3 Beaten-Down Biotech Stocks to Buy Now

Despite political posturing over high drug prices, the sector’s prospects remain bright, thanks to a steady stream of new products.

What goes up must come down, and when it comes to stocks, a big rise in a relatively short period of time often presages a nasty fall. Consider the meteoric rise in biotechnology stocks. From the start of 2015 through July 20, iShares Nasdaq Biotechnology ETF (symbol IBB), an exchange-traded fund that tracks the sector, soared 31%. Since March 2009, when the bull market began, the ETF returned 582%, or 35% annualized. But in less than three months since the July peak, the ETF has plunged by 22%.

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Contributing Writer, Kiplinger's Personal Finance
Carolyn Bigda has been writing about personal finance for more than nine years. Previously, she wrote for Money, and is a regular contributor to the Chicago Tribune.