This year's biotech laggards primed for 2026 recovery, says Goldman Sachs' Richter
December 19, 2025 • 3m 36s
Sara Eisen (Co-anchor)
00:00.150
despite
pressure
from
the
administration
a
rough
start
to
the
year
biotech
has
seen
a
rebound
this
year
our
next
guest
is
betting
that
that
recovery
will
continue
into
twenty
twenty
six
so
joining
us
now
salvin
richter
she
is
the
lead
US
biotech
analyst
at
goldman
sachs
research
Sara Eisen (Co-anchor)
00:14.150
and
salvin
it's
great
to
have
you
on
the
show
welcome
Salveen Richter (Lead US Biotechnology Analyst)
00:16.830
thank
you
for
having
me
Sara Eisen (Co-anchor)
00:17.830
what's
interesting
to
me
is
that
these
names
of
these
you
know
these
stocks
of
these
pharma
companies
that
did
ink
this
deal
with
the
president
just
today
all
traded
higher
despite
the
fact
that
they're
bringing
prices
down
in
line
globally
why
why
did
we
see
that
trade
go
that
Sara Eisen (Co-anchor)
00:33.870
way
Salveen Richter (Lead US Biotechnology Analyst)
00:34.710
i
think
it's
because
it's
an
overhang
removed
for
the
group
that
was
essentially
trading
lower
ahead
of
the
uncertainty
of
what
would
play
out
and
now
that
we
have
the
certainty
you
can
price
it
accordingly
as
needed
for
these
companies
and
also
in
some
cases
by
bringing
ex
US
Salveen Richter (Lead US Biotechnology Analyst)
00:51.270
prices
in
line
with
US
prices
there's
added
upside
for
some
of
the
revenue
potential
here
Sara Eisen (Co-anchor)
00:56.670
are
we
going
to
see
more
of
these
types
of
deals
get
struck
because
they've
been
kind
of
coming
out
increments
Salveen Richter (Lead US Biotechnology Analyst)
01:01.990
i
believe
there's
a
couple
left
from
the
original
group
that
that
plan
to
strike
a
deal
with
with
the
administration
and
then
we
should
see
that
filter
down
into
smaller
biotechs
and
pharma
companies
and
and
you
know
we
look
to
seeing
all
of
this
playing
out
on
trump
RX
as
we
as
Salveen Richter (Lead US Biotechnology Analyst)
01:20.910
we
look
to
twenty
twenty
six
Sara Eisen (Co-anchor)
01:22.310
that
reports
crossing
and
continuing
to
cross
even
in
this
hour
that
RFK
is
poised
to
make
some
changes
to
the
vaccine
schedule
for
childhood
vaccines
you
also
had
moderna
just
today
popping
up
nine
percent
on
funding
for
for
a
bird
flu
vaccine
how
do
you
navigate
that
piece
of
Sara Eisen (Co-anchor)
01:40.470
the
market
Salveen Richter (Lead US Biotechnology Analyst)
01:42.430
i
think
there's
some
uncertainty
on
the
side
of
the
vaccine
businesses
and
we
will
look
at
a
company
like
moderna
while
they
do
have
have
a
respiratory
vaccine
business
they
also
have
a
cancer
vaccine
business
and
we'll
look
to
some
of
that
play
out
next
year
but
i
think
we
are
Salveen Richter (Lead US Biotechnology Analyst)
01:58.870
you
know
what
we
really
have
right
now
in
in
biopharma
is
we
had
a
trifecta
that
played
out
we
had
after
almost
three
years
of
negative
earnings
revisions
that
stabilized
of
anything
you're
starting
to
see
potential
upside
for
this
group
as
you
head
to
twenty
twenty
six
you
also
Salveen Richter (Lead US Biotechnology Analyst)
02:14.670
had
the
drug
pricing
overhang
which
now
with
these
agreements
being
signed
with
the
trump
administration
you
know
allows
these
companies
to
kind
of
work
because
you
understand
you
have
certainty
around
their
business
models
and
we've
had
a
bit
of
a
rotation
away
from
the
Salveen Richter (Lead US Biotechnology Analyst)
02:30.430
dominant
AI
trade
and
so
as
we
look
to
these
companies
they
can
now
start
to
a
work
around
their
business
models
for
twenty
twenty
six
but
i
think
also
you
we
you
will
see
a
second
derivative
trade
which
is
that
of
M
and
A
that
plays
out
broadly
for
the
group
and
you
know
while
Salveen Richter (Lead US Biotechnology Analyst)
02:48.190
i
think
as
you
just
pointed
out
we
still
kind
of
don't
fully
understand
how
certain
parts
of
the
regulatory
frame
may
work
maybe
with
regard
to
vaccines
i
think
that
have
been
somewhat
appreciated
in
the
stocks
of
some
of
these
companies
Sara Eisen (Co-anchor)
02:59.590
all
right
so
in
light
of
all
of
that
what
are
your
picks
for
twenty
twenty
six
Salveen Richter (Lead US Biotechnology Analyst)
03:02.910
so
on
the
large
cap
side
i
think
we're
looking
at
amgen
and
regeneron
here
to
have
upside
on
numbers
but
the
laggard
trade
on
the
large
cap
side
would
be
and
on
the
the
smid
cap
side
we're
watching
some
of
the
innovation
trades
but
even
more
broadly
and
we're
looking
at
Salveen Richter (Lead US Biotechnology Analyst)
03:19.390
cardiovascular
disease
to
the
evolution
of
the
obesity
trade
as
well
as
the
evolution
of
of
i
and
i
and
obviously
M
and
A
to
be
some
of
the
big
themes
that
play
out
next
year
as
well
as
as
cancer
cancer
is
going
to
be
a
key
focus
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