- Top 7 Stocks to Watch in March 2021
- The Walt Disney Company (NYSE: DIS)
- General Electric Company (NYSE: GE)
- Goldman Sachs Group (NYSE: GS)
- Las Vegas Sands Corp. (NYSE: LVS)
- Marathon Oil Corp. (NYSE: MRO)
- Oracle Corp. (NYSE: ORCL)
- Vuzix Corp. (NASDAQ: VUZI)
- How Can You Trade Stocks?
- #1: Look for Big Movers
- #2: Watch for Catalysts
- #3: Study the Charts
- #4: Stay Away From Illiquid Stocks
- Top Penny Stocks to Watch for March 2021
- Top 5 Penny Stocks to Watch for March 2021
- Ascent Solar Technologies Inc. (OTCPK: ASTI)
- iMD Companies Inc. (OTCPK: ICBU)
- Cielo Waste Solutions Corp (OTCQB: CWSFF)
- Oncology Pharma (OTCPK: ONPH)
- How to Use This Penny Stocks Watch List
- Can You Trade Penny Stocks?
- Tip #1: Look for Big Percent Gainers
- Tip #2: Look for Big Volume
- Tip #3: Look for a News Catalyst
- Tip #4: Look at the Long-Term Chart
- Tip #5: Use the Scanner on StocksToTrade
- Frequently Asked Questions About Penny Stocks
- If Most Penny Stock Companies Fail, Why Not Just Short Sell?
- How Much Money Do I Need to Get Started?
- 2 High-Growth Stocks Ready to Soar in 2021
- 1. Roku
- 2. Regeneron Pharmaceuticals
Top 7 Stocks to Watch in March 2021
What are my top stocks to watch in March 2021?
We’re almost done with the first quarter of the year. And February may be the shortest month of the year, but last month definitely wasn’t short on action!
The bull market’s volatility raged on, with indexes reaching multiple record highs.
Fourth-quarter earnings reports as a whole blew away expectations, fueling hopes for a nationwide economic recovery.
We got to experience the aftermath of the GameStop (NYSE: GME) parabolic moves at the end of January. That was after Reddit’s WallStreetBets traders forced a short squeeze to beat hedge funds at their own game.
Robinhood got hit with a class-action lawsuit after it halted GME trading during the rally, damaging its own reputation among retail traders. In a recent survey, over half of Robinhood account holders are considering leaving the app as a result of the whole fiasco.
The debacle started discussions among lawmakers about what players should and shouldn’t be allowed to do in similar cases.
Bitcoin had its own explosion — from $32,000 at the beginning of the month to an all-time high of over $58,000. That sparked other cryptocurrencies and crypto-related stocks to skyrocket.
But enough about February. Let’s get to what we came here for. Here are my top 7 stocks to watch in March 2021.
By the way, interested in learning about volatility? Check out the no-cost “Volatility Survival Guide” I help my buddy Tim Sykes make specifically for this crazy market.
The Walt Disney Company (NYSE: DIS)
We knew it was coming, but lockdowns accelerated it. Visiting the movie theatre is no longer the main way we consume movies … Streaming has taken its throne.
I know Reddit traders want AMC Entertainment Holdings (NYSE: AMC) to succeed. But I don’t think movie theatres are coming back anytime soon.
Movies are going direct to streaming platforms. And think of the incredible TVs and surround systems available now … So how many people really want to sit in a dark theatre with a bunch of strangers? I know I don’t.
Even with all the restrictions for their theme parks in the past year, DIS is at all-time highs and continuing to breakout. I think its streaming service Disney+ is a big reason for that.
The Walt Disney Company (NYSE: DIS) 1-year chart (Source: StocksToTrade)
General Electric Company (NYSE: GE)
GE is an infrastructure play. I’m a huge fan of nuclear — especially the latest small modular reactors (SMRs). They’re compact and can be shut down safely.
I think the whole recent Texas freeze put a little fear into people. It also highlights the dangers of being overly dependent on solar and wind.
