Biotechs: Catch A Risky Wave

With some stocks as much as 60% off their highs, the sector abounds with buys

If the time to jump into a hot stock group is after a steep correction, biotechnology shares couldn't be more tempting. The biotech group tripled in four months. Then, in mid-March, President Clinton and British Prime Minister Tony Blair issued a statement that seemed to endanger the patent rights of biotechs. The sector took a big hit and promptly gave back half those gains. Big-name stocks slid as much as 30%. Smaller, earlier-stage companies were down as much as 60%. Now, biotech's perking up again. But there are still bargains to be had. Says Matthew Geller, an analyst with CIBC World Markets in New York: "Now is the time to buy."

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