Gene editing stocks are often biopharmaceutical companies. At these firms, scientists use technology to change the DNA of organisms such as plants, bacteria and animals. This is mainly to explore potential cures for diseases that might affect humans.
Other purposes of gene editing include making crops more resistant to viruses and bacteria and better able to cope with extremes of heat and cold caused by global warming. One day, gene editing could alter people’s DNA and prevent certain diseases from developing. In some circles, gene editing is controversial, though the science behind it is widely viewed as legitimate.
Investors can invest in several biopharmaceutical companies to gain exposure to this cutting-edge and fast-growing area of science. Here are three gene editing stocks that could grow your wealth.
Crispr Therapeutics (CRSP)
Swiss biotech firm Crispr Therapeutics (NASDAQ:CRSP) is one of the first companies in the world to leverage the CRISPR gene editing platform. The platform is widely viewed as the gold standard in developing medicine for treating rare and common diseases. The company’s global manufacturing center is in Boston, and its founder, Emmanuelle Charpentier, won the Nobel Prize in Chemistry in 2020.
CRSP stock is a small-cap with a current market capitalization of $5.33 billion. The share price has wobbled, declining 5% this year but gaining 28% over the last five years. The company remains unprofitable 10 years after its founding, but it plans to bring treatments to market for various blood diseases, cancers, diabetes and other illnesses. In time, Crispr Therapeutics stock could take off and become a winner.
Vertex Pharmaceuticals (VRTX)
Boston-based Vertex Pharmaceuticals (NASDAQ:VRTX) is one of the best gene editing stocks investors can own. It’s certainly been one of the best performers. VRTX stock has gained 19% this year, is up 37% over the past 12 months, and has risen 180% in the last five years. The stock is currently trading near a 52-week high. It also has a hefty market capitalization of $126 billion.
Vertex Pharmaceuticals is a more mature and established biotech company than others involved in gene editing, the majority of which are start-ups. A going concern since 1989 and publicly traded since 1991, Vertex brought its first drug to market in 2012, a treatment for the genetic disease Cystic Fibrosis. The company has recently been employing gene editing to treat inflammatory and autoimmune disorders and some cancers.
VRTX stock trades at a reasonable valuation of 31 times future earnings estimates.
Intellia Therapeutics (NTLA)
Intellia Therapeutics (NASDAQ:NTLA) is another biotech start-up company based in Boston that has been in business for the last decade. It, too, employs the CRISPR gene editing platform to develop disease treatments and medications. Intellia’s scientific founders at the University of California, Berkeley, invented the CRISPR gene editing system.
Intellia Therapeutics uses CRISPR to research and potentially find treatments for diseases and hereditary conditions such as Hemophilia and some cancers. NTLA stock can be considered a micro-cap as it currently has a market capitalization of only $2.64 billion. In terms of performance, Intellia Therapeutics’ stock has declined 11% so far in 2024, though it has gained 60% in the past five years. This is another gene editing stock with potential.
On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