Listen, I’m pro green energy, but when you get a bunch of snow, you can’t get sun for your solar panels and wind turbines can freeze up. I think we went a little too hard toward the wind and solar solutions and mistakenly neglected nuclear.
GE is at a two-year high and prepping for another breakout.
General Electric Company (NYSE: GE) 2-year chart (Source: StocksToTrade)
Goldman Sachs Group (NYSE: GS)
In the past year, everyone became a trader. New retail traders continue to flood the market.
It seems that Goldman Sachs wants some of that Robinhood money. They released a managed trading account with a $1,000 minimum. Now, if you’d have asked me a decade ago if you could get any kind of account at GS for $1,000, I would have laughed in your face.
But now GS recognizes that a bunch of small accounts add up to big money. (Small gains add up? Is Wall Street finally catching on?) It blows my mind that GS is getting into the entry trader market level.
GS is at all-time highs and continuing to breakout.
Goldman Sachs Group (NYSE: GS) 1-year chart (Source: StocksToTrade)
Las Vegas Sands Corp. (NYSE: LVS)
This is a back-to-travel play. Wouldn’t it be awesome to travel to Vegas and do some normal vacation things again? Well, LVS owns high-class resorts and casinos that people are craving to visit now that things are starting to open up.
LVS doesn’t just own resorts, though … It owns casinos.
Gambling has gone mainstream in the pandemic … especially sports gambling. A decade ago, gambling was seen as a shady activity. Now it seems everyone’s doing it. It’s more normalized.
LVS has a beautiful chart and a nice breakout here.
Las Vegas Sands Corp. (NYSE: LVS) 1-year chart (Source: StocksToTrade)
Marathon Oil Corp. (NYSE: MRO)
MRO is another infrastructure play related to the terrible storms and freeze that happened in Texas.
We know what the government does when there’s a problem … They throw money at it. Will it fix it? I don’t think so, but it will probably help.
Who will get that government aid? Big contenders include oil and gas companies to upgrade their infrastructure. The MRO price movement reflects that.
MRO is at 52-week highs and could be preparing for a possible breakout.
Marathon Oil Corp. (NYSE: MRO) 1-year chart (Source: StocksToTrade)
Oracle Corp. (NYSE: ORCL)
I really this play.
I’ve been a Larry Ellison fan my entire life and I’ve noticed it seems he has a big ego.
I think Larry’s seen other billionaires Elon Musk, Tim Cook, and Bill Gates in the headlines often, and now he wants a little love. I think it’s the reason he went after TikTok.
Think about it … What does Oracle with its enterprise and cloud-computing solutions have to do with the TikTok social media platform? Nothing, as far as I can tell. But hey, billionaires are gonna do what they’re gonna do.
It’s great for us when we can catch the momentum in the wake of their big moves.
ORCL is at all-time highs and looks it could break out again. Keep an eye on ORCL.
Oracle Corp. (NYSE: ORCL) 1-year chart (Source: StocksToTrade)
Vuzix Corp. (NASDAQ: VUZI)
VUZI has been on my watchlist many times. I just really this chart.
It deals with cool technology such as smart glasses, augmented reality, and self-driving cars. It’s also a lower-priced stock and a non-stop ripper.
VUZI is at all-time highs and doesn’t look it’s stopping.
Vuzix Corp. (NASDAQ: VUZI) 1-year chart (Source: StocksToTrade)
There you have it … my top 7 stocks to watch in March 2021.
Remember, this is just a watchlist that shows stocks with the potential to move. You still have to look for your setups and only enter a trade after you create a trading plan.
Are you interested in receiving my weekly watchlists? Sign up with your email to get my picks in your inbox every Sunday for no cost!
For the rest of this article, I’ll teach you how to build your own watchlists so you can continue your journey to becoming a smarter trader. Read on…
How Can You Trade Stocks?
New to trading? Start with your education. This post is a good place to start.
It’s easier than ever to start trading. All you really need is a decent laptop, solid Wi-Fi, and a trading account. But don’t be fooled into thinking trading is easy…
Most traders lose. If it were easy, everyone would quit their jobs and do it.
Most newbie traders just jump in. The smart way to set yourself apart is to focus on your education. Try different strategies to find what works. Test with paper trading.
