[Forecast] 98% Chance of Profits

By Wayne Mulligan, on Thursday, June 9, 2016

From June 2014 to June 2015, the biotechnology sector was on fire

In just 12 months, the NASDAQ Biotech Index (NBI) soared by 53%.

The next year, however, wasn’t nearly as lucrative:

From June 2015 up until today, the NBI plummeted by about 25%. Essentially, it gave back all its gains from the previous year.

But lately, we’ve seen strong signals that biotech may be headed for a rebound.

And by getting in on the right stocks at the right time, investors stand to make big gains, fast.

However, as you’ll learn in a moment, there’s an even better way—a more profitable way—to make a fortune in biotech.

The Biotech Crystal Ball

Before I show you how to capture some of these profits for yourself, let me tell you why I believe the sector is poised for a turnaround.

One of the most reliable ways to gauge the overall performance of a sector is to look at its IPO activity.

For example, in 2013, we saw just 41 biotechnology IPOs.

In 2014, that number exploded to 76—an 85% increase.

And that surge correlated perfectly with the dramatic rise we saw in the NBI for those years.

But then things started to slow down:

In 2015, biotech IPO activity dropped by 15%—and this led to a comparable decrease in the NBI.

Which brings us to where we are today:

For 2016, IPO activity for biotech hasn’t been particularly robust… but we are seeing indicators that things could be turning around.

In Q1 of this year, for example, there were only six IPOs in the overall stock market... but all of them were biotech-related.

And performance has been very strong:

Five of these six IPOs are currently trading above their IPO price—some by more than 100%.

We believe this could pave the way for more companies to go public this year…

And that could have a positive effect on the overall sector.

Buyer Beware

But to be clear, trying to time markets is risky.

Sure, we could go into an IPO bull market and watch the entire sector start to rise...

But if something unforeseen happens—or if we pick the wrong stocks—we could lose big.

And that’s why we do not recommend trying to trade biotech stocks.

Instead, we leverage a different way to play this sector...

It’s safer—and it can also be far more profitable.

Biotech Start-ups

Instead of trying to get into biotech stocks at the IPO, you should get involved in these companies before they go public... while they’re still private.

Historically, that’s where the most money has been made.

For example, a little over a year ago, a medical device company called ReWalk went public on the NASDAQ.

Investors who got in at the IPO doubled their money during the first day of trading.

But a number of Crowdability readers made 381% on IPO day. That’s because, based on what they read in this newsletter, they got in on ReWalk while it was still private.

In other words, they were selling their shares at the IPO while everyone else was buying. They were cashing out just while everyone else was getting in.

98% Chance of Profits

But to be clear, investing in early-stage companies comes with a certain amount of risk—especially in biotech.

You need to analyze everything from unproven technology to the likelihood of FDA approval.

Recently, however, we came across an opportunity that’s been dramatically “de-risked.” Let me explain:

This company is pioneering a new therapy that has the potential to transform a $1 trillion market. It has the potential to save the lives of 415 million people.

In clinical trials, its science has been proven effective. And one of the largest drug companies in the world has already invested millions of dollars into this company.

Furthermore, based on our research, we believe this company’s therapy has a 98% chance of getting approved by the FDA.

And as you know, once a company receives FDA approval, its value skyrockets.

But here’s the best part:

This company will soon be accepting investments from individual investors like you.

And on Thursday June 16th at 8pm Eastern, Matt and I will be hosting a special live (online) presentation to tell you all about this exciting opportunity.

If you’d like to register and learn more, click here now.

But be sure to act quickly: only a small percentage of Crowdability readers will be allowed to attend...

And even fewer will have the chance to get in on this opportunity.

Again, you can reserve your spot here » 

Happy investing.

Best Regards,
Wayne Mulligan
Wayne Mulligan


If you enjoyed this article, subscribe to updates:

Sign-up today and you'll receive our daily insights on early-stage investing, as well as our FREE "Equity Crowdfunding Action Kit" – where you'll learn:

  • The Ins & Outs of Equity Crowdfunding
  • A step-by-step path to get started
  • Tips from dozens of Venture Capitalists
subscribe to updates

Thank you for subscribing!

Tags: Biotech

Share This:
comments powered by Disqus