March 2025 Life Sciences Update

Biotech Gave Back Gains at Year-end 2024

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CONTENTS

• Public biotech stocks rallied through most of 2024 after suffering though a down year in 2023. However, by year-end, the Nasdaq Biotech Index had given back most of its gains, closing near its starting point for the year. • Despite this decline, pricing was stronger than the three-year average and on par with the five-year average. • Biotech stocks are highly sensitive to overall market fluctuations and react sharply to economic and geopolitical uncertainty. As a result, public biotechs must be prepared for volatility in the market. • Interest rate cuts were positively received by the industry, however, since rates are expected to remain higher for longer, some of that sentiment has faded.

Daily

3 Year Avg

5 Year Avg

5,500

5,000

4,500

4,000

3,500

3,000

Biotech - Share price, (Index 1-Nov-1993=200, NSA)

2,500

2,000

2Jan15

2Jan16 2Jan17

2Jan18 2Jan19 2Jan20 2Jan21

2Jan22 2Jan23 2Jan24

Source: The Nasdaq Stock Market, Inc. (NASDAQ), Cushman & Wakefield Research

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Cushman & Wakefield