Track every trade in a journal and go back often and review what’s working and what’s not…
Joining a program the SteadyTrade Team can make things A LOT easier. That’s our trading education community. You get mentorship, webinar lessons, and many more resources. We focus on how to trade through any kind of market.
Here are 5 tips on how to trade smart and pick the top stocks to watch…
#1: Look for Big Movers
When I start building my watchlists, I always look for big percent gainers. I want to find stocks that are already moving.
I always harp about the benefits of getting up early. If you’re part of the SteadyTrade Team, you’ve seen how it helps me prepare for the market open. Doing research after trading hours is also helpful. Some stocks start to move after 4 p.m.
No big surprise here, but for my scanning software, I use StocksToTrade. It has a bunch of built-in scans that are specifically designed to find stocks that fit the strategies I teach.
If you’re more hands-on, you can create your own custom scans. And if you’re a newbie, don’t worry … There’s a ton of help to get you up to speed. Keep an eye on this blog and follow StocksToTrade on . We post fresh content all the time.
And of course, there’s the SteadyTrade podcast. Traders of all levels can learn something here, and we have an awesome time every week. Tune in!
#2: Watch for Catalysts
Once I find the top moving stocks, I wanna find out why they’re moving. If there isn’t a good reason, the momentum will probably fizzle out. So you gotta find those catalysts.
Did the company announce good earnings? Did it win a new government contract? Was there a company merger?
A lot of things can move a stock. And the stronger the catalyst, the more powerful the stock movement can be.
Some sectors even have specialized news catalysts. For example, biotechs could get FDA approval for a new drug … or complete a phase of a major study. This is why you gotta do your homework.
StocksToTrade has a brand-new feature to help you catch the news that can really move stocks. Find out more about our Breaking News chat room here!
And watch this video to learn more about catalysts:
#3: Study the Charts
You gotta learn to read charts and spot patterns. And when you look for top stocks to watch, don’t just look at one time frame.
Change it up. Look at one-minute, five-minute, 15-minute, and daily charts. Each time frame can tell you a different part of the stock’s story.
Is it at all-time highs? Is it stuck in a particular range?
Look for areas of support and resistance. It’s a smart way to set your entries and exits.
With StocksToTrade, you can use the news feature to see which catalysts caused certain moves on longer-term charts. You can then compare the movements of similar catalysts to help you make better trading decisions.
#4: Stay Away From Illiquid Stocks
Another important thing when finding the top stocks to watch is trading volume.
So you need big movers with great news catalysts … And you also need to make sure the stocks are liquid enough to trade.
Top Penny Stocks to Watch for March 2021
Before we get to the top penny stocks to watch for March, a few words of caution.
The amount of crazy promotion activity on social media finally got the attention of the SEC. It suspended trading on a lot of OTCs in the last week of February.
After ending February with a down week, the overall market bounced back on March 1. The S&P 500 had its best day since June. I won’t try to guess whether it will continue. But it’s important to be ready for anything. Adapt to what the market gives rather than trying to impose your will on it.
Whatever you do, make a daily watchlist.
Every day, I create a watchlist of five to 15 stocks to watch. Then I do a quick write-up of what I’m looking for and why I’m watching the stock. The watchlist then goes out to my students on Profit.ly.
(Sign up for my NO-COST weekly stock watchlist here.)
Let’s get right to the list of top penny stocks to watch in March 2021…
Top 5 Penny Stocks to Watch for March 2021
All five of the top penny stocks to watch for March 2021 are OTCs. Given the recent halts, the OTC market isn’t the same as it was in February. But there are still plenty to watch.
Ascent Solar Technologies Inc. (OTCPK: ASTI)
Ascent Solar Technologies develops thin-film photovoltaic modules. Think flexible solar panels.
On March 1, Ascent Solar announced it was selected by NASA to take part in two flight demonstrations.
CEO Victor Lee said, “We are thrilled to be working with both the LISA-T and Solar Cruiser projects in transforming our lightweight CIGS PV into a space-grade product […] being slated as the PV supplier on Solar Cruiser separates Ascent from the competition and puts us in a very unique position in the industry to answer the mission-critical needs of these developing premium markets.”
