Best Gene-Editing Stocks to Buy

In 2020, American biochemist Jennifer Doudna and French microbiologist Emmanuelle Charpentier were awarded the Nobel Prize in Chemistry for their discovery of the CRISPR gene-editing technology. For those unfamiliar, gene-editing technology is used to insert, edit, or delete a gene from an organism’s genome. This recent breakthrough is arguably one of the most meaningful milestones in science in years. Gene-editing companies using CRISPR technology have the potential to treat and even cure diseases caused by genetic variants. The gene-editing market is projected to reach $15 billion by 2028.

CRISPR - A compelling investment opportunity

Given its revolutionary potential, CRISPR technology certainly looks exciting from an investment point of view. Those who invest early could stand to make significant profits. Some analysts have even said that investing in CRISPR technology now could be akin to investing in antibiotics development or X-ray technology back inthe early 1900s. Already, major pharmaceutical companies have moved to grab a slice of the action. For example, in 2015, Novartis signed deals with both Intellia Therapeutics and Caribou Biosciences, while AstraZeneca signed deals with the Wellcome Trust Sanger Institute, the Innovative Genomics Initiative, and Thermo Fisher Scientific.

Venture capitalists, financiers, and philanthropists have invested in the technology too, with Bill Gages' Chief Advisor for Science and Technology, Boris Nikolic, and a team of high profile financiers investing $120 million in CRIPR-focused biotech Editas Medicine in 2015.

Yet, investing in this kind of niche technology is not always straightforward. Profits can be a long way off and there can be plenty of setbacks. Lack of cash flow can be disastrous. Picking the right stocks can be a challenging process.

With that in mind, VAVO Investing has developed a fully allocated thematic investment strategy focused on the CRISPR market to help us gain diversified exposure to this exciting industry. Investors can invest in the CRISPR industry by gaining exposure to a diversified portfolio of leading genome editing companies, including stocks such as Editas Medicine, CRISPR Therapeutics, Intellia Therapeutics, and Sangamo Therapeutics.

Intellia Therapeutics (NASDAQ: NTLA)

Emmanuelle Charpentier and Jennifer Doudna won the Nobel Prize for their discovery of CRISPR tech eight years earlier. And Doudna went on to co-found Intellia. Intellia Therapeutics is a biotechnology company that is focused on developing revolutionary genome editing therapies using CRISPR technology to cure genetic diseases. Having already signed deals with major pharmaceutical players including Novartis and Regeneron, Intellia looks set to be a key player in the CRISPR growth story.

CRISPR Therapeutics (NASDAQ: CRSP)

Emmanuelle Charpentier, who shared the 2020 Nobel Prize in Chemistry with Doudna, founded Crispr Therapeutics in 2014, another upstart focused solely on CRISPR-Cas9 treatments. CRISPR and its partner Vertex Pharmaceuticals (NASDAQ:VRTX) are hoping to be first to market with the groundbreaking CTX001 therapy to treat sickle cell disease (SCD) and transfusion-dependent beta-thalassemia (TDT).

Editas Medicine Inc. (NASDAQ: EDIT)

Editas Medicine is a leading genome editing company focused on developing medicines for those with genetic diseases using CRISPR gene editing technology. Co-founded by biochemist Feng Zhang, who played a key role in developing CRISPR technology, Editas was the first company to be issued a patent for the use of CRISPR technology by the US Patent and Trademark Office. With deals in place with Juno Therapeutics and Allergan, and financial support from the likes of Bill Gates, Google Ventures, and a host of other big name investors, this is a biotech stock that has exciting growth potential.

Beam Therapeutics (NASDAQ: BEAM)

Founded in 2017, Beam Therapeutics is newer on the block than many of its peers but has raced its way to a valuation of more than $8 billion since hitting the public markets in 2020. There's a lot of excitement around Beam and its growth potential, as indicated by the stock's meteoric ascent to around $130 a share within 18 months of its IPO at $17. Unlike the previous gene-editing stocks, Beam uses a base editing approach, utilizing CRISPR to change a single letter in the genome. In some cases, a single letter change can be the root of lifelong health issues, and Beam's vision is to be able to completely cure such patients through its approach. Beam Therapeutics is developing treatments for sickle cell disease, beta thalassemia, and various liver and eye diseases.

Regeneron Pharmaceuticals (REGN)

Regeneron earns a spot among the best gene-editing stocks to buy largely by virtue of its partnership with Intellia on the aforementioned ATTR drug. Regeneron is the kind of partner cash-strapped but innovative biotech companies often seek out in the early days. The established player infuses cash into the smaller one, gaining the opportunity to co-develop and ultimately commercialize the promising drug or treatment. Regeneron saw promise in Intellia early, reaching a deal in 2016 to work with Intellia on in vivo CRISPR therapies. REGN stock trades for about 15 times earnings and is consistently profitable, with its blockbuster macular degeneration drug Eylea hauling in billions a year in sales. It's not a pure-play on CRISPR by any means, but Regeneron has a stake in one of medicine's most promising areas.

