Donald Trump's upset presidential win had pharmaceutical stocks reversing course upward on Wednesday.
Some of the sector's woes had been due to concerns that a Hillary Clinton presidency would challenge the industry and its business practices. With Trump as president-elect, the Biotechnology Index shot up by more than 8.8% on Wednesday.
To be sure, these kinds of one-day gains aren't likely to be sustainable. The market will soon correct itself.
But that doesn't mean that there aren't still some explosive profits to be made from pharmaceuticals. And some of the biggest moneymakers will be companies that develop and manufacture vaccines.
Let's look at three top players.
1. GlaxoSmithKline (GSK)
Among the ranks of big pharmaceutical companies is GlaxoSmithKline. This company's pneumonia and hepatitis B vaccines have been particularly big moneymakers for the company.
During the second quarter, its vaccines business recorded growth of 11%. In addition, the company's recent acquisition of Novartis has added to its portfolio, especially with its popular meningitis vaccines, Bexsero and Menveo.
However, as well all know, the biggest profits can be made not from investing in Big Pharma companies but from smaller-capitalization stocks in the biotechnology sector. It is important for investors to look carefully at their products and marketing strategies, which may allow them to catch a company just as its rising.