ASTI closed up 107% on the news.
Here’s the ASTI one-year chart:
I traded ASTI as it broke out over the morning high on March 1. I sold too soon — a more convincing breakout happened roughly 30 minutes later. See details of my ASTI trade here.*
(*Please note: My results are far from typical. Individual results will vary. Most traders lose money. I have the benefit of years of hard work, dedication, and experience. Trading is inherently risky. Do your due diligence and never risk more than you can afford to lose.)
ASTI has a recent history of multi-day runs. Since the news catalyst is solid, I’ll watch for morning spikes with big volume. I’ll also watch for potential dip buys into any big panic.
iMD Companies Inc. (OTCPK: ICBU)
iMD Companies is a holding company that used to be in mining, then hydroponics. Now it’s into crypto mining and investing.
ICBU spiked 66% on March 1 after the company announced it updated financials to OTCMarkets.
CEO Rick Wilson said, “We are very excited about our future at iMD, launching our new website and getting current with our financial and disclosure statements on OTC is our first step.”
Here’s the ICBU one-year chart:
I’m watching ICBU for any big morning panic to dip buy. But I’d love to see a multi-day run first since it’s such a low-priced stock.
SponsorsOne is an influencer marketing and branding company. Its focus is driving consumers to online and offline stores through word-of-mouth marketing.
SPONF spiked on February 16 when the company announced it was entering the direct-to-consumer spirits market.
On March 1, SponsorsOne announced initial retail orders for its Doc Wylder’s brand.
CEO Myles Bartholomew said, “The initial response from retailers and distributors for Doc Wylder’s has been very strong. The product is uniquely positioned in the ‘Ready to Drink’ market, and the branding is equally attractive to male and female buyers. These orders represent the start of the summer selling season and will be on the shelves of liquor and grocery stores in April.”
SPONF closed up 34% on the news.
Here’s the SPONF 1-year chart:
Five-letter tickers aren’t my favorite. In this case, the F designates a foreign issue. This means something could happen on a foreign exchange to affect the stock’s price in the U.S. That doesn’t mean I won’t trade a five-letter ticker, but I’m extra cautious.
SPONF needs more volume and, ideally, news for me to trade it. If it can put together a multi-day run with big volume, I’ll watch for potential dip buys into any big panic.
Cielo Waste Solutions Corp (OTCQB: CWSFF)
Cielo Waste Solutions refines municipal and construction waste into high-grade renewable fuels.
On February 23, the company announced its first significant sale of renewable fuels. CWSFF hit a 52-week high of $1.28 per share on March 1 before pulling back to close at $1.01.
The company confirmed it wasn’t aware of any material changes “that would account for the recent increase in market activity.” The stock is getting a ton of promotion on .
Check out the CWSFF one-year chart:
Again, five-letter tickers aren’t my favorite. I’ll watch CWSFF for any big morning panic to dip buy. Ideally, it runs multiple days with news and volume first.
The last of my top penny stocks to watch for March 2021 is a lesson in penny stock pumps. If a stock chart looks too good to be true, it is…
Oncology Pharma (OTCPK: ONPH)
Oncology Pharma develops, manufactures, and licenses therapeutics for cancer.
The best way to understand ONPH’s recent rise and fall is to check out the chart. When a stock runs from $1 to $50 in five weeks almost perfectly, something isn’t right.
Here’s the ONPH one-year chart:
As you can see, ONPH tanked on March 1. It dropped from $50 to $11.22 intraday. Then it bounced more than 100% before closing down roughly 60%.
ONPH was a solid short-selling opportunity. I don’t recommend shorting for newbies or anyone with a small account. It was also a solid dip buy for traders with enough patience. I’ll watch for now. It’s a possible dip buy if there’s another big panic, but there needs to be enough volume to make it worthwhile.
