Biotech can still be a value play, says Franklin Templeton's Bowers


Franklin Templeton's Grant Bowers has suggested some US biotechnology companies verge on looking like "value stocks" despite the fierce rally enjoyed by the sector over the past half-decade.

Bowers, manager of the £70m Franklin US Opportunities fund, admits the broader US market looks “broadly fair value” but maintains certain biotech stocks remain particularly attractive. The S&P 500 has risen 87% over the five years to 15 May, compared with a 323% rise for the Nasdaq Biotechnology index. Bowers continues to hold biotech companies such as Celgene, Biogen and Gilead Sciences. “Biotech is attractive if you focus on companies that already have proven products. We were buyers when these stocks were selling off last year,” Bowers said. “Some technology companies are tradin...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on Equities

Ken Wotton and Brendan Gulston, co-managers of the LF Gresham House UK Multi Cap Income fund

Five rules for resilience amid rocky markets

Barrage of headwinds

Ken Wotton and Brendan Gulston
clock 04 August 2022 • 5 min read
Chris Hutchinson of Unicorn Asset Management

The Big Interview: What I learned after being dropped from Hargreaves Lansdown's Wealth Shortlist

'I’ve no interest in falling out with people'

clock 04 August 2022 • 6 min read
Darius McDermott, managing director, FundCalibre

FundCalibre elite radar: ASI Global Smaller Companies

'Good contender'

Darius McDermott
clock 01 August 2022 • 4 min read