Biotech Richly Priced With One Exception

At 10.3x book value and 50.3x cash flow on average, the biotech industry is among the most expensive in the MSCI World index.

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There have been some big winners in the biotech industry the last 4 years.  Every stock in the industry has outperformed the MSCI World index over this period.

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Actelion has lagged somewhat–only outperforming the index by 2% over the last four years–and appears to offer the best relative value in the group.

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