There are a couple of ASX 200 biotech shares that could be in the buy zone right now. The S&P/ASX 200 Index (ASX: XJO) is down -10.25% this year but many Aussie healthcare companies have surged in value.
This is partly due to the nature of the coronavirus pandemic. Many healthcare services are in high demand even as the economy falls on hard times.
While not all Aussie biotech companies are created equal, here are a couple of my top picks to buy today.
2 ASX 200 biotech shares to buy today
I like the look of CSL Limited (ASX: CSL) right now. CSL is one of the largest companies by market capitalisation on the ASX and weighs in at $129.55 billion.
The ASX 200 biotech share doesn’t always look like good value. However, CSL shares have dropped below the $300 per share mark and are trading at $276.45 at the time of writing.
We’ve seen some strong investor support around the $270-280 per share mark in recent months. That could mean now is a good chance to buy CSL at a 16.75% discount to its all-time high.
It’s not just the Aussie biotech giant that is in the buy zone. I also like the look of Polynovo Ltd (ASX: PNV) shares right now.
Polynovo designs develops and manufactures dermal regeneration solutions using its patented NovoSorb BTM biodegradable polymer technology.
In plain English, the ASX 200 biotech share develops solutions for burns, skin grafts and similar medical issues.
The Polynovo share price crashed hard in the recent bear market. In fact, shares in the company fell 56.29% from 25 February to 23 March.
However, Polynovo’s value has surged higher in recent months. The ASX 200 biotech share boasts a market capitalisation of $1.75 billion and has climbed 94.70% since that March 23 bottom.
Foolish takeaway
I think for buy and hold investors, both CSL and Polynovo could be good value buys.
Both ASX 200 biotech shares have a track record of success and a solid growth outlook.
I would say CSL is more of a tactical buy for $285.33 per share. In contrast, the Polynovo share price has already rebounded but I think it’s a potential ASX 50 share in the coming decade.
For more ASX shares to buy for a good price, check out these cheap picks today!
NEW! 5 Cheap Stocks With Massive Upside Potential
Our experts at The Motley Fool have just released a FREE report detailing 5 shares you can buy now to take advantage of the much cheaper share prices on offer.
One is a diversified conglomerate trading over 30% off it’s all-time high, all while offering a fully franked dividend yield of over 3%…
Another is a former stock market darling that is one of Australia’s most popular and iconic businesses. Trading at a significant discount to its 52-week high, not only does this stock offer massive upside potential, but it also trades on an attractive fully franked dividend yield of almost 4%.
Plus, this free report highlights 3 more cheap bets that could position you to profit in 2020 and beyond.
Simply click here to scoop up your FREE copy and discover the names of all 5 cheap shares.
But you will have to hurry because the cheap share prices on offer today might not last for long.
As of 2/6/2020
More reading
- Why CSL, Elders, Evolution, & Xero shares are dropping lower
- 3 ASX 200 shares to watch this week
- Is the Webjet share price a cheap buy today?
- ASX 200 Weekly Wrap: ASX bulls crash through 6,000 points
- Cheap ASX 200 retail shares to buy today
Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of CSL Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
The post 2 ASX 200 biotech shares to consider buying today appeared first on Motley Fool Australia.
from Motley Fool Australia https://ift.tt/2XKLi5e
Leave a Reply