The 3 Biotech Stocks That Could Make Your February Unforgettable

Industry Overview - The pharmaceutical industry is expected to see continued mergers and acquisitions (M&A) in 2024 as companies aim to strengthen their pipelines ahead of a significant patent cliff, with the top 20 pharmaceutical companies projected to lose approximately $180 billion in sales by 2028 due to patent expirations [1] Company Highlights - Johnson & Johnson announced the acquisition of Ambrx Biopharma for $2 billion, while Pfizer acquired Seagen for $43 billion and Sanofi purchased Inhibrx for about $2.2 billion [1] - Novartis has also acquired MorphoSys for $2.9 billion, indicating a trend of large pharmaceutical companies seeking to bolster their portfolios through strategic acquisitions [1] Potential Buyout Targets - Viking Therapeutics has seen its stock rise from around $26 to $32.23, driven by demand for weight loss treatments and speculation of a potential acquisition by Pfizer, which is focusing on the obesity treatment market [2] - ADC Therapeutics' stock increased from $3.90 to $4.86 following successful trial results for a combination treatment for relapsed follicular lymphoma, positioning it as a potential takeover target [4] - Arcellx's lead product candidate, CART-ddBCMA, is being recognized as a promising treatment for relapsed or refractory multiple myeloma, with the company maintaining a strong financial position with approximately $482.7 million in cash and equivalents as of September 30 [5]