Several pharmaceutical companies top the list of potential upside stocks, offering the daring investor the chance for significant gains. These stocks are known for their high volatility, with returns often described as binary: all or nothing.
One such company is Biovica International, with two buy recommendations and an average target price of 9.7, representing a potential upside of over 420% from its current price of 1.7. The company, specializing in cancer diagnostics, recently secured an order worth 2.3 million SEK in January.
According to an analysis by Pareto Securities in December, the key question for Biovica is when the company can increase its sales to the point of acquisition or partnership. The main risk in this case is the need for capital, with the analysis suggesting that the cash reserves may only last until the summer. It is predicted that a new share issue will be necessary at a price of 2 SEK per share.
If the company successfully resolves its financing and other factors align, there is potential for the stock to reach 14 SEK, according to Pareto.
Other pharmaceutical companies with significant upside potential, according to analysts’ average target prices, include Cantargia, Vicore Pharma, and Cinclus Pharma, all with upsides of over 200%. However, these stocks are not for the faint of heart.
In addition to pharmaceutical companies, several Swedish gaming companies also offer substantial upside potential. Companies like G5 Entertainment, Stillfront, and Starbreeze are projected to have significant upside, with G5 Entertainment having an average target price of 280 SEK, up 136% from its latest closing price.
SEB, a major bank, highlights the importance of upcoming game launches for these companies. They set a target price of 160 SEK for G5 Entertainment, anticipating successful game launches to drive growth.
Furthermore, Hexatronic, a fiber company, has experienced a rollercoaster ride in the stock market, with a 1,000% increase from the pandemic low to winter 2022, followed by a 77% decline. Analysts see an upside of 86% in the stock, emphasizing the company’s long-term potential if it can reach its margin targets.
Evolution, a major player in the live casino industry, has eight buy recommendations with an average target price suggesting nearly a 50% upside. Analysts anticipate growth in online gambling markets globally, with Kepler Cheuvreux setting a high target price of 1,400 SEK.
As the online gambling market expands, Evolution is poised for significant growth, attracting positive attention from analysts and investors. With a strong track record and potential for further expansion, Evolution remains a compelling investment opportunity in the gaming industry.