2 Beaten-Down Stocks That Will Soar in 2026, According to Wall Street

Intellia Therapeutics (NTLA 4.13%) and Iovance Biotherapeutics (IOVA 3.16%) are relatively innovative biotech companies. However, due to company-specific headwinds, both have seen their shares lag the market significantly this year. Intellia’s stock is down 19%, while Iovance’s has dropped 61%.

Some Wall Street analysts think these stocks are undervalued at current levels, though. Intellia’s average price target of $22.43 (according to Yahoo! Finance) implies an upside of 139% from its current levels, while Iovance’s $8.35 target implies that it could soar by 191%. Should investors purchase shares of either of these companies ahead of 2026?

1. Intellia Therapeutics

Intellia Therapeutics, a gene editing specialist, has encountered a clinical setback. One of the company’s candidates, nex-z, was placed on clinical hold by regulatory authorities in the U.S. Nex-z is being developed as a potential treatment for transthyretin amyloidosis, a rare, progressive disease where defective protein builds up around some organs and tissue, potentially causing severe cardiovascular issues. Nex-z was undergoing a pair of phase 3 studies when a participant died from liver damage.

The stock has lost significant market value since that debacle. While it’s not clear that nex-z was responsible, it’s also not clear that it wasn’t. Until the medicine receives clearance from the U.S. Food and Drug Administration, it’s a waiting game.

Can Intellia Therapeutics’ shares soar next year under these conditions? Actually, they could, although it’s hard to predict. But if it is revealed that nex-z had nothing to do with the patient’s death, the stock will rise significantly.

The question for long-term investors is whether Intellia Therapeutics’ shares look attractive under each scenario — whether or not nex-z is responsible. Let’s start with the more optimistic one. If the answer is “no” for the more bullish case, it will also be “no” for any other. True, nex-z could have a vast addressable market. The hereditary version of transthyretin amyloidosis affects only about 50,000 people, but the wild type (that tends to come with age) has a larger estimated patient population of 200,000 to 500,000. Intellia Therapeutics could address corners of both.

However, even if nex-z isn’t responsible for the recent patient death in clinical trials, it would still need to hit clinical and regulatory milestones before generating any revenue. Even then, as gene editing medicines are expensive and difficult to administer, it can be challenging, especially for smaller biotechs, to secure third-party coverage and establish a network of facilities capable of treating patients. All these potential challenges also apply to lonvo-z, another Intellia Therapeutics gene editing therapy in late-stage studies.

That’s why the stock is very risky, even if nex-z gets off the hook. Will it soar by 139% next year? Maybe. Is it worth investing in for long-term investors? Probably not.

2. Iovance Biotherapeutics

Iovance Biotherapeutics has an approved product on the market called Amtagvi. It harnesses the power of patients’ own cells — from which it is manufactured — to fight cancer. It is indicated to treat advanced melanoma, and it is also generating decent sales, despite being launched only last year. Through the first nine months of 2025, Iovance’s revenue, which is almost entirely derived from Amtagvi, was $176.7 million, nearly doubling compared to the year-ago period.

There have been other positive developments for Iovance Biotherapeutics. It has earned approval for Amtagvi in Canada, for instance, and is seeking more regulatory nods in other regions, including Europe and Australia.

Furthermore, Amtagvi is undergoing several clinical trials and may be eligible for label expansions in the future. Its current addressable market isn’t huge. Iovance Biotherapeutics has estimated that it could treat about 30,000 patients worldwide. If it can add new indications to Amtagvi, though, that number could rise significantly.

However, the stock continues to move in the wrong direction. One key reason why is that Amtagvi is complex to make and administer. It is manufactured after physicians have removed a patient’s tumor and extracted the appropriate cells to produce the medicine. Then, these cells are inserted back into the patient after chemotherapy. The entire process is expensive and takes several weeks.

That’s why, even as Amtagvi’s revenue is increasing, it’s difficult to see a path to profitability for Iovance Biotherapeutics, which is why its shares remain southbound. In my view, the stock is extremely unlikely to gain much value — let alone skyrocket by 191% — next year. It’s best to stay away.