Investors back biotech stocks

According to a recent survey conducted by The Australian Financial Review, biotechnology stocks are becoming increasing popular as investors have become more discriminating about technology stocks. Out of the 10 biotech floats this year, four have doubled in price with an additional two growing by 50 per cent. What the survey identifies as a major trend is the growing sophistication of investors who are less willing to support over-hyped and over-priced technology stocks, opting instead to invest in stocks that are generating real business.

‘Savvy punters go bio-logical', The Australian Financial Review, 12/09/00, p MW4.