Expected surge in the Australian Biotech stocks in 2024 with declining interest rates and increasing M&A

Marc Kennis Marc Kennis, December 15, 2023

 

Australian Biotech stocks could see a massive 2024

Stuart Roberts from Stocks Down Under shares his perspective on the future outlook of Australian biotech stocks.

 

The US takes the lead

According to Stuart, the sector has evolved favourably over his 20 years of coverage, with companies becoming more adept at setting goals and achieving significant progress. This upward trend is illustrated by the success of Neuren (ASX:NEU), which is now valued beyond $2 billion on ASX following drug approval.

Stuart anticipates a prosperous future for the sector, partially spurred by the United States’ cessation of increasing interest rates. Biotech is typically the first industry to respond positively to such a shift, as it attracts marginal risk capital in American markets. On top of this, the sector is experiencing a wave of acquisitions and mergers, with major pharmaceutical companies buying emerging competitors for substantial sums. These factors culminate in creating fertile ground for potential investors.

 

Proteomics International Laboratories

Highlighting one promising company, Stuart refers to Proteomics International Laboratories (ASX:PIQ) and their extensive protein database being used to create valuable diagnostics for kidney disease. The company’s first product is approved and selling in multiple jurisdictions. Stuart reveals that his twenty years of experience places him in a prime position to spot such promising entities amongst the ever-evolving biotech landscape.

 

Our own Stuart Roberts on AusBiz talking Biotechnology

 

 

What are the Best Australian Biotech Stocks to invest in right now?

Check our ASX buy/sell tips

 

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