There has been a lot of strong recommendations around biotech lately on Contrarian Profits. Phase 1 Investor editor Rob Fannon recently wrote that biotech was one of the few market sectors to show positive returns as many other stocks were getting hammered. He sees great values in the sector.

Another strong play from medical stock expert Rob Fannon.

The biotech industry has failed in its attempt to function as a science-based business

Followers of the sector know very well that biotech stocks have traditionally traded at premiums to their big pharma counterparts, mainly due to the fact that they tend to be smaller, and therefore one big product breakthrough can have a dramatic effect on the company, and fuel substantially higher earnings growth. It appears in today's market, however, that the two subsets of healthcare have converged as far as valuations go. As a result, I think there are opportunities for investors to capitalize.