Biotech investors aren't used to seeing shares of their favorite companies tumble, but that's exactly what's been happening so far this year. The iShares Nasdaq Biotech Index, the ETF that tracks the performance of this sector, has started to rebound in recent days. However, the index is down almost 4% year to date.
To gain more insight into why this sector is underperforming the broader market this year, and reasons why big pharma company Sanofi (NYSE:SNY) could be one way long-term investors may get exposure to this sector, analysts Matt Koppenheffer and Max Macaluso discuss the recent tailwinds that drove up biotech stocks in 2013, and the headwinds that the industry is now facing. The video below, from The Motley Fool's show Where the Money Is, also covers the reasons behind big biotech Gilead's recent poor performance, and challenges that the company is currently facing.
Six stock picks poised for incredible growth
They said it couldn't be done. But David Gardner has proved them wrong, time, and time, and time again, with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently, one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his carefully chosen six picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.
Matt Koppenheffer has no position in any stocks mentioned. Max Macaluso, Ph.D. owns shares of Celgene and Gilead Sciences. The Motley Fool recommends Alnylam Pharmaceuticals, Celgene, Gilead Sciences, and Isis Pharmaceuticals. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.