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25400.0 | 2018-07-27 00:00:00 UTC | Health Care Sector Update for 07/27/2018: SGEN,NBRV,ABBV,TNXP | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-07272018-sgennbrvabbvtnxp-2018-07-27 | nan | nan | Top Health Care Stocks
JNJ +0.97%
PFE +0.73%
ABT -0.64%
MRK -0.77%
AMGN -0.52%
Health care stocks declined Friday, including a nearly 0.4% retreat for the NYSE Health Care Index in late trade. Also, shares of health care companies in the S&P 500 were down over 0.7% as a group while the Nasdaq Biotechnology index was falling almost 1.9% today.
Among health care stocks moving on news:
+ Seattle Genetics ( SGEN ) climbed to a new record high of $74.68 a share on Friday after posting a surprise Q2 profit. The biotech company working on new cancer therapies earned $0.47 per share during the three months ended June 30, reversing from a $0.39 per share net loss last year and breezing past the Capital IQ consensus looking for a net loss of $0.37 per share. Revenue rose to $170.17 million from $108.22 million a year ago, also topping the $141.07 million analyst estimate.
In other sector news:
- AbbVie ( ABBV ) was down almost 5% lower Friday afternoon despite the drugmaker reporting above-consensus Q2 financial results and raising its FY18 earnings outlook. Excluding one-time items, AbbVie earned $2.00 per share on $8.28 billion in revenue, topping the Capital IQ consensus by $0.03 per share and $60 million, respectively. It also increased its forecast for net income this year by $0.10 per share over its prior guidance, now expecting $7.76 to $7.86 per share compared with the Street view expecting $7.80 per share.
- Nabriva Therapeutics AG ( NBRV ) dropped to an all-time low of $2.41 a share on Friday, sinking almost 22%, after the anti-infectives drugmaker priced a $50 million public offering of nearly 18.2 million shares of its common stock at $2.75 a piece, representing a 10.7% discount relative to Thursday's closing price. Underwriters participating in the deal received an option to buy up to 2.7 million additional shares to cover potential overallotments. Nabriva expects to use net proceeds to fund regulatory submissions in the United States and Europe for its Lefamulin and Contepo drug candidates to treat community-acquired bacterial pneumonia and chronic urinary tract infections, respectively.
- Tonix Pharmaceuticals ( TNXP ) plunged over 77% to a worst-ever 89 cents a share after the early-stage biotech company said it was stopping Phase III testing of its Tonmya drug candidate after the prospective treatment for military-related post-traumatic stress disorder. Although Tonmya failed to demonstrate adequate separation from a placebo on the primary endpoint of the study after 12 weeks, the company said meaningful improvement in overall PTSD symptoms was observed through the first four weeks of the trial. There also were no serious or unexpected adverse events.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In other sector news: - AbbVie ( ABBV ) was down almost 5% lower Friday afternoon despite the drugmaker reporting above-consensus Q2 financial results and raising its FY18 earnings outlook. Excluding one-time items, AbbVie earned $2.00 per share on $8.28 billion in revenue, topping the Capital IQ consensus by $0.03 per share and $60 million, respectively. Among health care stocks moving on news: + Seattle Genetics ( SGEN ) climbed to a new record high of $74.68 a share on Friday after posting a surprise Q2 profit. | Excluding one-time items, AbbVie earned $2.00 per share on $8.28 billion in revenue, topping the Capital IQ consensus by $0.03 per share and $60 million, respectively. In other sector news: - AbbVie ( ABBV ) was down almost 5% lower Friday afternoon despite the drugmaker reporting above-consensus Q2 financial results and raising its FY18 earnings outlook. Top Health Care Stocks | In other sector news: - AbbVie ( ABBV ) was down almost 5% lower Friday afternoon despite the drugmaker reporting above-consensus Q2 financial results and raising its FY18 earnings outlook. Excluding one-time items, AbbVie earned $2.00 per share on $8.28 billion in revenue, topping the Capital IQ consensus by $0.03 per share and $60 million, respectively. The biotech company working on new cancer therapies earned $0.47 per share during the three months ended June 30, reversing from a $0.39 per share net loss last year and breezing past the Capital IQ consensus looking for a net loss of $0.37 per share. | Excluding one-time items, AbbVie earned $2.00 per share on $8.28 billion in revenue, topping the Capital IQ consensus by $0.03 per share and $60 million, respectively. In other sector news: - AbbVie ( ABBV ) was down almost 5% lower Friday afternoon despite the drugmaker reporting above-consensus Q2 financial results and raising its FY18 earnings outlook. Top Health Care Stocks |
25401.0 | 2018-07-27 00:00:00 UTC | Noteworthy Friday Option Activity: SBUX, ABBV, ZBH | ABBV | https://www.nasdaq.com/articles/noteworthy-friday-option-activity-sbux-abbv-zbh-2018-07-27 | nan | nan | Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Starbucks Corp. (Symbol: SBUX), where a total volume of 68,276 contracts has been traded thus far today, a contract volume which is representative of approximately 6.8 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 53.4% of SBUX's average daily trading volume over the past month, of 12.8 million shares. Particularly high volume was seen for the $52 strike call option expiring July 27, 2018 , with 2,275 contracts trading so far today, representing approximately 227,500 underlying shares of SBUX. Below is a chart showing SBUX's trailing twelve month trading history, with the $52 strike highlighted in orange:
AbbVie Inc (Symbol: ABBV) saw options trading volume of 34,203 contracts, representing approximately 3.4 million underlying shares or approximately 52.4% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Particularly high volume was seen for the $90 strike call option expiring July 27, 2018 , with 2,202 contracts trading so far today, representing approximately 220,200 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $90 strike highlighted in orange:
And Zimmer Biomet Holdings Inc (Symbol: ZBH) options are showing a volume of 4,393 contracts thus far today. That number of contracts represents approximately 439,300 underlying shares, working out to a sizeable 51.8% of ZBH's average daily trading volume over the past month, of 847,310 shares. Especially high volume was seen for the $120 strike call option expiring September 21, 2018 , with 1,079 contracts trading so far today, representing approximately 107,900 underlying shares of ZBH. Below is a chart showing ZBH's trailing twelve month trading history, with the $120 strike highlighted in orange:
For the various different available expirations for SBUX options , ABBV options , or ZBH options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
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. | Particularly high volume was seen for the $90 strike call option expiring July 27, 2018 , with 2,202 contracts trading so far today, representing approximately 220,200 underlying shares of ABBV. Below is a chart showing SBUX's trailing twelve month trading history, with the $52 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) saw options trading volume of 34,203 contracts, representing approximately 3.4 million underlying shares or approximately 52.4% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Below is a chart showing ABBV's trailing twelve month trading history, with the $90 strike highlighted in orange: And Zimmer Biomet Holdings Inc (Symbol: ZBH) options are showing a volume of 4,393 contracts thus far today. | Below is a chart showing SBUX's trailing twelve month trading history, with the $52 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) saw options trading volume of 34,203 contracts, representing approximately 3.4 million underlying shares or approximately 52.4% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Particularly high volume was seen for the $90 strike call option expiring July 27, 2018 , with 2,202 contracts trading so far today, representing approximately 220,200 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $90 strike highlighted in orange: And Zimmer Biomet Holdings Inc (Symbol: ZBH) options are showing a volume of 4,393 contracts thus far today. | Below is a chart showing SBUX's trailing twelve month trading history, with the $52 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) saw options trading volume of 34,203 contracts, representing approximately 3.4 million underlying shares or approximately 52.4% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Particularly high volume was seen for the $90 strike call option expiring July 27, 2018 , with 2,202 contracts trading so far today, representing approximately 220,200 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $90 strike highlighted in orange: And Zimmer Biomet Holdings Inc (Symbol: ZBH) options are showing a volume of 4,393 contracts thus far today. | Below is a chart showing SBUX's trailing twelve month trading history, with the $52 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) saw options trading volume of 34,203 contracts, representing approximately 3.4 million underlying shares or approximately 52.4% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Particularly high volume was seen for the $90 strike call option expiring July 27, 2018 , with 2,202 contracts trading so far today, representing approximately 220,200 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $90 strike highlighted in orange: And Zimmer Biomet Holdings Inc (Symbol: ZBH) options are showing a volume of 4,393 contracts thus far today. |
25402.0 | 2018-07-26 00:00:00 UTC | Notable ETF Inflow Detected - IUSG, ABBV, CRM, PYPL | ABBV | https://www.nasdaq.com/articles/notable-etf-inflow-detected-iusg-abbv-crm-pypl-2018-07-26 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the iShares Core S&P U.S. Growth ETF (Symbol: IUSG) where we have detected an approximate $151.3 million dollar inflow -- that's a 3.1% increase week over week in outstanding units (from 80,100,000 to 82,600,000). Among the largest underlying components of IUSG, in trading today AbbVie Inc (Symbol: ABBV) is up about 0.6%, Salesforce.com Inc (Symbol: CRM) is down about 0.6%, and PayPal Holdings Inc (Symbol: PYPL) is lower by about 3.4%. For a complete list of holdings, visit the IUSG Holdings page » The chart below shows the one year price performance of IUSG, versus its 200 day moving average:
Looking at the chart above, IUSG's low point in its 52 week range is $48.59 per share, with $60.56 as the 52 week high point - that compares with a last trade of $60.08. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average » .
