Bachem Holding AG ($BANB) a Swiss Biotech comp for a pick-and-shovel GLP-1 play

For a quick refresher, GLP-1s are gut-hormone mimics that regulate blood sugar and signal metabolic fullness to the brain. They are used to treat Diabetes type 2 and obesity. GLP-1 is the active peptide engine behind massive drugs like Ozempic and Wegovy.

Global demand is absolutely skyrocketing because they are proving to be massive game-changers not just for diabetes, but for systemic weight loss and cardiovascular health, leaving global production severely bottlenecked.

Bachem is compelling because they’re a leading contract manufacturer (CDMO) producing the actual bulk peptides everyone needs to buy. P/E at 37 is cheap for them especially with the future demand of the GLP-1.

Given the structural shortage of complex peptide production facilities and their aggressive capex to scale up, it’s a buy IMO.