Credit: Image source: Getty Images.The S&P 500 has risen more than 105% over the last five years, if you account for dividend reinvestment. That's a big enough gain to turn a $10,000 investment into a cool $20,500. While that's a great five-year run, a handful of stocks have left the famous index in the dust over this same time period.
Here's a closer look at three such stocks -- Ionis Pharmaceuticals (NASDAQ: IONS) , Teligent (NASDAQ: TLGT) , and Dexcom (NASDAQ: DXCM) -- that are each up at least 500% over the last five years.
Image source: Getty Images.
Ionis Pharmaceuticals: Up 632%
This biotech's claim to fame was developing an innovative process called antisense that it uses to develop drugs. Ionis' technology allows compounds to be created that target and bind to RNA, which is what pumps out the proteins that cause diseases. Ionis' drugs can be used to reduce the amount of troublesome protein that end up in the body, thereby helping to treat the underlying disease.
What's great about this technology is that Ionis can quickly churn out new drugs once a troublesome RNA target is identified. That has allowed the company to pack its pipeline full of dozens of drugs that are aimed a treating a wide range of diseases. That provides investors with multiple shots on goal.
Beyond the broad pipeline, Ionis has been such a terrific investment over the last few years thanks to its ability to make believers out of other big pharma companies. Currently, the company boasts partnerships with Biogen , GlaxoSmithKline , Bayer , AstraZeneca , Roche , and more. Better still, these partners have been willing to shower Ionis with huge up-front cash payments to get their hands on the company's technology, which has kept the company's cash burn rates quite low.
DXCM Revenue (TTM) data by YCharts .
With diabetes rates climbing around the world, Dexcom should have plenty of room left to grow in the years ahead. Now that the company's crazy valuation has become more reasonable, it might be a great time to give this company's stock a closer look.
10 stocks we like better than Ionis Pharmaceuticals
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now...and Ionis Pharmaceuticals wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of Nov. 7, 2016.
Brian Feroldi owns shares of Ionis Pharmaceuticals.Like this article? Follow him on Twitter, where he goes by the handle@Longtermmindset or connect with him onLinkedInto see more articles like this.
The Motley Fool owns shares of and recommends Biogen and Ionis Pharmaceuticals. The Motley Fool recommends AstraZeneca. Try any of our Foolish newsletter services free for 30 days . We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