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs had notable inflows »
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. | Among the largest underlying components of IUSG, in trading today AbbVie Inc (Symbol: ABBV) is up about 0.6%, Salesforce.com Inc (Symbol: CRM) is down about 0.6%, and PayPal Holdings Inc (Symbol: PYPL) is lower by about 3.4%. For a complete list of holdings, visit the IUSG Holdings page » The chart below shows the one year price performance of IUSG, versus its 200 day moving average: Looking at the chart above, IUSG's low point in its 52 week range is $48.59 per share, with $60.56 as the 52 week high point - that compares with a last trade of $60.08. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. | Among the largest underlying components of IUSG, in trading today AbbVie Inc (Symbol: ABBV) is up about 0.6%, Salesforce.com Inc (Symbol: CRM) is down about 0.6%, and PayPal Holdings Inc (Symbol: PYPL) is lower by about 3.4%. For a complete list of holdings, visit the IUSG Holdings page » The chart below shows the one year price performance of IUSG, versus its 200 day moving average: Looking at the chart above, IUSG's low point in its 52 week range is $48.59 per share, with $60.56 as the 52 week high point - that compares with a last trade of $60.08. Click here to find out which 9 other ETFs had notable inflows » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of IUSG, in trading today AbbVie Inc (Symbol: ABBV) is up about 0.6%, Salesforce.com Inc (Symbol: CRM) is down about 0.6%, and PayPal Holdings Inc (Symbol: PYPL) is lower by about 3.4%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the iShares Core S&P U.S. Growth ETF (Symbol: IUSG) where we have detected an approximate $151.3 million dollar inflow -- that's a 3.1% increase week over week in outstanding units (from 80,100,000 to 82,600,000). For a complete list of holdings, visit the IUSG Holdings page » The chart below shows the one year price performance of IUSG, versus its 200 day moving average: Looking at the chart above, IUSG's low point in its 52 week range is $48.59 per share, with $60.56 as the 52 week high point - that compares with a last trade of $60.08. | Among the largest underlying components of IUSG, in trading today AbbVie Inc (Symbol: ABBV) is up about 0.6%, Salesforce.com Inc (Symbol: CRM) is down about 0.6%, and PayPal Holdings Inc (Symbol: PYPL) is lower by about 3.4%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the iShares Core S&P U.S. Growth ETF (Symbol: IUSG) where we have detected an approximate $151.3 million dollar inflow -- that's a 3.1% increase week over week in outstanding units (from 80,100,000 to 82,600,000). For a complete list of holdings, visit the IUSG Holdings page » The chart below shows the one year price performance of IUSG, versus its 200 day moving average: Looking at the chart above, IUSG's low point in its 52 week range is $48.59 per share, with $60.56 as the 52 week high point - that compares with a last trade of $60.08. |
25403.0 | 2018-07-26 00:00:00 UTC | 5 Must-See Earnings Charts to End the Week | ABBV | https://www.nasdaq.com/articles/5-must-see-earnings-charts-end-week-2018-07-26 | nan | nan | Earnings season has picked up this week. There are over 800 companies expected to report, including many of the large S&P 500 companies.
While FAANG gets all the glory, a lot of investor favorites are also reporting earnings this week including the two largest Big Oil companies in the United States and several large cap pharmaceutical companies.
If you're looking for dividends, these 5 companies also have juicy yields. All are paying over 3%.
Several have great earnings track records, but others do not. Will they turn it around this quarter?
5 Must-See Earnings Charts to End the Week
1. ExxonMobil XOM has missed 3 out of the last 4 quarters so its track record isn't the greatest. But this quarter, crude has traded above $65 a barrel for most of the time period. Additionally, Exxon has a big chemical business which should be benefitting from the strong economy. Exxon pays a dividend yielding 4%. Are these shares undervalued?
2. Chevron CVX has actually beat in 4 out of the last 5 quarters. Shares have recovered off the oil price plunge. It still pays a healthy dividend yielding 3.5%. Can this earnings report propel the shares to new 5-year highs?
3. AbbVie ABBV has a great track record of beating. It has only missed once in the last 5 years. Investors will get a 4% dividend yield. Shares are well off their 2018 highs though. Is this a buying opportunity?
4. Merck MRK has also only missed one time in the last 5 years. But the shares have been stuck in this trading range during that time. It still pays a dividend of 3.1%. What will it take to push them to new highs?
5. BG Staffing, Inc. BGSF is the unknown company among these five names. Based in Texas, it has three different segments in its staffing business, including professionals which is accountants and finance professionals, multi-family which can be leasing managers, maintenance and commercial which is fork-lift drivers, packers, general labor. BGSF pays a dividend yielding a juicy 5.2%. It has only missed twice since 2016. Shares have surged to new highs ahead of the number. Can it continue with the breakout?
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaries," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>
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Merck & Co., Inc. (MRK): Free Stock Analysis Report
AbbVie Inc. (ABBV): Free Stock Analysis Report
Chevron Corporation (CVX): Free Stock Analysis Report
Exxon Mobil Corporation (XOM): Free Stock Analysis Report
BG Staffing Inc (BGSF): Free Stock Analysis Report
To read this article on Zacks.com click here.
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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. | AbbVie ABBV has a great track record of beating. Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Chevron Corporation (CVX): Free Stock Analysis Report Exxon Mobil Corporation (XOM): Free Stock Analysis Report BG Staffing Inc (BGSF): Free Stock Analysis Report To read this article on Zacks.com click here. ExxonMobil XOM has missed 3 out of the last 4 quarters so its track record isn't the greatest. | Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Chevron Corporation (CVX): Free Stock Analysis Report Exxon Mobil Corporation (XOM): Free Stock Analysis Report BG Staffing Inc (BGSF): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV has a great track record of beating. While FAANG gets all the glory, a lot of investor favorites are also reporting earnings this week including the two largest Big Oil companies in the United States and several large cap pharmaceutical companies. | Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Chevron Corporation (CVX): Free Stock Analysis Report Exxon Mobil Corporation (XOM): Free Stock Analysis Report BG Staffing Inc (BGSF): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV has a great track record of beating. While FAANG gets all the glory, a lot of investor favorites are also reporting earnings this week including the two largest Big Oil companies in the United States and several large cap pharmaceutical companies. | AbbVie ABBV has a great track record of beating. Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Chevron Corporation (CVX): Free Stock Analysis Report Exxon Mobil Corporation (XOM): Free Stock Analysis Report BG Staffing Inc (BGSF): Free Stock Analysis Report To read this article on Zacks.com click here. ExxonMobil XOM has missed 3 out of the last 4 quarters so its track record isn't the greatest. |
25404.0 | 2018-07-26 00:00:00 UTC | Pre-Market Earnings Report for July 27, 2018 : XOM, CVX, MRK, ABBV, CL, PSX, AON, MCO, TWTR, IMO, WY, SYF | ABBV | https://www.nasdaq.com/articles/pre-market-earnings-report-july-27-2018-xom-cvx-mrk-abbv-cl-psx-aon-mco-twtr-imo-wy-syf | nan | nan | The following companies are expected to report earnings prior to market open on 07/27/2018. Visit our Earnings Calendar for a full list of expected earnings releases.
Exxon Mobil Corporation ( XOM ) is reporting for the quarter ending June 30, 2018. The oil company's consensus earnings per share forecast from the 5 analysts that follow the stock is $1.25. This value represents a 60.26% increase compared to the same quarter last year. Zacks Investment Research reports that the 2018 Price to Earnings ratio for XOM is 17.06 vs. an industry ratio of 12.10, implying that they will have a higher earnings growth than their competitors in the same industry.
Chevron Corporation ( CVX ) is reporting for the quarter ending June 30, 2018. The oil company's consensus earnings per share forecast from the 6 analysts that follow the stock is $2.06. This value represents a 126.37% increase compared to the same quarter last year. CVX missed the consensus earnings per share in the 4th calendar quarter of 2017 by -42.52%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for CVX is 15.16 vs. an industry ratio of 12.10, implying that they will have a higher earnings growth than their competitors in the same industry.
Merck & Company, Inc. ( MRK ) is reporting for the quarter ending June 30, 2018. The large cap pharmaceutical company's consensus earnings per share forecast from the 6 analysts that follow the stock is $1.03. This value represents a 1.98% increase compared to the same quarter last year. In the past year MRK has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 6.06%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for MRK is 15.28 vs. an industry ratio of 16.20.
AbbVie Inc. ( ABBV ) is reporting for the quarter ending June 30, 2018. The large cap pharmaceutical company's consensus earnings per share forecast from the 8 analysts that follow the stock is $1.98. This value represents a 39.44% increase compared to the same quarter last year. In the past year ABBV has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 3.89%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for ABBV is 11.94 vs. an industry ratio of 16.20.
Colgate-Palmolive Company ( CL ) is reporting for the quarter ending June 30, 2018. The cleaning company's consensus earnings per share forecast from the 8 analysts that follow the stock is $0.77. This value represents a 6.94% increase compared to the same quarter last year. In the past year CL has met analyst expectations three times and beat the expectations the other quarter. Zacks Investment Research reports that the 2018 Price to Earnings ratio for CL is 21.41 vs. an industry ratio of 20.40, implying that they will have a higher earnings growth than their competitors in the same industry.
Phillips 66 ( PSX ) is reporting for the quarter ending June 30, 2018. The oil refining company's consensus earnings per share forecast from the 8 analysts that follow the stock is $2.15. This value represents a 97.25% increase compared to the same quarter last year. In the past year PSX has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 14.29%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for PSX is 16.10 vs. an industry ratio of 18.10.
Aon plc ( AON ) is reporting for the quarter ending June 30, 2018. The insurance brokers company's consensus earnings per share forecast from the 9 analysts that follow the stock is $1.63. This value represents a 12.41% increase compared to the same quarter last year. In the past year AON has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2018 Price to Earnings ratio for AON is 18.33 vs. an industry ratio of 30.60.
Moody's Corporation ( MCO ) is reporting for the quarter ending June 30, 2018. The financial services company's consensus earnings per share forecast from the 6 analysts that follow the stock is $1.88. This value represents a 24.50% increase compared to the same quarter last year. In the past year MCO has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 13.48%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for MCO is 24.07 vs. an industry ratio of 11.10, implying that they will have a higher earnings growth than their competitors in the same industry.
Twitter, Inc. ( TWTR ) is reporting for the quarter ending June 30, 2018. The internet software company's consensus earnings per share forecast from the 9 analysts that follow the stock is $0.07. This value represents a 450.00% increase compared to the same quarter last year. In the past year TWTR has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 800%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for TWTR is 122.83 vs. an industry ratio of -299.00, implying that they will have a higher earnings growth than their competitors in the same industry.
Imperial Oil Limited ( IMO ) is reporting for the quarter ending June 30, 2018. The consensus earnings per share forecast from the 4 analysts that follow the stock is $0.50. IMO reported earnings of $-0.07 per share for the same quarter a year ago; representing a a decrease of -814.29%.
Weyerhaeuser Company ( WY ) is reporting for the quarter ending June 30, 2018. The building company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.41. This value represents a 46.43% increase compared to the same quarter last year. WY missed the consensus earnings per share in the 4th calendar quarter of 2017 by -11.43%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for WY is 22.70 vs. an industry ratio of 22.60, implying that they will have a higher earnings growth than their competitors in the same industry.