That’s it for the top penny stocks to watch for March 2021. Here are some tips on choosing stocks for your watchlist. Also, some answers to frequently asked questions…
How to Use This Penny Stocks Watch List
© Millionaire Media, LLC
Keep in mind that my strategies involve trading some of the fastest moving, most volatile stocks in the entire market. That said, some of the stocks on this list could be completely play by the time you read this. (Yes, even after only one day, stocks sometimes leave my list.)
The point is … don’t use this list as a signal to buy any stock. I don’t put stocks on my watchlist fundamentals. It’s not that I don’t look at fundamentals. But I’m not gonna lie to you. ( so many other ‘top penny stocks to watch’ articles.) I won’t tell you to buy and hold a stock because “the market is undervaluing this stock.”
Frankly, that kind of thinking with penny stocks is … total BS. Most penny stocks fail. Just most traders — roughly 90% — lose. So use this list — and each of my monthly penny stocks to watch lists — as a tool for learning to create your own watchlist.
Can You Trade Penny Stocks?
If you’re brand new to penny stocks a great place to start is with my FREE penny stock guide.
Once you go through the entire guide, I suggest you read “The Complete Penny Stock Course” written by my student Jamil (I wrote the forward). That book answers so many of the most frequently asked questions that it blows my mind more people haven’t read it.
With the internet and online brokers, you can trade penny stocks from anywhere in the world. As far as the basic requirements, you only need a decent laptop, solid Wi-Fi, and a trading account. But don’t be fooled into thinking you’re gonna succeed if you jump right in.
Because 90%+ of traders lose. So be willing to invest in your education — because if you don’t, the market will make you pay a much higher price
Now for five tips on how to choose the best penny stocks to watch…
Tip #1: Look for Big Percent Gainers
My method of choosing which penny stocks to watch always starts here. At the end of every day — and again in premarket — I look for the biggest percent gainers. And that’s what I focus on. I’m not interested in stocks that aren’t on the move.
I use StocksToTrade stock scanning software. With 40+ built-in scans — some created specifically for my strategies — it’s amazing right the gate. Yes, you can also create custom scans. (Hint: when you start using the software there’s a bunch of training videos on how to set those up. Take advantage.)
Tip #2: Look for Big Volume
The next thing to look for when choosing the best penny stocks to watch is trading volume. Sometimes a stock makes a big percent gain, but the trading volume is so low it doesn’t make sense to trade it. One of the top penny stocks to watch this month, Rivex Technology, is tough to trade because the volume is so low.
So after I find the big percent gainers, I organize them according to trading volume. Be aware of dollar volume traded, too. If you have a true penny stock trading at 2 cents a share, and it trades one million shares, that’s still only $20K. You have to be meticulous.
Tip #3: Look for a News Catalyst
The next thing I look for when choosing penny stocks to watch is what’s making it move? Is there a press release announcing a new contract? What about positive earnings? In biotech and pharma penny stocks you might see news of test results. Read this post to learn more about catalysts.
(Also read chapter II.7 Understanding Catalysts in “The Complete Penny Stock Course.” If you already have the book … it starts on page 183. If you don’t have it … get it now.)
Tip #4: Look at the Long-Term Chart
When you’re trying to find the best penny stocks to watch, it’s easy to get fooled by one-day or one-time spikers. So look at long-term charts to see if the stock has a history of multi-day runs or has gone supernova in the past.
Which long-term charts? As many as you have time for, really. But at the very least, look at the one-year chart. I to look back a couple of years depending on the stock and the news. If the stock trades a certain way when the company announces a big contract, I want to know.
Tip #5: Use the Scanner on StocksToTrade
This might sound a little strange if you’re new to penny stocks. But if you want to understand which penny stocks to watch, one of the best ways is to see what others are watching. Or, more accurately, hyping.
Yes, has become a vehicle for influence with stock traders. Want to know which penny stocks are being heavily shorted because they’re up 50%? Check out . Use StocksToTrade because the scanner is built-in. All you have to do is open the scanner and, voila, you get a running feed of stock tweets. And you can customize the feed if you .
Frequently Asked Questions About Penny Stocks
© Millionaire Media, LLC
I get a lot of questions from students. Thing is, my students already accept that penny stocks provide a massive opportunity. And they’re studying to learn the strategies and rules.
