VKTX, JANX and these biotech stocks are surging in 2024

Forget artificial intelligence stocks like Nvidia and Super Micro Computer. Biotech stocks are doing much better this year. A closer look shows that there are seven biotech companies in the top ten of the best performers in the Russell 3,000 index. 

Viking Therapeutics (VKTX) stock price has surged by more than 327% this year, making it the best performer in the index. As we have written before, this performance is mostly because of the rising optimism that the company’s weight loss drug will become successful. 

If it is, there are high chances that it will become an acquisition target as bigger pharmaceutical companies aim to compete with the likes of Novo Nordisk and Eli Lilly. This anticipation has helped supercharge its total market cap to over $8.9 billion.

Janux Therapeutics (JANX) is the other high-flying biotech stock this year. It has jumped by more than 250% in 2024, making it the third-best performing company in the Russell 3,000 index. 

This surge happened after it delivered encouraging results of its JANX007 drug that will be used to treat metastatic castration-resistant prostate cancer. It also published strong results for its JANX008 drug for the treatment of solid tumours. In a note, analysts at Cantor Fitzgerald noted that the JANX stock price could surge to $100. They noted:

Arcuits Biotherapeutics (ARQT) stock price has also done well this year as it jumped by about 200% this year. This performance happened after the company continued growing its ZORYVE cream business. It has served over 165k prescriptions from over 10,700 people. 

As a result, its revenue in Q4 jumped to over $13 million. The company is aiming to grow its business by reaching a partnership deal in Japan. However, Arcuitis priced a $150 million public offering that led to more dilution.

The other top-performing biotech stocks of 2024 so far are companies like Avidity Biosciences, Vera Therapeutics, Generation Bio, and Sana Biotechnology. All these stocks have jumped by more than 150% this year. 

Still, not all biotech companies have done well this year. Some have underperformed after failing to meet their FDA goals and because of diluting their shareholders. The most notable laggards were companies like Rapt Therapeutics (RAPT), Revance Therapeutics (RVNC), Seres Therapeutics (MCRB), and Amylyx (AMLX).