Synchrony Financial ( SYF ) is reporting for the quarter ending June 30, 2018. The financial services company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.82. This value represents a 34.43% increase compared to the same quarter last year. In the past year SYF has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 12.16%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for SYF is 9.92 vs. an industry ratio of 11.10.
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. | AbbVie Inc. ( ABBV ) is reporting for the quarter ending June 30, 2018. In the past year ABBV has beat the expectations every quarter. Zacks Investment Research reports that the 2018 Price to Earnings ratio for ABBV is 11.94 vs. an industry ratio of 16.20. | AbbVie Inc. ( ABBV ) is reporting for the quarter ending June 30, 2018. In the past year ABBV has beat the expectations every quarter. Zacks Investment Research reports that the 2018 Price to Earnings ratio for ABBV is 11.94 vs. an industry ratio of 16.20. | AbbVie Inc. ( ABBV ) is reporting for the quarter ending June 30, 2018. In the past year ABBV has beat the expectations every quarter. Zacks Investment Research reports that the 2018 Price to Earnings ratio for ABBV is 11.94 vs. an industry ratio of 16.20. | AbbVie Inc. ( ABBV ) is reporting for the quarter ending June 30, 2018. In the past year ABBV has beat the expectations every quarter. Zacks Investment Research reports that the 2018 Price to Earnings ratio for ABBV is 11.94 vs. an industry ratio of 16.20. |
25405.0 | 2018-07-25 00:00:00 UTC | AbbVie Secures FDA Approval for Endometriosis Drug Elagolix | ABBV | https://www.nasdaq.com/articles/abbvie-secures-fda-approval-for-endometriosis-drug-elagolix-2018-07-25 | nan | nan | AbbVie Inc . ABBV together with its partner Neurocrine Biosciences announced that the FDA has approved its pipeline candidate, elagolix, for the treatment of moderate to severe pain associated with endometriosis, a common gynecologic disorder in women.
The candidate to be marketed by the trade name of Orilissa is expected to hit the retail markets in the United States from this early August onward.
The approval was granted on a priority review basis. It was supported by positive results from two replicate studies in the largest endometriosis phase III trials, which evaluated Orilissa for the given indication in women. The detailed data from the analysis showed that treatment with Orilissa resulted in statistically significant reductions in menstrual and non-menstrual pelvic pain associated with endometriosis compared with placebo.
Endometriosis affects an estimated one in 10 women of reproductive age and is associated with pain symptoms. The pain associated with it is currently managed with oral contraceptives, progestins, danazol, NSAIDS, opioids and GnRH agonists. Many medicines are not specifically indicated for treating endometriosis. With Orilissa approved to treat pain associated with endometriosis, it can address a market with significant unmet need to bring in more sales for AbbVie.
Notably, last September, the FDA accepted AbbVie's new drug application (NDA) for Orilissa and subsequently, granted priority review status in October. However, in April this year, the regulatory body extended its review period of marketing application for Orilissa by three months.
The FDA requested for a prolonged time frame to review additional information provided by AbbVie along with its NDA related to the results of liver function tests.
Shares of AbbVie have decreased 5.4% so far this year versus the industry's decline of 1.4%.
AbbVie currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the pharma sector include Vanda Pharmaceuticals Inc. VNDA , Illumina, Inc. ILMN and Eli Lilly and Company LLY . While Vanda Pharmaceuticals and Illumina sport a Zacks Rank #1 (Strong Buy), Eli Lilly carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Vanda Pharmaceuticals' earnings estimates have been revised 11.1% upward for 2018 and 3.9% for 2019 over the past 60 days. The stock has surged 34.5% so far this year.
Illumina's earnings estimates have been moved 0.2% north for 2018 and 0.4% for 2019 over the past 60 days. The stock has soared 41.3% so far this year.
Eli Lilly and Company's bottom line per share estimates have been raised 0.2% for 2018 and 1.6% for 2019 over the past 60 days. The stock has rallied 10.6% year to date.
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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. | ABBV together with its partner Neurocrine Biosciences announced that the FDA has approved its pipeline candidate, elagolix, for the treatment of moderate to severe pain associated with endometriosis, a common gynecologic disorder in women. The FDA requested for a prolonged time frame to review additional information provided by AbbVie along with its NDA related to the results of liver function tests. AbbVie Inc . | Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Illumina, Inc. (ILMN): Free Stock Analysis Report Vanda Pharmaceuticals Inc. (VNDA): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc . ABBV together with its partner Neurocrine Biosciences announced that the FDA has approved its pipeline candidate, elagolix, for the treatment of moderate to severe pain associated with endometriosis, a common gynecologic disorder in women. | With Orilissa approved to treat pain associated with endometriosis, it can address a market with significant unmet need to bring in more sales for AbbVie. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Illumina, Inc. (ILMN): Free Stock Analysis Report Vanda Pharmaceuticals Inc. (VNDA): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc . | With Orilissa approved to treat pain associated with endometriosis, it can address a market with significant unmet need to bring in more sales for AbbVie. Notably, last September, the FDA accepted AbbVie's new drug application (NDA) for Orilissa and subsequently, granted priority review status in October. AbbVie Inc . |
25406.0 | 2018-07-24 00:00:00 UTC | Is a Beat in the Cards for AbbVie (ABBV) in Q2 Earnings? | ABBV | https://www.nasdaq.com/articles/is-a-beat-in-the-cards-for-abbvie-abbv-in-q2-earnings-2018-07-24 | nan | nan | We expect AbbVie Inc.ABBV to beat expectations when it reports second-quarter 2018 results on Jul 27, before market open. In the last reported quarter, the company delivered a positive earnings surprise of 3.89%.
Shares of AbbVie have declined 7.6% compared with the industry 's decrease of 1.3% so far this year.
Let's see how things are shaping up for the company this quarter.
Factors to Consider
AbbVie's flagship product, Humira, which is approved for several inflammatory indications, continues to witness strong demand trends despite launch of drugs with new mechanisms of action and competition from indirect biosimilars. The positive sales growth trend is expected to continue in the second quarter. The Zacks Consensus Estimate for Humira is pegged at $5.2 billion.
The company also has a strong oncology portfolio. Imbruvica, which is currently approved for quite a few indications, showed significant growth rate in the first quarter on the back of continued uptake in the front-line CLL market and steady gains across other indications. The drug, which AbbVie is developing and marketing with Johnson & Johnson JNJ , has successfully completed a phase III study, evaluating it in combination with Gazyva in first-line chronic lymphocytic leukemia. In June, a regulatory application for label expansion Imbruvica in Waldenström's macroglobulinemia was accepted by the FDA. Although, these factors will have no impact on sales this quarter, a potential approval will certainly boost sales going forward. The Zacks Consensus Estimate for the drug is pegged at $843 million.
Other drugs, namely Duodopa and Creon, are also likely to come up with encouraging performance in the soon-to-be-reported quarter. The Zacks Consensus Estimate for Duodopa and Creon sales is $104 million and $216 million, respectively.
AbbVie's hepatitis C virus ("HCV") segment has also shown impressive growth on the back of strong demand for Mavyret. The drug has become a major growth driver for AbbVie in a short time following its launch. We expect the trend to continue this quarter. However, Viekira may continue to see declining sales, affected by intense pricing and competitive pressure in the HCV market.
The company's investigational rheumatoid arthritis candidate, upadacitinib, progressed well during the quarter with successful completion of two phase III studies from the SELECT program. However, the FDA has extended the review period of marketing application for elagolix seeking approval for pain management associated with endometriosis. AbbVie also submitted regulatory application in the United States and Europe seeking approval risankizumab for treating moderate-to-severe plaque psoriasis.
The company may continue to see higher operating expense due to ongoing clinical studies and submission of regulatory applications. However, share buyback worth almost $7.5 billion is expected to drive EPS.
Outlook for Second Quarter
AbbVie expects earnings per share for the quarter to be in the range of $1.94 and $1.96. Revenues are expected to be driven by operational growth of 15% and a favorable currency impact of 3%.
Humira's sales are expected to grow 10% domestically and international sales are estimated to be approximately $1.6 billion. Oncology drug, Imbruvica, is expected to bring sales of $700 million while HCV global sales are estimated to be $950 million. Almost two-fifth of HCV sales will come from the U.S. markets.
Earnings Whispers
Our proven model shows that the stock is likely to beat on earnings this quarter as it has the right combination of two key ingredients - a positive Earnings ESP and a favorable Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) - for this to happen.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($1.98) and the Zacks Consensus Estimate ($1.97), stands at +0.11%.. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: AbbVie has a Zacks Rank #3, which increases the predictive power of ESP. The combination of its positive Earnings ESP and Zacks Rank #3 increases the odds of an earnings surprise.
We caution against the Sell-rated stocks (#4 or 5) going into an earnings announcement, especially when the company is seeing negative estimate revisions.
AbbVie Inc. Price and EPS Surprise
AbbVie Inc. Price and EPS Surprise | AbbVie Inc. Quote
Other Stocks That Warrant a Look
Here are a couple of other health care stocks with the right combination of elements to surpass estimates this time around:
Pfizer PFE is scheduled to release results on Jul 31. The company has an Earnings ESP of +0.89% and a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here .
Gilead Sciences GILD is slated to announce financial figures on Jul 25. The company has an Earnings ESP of +0.15% and is a Zacks #2 Ranked player.