Sangamo Therapeutics (NASDAQ: SGMO)

Sangamo Therapeutics is a biotechnology company that is focused on a range of genomic therapies, including genome editing, gene regulation, gene therapy and cell therapy. In contrast to other biotechs that are focusing on CRISPR technology, Sangamo uses zinc-finger nuclease (ZFN) technology to edit genes. First developed in the mid-1990s, this is the oldest gene editing technology and Sangamo has essentially cornered the market on the intellectual property associated with ZFN gene editing. With deals in place with a number of major pharmaceutical companies including Pfizer, Gilead Sciences and Sanofi-owned Bioverativ, the outlook for Sangamo looks bright.

Cellectis (NASDAQ: CLLS)

Cellectis is a clinical stage biopharmaceutical company that is focused on developing genome editing technologies that target and eradicate cancer cells. Its chimeric antigen receptor T-cell (CAR-T) treatment involves engineering the genetics within the human body's immune cells (T-cells) to make them attack specific types of cancer. Founded in 1999, the company has considerable experience in the gene editing field, and it has partnered with major pharmaceutical players such as Pfizer and Allogene. With its widely available off-the-shelf therapies, the group is bringing new hope to cancer patients.

Agilent (NYSE: A)

Agilent is a research and development company that was spun off from Hewlett-Packard in 1999. A leader in life sciences, diagnostics and applied chemical markets, the group specialises in providing laboratories with analytical instruments, services, consumables, applications and expertise, enabling its customers to gain the insights they seek. Agilent has one of the broadest solutions portfolios of any company serving the pharmaceutical industry, and the group recently introduced a comprehensive offering of CRISPR-based genome engineering tools, meaning it is well placed to participate in the CRISPR growth story.

Merck (NYSE: MRK)

Merck is a global science and technology company that has a strong focus on research and development and is engaged in developing new treatments for some of the toughest medical conditions faced today, including cancer and genetic diseases. A leader in the genome editing field with over 15 years experience, Merck has recently been awarded a number of patents in relation to its CRISPR technology and the group is licensing these patents for applications, including therapeutic use, agricultural biotech, and science research. Given its experience with CRISPR, the group looks set to play a key role in the development of the technology.

Sarepta Therapeutics (NASDAQ: SRPT)

Sarepta Therapeutics is a commercial-stage biopharmaceutical companay focused on the discovery and development of precision genetic medicine to treat rare neuromuscular diseases. Having built an impressive and competitive position in Duchenne muscular dystrophy (DMD) and more recently in Limb-girdle muscular dystrophy (LGMD), Charcot-Marie-Tooth (CMT) and CNS-related disorders, the company reached a total of over 20 therapies in various stages of development. Sarepta Therapeutics has brought together all of the elements essential for successful development of gene therapy-productive collaborations, unparalleled scientific understanding, and an unwavering sense of purpose.

Spark Therapeutics (NASDAQ: ONCE)

Spark Therapeutics engages in developing gene therapies delivering potential treatments in various verticals including pediatrics, As a fully integrated company, combining proprietary adeno-associated viral (AAV) gene therapy plaform with advanced R&D, manufacturing and commercial operations Spark offers a unique approach to medicine with a clea statement to be a market leader. Spark is active in researching various genetic diseases including blindness, hemophilia, lysosomal storage disorders and neurodegenerative diseases.

Bluebird bio (NASDAQ: BLUE)

Although not engaged in CRISPR-based treatments, the Cambridge, Massachusetts-based Bluebird bio uses gene therapy approaches to target severe genetic diseases and cancer. It does this by either adding genes or editing genes, and has 17 known medicines in different stages of its pipeline, with multiple unannounced treatments in the preclinical phases. One of the company's gene therapies for beta thalassemia is now approved in the European Union, and another, the multiple myeloma immunotherapy Abecma, was approved by the U.S. Food and Drug Administration in March. Bluebird bio, which is less valuable than all other mentioned stocks at $2.2 billion, is spinning off its oncology unit into another publicly traded company by the end of the year, allowing it to focus fully on its genetic diseases segment. Shares have underperformed for years now, so a more targeted mission can only help.

Sumary

One of the greatest scientific breakthroughs of all time, CRISPR certainly looks all set to have incredible potential and those who invest in the growth story early, could stand to make significant profits. However, given that the technology is still in its infancy, picking the right stocks to profit from the growth story is not easy. A genome editing fund, which focuses on a number of different CRISPR related stocks, is most likely the best approach to investing in this niche sector. For those looking to gain exposure to this exciting growth story, CRISPR-Tech offers an innovative and cost-effective way to invest in a portfolio of exciting genome editing companies.