What is the most undervalued biotech stock?

Screening Filters & Rationale

1. Market Cap Category: Mid and Large

   • Purpose: Focus on biotech companies with established operations and financial stability.
   • Rationale: Mid and large-cap stocks are generally less volatile and more likely to have proven pipelines or revenue streams.

2. P/E TTM (Price-to-Earnings Trailing Twelve Months): Max 20

   • Purpose: Identify biotech stocks that are undervalued relative to their earnings.
   • Rationale: A lower P/E ratio suggests the stock may be trading at a discount compared to its earnings potential.

3. RSI 14 (Relative Strength Index): Max 40

   • Purpose: Target stocks that are potentially oversold and may be poised for a rebound.
   • Rationale: An RSI below 40 indicates the stock is undervalued based on recent price movements.

4. P/FCF Ratio (Price-to-Free Cash Flow): Max 15

   • Purpose: Focus on companies generating strong free cash flow relative to their market price.
   • Rationale: A low P/FCF ratio highlights companies with efficient cash generation, which is critical for biotech firms funding R&D.

5. Ticker Selection

   • Purpose: Narrow down to biotech stocks meeting all the above criteria.
   • Rationale: Ensures the final list aligns with the user's goal of finding undervalued biotech stocks.