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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. | Factors to Consider AbbVie's flagship product, Humira, which is approved for several inflammatory indications, continues to witness strong demand trends despite launch of drugs with new mechanisms of action and competition from indirect biosimilars. AbbVie also submitted regulatory application in the United States and Europe seeking approval risankizumab for treating moderate-to-severe plaque psoriasis. We expect AbbVie Inc.ABBV to beat expectations when it reports second-quarter 2018 results on Jul 27, before market open. | AbbVie Inc. Price and EPS Surprise AbbVie Inc. Price and EPS Surprise | AbbVie Inc. Quote Other Stocks That Warrant a Look Here are a couple of other health care stocks with the right combination of elements to surpass estimates this time around: Pfizer PFE is scheduled to release results on Jul 31. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. We expect AbbVie Inc.ABBV to beat expectations when it reports second-quarter 2018 results on Jul 27, before market open. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. We expect AbbVie Inc.ABBV to beat expectations when it reports second-quarter 2018 results on Jul 27, before market open. Shares of AbbVie have declined 7.6% compared with the industry 's decrease of 1.3% so far this year. | We expect AbbVie Inc.ABBV to beat expectations when it reports second-quarter 2018 results on Jul 27, before market open. Shares of AbbVie have declined 7.6% compared with the industry 's decrease of 1.3% so far this year. Factors to Consider AbbVie's flagship product, Humira, which is approved for several inflammatory indications, continues to witness strong demand trends despite launch of drugs with new mechanisms of action and competition from indirect biosimilars. |
25407.0 | 2018-07-24 00:00:00 UTC | Merck (MRK) Q2 Earnings Coming Up: What's in the Cards? | ABBV | https://www.nasdaq.com/articles/merck-mrk-q2-earnings-coming-up%3A-whats-in-the-cards-2018-07-24 | nan | nan | Merck & Co., Inc.MRK will report second-quarter 2018 results on Jul 27, before market open. In the last reported quarter, the company delivered a positive earnings surprise of 6.06%.
Merck's performance has been pretty impressive, with the company exceeding earnings expectations in all the trailing four quarters. The average positive earnings surprise over the last four quarters is 8.55%
Merck & Co., Inc. Price and EPS Surprise
Merck & Co., Inc. Price and EPS Surprise | Merck & Co., Inc. Quote
Merck's shares have risen 11.4% this year so far against a 1.3% decrease for the industry .
Factors to Consider
Merck's new products like cancer drugs Keytruda, Lynparza, Gardasil and Bridion Injection should drive the top line this quarter. However, loss of market exclusivity for several drugs, softness in the diabetes (Januvia/Janumet) franchise, and lower sales of key products like Zostavax and Zepatier due to competitive pressure may hurt sales.
Keytruda sales are being driven by the launch of new indications globally. Keytruda sales are gaining particularly from strong momentum in the indication of first-line lung cancer as it is the only anti-PD-1 approved in the first-line setting.
In June, Keytruda gained FDA approval for two new indications. These include third-line treatment of adult as well as pediatric patients with primary mediastinal B-cell lymphoma (PMBCL), a type of non-Hodgkin lymphoma and second-line treatment of recurrent or metastatic cervical cancer. These label expansion approvals should drive sales of Keytruda in the future quarters.
Strong demand in most markets is driving sales of Bridion (sugammadex) Injection - a trend we expect to see in the second-quarter results as well.
Rising competitive pressure is hurting sales of relatively newer drugs like Zostavax and Zepatier. Zepatier sales have declined sequentially in the last two quarters on reduction in patient volume due to increasing competition. On the Q1 call, Merck had warned that the negative trend will continue in 2018 as most markets outside the United States will also come under pressure.
Among the older products, while continued pricing pressure is hurting sales of Januvia, lower demand due to competitive pressure is hurting sales of Isentress.
Among the vaccines, Zostavax sales will continue to be hurt by strong competition from Glaxo's GSK newly approved shingles vaccines, Shingrix. Gardasil/Gardasil 9 sales are likely to be driven by a strong performance in outside U.S. markets, which should make up for weaker volumes in the United States due to continued transition to two-dose regimens. It remains to be seen if sales of Gradasil in domestic markets improve in the second quarter. The Zacks Consensus Estimate for total vaccine sales is $1.41 billion.
Animal health franchise sales should remain strong in the second quarter. The Zacks Consensus Estimate for total Animal Health segment sales is $1.08 billion.
While gross margin is likely to be hurt by unfavorable product mix, higher R&D costs will hurt profits.
Earnings Whispers
Our proven model does not conclusively show that Merck will beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here, as you will see below.
Earnings ESP: Its Earnings ESP is -1.13% as the Most Accurate estimate stands at $1.02 while the Zacks Consensus Estimate is pegged higher at $1.04. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Merck's Zacks Rank #3 increases the predictive power of ESP. However, we need to have a positive ESP to be confident about an earnings beat.
We caution against Sell-rated stocks (Zacks Rank #4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are some large biotech/drug stocks worth considering per our model. These have the right combination of elements to beat on earnings this time around:
AbbVie, Inc. ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. The company is scheduled to report second-quarter earnings on Jul 27. You can see the complete list of today's Zacks #1 Rank stocks here .
Pfizer PFE is slated to announce financial figures on Jul 31. The company has an Earnings ESP of +0.89% and is also a Zacks #3 Ranked stock.
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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. | These have the right combination of elements to beat on earnings this time around: AbbVie, Inc. ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Factors to Consider Merck's new products like cancer drugs Keytruda, Lynparza, Gardasil and Bridion Injection should drive the top line this quarter. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. These have the right combination of elements to beat on earnings this time around: AbbVie, Inc. ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. The average positive earnings surprise over the last four quarters is 8.55% Merck & Co., Inc. Price and EPS Surprise Merck & Co., Inc. Price and EPS Surprise | Merck & Co., Inc. Quote Merck's shares have risen 11.4% this year so far against a 1.3% decrease for the industry . | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. These have the right combination of elements to beat on earnings this time around: AbbVie, Inc. ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. The average positive earnings surprise over the last four quarters is 8.55% Merck & Co., Inc. Price and EPS Surprise Merck & Co., Inc. Price and EPS Surprise | Merck & Co., Inc. Quote Merck's shares have risen 11.4% this year so far against a 1.3% decrease for the industry . | These have the right combination of elements to beat on earnings this time around: AbbVie, Inc. ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. However, loss of market exclusivity for several drugs, softness in the diabetes (Januvia/Janumet) franchise, and lower sales of key products like Zostavax and Zepatier due to competitive pressure may hurt sales. |
25408.0 | 2018-07-24 00:00:00 UTC | What to Expect When AbbVie Reports Q2 Earnings | ABBV | https://www.nasdaq.com/articles/what-expect-when-abbvie-reports-q2-earnings-2018-07-24 | nan | nan | AbbVie (NYSE: ABBV) knocked the ball out of the park when it reported its first-quarter earnings results in April. Revenue and earnings came in higher than expected thanks to strong momentum for new HIV drug Mavyret and solid growth for top-selling Humira.
The big drugmaker provides an update on its second-quarter performance on Friday, July 27, 2018. Here's what you can expect from AbbVie's Q2 earnings announcement.
1. Humira slowing down a bit
Don't anticipate real weakness for Humira in the second quarter. Sales for the autoimmune disease drug should still be enormous -- just as they've been for years.
However, international sales growth for Humira is likely to drop in Q2. The primary reason for this is that AbbVie benefited from the timing of shipments in the first quarter that won't be a factor this time around. As a result, Humira sales are likely to slip quarter over quarter.
What about in the U.S., where AbbVie makes close to 64% of its total revenue for Humira? In Q1, Humira's sales were dented a bit by inventory destocking at a major specialty pharmacy. The company thinks there will be some continued destocking in Q2, which could dampen sales for Humira a little. Still, there's no need for any tears: Humira will probably rake in more than $20 billion this year -- the most money ever made in one year by a prescription drug.
2. Spreading the wealth in oncology
Sales for Imbruvica soared 38% year over year in the first quarter. The cancer drug's upward momentum will almost certainly continue, but don't look for growth quite at that level. However, Imbruvica could very well make in the ballpark of $850 million in Q2.
The good news for AbbVie is that another oncology drug could begin to step up. Venclexta first won Food and Drug Administration approval in April 2016 for treating chronic lymphocytic leukemia (CLL) patients with a genetic abnormality called a 17p deletion. However, the market for this indication hasn't been significant enough for the company to even report detailed sales figures for Venclexta so far.
But AbbVie won another key FDA approval for Venclexta early last month as a second-line treatment in combination with Roche 's Rituxan for patients with CLL or small lymphocytic lymphoma (SLL) with or without the 17p deletion. There will only be a few weeks of sales at best in Q2, however, so AbbVie still might not provide a revenue figure for Venclexta. It could be the last quarter to leave the drug out, though: Venclexta could achieve annual sales of $3 billion by 2022 and approaching $700 million next year.
3. Big bucks but moderating growth for Mavyret
Mavyret was the star of the show when AbbVie reported its Q1 earnings results. The hepatitis C virus (HCV) drug is likely to shine once again in the second quarter with sales of around $950 million. However, that estimate represents slowing quarter-over-quarter growth of 3%.
This isn't bad news at all. Mavyret stormed out of the gate after winning regulatory approval. AbbVie captured a huge market share in Japan almost immediately. Its HCV drug now claims a market share of 45% in the important U.S. market.
But AbbVie faces a strong competitor in Gilead Sciences . The big biotech has been predicting that its HCV market share will stabilize in mid-2018 . I expect that Gilead is right, which means that Mavyret's sales will likely stabilize, too.
Ain't afraid of no ghosts
I think that AbbVie's Q2 results will be solid. Wall Street expects that the company will report revenue of $8.2 billion and adjusted earnings per share of $1.97. That sounds about right to me. That doesn't mean that the company's performance will be fully appreciated, though.
In AbbVie's Q2 conference call, CEO Rick Gonzalez talked about short-sellers "seeing ghosts" when they looked at the company's stock. They're still seeing those ghosts: Andrew Left's Citron Research tweeted last week that AbbVie "is the next great short" because of potential U.S. drug pricing changes.
More important, I think that the long-term outlook for the company continues to look good, too. My view is that Humira, Imbruvica, Mavyret, and Venclexta, along with promising pipeline candidates elagolix, risankizumab, and upadacitinib, will ultimately be "ghostbusters" for AbbVie.
