Market indicators: Déjà vu all over again

The fourth quarter has begun with a familiar feeling. A suite of indicators once again points to an improving public market for biopharma companies, but under a cloud of political and regulatory uncertainty, no one is willing to declare this moment biotech’s return to sustainable growth.

There’s no doubt biotech fundamentals offer reasons for optimism. From biotech indexes outperforming tech and the broader markets in 3Q25 to falling interest rates, private valuation resets, and a growing M&A trend, most indicators suggest biotech markets are functioning well and generating value as companies progress programs through the clinic...