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Wall Street Backs the Wrong Biotech

By Dave Williamson - Apr 12, 2013 at 10:29PM

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NASDAQ: CELG

Celgene Corporation

Are these Wall Street upgrades really deserved?

In this video, David Williamson reviews some of his favorite biotech firms. Many analysts have thrown their weight behind Biogen (BIIB 1.37%) and its new BG12 drug for multiple sclerosis. However, David favors Gilead (GILD -0.57%) over Biogen since Gilead has a larger, more diverse product pipeline. Celgene (CELG) is the No. 1 biotech in David's opinion since it also has blockbuster drugs but a PEG of less than 1.0. Amgen (AMGN 0.07%) is a big company with more products in development than most people realize. Overall, for value and future earnings potential, David likes Celgene the best.

Stocks Mentioned

$205.13 (1.37%) $2.77

Gilead Sciences, Inc.

GILD

$64.64 (-0.57%) $0.37

Amgen Inc.

AMGN

$253.19 (0.07%) $0.18

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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