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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. | But AbbVie won another key FDA approval for Venclexta early last month as a second-line treatment in combination with Roche 's Rituxan for patients with CLL or small lymphocytic lymphoma (SLL) with or without the 17p deletion. My view is that Humira, Imbruvica, Mavyret, and Venclexta, along with promising pipeline candidates elagolix, risankizumab, and upadacitinib, will ultimately be "ghostbusters" for AbbVie. AbbVie (NYSE: ABBV) knocked the ball out of the park when it reported its first-quarter earnings results in April. | AbbVie (NYSE: ABBV) knocked the ball out of the park when it reported its first-quarter earnings results in April. Here's what you can expect from AbbVie's Q2 earnings announcement. The primary reason for this is that AbbVie benefited from the timing of shipments in the first quarter that won't be a factor this time around. | Big bucks but moderating growth for Mavyret Mavyret was the star of the show when AbbVie reported its Q1 earnings results. My view is that Humira, Imbruvica, Mavyret, and Venclexta, along with promising pipeline candidates elagolix, risankizumab, and upadacitinib, will ultimately be "ghostbusters" for AbbVie. AbbVie (NYSE: ABBV) knocked the ball out of the park when it reported its first-quarter earnings results in April. | Big bucks but moderating growth for Mavyret Mavyret was the star of the show when AbbVie reported its Q1 earnings results. AbbVie (NYSE: ABBV) knocked the ball out of the park when it reported its first-quarter earnings results in April. Here's what you can expect from AbbVie's Q2 earnings announcement. |
25409.0 | 2018-07-24 00:00:00 UTC | What's in Store for Cardinal Health (CAH) in Q4 Earnings? | ABBV | https://www.nasdaq.com/articles/whats-in-store-for-cardinal-health-cah-in-q4-earnings-2018-07-24 | nan | nan | Cardinal Health, Inc 's CAH fourth-quarter fiscal 2018 results are scheduled for release on Aug 6, before the market opens. While results are likely to project impressive growth in the core Pharmaceutical segment, lackluster performance in the Cordis unit is likely to mar prospects.
In the last reported quarter, the company reported adjusted earnings of $1.39 per share, which missed the Zacks Consensus Estimate of $1.51. Adjusted earnings fell 9% year over year. Revenues increased 6% on a year-over-year basis to almost $33.63 billion and edged past the Zacks Consensus Estimate of $33.60 billion. Notably, Cardinal Health has an average earnings surprise of 5.1% in the trailing four quarters.
For the quarter to be reported, the Zacks Consensus Estimate for earnings is pegged at 93 cents per share, reflecting a decline of 29% year over year. The same for revenues is pinned at $34.55 billion, indicating growth of 4.8%.
Let's delve deeper.
Cardinal Health, Inc. Price and Consensus
Cardinal Health, Inc. Price and Consensus | Cardinal Health, Inc. Quote
Pharmaceutical Segment to Drive Results
In the last reported quarter, this segment accounted for 88.5% of the company's revenues. Pharmaceutical revenues increased 5% to $29.72 billion on a year-over-year basis.
The segment is likely to register strong growth in the Specialty business and gain a large number of Pharmaceutical Distribution customers. In fact, the Zacks Consensus Estimate for revenues is pegged at $30.69 billion, showing a rise of 3.8% year over year.
However, the segment witnessed expiration of a large, mail-order customer contract along with the divestiture of the company's China distribution business. This is likely to have an adverse impact on fourth-quarter profits from the segment. Notably, Pharmaceutical witnessed a 3% decline in profits to $596 million, thanks to generic pharmaceutical pricing. We expect the trend to continue in the quarter to be reported as well.
Other Factors at Play
Medical Segment
In the fiscal third quarter, this segment accounted for 11.5% of the company's revenues.
Solid prospects in Cardinal Health at-Home, lab and services units are likely to boost the segment's revenues. In the last reported quarter, revenues in the segment improved 15% to $3.92 billion, primarily on higher contributions from new and existing customers along with the acquisition of the Patient Recovery business. Profits in the Medical segment increased 34% to $199 million in the third quarter, courtesy of higher contributions from new and existing customers as well as acquisition of the Patient Recovery business.
For the quarter to be reported, the Zacks Consensus Estimate for revenues of the segment is pegged at $4.03 billion, up 17.9% year over year.
Medical Gloves Unit in Troubled Waters
Cardinal Health offers a robust portfolio of medical gloves including surgical gloves, exam gloves and clean-room gloves. The company has been lately facing challenges in the exam-glove sub-segment. In the last reported quarter, commodity pricing and supply disruptions were major drags for the section.
For the fourth quarter, lower expectations in the Medical segment due to a troubled exam-gloves segment are concerns.
Cordis Unit Lacks Luster
Cardinal Health took over Johnson and Johnson's Cordis unit for $1.94 billion in 2015 to enhance the top line. However, by the end of the third quarter of fiscal 2018, things have not been going downhill for the company, especially in the Cordis unit.
The unit's performance not only lowered the company's adjusted operating earnings, but created a higher-than-expected adjusted effective tax rate (19 cents per share). Of this, Cordis-related increased tax-rate was 13 cents per share.
Considering this, the company expects a very challenging time ahead in fiscal 2019. Per management, despite prospects in the Patient Recovery in Red Oak and subsequent U.S. tax reform, the company will face significant headwinds from customer repricing, the loss of PharMerica and persistent generic deflation.
Consequently, Cardinal Health is not expected to achieve the 6% margin rate in the second half of fiscal 2018.
What Does Our Model Predict?
Per our proven model, a stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to deliver a positive earnings surprise. This is not the case here as you will see below.
Earnings ESP: Cardinal Health has an Earnings ESP of -0.86%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Cardinal Health carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here .
Please note that we caution against stocks with a Zacks Rank #4 or 5 (Sell rated) going into the earnings announcement, especially when the company is seeing negative estimate revision.
Stocks Worth a Look
Here are a few medical stocks worth considering as they have the right combination of elements to post an earnings beat this quarter.
AbbVie Inc ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3.
Acorda Therapeutics, Inc ACOR has an Earnings ESP of +66.76% and a Zacks Rank of 2.
athenahealth, Inc ATHN has an Earnings ESP of +8.82% and a Zacks Rank of 3.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie Inc ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. Click to get this free report athenahealth, Inc. (ATHN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Cardinal Health, Inc. (CAH): Free Stock Analysis Report To read this article on Zacks.com click here. In the last reported quarter, revenues in the segment improved 15% to $3.92 billion, primarily on higher contributions from new and existing customers along with the acquisition of the Patient Recovery business. | Click to get this free report athenahealth, Inc. (ATHN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Cardinal Health, Inc. (CAH): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. For the quarter to be reported, the Zacks Consensus Estimate for earnings is pegged at 93 cents per share, reflecting a decline of 29% year over year. | Click to get this free report athenahealth, Inc. (ATHN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Cardinal Health, Inc. (CAH): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. Cardinal Health, Inc. Price and Consensus Cardinal Health, Inc. Price and Consensus | Cardinal Health, Inc. Quote Pharmaceutical Segment to Drive Results In the last reported quarter, this segment accounted for 88.5% of the company's revenues. | AbbVie Inc ABBV has an Earnings ESP of +0.15% and a Zacks Rank of 3. Click to get this free report athenahealth, Inc. (ATHN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Cardinal Health, Inc. (CAH): Free Stock Analysis Report To read this article on Zacks.com click here. In the last reported quarter, the company reported adjusted earnings of $1.39 per share, which missed the Zacks Consensus Estimate of $1.51. |
25410.0 | 2018-07-23 00:00:00 UTC | Healthcare ETFs to Buy on Solid Q2 Earnings Expectations | ABBV | https://www.nasdaq.com/articles/healthcare-etfs-buy-solid-q2-earnings-expectations-2018-07-23 | nan | nan | Healthcare has been the second-best performing sector in the three-month time period driven by its non-cyclical nature, which provides a defensive tilt to the portfolio in a turbulent market against a rising M&A and positive regulatory backdrop (read: 5 Safe and Sound ETF Strategies for 2H ).
A popular ETF like Health Care Select Sector SPDR Fund XLV hasgained 6.1%, while Vanguard Health Care ETF VHT , iShares U.S. Healthcare ETF IYH and Fidelity MSCI Health Care Index ETF FHLC are up more than 7% each. The strength is likely to continue heading into the Q2 earnings season as some big names like Pfizer PFE , Merck MRK , Amgen AMGN , AbbVie ABBV , Gilead Sciences GILD and Bristol-Myers Squibb BMY are lined up to report this week and in the next. All these stocks collectively account for 25% share in XLV, 23.3% in IYH, 21.6% in VHT and 21.2% in FHLC.
Let's dig deeper into the earnings picture of these companies that would drive the performance of the above-mentioned funds in the coming days:
According to the our methodology, a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), when combined with a positive Earnings ESP increases our chances of predicting an earnings beat, while a Zacks Rank #4 or 5 (Sell rated) are best avoided. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Inside Our Surprise Prediction for These Stocks
Pfizer has a Zacks Rank #3 and an Earnings ESP of +0.89%, indicating a reasonable chance of beating estimates this quarter. The stock has seen no earnings estimate revision for to-be-reported quarter over the past 30 days and delivered an average positive earnings surprise of 5.23% for the past four quarters. It has a VGM Score of C. Pfizer is scheduled to report earnings on Jul 31, before the opening bell.
Merck is expected to report results on Jul 27 before the market opens. It has a Zacks Rank #3 and an Earnings ESP of -1.13%. The stock delivered a positive earnings surprise in the last four quarters, with an average beat of 8.55% and witnessed positive earnings estimate revision of a penny over the past 30 days for the to-be-reported quarter. Merck has a VGM Score of D.
Amgen carries a Zacks Rank #3 and has an Earnings ESP of +1.46%, indicating a reasonable chance of beating estimates this time around. The earnings surprise track over the past four quarters is strong, with an average positive surprise of 3.54%. Amgen has witnessed no earnings estimate revision over the past 30 days for the quarter to be reported. The stock has a solid VGM Score of A. Amgen will report earnings on Jul 26 after market close (read: What Investors Need to Know about Biotech ETFs ).
AbbVie has a Zacks Rank #3 and an Earnings ESP of +0.15%. The company delivered a positive earnings surprise in the last four quarters, with an average beat of 2.39% and has seen no earnings estimate revision over the past month for the to-be-reported quarter. The stock has a solid VGM Score of A. The company is scheduled to report on Jul 27 before the opening bell.
Gilead is expected to release earnings on Jul 25 after market close. It has a Zacks Rank #2 and an Earnings ESP of +0.15%, indicating a higher chance of beating estimates this quarter. Gilead delivered positive earnings surprises of 4.98% over the last four quarters and has seen positive earnings estimate revision of three cents over the past month for the to-be-reported quarter. It has a VGM Score of D.
