Even during economic downturns, one fact remains resolute: pharma stocks represent the ultimate risk/reward plays. Out on Wall Street, the sector has become known for its high volatility. How did it earn this reputation? It comes down to the nature of the industry itself.Unlike companies in other areas of the market, pharma stocks depend less on earnings results, and more on clinical data and regulatory decisions. As the latter determine the trajectory of these stocks, a single piece of good news can act as a catalyst that sends shares skyrocketing.That being said, shares can plummet just as easily should a company publish lackluster data or if approvals don’t come through. For this reason, in-depth due diligence is necessary before pulling the trigger on a name in this sector.Today, we’ll look at three pharma stocks recommended by Sumant Kulkarni, a top-rated analyst from Canaccord. Kulkarni believes these three tickers could be propelled...
Even during economic downturns, one fact remains resolute: pharma stocks represent the ultimate risk/reward plays. Out on Wall Street, the sector has become known for its high volatility. How did it earn this reputation? It comes down to the nature of the industry itself.Unlike companies in other areas of the market, pharma stocks depend less on earnings results, and more on clinical data and regulatory decisions. As the latter determine the trajectory of these stocks, a single piece of good news can act as a catalyst that sends shares skyrocketing.That being said, shares can plummet just as easily should a company publish lackluster data or if approvals don’t come through. For this reason, in-depth due diligence is necessary before pulling the trigger on a name in this sector.Today, we’ll look at three pharma stocks recommended by Sumant Kulkarni, a top-rated analyst from Canaccord. Kulkarni believes these three tickers could be propelled...
