As the new financial year begins, investors are reconsidering their strategies and evaluating which ASX stocks to buy amid the current market conditions. In FY 2024, artificial intelligence (AI) stole the spotlight, but its reign may not be as enduring as some once thought. Several issues are raising concerns about AI’s continued dominance:

• Loss of Human Control: Increasing autonomy in AI systems could lead to reduced human oversight in critical decision-making processes.
• Improvement Doubts: Scepticism exists about whether AI will genuinely enhance our lives or merely intensify existing challenges.
• Pace of Adoption: Rapid AI adoption, particularly in sensitive fields like healthcare, sparks worries about potential risks and consequences.
• Algorithmic Bias: Biases embedded in AI algorithms can perpetuate discrimination and unfair practices.
• Privacy and Data Protection: The extensive data collection and processing by AI systems pose significant privacy and security concerns.
• Generative AI and Misinformation: The rise of AI-generated content raises fears about misinformation and the erosion of trust.

In this climate of uncertainty, several ASX-listed biotech stocks are emerging as promising investment opportunities. Here's a closer look at why OncoSil Ltd. (ASX: OSL), Invion Limited (ASX: IVX), Avecho Biotechnology Limited (ASX: AVE), and Cambium Bio Limited (ASX: CMB) are garnering attention from brokers and investors.

1. OncoSil Medical (ASX: OSL)

OncoSil Medical (ASX: OSL) is a global medical device company focused on Interventional Oncology. The OncoSil™ brachytherapy device, aims to improve the prognosis for pancreatic cancer patients.

Committed to delivering hope through innovative treatment approaches, OncoSil Medical focuses on improving outcomes for those with unmet medical needs. The OncoSil™ device is a single-use brachytherapy (internal radiation) device that is used to deliver a pre-determined dose of beta radiation directly into cancerous tissue.

Given pancreatic cancer's status as one of the deadliest forms of cancer globally, OncoSil Medical addresses a significant and urgent need in the market. 

2. Invion Limited (ASX: IVX)

Invion Limited leads the development of novel PhotoDynamic Therapy (PDT) for cancer treatment. Their proprietary photosensitizer, IVX-PDT, leverages Photosoft™ technology to enhance PDT's effectiveness.

Holding exclusive rights to distribute and licence Photosoft™ Technology in Australia and New Zealand, Invion collaborates with RMW Cho Group, a leader in commercialising advanced technologies. The Group funds Invion’s research and clinical trials through a non-dilutive R&D services agreement, supporting a global development strategy.

In partnership with premier medical research institutions like the Hudson Institute of Medical Research and the Peter MacCallum Cancer Centre, Invion is advancing the development of Photosoft™ technology. 

Given the projected rise in global cancer cases—from 20 million new cases in 2022 to an estimated 35 million by 2050—innovative cancer treatments remain in high demand.

3. Avecho Biotechnology Ltd. (ASX:AVE)

Avecho Biotechnology Limited, based in Melbourne, focuses on developing and commercialising products for both human and animal health. Their proprietary drug delivery system, Tocopheryl Phosphate Mixture (TPM), enhances the solubility and absorption of drugs and nutrients.

Derived from vitamin E through a patented process, TPM offers improved oral, dermal, and transdermal drug delivery, positioning Avecho as a leader in the biotech sector with diverse applications across various health domains.

4. Cambium Bio Limited (ASX: CMB)

Cambium Bio Limited is a clinical-stage company specialising in regenerative medicine, particularly for ophthalmology and tissue repair. Their lead product, Elate Ocular®, addresses the unmet medical needs in treating dry eye disease.

Cambium Bio is also advancing its stem cell platform, Progenza™, aimed at developing therapies for knee osteoarthritis and other tissue repair applications. Cambium Bio is constructing a strong pipeline of innovative therapeutics through the use of human platelet lysate technology, indicating a strong commitment to enhancing patient outcomes through cutting-edge regenerative treatments.

Should You Bet on These 4 ASX Biotech Stocks? 

As the financial landscape evolves, the significance of health and biotechnology continues to rise, often outshining even the latest technological advancements. While AI has had a considerable impact, the enduring value and transformative potential of biotech, particularly in addressing critical health issues, should not be underestimated. 

Investors are encouraged to consider these promising yet undervalued ASX biotech stocks, as they offer substantial potential for future profitability and innovation in the healthcare sector.