Quant Picks: 3 Biotech Companies to Add to Your Portfolio

Driven by the demand for effective treatments and new cures, biotech is one of the hottest investment areas today. There has even been speculation of a biotech bubble. The sector has been growing at an annual rate of 9% since 1997, well above the overall economy. The U.S. dominates the Biotech industry both in terms of number of firms with nearly 7,000 - and R&D spending with $26 billion in 2014. Here are some of the best biotech companies TheStreet Quant Ratings says you should consider looking at. Number 3 is Biogen. With an 'A-' rating, the company's strengths can be seen in its revenue growth and notable return on equity.2nd is, Gilead Sciences. This rating is an 'A.' Gilead thrives in its growth in earnings per share and compelling growth in net income. Number 1 is Amgen. With an 'A+' rating the company flourishes in its revenue growth and compelling growth in net income. TheStreet Ratings are algorithmic stock picks based on 32 major data points. S&P 500 stocks rated 'buy' yielded a 16-and-a-half-percent return in 2014, beating the S&P 500 Total Return Index by more than 300 basis points. For the full reports on these stocks, you can check out TheStreet.com/QuantRatings.