Good times ahead for six months

Biotech/Healthcare The misfortunes of the major pharmas dominate this sector as problems with new drugs and patent expiry, particularly in 2006, hinder performance. AstraZeneca, whose pipeline and earnings potential are both attractively visible, is one of the few exceptions to this scenario which means most drug companies are trading at valuations below market average. Smaller biotech firms have, however, done well, although they could fall back from here. Dr Deane Donnigan, co-manager of Framlington Health, has been actively selling investments in this area. She says: "We have taken...