As we recently mentioned, biotech stocks have been particularly hammered over the last few weeks. With geopolitical tensions, less-than-bullish data and rising bond yields dotting the headlines, investors sold off in a very big way. Unfortunately, that’s meant that many biotech stocks have been hit hard. For the big boys and those with impressive pipelines, billion revenue streams and even dividends, the damage has been pretty muted.

However, those clinical stage biotech firms haven’t been so lucky.

The market rout has caused many biotech stocks to drop to single or low double-digit prices. And while these doesn’t necessarily make them “cheap” when looking at valuation metrics, it does make plenty of them worth looking at when it comes to potential. There’s a lot of diamonds in the rough that now be had for under $10 or $15 dollars. While these aren’t necessarily sure things — nothing in the biotech world is — the now low prices on some of these stocks does gives investors some margin of safety.

With that, we here at InvestorPlace done some of the leg work for you. Here are five low-priced biotech stocks that could be big buys right now.

Low-Priced Biotech Stocks to Buy Today:  

MannKind Corporation (MNKD)

Not living up to its potential is perhaps the best way to describe biotech MannKind Corporation (NASDAQ:MNKD). The world was MNKD’s oyster when it began developing the world’s first inhalable insulin. Even more so when its lead drug Afrezza was approved. However, prescriptions for the drug continue to come in well under expectations, and revenues from these written prescriptions have been paltry at best.

That’s a big problem when you are running low on cash and have some pretty decent debts on your balance sheet.

But things may finally be turning a corner for the biotech stock. For one thing, Afrezza prescriptions have finally begun to increase by a wide margin. That lead to a 184% increase to MNKD’s revenues during the first quarter. That’s a huge win for the stock and shows that its inhalable insulin is starting to win over doctors and patients.

In addition to that, MNKD has another big win up its sleeve. Namely, a big partnership. Biotech superstar United Therapeutics (NASDAQ:UTHR) partnered with MannKind to release/develop an inhalable version of its pulmonary arterial hypertension drug Remodulin. The $45 million plus milestones and royalties will go a long way to keeping MNKD afloat as Afrezza sales finally take off.

So it’s no wonder why the stock surged nearly 70% in September. But at under $2 per share, there’s still plenty of room to run if MNKD continues to realize its potential.

Low-Priced Biotech Stocks to Buy Today:

Paratek Pharmaceuticals (PTRK)

Antibiotic resistance is becoming a major problem. According to the Centers for Disease Control and Prevention (CDC), drug-resistant bacteria cause roughly 2 million illnesses and approximately 23,000 deaths each year in the United States alone. The number of superbugs is on the rise. So, you’d think a biotech who developed and had approved a new class of antibiotics would be surging?

But so far, that’s not been the case for Paratek Pharmaceuticals (NASDAQ:PTRK).  That makes it a huge opportunity.

The FDA approved PTRK’s NUZYRA for treatment of community-acquired bacterial pneumonia (CABP) and acute skin and skin structure infections (ABSSSI). The beauty is that the drug works against a huge spectrum of bacteria- including Gram-positive, Gram-negative, atypical, and drug resistant strains. This is a huge win in the battle against antibiotic resistance. And yet, the market doesn’t seem to care because of the recent rout.

But you know who will care? Another biotech firm. The biotech who created the last ABSSSI treatment — Trius Therapeutics — was taken out by Cubist (now Merck (NYSE:MRK)) for around $710 million. Did we mention that PRTK also scored an approval for a new antibacterial acne medicine on the same day? This goes to show how versatile its new class of antibacterial is. Paratek’s drug is essentially better/more effective. Someone will want it. And with its market cap of around $400 million, investors could see a decent buyout premium.

At under $10 per share, PRTK could one of the best low-priced biotech stocks to buy.

