key player in two high-value markets, providing an enhanced treatment option to improve and prolong the lives of blood cancer patients.
Denali Therapeutics (DNLI)
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Denali Therapeutics (NASDAQ:DNLI) stands at the forefront of the fight against neurodegenerative diseases by dismantling scientific and clinical development obstacles.
Comprehensively addressing neurological disorders has always been a vital but slippery research avenue because of the challenge involved with delivering medicines able to effectively reach the brain. The brain employs a protective shield known as the blood-brain barrier, which is designed to prevent harmful substances from violating the body’s control center. Denali is pioneering a method to cross the blood-brain barrier by integrating with critical brain fuels like glucose and iron as they enter.
Presently, Denali Therapeutics’ research and development focus is narrowed in on Parkinson’s and similar neurodegenerative ailments but its innovations will have wide-ranging effects across all longevity fields. Like most early-stage biopharmaceutical companies, Denali’s revenue comes from collaboration agreements and similar non-sales avenues. Therefore, Denali finances its operations through stock offerings and milestone-driven payments via these collaboration agreements.
Still, Denali’s research may have the widest-ranging effect on the longevity field as its focus on neurodegenerative disease targets one of the most common and insidious disruptors of a long, healthy life.
On the date of publication, Jeremy Flint held no position in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Jeremy Flint, an MBA graduate and skilled finance writer, excels in content strategy for wealth managers and investment funds. Passionate about simplifying complex market concepts, he focuses on fixed-income investing, alternative investments, economic analysis, and the oil, gas, and utilities sectors. Jeremy’s work can also be found at www.jeremyflint.work.
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