But there are a lot of misconceptions about penny stocks. And I want to address a few of those now…
Penny stocks are micro- and nano-cap company stocks that trade for less than $5 per share. Many trade via OTCMarkets, but penny stocks can also be found on large exchanges the NYSE and Nasdaq.
Penny stocks are suitable as trading vehicles but not long-term investments. Most penny stock companies eventually fail.
All trading involves risk. If you are willing to learn appropriate patterns, rules, and strategies, penny stocks are no more dangerous than other trading instruments.
1.) Focus on big percent gainers. 2.) Look for high volume 3.) Search for a news catalyst 4.) Look for a history of spikeability on the long term chart. 5. Use a scanner StocksToTrade. (StocksToTrade was designed for penny stocks.)
If Most Penny Stock Companies Fail, Why Not Just Short Sell?
Because it’s a very dangerous, overcrowded game right now. The level of risk so many moron newbie short sellers take these days is unconscionable. It’s completely crazy.
Of course, you can be successful as a short-seller. Many of my top students focus on short selling and I’ve personally made millions from short selling. But the number of messages I get almost daily from short-sellers getting caught in short squeezes is … scary.
How Much Money Do I Need to Get Started?
I’m going to say, again, invest in your education first. It doesn’t take a huge amount of money to get started trading. Different brokers have different account minimum requirements. (I use these brokers and avoid offshore brokers altogether.)
But the market will make you pay more if you aren’t prepared. Preparation is key. The stock market is a battlefield, so arm yourself accordingly. Keep in mind that my top students all studied hard over time to get consistently profitable. Tim Grittani — arguably the best penny stock trader in the world — didn’t make anything for nine months.
So before you fund a trading account, fund your knowledge account. If you’re not quite ready for the Trading Challenge, try Pennystocking Silver. It gives you access to more than 6,000 video lessons. (You also get access as a Trading Challenge student, of course.)
© Millionaire Media, LLC
Your goal as a trader is to become self-sufficient. And my goal is to be the mentor to you that I never had. So I hope you’ll take this list of the best penny stocks to watch in March 2021 and use it as a learning tool.
2 High-Growth Stocks Ready to Soar in 2021
Investing in companies enjoying long-term industry tailwinds can prove to be an extremely profitable strategy — and both Roku (NASDAQ:ROKU) and Regeneron Pharmaceuticals (NASDAQ:REGN) seem to fit that description. While Roku is capitalizing on the shift of customers from cable TV to streaming, Regeneron's COVID-19 therapeutic should also prove to be a solid growth driver in coming months.
So far this year, shares of Roku are up more than 18% while shares of Regeneron Pharmaceuticals have tacked on more than 12%. With Roku positioned as the market-leading streaming video platform and Regeneron Pharmaceuticals making major strides in immunology and oncology, I think that both are poised for a solid growth in 2021.
Image Source: Getty Images
Roku has witnessed exponential growth in demand for all its offerings: its hardware to support streaming, its free and ad-supported Roku Channel, its operating system for smart TVs, and its one-stop-shop platform that allows viewers to access content from a range of streaming providers. Roku's share price has also kept pace. The stock had gained more than 200% in the last 12 months.
The strong tailwinds on the customer demand, content production, and advertisement-buying fronts could push Roku's share price even higher in 2021.
While consumers were switching from traditional media to streaming prior to 2020, the pace of that shift has accelerated during the pandemic. Consumers have been adopting streaming platforms for greater flexibility in picking the content they want, as well as to save money.
Content producers, including the legacy media players such as WarnerMedia, which is now a part of AT&T (NYSE:T) and Fox Corporation (NASDAQ:FOX) (NASDAQ:FOXA), are actively moving to adapt to this business model.
This trend can further help expand the content library on Roku's platform, a must-have in order to achieve high customer choice ratings and low platform churn rates.
Finally, with more than 51.2 million active accounts as of the end of 2020 and 58.7 billion streaming hours viewed on the platform last year, Roku's scale and reach make it attractive for advertisers.