Bristol-Myers will likely report earnings on Jul 26 before the opening bell. It has a Zacks Rank #3 and an Earnings ESP of +0.79%. The stock delivered an average positive earnings surprise of 2.71% over the past four quarter, and witnessed no earnings estimate revision for the to-be-reported quarter in a month. It flaunts a top VGM Score of A.
Summing Up
With earnings surprises well in the cards, the healthcare sector is expected to witness earnings growth of 9.1% in the second quarter, suggesting continued outperformance for healthcare ETFs. In particular, all the four ETFs have a Zacks ETF Rank #2 (see: all the Healthcare ETFs here ).
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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. | The strength is likely to continue heading into the Q2 earnings season as some big names like Pfizer PFE , Merck MRK , Amgen AMGN , AbbVie ABBV , Gilead Sciences GILD and Bristol-Myers Squibb BMY are lined up to report this week and in the next. AbbVie has a Zacks Rank #3 and an Earnings ESP of +0.15%. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports VIPERS-HLTH CR (VHT): ETF Research Reports ISHARS-US HLTHC (IYH): ETF Research Reports FID-H CARE (FHLC): ETF Research Reports Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. | The strength is likely to continue heading into the Q2 earnings season as some big names like Pfizer PFE , Merck MRK , Amgen AMGN , AbbVie ABBV , Gilead Sciences GILD and Bristol-Myers Squibb BMY are lined up to report this week and in the next. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports VIPERS-HLTH CR (VHT): ETF Research Reports ISHARS-US HLTHC (IYH): ETF Research Reports FID-H CARE (FHLC): ETF Research Reports Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie has a Zacks Rank #3 and an Earnings ESP of +0.15%. | Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports VIPERS-HLTH CR (VHT): ETF Research Reports ISHARS-US HLTHC (IYH): ETF Research Reports FID-H CARE (FHLC): ETF Research Reports Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. The strength is likely to continue heading into the Q2 earnings season as some big names like Pfizer PFE , Merck MRK , Amgen AMGN , AbbVie ABBV , Gilead Sciences GILD and Bristol-Myers Squibb BMY are lined up to report this week and in the next. AbbVie has a Zacks Rank #3 and an Earnings ESP of +0.15%. | Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports VIPERS-HLTH CR (VHT): ETF Research Reports ISHARS-US HLTHC (IYH): ETF Research Reports FID-H CARE (FHLC): ETF Research Reports Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. The strength is likely to continue heading into the Q2 earnings season as some big names like Pfizer PFE , Merck MRK , Amgen AMGN , AbbVie ABBV , Gilead Sciences GILD and Bristol-Myers Squibb BMY are lined up to report this week and in the next. AbbVie has a Zacks Rank #3 and an Earnings ESP of +0.15%. |
25411.0 | 2018-07-23 00:00:00 UTC | Is a Beat in Store for Bristol-Myers (BMY) in Q2 Earnings? | ABBV | https://www.nasdaq.com/articles/is-a-beat-in-store-for-bristol-myers-bmy-in-q2-earnings-2018-07-23 | nan | nan | We expect Bristol-Myers Squibb CompanyBMY to beat expectations when it reports second-quarter 2018 results on Jul 26, before market open.
Bristol-Myers' shares have decreased 7.4% so far this year compared with the industry 's decline of 1.2%.
The company delivered positive earnings surprise in three of the last four quarters and missed expectations once. The average positive earnings surprise in the last four quarters is 2.71%. In the last reported quarter, Bristol-Myers delivered a positive surprise of 10.59%.
Let's see how things are shaping up for this quarter.
What Will Drive Growth in Q2?
Bristol-Myers' blockbuster immuno-oncology drug, Opdivo is expected to remain one of the primary drivers of sales in the second quarter. The drug has been approved for several line extensions in the past year. In the soon-to-be reported quarter, Opdivo was approved as a monotherapy for the treatment of squamous cell carcinoma of the head and neck in Europe. The drug also received approval in China for the treatment of non-small cell lung cancer ("NSCLC") in second-line setting.
The company announced superior progression-free survival data from a phase III study evaluating Opdivo in first-line NSCLC. Opdivo in combination with Yervoy significantly improved progression free survival in patients compared to chemotherapy. A potential approval in this indication will be a significant boost for the drug, given the immense scope in the lung cancer market. The combination also showed encouraging data in a follow-up study evaluating it in advanced renal cell carcinoma patients. The Zacks Consensus Estimate for the drug's sales in the second quarter is pegged at $1.48 billion.
Meanwhile, Yervoy's line extension in pediatric patients 12 years of age and older with unresectable or metastatic melanoma was approved in Europe in the first quarter of 2018. We expect the approval boost sales in the second quarter. The Zacks Consensus Estimate for the drug's sales this quarter is $273 million.
The line extension of Sprycel in pediatric patients with Ph+ chronic myeloid leukemia in chronic phase late last year did not yield significant impact sales, which decreased 5% last quarter. The uptake in the expanded population remains to be seen in this quarter. The Zacks Consensus Estimate for Sprycel sales stands at $545 million. Cardiovascular drug, Eliquis, continued its strong performance in the first quarter, with sales growing 37% year over year. Sales are expected to remain robust in the second quarter too. The Zacks Consensus Estimate for Eliquis sales is pegged at $1.6 billion.
However, the Hepatitis C and HIV business continues to face competitive pressure. Sales for the franchise are expected to decline. The Zacks Consensus Estimate for Hepatitis C franchise sales is pegged at $9 million for the second quarter, down 93.6% from the year-ago quarter actual figure.
Bristol-Myers may see increase in operating expenses due to cost related to launch of drugs in expanded indications and ongoing clinical studies of Opdivo and other drugs.
Bristol-Myers' top line was driven by strong performance of Opdivo and Eliquis in the first quarter, which is expected to continue for the full year. Moreover, continued strong performance of Orencia will have a favorable impact.
However, genericization of Plavix, Avapro/Avalide and Baraclude in the United States due to loss of exclusivity is significantly hurting the top line. The company also faces stiff competition in the immuno-oncology space. The HIV business continues to face competitive pressure.
Meanwhile, investors remain focused on any update related to regulatory application for approval of Opdivo in the lucrative first-line NSCLC.
The Zacks Consensus Estimate for sales and earnings for the second quarter is pegged at $5.42 billion and 87 cents, respectively.
Why a Likely Positive Surprise?
Our proven model indicates that Bristol-Myers is likely to beat earnings estimates this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen.
Earnings ESP: Its Earnings ESP is +0.79%. The Zacks Consensus Estimate is pegged at 87 cents. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Bristol-Myers has a Zacks Rank #3. The combination of a positive Earnings ESP and a favorable Zacks Rank makes us reasonably confident of an earnings beat.
Conversely, we caution against the Sell-rated stocks (#4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Bristol-Myers Squibb Company Price and EPS Surprise
Bristol-Myers Squibb Company Price and EPS Surprise | Bristol-Myers Squibb Company Quote
Other Stocks to Consider
Here are some biotech stocks that you may also want to consider, as our model shows that these have the right combination of elements to post an earnings beat this quarter.
Pfizer PFE is scheduled to release its results on Jul 31. The company has an Earnings ESP of +0.89% and a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here .
AbbVie ABBV is scheduled to release its results on Jul 27. The company has an Earnings ESP of +0.15% and a Zacks Rank #3.
Horizon Pharma HZNP is scheduled to release its results on Aug 8. The company has an Earnings ESP of +19.66% and a Zacks Rank #3.
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Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report
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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. | AbbVie ABBV is scheduled to release its results on Jul 27. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Horizon Pharma Public Limited Company (HZNP): Free Stock Analysis Report To read this article on Zacks.com click here. The company announced superior progression-free survival data from a phase III study evaluating Opdivo in first-line NSCLC. | Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Horizon Pharma Public Limited Company (HZNP): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV is scheduled to release its results on Jul 27. The line extension of Sprycel in pediatric patients with Ph+ chronic myeloid leukemia in chronic phase late last year did not yield significant impact sales, which decreased 5% last quarter. | Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Horizon Pharma Public Limited Company (HZNP): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV is scheduled to release its results on Jul 27. The Zacks Consensus Estimate for Hepatitis C franchise sales is pegged at $9 million for the second quarter, down 93.6% from the year-ago quarter actual figure. | AbbVie ABBV is scheduled to release its results on Jul 27. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Horizon Pharma Public Limited Company (HZNP): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers' top line was driven by strong performance of Opdivo and Eliquis in the first quarter, which is expected to continue for the full year. |
25412.0 | 2018-07-23 00:00:00 UTC | Better Buy: Gilead Sciences, Inc. vs. Celgene | ABBV | https://www.nasdaq.com/articles/better-buy-gilead-sciences-inc-vs-celgene-2018-07-23 | nan | nan | Gilead Sciences, Inc. (NASDAQ: GILD) and Celgene Corporation (NASDAQ: CELG) have both produced tremendous gains for long-term shareholders. Over a three-year period leading up to mid-2015, both of these stocks quadrupled their investors' money.
The past three years haven't been total disasters, but Gilead's underperformed the benchmark S&P 500 index by 67% and Celgene's fared slightly worse.
Given their performance, you'd think these drugmakers were bleeding money, but they're not. In fact, their operations are generating so much cash for their shareholders right now that we'll need to take a closer look to see which is the better pick right now.
The case for Gilead Sciences
About a year ago, AbbVie Inc. (NYSE: ABBV) earned approval for an effective hepatitis C virus (HCV) treatment to compete with Gilead's and launched it at a price that caught the market leader off guard. In the first quarter, Gilead's HCV sales plummeted 59%, sparking another sell-off of the stock.
With regards to HCV treatment prices, AbbVie and Gilead have been chasing each other to the bottom for a long time. Gilead finished the first quarter on pace to record just $4.2 billion in HCV sales in 2017 from a peak of $19.1 billion in 2015. A recent round of pricing negotiations could allow Gilead to regain its share of the space, but if that fails, a repeat of last year's losses probably wouldn't leave a very large dent in Gilead's income statement now that HCV sales comprise just 21% of total revenue.
GILD Revenue (Quarterly) data by YCharts .
