The stock market is booming again.
But it’s also rising in a way that’s not seen since the financial crisis.
The S&P 500 rose 1.3% to a record high on Monday, the biggest daily gain since June 2008.
Investors are betting the biotech industry is a winner in the biotech IPO market.
In the last 12 months, the biotech sector has jumped from 1% of the market to a market cap of $8.3 trillion.
That’s up almost 75% from just a few years ago.
“We are going to see biotech stocks gain again and we’re going to have to make a big bet,” said Paul DeAngelis, CEO of The DeAngelises.
“I don’t know if we can do it this year, but I do think it will be possible.”
DeAngelis expects biotech stocks to go up in 2020 and 2021.
He’s predicting biotech stocks will double in value.
That will help drive the stock market in the next year.
“There is an incredible demand for biotech,” DeAngeles said.
“We have some incredible opportunities in biotech.
It’s a great time to be in biotech.”
Boeing is the No. 1 biotech company in the U.S. market, DeAngelides said.
Boeing has about $17 trillion in cash and stock.
The company is spending billions to develop new technologies that will revolutionize the aerospace industry.
The first new aircraft in more than a decade is due to be delivered in 2021.
That jet, the CST-100, will cost about $80 billion to build.
DeAngelies predicts Boeing will be worth $40 billion by 2020.
“I’m betting that we will see a huge acceleration in the price of biotech in 2020,” Deangelis said.
DeAngelises also expects the biotech stock market to continue to grow for a long time.
He said he believes biotech companies will have about $50 billion in annual revenue by 2020, up from $25 billion in 2020.
The U.K.-based biotechnology company Gilead Sciences, which is also on the list of biggest biotech companies, has a market capitalization of $30 billion.
Deangelis says he expects the stocks to be worth more in 2021, but he also expects to see more disruption.
The biotech companies are going through an amazing period of innovation and disruption.
That is going to be great for investors and for consumers, he said.
“The biotech industry, I think, is going through something like the tech boom in the 2000s,” DeElangelis told CNBC.
“You see a lot of people going into the biotech space, and the companies that are going up and being profitable, they’re going out of business.
The big companies are having their share of failures and then you see biotech companies growing.
You have to be patient.””
The fact that biotech is a very competitive sector, and that’s what you’re seeing, that’s going to keep the momentum going,” De Angelis said, adding that there are going be plenty of opportunities to make money in biotech over the next few years.