The pharmaceuticals & biotechnology sector is generally recognised as a growth part of the market for fairly obvious reasons. The world population is increasing in size, with life expectancy also being extended and this is leading to additional demand for the products generated by companies such as AstraZeneca, GlaxoSmithKline and Roche. Clearly, these companies have strong market positions as they have patent protection on new drugs they introduce. The impact of newly discovered diseases and viruses such as Covid-19 also provides opportunities for biotechnology and drug discovery companies as their research can often lead to the introduction of new drugs and treatments. Recently, this has seen spectacular share price rises for companies such as Avacta (one of our shares of the year), Novacyt S.A. and Synairgen although there are many companies in this field looking at other areas such as oncology. We look to identify some of these smaller companies as AIM stock tips with great potential.