Is Intercept Pharmaceuticals Stock a Buy?
If you are looking for stocks to buy and hold throughout the next decade, it might be a good idea to turn to biotech stocks. After all, the biotech industry as a whole -- as measured by the SPDR S&P Biotech Index -- grew by 414% over the past 10 years, handily outpacing the S&P 500's 203% return over the same period.
There are, of course, scores of biotech companies to think about investing in, but one that deserves your attention is Intercept Pharmaceuticals (NASDAQ: ICPT). Year to date, Intercept hasn't exactly performed well, with its stock down by 24% since 2020 kicked off. Does this represent a buying opportunity for investors?
Intercept's financial results aren't impressive at the moment. For the third quarter, the company recorded total revenue of $61.9 million, a 31.8% year-over-year increase. However, Intercept also recorded an operating loss of $75.5 million, and a net loss per share of $2.59. That being said, Intercept's fortunes could soon change. To see why, let's consider the company's sole product on the market at the moment: Ocaliva. Ocaliva was first approved by the U.S. Food and Drug Administration (FDA) in May 2016 for the treatment of primary biliary cholangitis (PBC).
Source Fool.com
