Gene therapy and gene editing are on the cutting edge of modern biotechnology. Gene therapies are used to correct genetic abnormalities by introducing genetic material at a cellular level and can often take the form of adding a functioning copy of a gene. Gene editing takes the science to the next level, seeking to directly alter the genome itself as a therapeutic approach.
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Analysts at Precedence Research expect the gene-editing market to grow 15.7% annually and reach $29.9 billion by 2032, creating some tremendous long-term opportunities for investors. Here are seven of the best gene-editing stocks to buy, according to Bank of America:
| Stock | Implied upside from Sept. 16 close |
| Eli Lilly & Co. (ticker: LLY) | 24.5% |
| Sanofi (SNY) | 13.4% |
| Vertex Pharmaceuticals Inc. (VRTX) | 12.4% |
| CRISPR Therapeutics AG (CRSP) | 109.5% |
| Intellia Therapeutics Inc. (NTLA) | 271.9% |
| Caribou Biosciences Inc. (CRBU) | 638.9% |
| Bluebird bio Inc. (BLUE) | 417.2% |
Eli Lilly & Co. (LLY)
Eli Lilly produces brand-name prescription drugs to treat a wide range of medical conditions, including diabetes, cancer and neurological disorders. It has also been investing in gene-therapy partnerships, including an October 2023 deal to acquire opt-in rights from Beam Therapeutics Inc. (BEAM) to programs for base-editing therapeutics currently being developed by Verve Therapeutics Inc. (VERV) for treating cardiovascular disease. Lilly is far from a pure-play gene-editing stock, but analyst Alexandria Hammond says the company’s young product portfolio has an attractive growth profile relative to biopharma peers. Bank of America has a “buy” rating and $1,150 price target for LLY stock, which closed at $923.54 on Sept. 16.
Sanofi (SNY)
Sanofi is a French pharmaceutical company that specializes in atopic allergic disorders, oncology and rare diseases. Its leading drugs include Lantus for treating diabetes and Dupixent for treating atopic dermatitis, asthma and chronic rhinosinusitis with nasal polyps. In July 2023, Sanofi expanded an existing partnership with Scribe Therapeutics to use its CRISPR-based gene-editing technology to develop both in vivo and ex vivo cancer cell therapies. Analyst Graham Parry says Sanofi is an undervalued turnaround story with an improving product pipeline and key catalysts ahead. Bank of America has a “buy” rating and $65 price target for SNY stock, which closed at $57.33 on Sept. 16.
Vertex Pharmaceuticals Inc. (VRTX)
Vertex Pharmaceuticals is a biopharmaceutical company that specializes in developing therapies to treat cystic fibrosis. Vertex also owns the rights to 60% of the profits from sales of CRISPR Therapeutics AG (CRSP) gene-editing therapy exa-cel, which was approved by the Food and Drug Administration for treating sickle cell disease (SCD) in December 2023 and for treating transfusion-dependent beta thalassemia (TDT) just six weeks later. Vertex presented positive long-term data on exa-cel in July. Hammond says the market doesn’t fully appreciate Vertex’s new product portfolio, margin growth and regulatory insulation. Bank of America has a “buy” rating and $550 price target for VRTX stock, which closed at $489.43 on Sept. 16.
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CRISPR Therapeutics AG (CRSP)
CRISPR Therapeutics is a biotech company that uses gene-editing tool CRISPR-Cas9 for blood disorders and cancer applications. Despite FDA approvals of exa-cel (Casgevy) for treating TDT and SCD, CRISPR’s stock price is down more than 32% in the past six months. While CRISPR will split exa-cel profits with Vertex, Meacham says Casgevy’s commercial launch is off to a strong start and CRISPR management is making all the right moves to take advantage of the company’s first-mover advantage and best-in-class platform. Bank of America has a “buy” rating and $100 price target for CRSP stock, which closed at $47.74 on Sept. 16.
Intellia Therapeutics Inc. (NTLA)
Intellia Therapeutics is a clinical-stage biotech company developing CRISPR-Cas9 gene-editing products designed for both in vivo and ex vivo applications. Its lead clinical program is NTLA-2001 for treating transthyretin amyloidosis, which currently has no cure. The company’s NTLA-2002 treatment for hereditary angioedema has also shown promising results in early clinical trials. Analyst Mary Kate Davis says the recent data from NTLA-2002 and other positive clinical updates from Intellia are encouraging. Davis says the company is developing strategic, innovative gene-editing treatments. Bank of America has a “buy” rating and $80 price target for NTLA stock, which closed at $21.51 on Sept. 16.
Caribou Biosciences Inc. (CRBU)
Caribou Biosciences is a clinical-stage biotech company developing gene-edited allogeneic, or universal, cell therapies to treat cancer. The stock took a big hit in March when the company announced it is pausing development of allogeneic cell therapy CB-020. However, Caribou still has three lead programs in place: CB-010, CB-011 and CB-012. Analyst Alec Stranahan has delayed his target for initial commercial revenue from CB-010 from 2026 to 2027, but says Caribou currently has enough cash to get the company into the second half of 2026 without fundraising. Bank of America has a “buy” rating and $15 price target for CRBU stock, which closed at $2.03 on Sept. 16.
Bluebird bio Inc. (BLUE)
Bluebird bio is a biotech company developing gene and cell therapies to treat genetic diseases. It already has three FDA-approved gene-editing therapies. Its Zynteglo therapy treats TDT and its Skysona therapy treats cerebral adrenoleukodystrophy. Bluebird also gained FDA approval in December 2023 for gene-editing therapy lovotibeglogene autotemcel (lovo-cel) in treating SCD in patients ages 12 and older with histories of vaso-occlusive events. Analyst Jason Gerberry says the SCD market is currently Bluebird’s largest targeted market, and the stock price undervalues the company’s revenue potential. Bank of America has a “buy” rating and $3 price target for BLUE stock, which closed at 58 cents on Sept. 16.
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7 Top Gene-Editing Stocks to Buy originally appeared on usnews.com
Update 09/17/24: This story was published at an earlier date and has been updated with new information.