With the hepatitis franchise finally near a bottom, Gilead's top line has a better-than-usual chance to reverse course. Biktarvy, the company's new all-in-one HIV tablet is expected to generate $6 billion in annual sales at its peak.
Biktarvy isn't the only high-profile debut that Gilead investors need to watch. Yescarta launched late last year as the second CAR-T therapy to earn approval and initial uptake has been slow. The one-time treatment is an oncologist's dream come true, but end payers aren't nearly as enthusiastic about its $393,000 price tag.
If Yescarta sales do take off, Gilead stock could see a nice bump because it's just the tip of an iceberg. The company has three more CAR-T therapies in clinical trials at the moment and is investing heavily to develop the next-generation of cell-based cancer treatments.
Outside of the cancer arena, Gilead also has a leading non-alcoholic steatohepatitis ( NASH ) program that boasts three candidates in mid- to late-stage testing. Many don't know it, but NASH threatens the lives of around 30 million Americans and none have an effective treatment option yet.
The case for Celgene Corporation
This big biotech followed Gilead's lead and acquired a CAR-T pioneer called Juno Therapeutics for around $9 billion earlier this year and that isn't the only way the company plans to cash in on CAR-T . A pivotal study with Juno's lead candidate completed enrollment in April and another CAR-T candidate partnered with bluebird bio (NASDAQ: BLUE) scored high marks in mid-stage studies last year. Both are trying to repeat earlier performances in larger pivotal trials at the moment, which means Celgene could have two new cancer drugs to market by the end of 2019.
Celgene's lead drug, Revlimid racked up $8.2 billion in sales last year and it's expected to hit $9.4 billion this year. Unfortunately for Celgene, its popular multiple myeloma therapy will begin facing generic competition in March 2022.
Celgene depends on its flagship multiple myeloma drug for 63% of total revenue, so offsetting the impending losses will be an enormous challenge. Earlier this year, an embarrassing oversight caused the Food and Drug Administration to reject a new drug application for a drug the company is depending on to drive growth in the years ahead. The ensuing crisis of confidence has made this one of the worst healthcare stocks of 2018 .
In the numbers
Investors have been beating up Celgene stock all year because they're concerned the company won't be able to offset Revlimid's impending losses to generic competition several years from now. At recent prices, the stock trades at just 10.0 times this year's earnings expectations, which is far more attractive than the S&P 500 average, which is at 17.6 times estimates.
GILD Dividend data by YCharts .
Gilead is a bit more expensive than Celgene at the moment, but at just 12.5 times expected earnings, the stock still looks like a bargain for investors interested in creating a growing stream of income. Gilead started paying a dividend in 2015, which management has been able to crank up while buying back heaps of its own shares at the same time.
Celgene doesn't offer a dividend, but it has been taking advantage of a depressed stock price and retiring shares hand over fist. In May, the company set aside another $5 billion that could lower its outstanding share count around 8% further in the near term.
A close call
Gilead's chronic hepatitis losses are almost at an end, and unlike Celgene, its next lead growth driver is already on pharmacy shelves. If Biktarvy falls flat, Gilead could have trouble hiking its dividend in the years ahead, but its stock seems far less risky over the long run than Celgene's. Right now, that makes it the better buy.
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Cory Renauer owns shares of Celgene and Gilead Sciences. The Motley Fool owns shares of and recommends Bluebird Bio, Celgene, and Gilead Sciences. 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. | The case for Gilead Sciences About a year ago, AbbVie Inc. (NYSE: ABBV) earned approval for an effective hepatitis C virus (HCV) treatment to compete with Gilead's and launched it at a price that caught the market leader off guard. With regards to HCV treatment prices, AbbVie and Gilead have been chasing each other to the bottom for a long time. Gilead is a bit more expensive than Celgene at the moment, but at just 12.5 times expected earnings, the stock still looks like a bargain for investors interested in creating a growing stream of income. | The case for Gilead Sciences About a year ago, AbbVie Inc. (NYSE: ABBV) earned approval for an effective hepatitis C virus (HCV) treatment to compete with Gilead's and launched it at a price that caught the market leader off guard. With regards to HCV treatment prices, AbbVie and Gilead have been chasing each other to the bottom for a long time. Gilead Sciences, Inc. (NASDAQ: GILD) and Celgene Corporation (NASDAQ: CELG) have both produced tremendous gains for long-term shareholders. | The case for Gilead Sciences About a year ago, AbbVie Inc. (NYSE: ABBV) earned approval for an effective hepatitis C virus (HCV) treatment to compete with Gilead's and launched it at a price that caught the market leader off guard. With regards to HCV treatment prices, AbbVie and Gilead have been chasing each other to the bottom for a long time. A recent round of pricing negotiations could allow Gilead to regain its share of the space, but if that fails, a repeat of last year's losses probably wouldn't leave a very large dent in Gilead's income statement now that HCV sales comprise just 21% of total revenue. | With regards to HCV treatment prices, AbbVie and Gilead have been chasing each other to the bottom for a long time. The case for Gilead Sciences About a year ago, AbbVie Inc. (NYSE: ABBV) earned approval for an effective hepatitis C virus (HCV) treatment to compete with Gilead's and launched it at a price that caught the market leader off guard. Gilead started paying a dividend in 2015, which management has been able to crank up while buying back heaps of its own shares at the same time. |
25413.0 | 2018-07-23 00:00:00 UTC | AbbVie's Stock Is a Bargain After Falling 8% Last Week | ABBV | https://www.nasdaq.com/articles/abbvies-stock-bargain-after-falling-8-last-week-2018-07-23 | nan | nan | Big pharma and blue-chip biotech stocks rarely lose 8% of their value in a single week, but that's exactly what happened to AbbVie (NYSE: ABBV) last week. The drugmaker's stock sank after FDA Commissioner Scott Gottlieb stated that he is working toward making it easier for knock-off biologic drugs called biosimilars to enter the market, which could become a significant threat to AbbVie's top line.
AbbVie's top-selling anti-inflammatory medicine, Humira, tends to make up over 60% of its total revenue on annual basis, and the drug's main ingredient has already lost patent protection in the United States.
To ward off would-be copycats, AbbVie has built a massive patent portfolio covering nearly every aspect of how the drug is manufactured, and more recently, the biotech signed licensing agreements with the likes of Amgen (NASDAQ: AMGN) and Mylan (NASDAQ: MYL) to postpone the U.S. launch dates for their respective biosimilars to Humira until mid-2023.
Gottlieb, however, is apparently threatening to undo all of this work, leading well-known short-seller Citron Research to call AbbVie "the next great drug short" in a tweet last week. Should investors fear the FDA's decision to double down on its commitment to making biosimilars more accessible? Or is this particular risk factor largely overblown? Let's dig deeper to find out the answers to these pivotal questions.
Much ado about nothing
Citron's short thesis implies that biosimilars will erode Humira's earnings potential sooner than expected and to a greater degree than forecast. Both of these positions are untenable in light of the facts.
AbbVie's various licensing agreements should suffice to keep biosimilars in the all-important U.S. market on the sidelines until 2023. And even if this initial approach fails for some unforeseen reason, the biotech's ginormous patent portfolio would almost certainly tie up any would-be competitor in court for a protracted period of time. In fact, that's the main reason Amgen and Mylan agreed to sign these fairly friendly licensing agreements with AbbVie. As such, there's no good reason to think that a Humira biosimilar will launch in the U.S. before 2023.
Regarding the faster-than-expected erosion of Humira's earnings power, this part of Citron's short thesis is arguably a non-starter as well. Wall Street seems to think that Humira's revenues (sales plus royalties) will fall by no more than 20% in a worst-case scenario after 2023, and there's good reason to believe this estimate is spot-on.
Doctors and patients alike have shown a strong brand loyalty to biologic products following the entrance of biosimilars into the market, and insurance companies have yet to force the issue by modifying their reimbursement practices to favor biosimilars over branded biologics. Of course, this situation could change as the biosimilar market continues to evolve, but there's no real-world evidence that this emerging space is set to radically open up overnight.
AbbVie's dip is a gift
The bottom line is that AbbVie's Humira revenue stream isn't about to crater anytime soon, and the drug's sales shouldn't even start to taper in a meaningful way for another six full years. When that event does come to pass, AbbVie has the goods to continue delivering top-notch levels of growth.
As proof, the biotech has already initiated the regulatory process for its next generation of anti-inflammatory drugs, namely risankizumab and upadacitinib. Moroever, AbbVie has also transformed into a top oncology player by virtue of its breakthrough cancer medicine Imbruvica , and its host of high-value cancer product candidates currently in mid- to late-stage development.
The point is that AbbVie's robust clinical pipeline and emerging portfolio of new growth products should be more than capable of picking up the slack to keep the drugmaker's top line moving in the right direction for years to come.
So at approximately 10 times projected earnings, and with one of the fastest-growing dividends in all of healthcare to its credit, AbbVie's stock arguably comes across as a straight-up bargain after last week's hefty decline.