There is also an opportunity for streaming platforms to capture additional portion of the overall corporate advertising budget, considering that its viewership share is growing at a much faster pace than that of traditional media. Currently, the TV advertising opportunity in the U.S. is around $70 billion.
Although according to Roku's 2020 cord-cutting study, almost one-third of U.S. households have already moved away from traditional pay TV, advertising budgets for streaming services are less than 10% of what is spent advertising on linear TV.
In the third quarter, Roku's revenues were up 73% year over year to $452 million. It consistently improved its average revenue per user (ARPU) throughout 2020, despite pandemic-related headwinds that curtailed ad spending. Its ARPU rose 20% year over year to $27 in the third quarter.
Those gains, coupled with a favorable shift in revenue mix toward software sales, were key in allowing Roku to improve its adjusted EBITDA margin by 1,260 basis points to 12.4% in the third quarter.
The company also boasts a healthy balance sheet with more than $1 billion in cash and total debt of $439 million.
Trading at a price-to-sales (P/S) ratio over 30, Roku is quite expensive, especially when we consider that it is just becoming profitable.
However, these multiples are not too high considering that it's in a rapid expansion phase.
With a dominating position in the fast-evolving streaming space, diversified revenue streams, and improving margins, I think that investors can anticipate handsome returns from Roku in 2021.
2. Regeneron Pharmaceuticals
Regeneron Pharmaceuticals continues to be a force to be reckoned with in the biotech world, thanks to its portfolio of eight FDA-approved drugs and its broad research and development pipeline. Among its treatments is a combination monoclonal antibody regimen for patients with mild-to-moderate cases of COVID-19.
Regeneron's reported net sales of $184 million for its COVID-19 therapeutic in 2020 — most of which came during the fourth quarter.
Although the company reported much slower-than-expected initial uptake of this COVID-19 therapeutic, mainly due to administration and logistic challenges, the trend may soon change in face of surging cases in the U.S. and Europe. Previously, the U.S.
government had inked an agreement to purchase 300,000 doses of the antibody therapy to be delivered by end of February 2021. However, on Jan. 12, the parties extended the agreement to purchase up to an additional 1.25 million doses by June 30.
Regeneron, however, is much better recognized for its blockbuster retinal disease drug, Eylea. That drug's net sales accounted for more than half of the company's total revenues in the first nine months of 2020.
With over 30 million doses administered since its launch, the drug raked in U.S. sales of $4.95 billion in 2020, a rise of 7%. However, investors are worried, as Eylea will lose its patent protection in the U.S. in November 2023.
Subsequently, the drug will face biosimilar competition and may lose a significant chunk of its sales.
Some of that investor tension has been eased by the sales gains of two recently launched treatments: immunology drug Dupixent and cancer drug Libtayo. Dupixent's global sales jumped 69% year over year to over $1.
0 billion in the third quarter, driven by robust uptake across all approved indications. With just 6% market penetration in approved indications in the U.S.
, and broad research being done on potential label expansions into new indications, Dupixent's revenues should continue their growth in the coming years. Libtayo also reported $97 million in revenues in the third quarter.
Several other catalysts could help drive up Regeneron's share price in 2021. Prominent among them are FDA decisions on whether or not to approve Libtayo as a treatment for non-small cell lung cancer and a type of skin cancer called basal cell carcinoma. The agency's decisions on those potential label expansions are due by Feb. 28 and March 3, respectively.
The company has demonstrated a healthy financial performance and boasts a solid balance sheet. Revenues rose 29% year over year to over $6 billion in the first nine months of 2020. Non-GAAP earnings per share also jumped 28% year over year to $22. At end of the third quarter, it had cash, cash equivalents, and marketable securities of over $3 billion, and long-term debt of $2 billion.
Regeneron Pharmaceuticals is trading at a forward price-to-earnings (P/E) multiple of 19.8. While that's not exactly cheap, there is still scope for gains because the share price does not yet fully reflect the true potential of assets such as its COVID-19 antibody treatment, Dupixent, and Libtayo. As such, Regeneron Pharmaceuticals is positioned to deliver solid growth in 2021.
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