Low-Priced Biotech Stocks to Buy Today:  

Sorrento Therapeutics (SRNE)

Usually, FDA approvals send biotech stocks soaring. But that wasn’t the case for Sorrento Therapeutics (NASDAQ:SRNE). In fact, shares of the biotech stock crashed more 24% on the news that the regulatory body approved its ZTlido lidocaine topical system for the treatment of pain. Why the drop? Well, investors have been expecting the approval for a long time and shares have run-up accordingly.

The thing is SRNE offers much more than a post shingles pain medicine. Its pipeline is actually pretty robust. This includes a variety of cancer treatments called chimeric antigen receptor T-cells (CAR-T) therapies. In essence, CAR-T therapies use a patient’s immune cells to attack cancer tumor cells. CAR-T is all the rage with the bigger biotech stocks like Celgene (NASDAQ:CELG) and there’s been plenty of M&A for smaller CAR-T players like Sorrento.

And SRNE has a plan to help advance its research in these CAR-T areas. One option is selling its recently approved ZTlido drug. Management has hinted at spinning off ZTlido and its related technology as a separate company to raise funds for CAR-T research. This would first provide SRNE with plenty of cash. But it would also reduce cash drain of trying to launch a new drug that is competing against an entrenched rival. It would also free up the biotech stock to focus only on cancer therapies. That would make it a much tastier snack for a larger firm.

All in all, at $4 per share, SRNE is far from a sure thing. But it has plenty of potential.

Low-Priced Biotech Stocks to Buy Today:

 

Proteostasis Therapeutics (PTI)

Most investors would dream about making over 260% in a stock over a few years, yet alone one day. But for early investors in Proteostasis Therapeutics (NASDAQ:PTI) that’s exactly what they woke up to just a few days ago. Now the stock did give up some of those gains the next day, but it’s still up huge. And there’s plenty of reasons why.

Cystic fibrosis is currently a lifelong sentence to those diagnosed — and that life is severely shortened. Current treatments can prolong lifespan, but not cure the disease, and those treatments are all controlled by Vertex Pharmaceutical (NASDAQ:VRTX). That dominant position in CF allowed Vertex to clip around $2.17 billion in revenues last year. So, the market for cystic fibrosis is a very lucrative one and any upstart chipping away at VRTX’s position could see plenty of future revenues their way.

Which brings us to Proteostasis.

The biotech firm reported great data from its PTI-801 and PTI-808 doublet combination therapy. Subjects saw a statistically meaningful improvement in predicted forced expiratory volume for one second (ppFEV1) and sweat chloride concentrations. Moreover, the results came in very comparable to VRTX’s doublet therapies. All in all, it shows that PTI’s science is working very well.

Now, this is an early stage trial and there’s a long time before Proteostasis markets a drug. But the promise is huge and at $8 per share, it could be worth a gamble for investors.

Low-Priced Biotech Stocks to Buy Today:

Amicus Therapeutics (FOLD)

Rare and ultra-rare disease drugs often fetch huge price tags. So many biotech stocks that target these diseases often see some hefty revenues as their drugs hit the approval/market stages. Gene-editing superstar Amicus Therapeutics (NASDAQ:FOLD) could be the next in line in the rare disease world.

FOLD recently won approval for its Fabry disease drug, Galafold. Patients that have Fabry disease can’t produce a certain protein that’s required to break down a fatty substance. Without the protein, this substance builds-up in vital organs — including the heart and kidneys. Eventually, these organs shut down, leading to organ transplants or death. Galafold should start sending revenues FOLD’s way sooner than later.

Meanwhile, a smart acquisition has given Amicus 10 clinical-stage and pre-clinical stage programs to fill its already rich pipeline of gene drugs.

This is rich pipeline and approval has been met with… intense selling. The reason is that FOLD’s Pompe disease program was denied fast-track status from the FDA. All that means that Amicus must go through the regular channels/trials in order to get its Pompe program to market. But investors are treating it as the firm is DOA.

For a chance to buy a revenue-producing biotech with a rich pipeline, the firms $10 per share price tag is a great bargain.

As of this writing, Aaron Levitt did not hold a position in any of the previously mentioned stocks.