#7 - GW Pharmaceuticals (NASDAQ:GWPH)
GW Pharmaceuticals (GWPH) Year-to-date gain: Flat
Biopharmaceutical stocks can be among the most volatile stocks because it’s all about the pipeline. Such is the risk-reward proposition for GW Pharmaceuticals (NASDAQ:GWPH). The company is a pioneer in developing drugs from marijuana.
No matter where you stand on the medical marijuana debate, there’s no doubt that there is growing interest in the therapeutic effects of marijuana. This is only growing in the shadow of the opioid crisis that is still enveloping our country.
GW Pharmaceuticals has a product, Epidiolex, which has become a legitimate lead product candidate that is specifically targeted to treat Dravet Syndrome and Lennox-Gastaut Syndrome. Another drug, Sativex, is used to treat multiple sclerosis spasticity, is already available in the market.
GWPH stock is trading flat for the year, but has increased nearly 25% since mid-March. The stock has been reviewed by 14 analysts in the past few months and it has a 12-month price target of over $190. This suggests that the stock may have up to a 90% upside from its current price.
But keep in mind, another reason why investors should consider some of the more volatile stocks is that they are frequently good takeover targets. And if GW Pharmaceuticals can get these products to market, the company will likely become a tempting takeover target. And that could send the stock even higher than analysts predict.
About GW Pharmaceuticals
GW Pharmaceuticals plc, a biopharmaceutical company, focuses on discovering, developing, and commercializing novel therapeutics from its proprietary cannabinoid product platform in various disease areas. Its lead product is Epidiolex, an oral medicine for the treatment of seizures associated with Lennox-Gastaut syndrome, Dravet syndrome, or tuberous sclerosis complex.
Read More - Current Price
- $218.96
- Consensus Rating
- N/A
- Ratings Breakdown
- 0 Buy Ratings, 0 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- N/A
In this market, a traditional buy-and-hold investing strategy is being put to the test. As the record bull market of the last decade has come to a screeching halt, some of the top blue-chip stocks are finding it hard to deliver capital growth.
The good news is that more risk-tolerant investors have options for finding growth. Small-cap stocks can be a good area to find hidden gems. Many of these stocks are not household names, and many operate as niche players within their sectors.
An aggressive investment strategy is marked by high turnover. You’re not buying these stocks for the long haul, but you don’t want to settle for business as usual. And with these stocks, you don’t have to.
Keep in mind; these are fast-growing stocks. Most of these stocks don’t offer dividends. However, if you are limiting your exposure to these aggressive stocks, you can more than make up for the dividend with capital appreciation.
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