Fundamental reset

After three months of carnage, buysiders acknowledge their conservative prediction of biotech keeping pace with the broader markets is unlikely to occur this year. Instead, investors are looking for the few individual winners likely to have breakout years even if biotech faces election headwinds in the U.S.

The task should not prove impossible, as the consensus is biotech is at or near the floor. With the sector's fundamentals unchanged, and working off of a new baseline, buysiders and bankers agree it is a good time to put money to work...