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George Budwell owns shares of AbbVie. The Motley Fool recommends Amgen and Mylan. 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. | The drugmaker's stock sank after FDA Commissioner Scott Gottlieb stated that he is working toward making it easier for knock-off biologic drugs called biosimilars to enter the market, which could become a significant threat to AbbVie's top line. AbbVie's top-selling anti-inflammatory medicine, Humira, tends to make up over 60% of its total revenue on annual basis, and the drug's main ingredient has already lost patent protection in the United States. The point is that AbbVie's robust clinical pipeline and emerging portfolio of new growth products should be more than capable of picking up the slack to keep the drugmaker's top line moving in the right direction for years to come. | To ward off would-be copycats, AbbVie has built a massive patent portfolio covering nearly every aspect of how the drug is manufactured, and more recently, the biotech signed licensing agreements with the likes of Amgen (NASDAQ: AMGN) and Mylan (NASDAQ: MYL) to postpone the U.S. launch dates for their respective biosimilars to Humira until mid-2023. In fact, that's the main reason Amgen and Mylan agreed to sign these fairly friendly licensing agreements with AbbVie. Big pharma and blue-chip biotech stocks rarely lose 8% of their value in a single week, but that's exactly what happened to AbbVie (NYSE: ABBV) last week. | The drugmaker's stock sank after FDA Commissioner Scott Gottlieb stated that he is working toward making it easier for knock-off biologic drugs called biosimilars to enter the market, which could become a significant threat to AbbVie's top line. To ward off would-be copycats, AbbVie has built a massive patent portfolio covering nearly every aspect of how the drug is manufactured, and more recently, the biotech signed licensing agreements with the likes of Amgen (NASDAQ: AMGN) and Mylan (NASDAQ: MYL) to postpone the U.S. launch dates for their respective biosimilars to Humira until mid-2023. AbbVie's dip is a gift The bottom line is that AbbVie's Humira revenue stream isn't about to crater anytime soon, and the drug's sales shouldn't even start to taper in a meaningful way for another six full years. | The drugmaker's stock sank after FDA Commissioner Scott Gottlieb stated that he is working toward making it easier for knock-off biologic drugs called biosimilars to enter the market, which could become a significant threat to AbbVie's top line. In fact, that's the main reason Amgen and Mylan agreed to sign these fairly friendly licensing agreements with AbbVie. * David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and AbbVie wasn't one of them! |
25414.0 | 2018-07-23 00:00:00 UTC | Will Strong HIV Sales Fuel Gilead (GILD) In Q2 Earnings? | ABBV | https://www.nasdaq.com/articles/will-strong-hiv-sales-fuel-gilead-gild-in-q2-earnings-2018-07-23 | nan | nan | Biotech bigwig Gilead Sciences Inc.GILD develops drugs for the treatment of human immunodeficiency virus ("HIV"), liver diseases such as chronic hepatitis C virus ("HCV") infection and chronic hepatitis B virus ("HBV") infection, and cardiovascular, hematology/oncology and inflammation/respiratory diseases.
Gilead is a dominant player in the HIV market with an impressive portfolio for the same. The company was the first to bring to market a single-tablet regimen ("STR") for the treatment of HIV - Atripla. Gilead is looking to transition the HIV market to drugs with improved long-term safety profiles.
STRs for HIV in the market include Complera/Eviplera and Stribild among others. The tenofovir alafenamide (TAF)-based products - Genvoya, Odefsey and Descovy - are performing well with strong adoption in both the United States and Europe. Genvoya has already become the most-prescribed regimen for both treatment-naïve and switch patients, since its launch in November 2015.
Also, Genvoya has been listed as a preferred regimen in several HIV treatment guidelines. The Zacks Consensus Estimate for sales of Genvoya is $1.1 billion.
In addition, Truvada, for use in pre-exposure prophylaxis setting, continued to maintain momentum with an estimated 167,000 patients using the drug, by the end of the first quarter. The Zacks Consensus Estimate for sales of Truvada is $680 million.
The company received a major boost when the FDA approved the company's once-daily single tablet regimen ("STR"), Biktarvy (bictegravir 50mg/emtricitabine 200mg/tenofovir alafenamide 25mg, BIC/FTC/TAF) for HIV-1 infection. The recent approval of Biktarvy in Europe will further strengthen the company's HIV franchise. The approval of this new HIV therapy will also pose stiff competition to GlaxoSmith's GSK existing therapies, Tivicay and Triumeq.
Gilead's stock has returned 9.8% in the year so far compared with the industry's loss of 2.0%.
However, the HCV franchise continues to be under competitive and pricing pressure, leading to a massive decline in Harvoni and Sovaldi sales. Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR and Merck's MRK Zepatier, among others. The franchise suffered a significant plunge in sales due to new competition and fewer patient starts.
While pricing has largely stabilized, market share will stabilize by mid-2018 and patient starts are expected to decline further. HCV revenues are projected to decline further and will constitute a smaller portion of the top line, going forward.
Consequently, Gilead is now banking on its HIV franchise and newer avenues like the CAR-T therapy to drive growth.
Gilead has a decent track record, with the company's earnings beating estimates in three of the last four. However, in the last reported quarter, the company missed expectations by 10.8%. Overall, the company recorded an average positive earnings surprise of 4.9%.
We expect the strength in the HIV franchise to offset the HCV franchise weakness, making it highly likely for the company to beat on earnings in the second quarter. (Read more: Will HIV Sales Drive Gilead to Beat in Q2 Earnings? )
Zacks Rank
Gilead currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here .
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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. | Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR and Merck's MRK Zepatier, among others. Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. The tenofovir alafenamide (TAF)-based products - Genvoya, Odefsey and Descovy - are performing well with strong adoption in both the United States and Europe. | Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR and Merck's MRK Zepatier, among others. Biotech bigwig Gilead Sciences Inc.GILD develops drugs for the treatment of human immunodeficiency virus ("HIV"), liver diseases such as chronic hepatitis C virus ("HCV") infection and chronic hepatitis B virus ("HBV") infection, and cardiovascular, hematology/oncology and inflammation/respiratory diseases. | Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR and Merck's MRK Zepatier, among others. Biotech bigwig Gilead Sciences Inc.GILD develops drugs for the treatment of human immunodeficiency virus ("HIV"), liver diseases such as chronic hepatitis C virus ("HCV") infection and chronic hepatitis B virus ("HBV") infection, and cardiovascular, hematology/oncology and inflammation/respiratory diseases. | Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR and Merck's MRK Zepatier, among others. Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. The Zacks Consensus Estimate for sales of Genvoya is $1.1 billion. |
25415.0 | 2018-07-23 00:00:00 UTC | What’s Next for Pfizer Stock After Being Called Out by President Trump | ABBV | https://www.nasdaq.com/articles/whats-next-pfizer-stock-after-being-called-out-president-trump-2018-07-23 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Even though President Trump set his sights on Pfizer (NYSE: PFE ) after the company announced it would hike drug prices, PFE stock continued to trade on the higher end of its trading range. At a share price of just 5% percent below yearly highs, should investors consider adding to or starting a position in this drug manufacturer?
President Trump tweeted his criticism on Pfizer's price hike on Jul. 9, writing:
"Pfizer & others should be ashamed that they have raised drug prices for no reason. They are merely taking advantage of the poor & others unable to defend themselves, while at the same time giving bargain basement prices to other countries in Europe & elsewhere. We will respond!"
Drug companies are having a tough time pushing through drug price hikes. At the height of the U.S. presidential election, politicians took aim at pharmaceuticals, criticizing their pricing model. Competition will heat up in the years ahead as the FDA relaxes its review cycle and encourages generic suppliers to develop cheaper alternatives.
To offset the profit margin deterioration, Pfizer and others may think raising prices will quickly fix the problem. Take Viagra as an example . One pill costs around $70 in a 100mg dosage, so 10 pills cost $700. On Jan. 1, 2017, the pill had cost around $55. This makes the nearly 30% increase far exceed the rate of inflation.
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Pfizer may rely on rebates to secure reimbursement deals it has with health insurers. So, the company will not necessarily benefit from raising profits through a hike in retail prices.
Upcoming Headwinds
Pfizer has a number of drugs falling under an LOE, or loss of exclusivity. Sterile injectables, Lyrica and Enbrel will all face LOE, lowering Pfizer's revenue by billions.
In 2017, Lyrica, which treats such diseases as epilepsy and neuropathic pain, amounted to 10% of the company's 2017 sales. Sales of Enbrel, which treats psoriasis and arthritis, continue to decline. In 2015, sales totaled $3.33 billion, but by 2017, sales dropped to $2.45 billion.
Growth Catalysts
A drug company typically offsets lower sales due to LOE by discovering new drugs and bringing them to market.
For example, Regeneron (NASDAQ: REGN ) is working on other indications for its Dupixent drug. AbbVie (NYSE: ABBV ) has a broad array of products in the pipeline. This includes a once-a-day oral drug that treats atopic dermatitis, a market that is worth billions in annual revenue.
Celgene (NASDAQ: CELG ) took a different approach as it acquired Juno Therapeutics for $9 billion.
Unfortunately for shareholders, Pfizer's growth will come from acquisitions. This could hurt investors in much the same way Celgene's Juno buyout caused its stock to fall.
The big buyouts cost billions if it is a blockbuster deal. The acquirer takes on lots of debt, and with the deal, all the risk. If Pfizer's future acquisitions work out, they will contribute meaningfully to profits and act as a catalyst for growth. But if the acquired company fails to produce a blockbuster drug, or worse, the clinical study flunks, then Pfizer would have to write off the loss.
Valuation for PFE Stock
Analysts are somewhat bullish on Pfizer. The current 12-month price target on PFE stock is $40.75, implying the stock has upside of around 10%. More recently, BMO Capital's Alex Arfaei called Pfizer stock a "Buy" with a $42 target. The analyst is successful 73 percent of the time and has an average return of 7.6 percent over a two-year period.
Trump Tweets Threat to Pfizer but Investors Shrug it Off
Both the DCF Growth Exit and EBITDA Exit models suggest Pfizer could have a fair value in the $50 range . To earn that almost-35% upside, Pfizer cannot miss a single year in growing revenue in the single digits for the next 10 years. EBITDA margin must also stay over 40%.
Takeaway on PFE Stock
Pfizer could sustain its historical earnings growth if it invests carefully and manages to raise prices in some of its drug products. Yet with the government watching out for biotech stocks hiking prices too much, Pfizer does not have lots of room to lift profits through price hikes.
Disclosure: The author does not own shares in any of the companies mentioned
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The post What's Next for Pfizer Stock After Being Called Out by President Trump appeared first on InvestorPlace .
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. | AbbVie (NYSE: ABBV ) has a broad array of products in the pipeline. Competition will heat up in the years ahead as the FDA relaxes its review cycle and encourages generic suppliers to develop cheaper alternatives. But if the acquired company fails to produce a blockbuster drug, or worse, the clinical study flunks, then Pfizer would have to write off the loss. | AbbVie (NYSE: ABBV ) has a broad array of products in the pipeline. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Even though President Trump set his sights on Pfizer (NYSE: PFE ) after the company announced it would hike drug prices, PFE stock continued to trade on the higher end of its trading range. President Trump tweeted his criticism on Pfizer's price hike on Jul. | AbbVie (NYSE: ABBV ) has a broad array of products in the pipeline. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Even though President Trump set his sights on Pfizer (NYSE: PFE ) after the company announced it would hike drug prices, PFE stock continued to trade on the higher end of its trading range. Yet with the government watching out for biotech stocks hiking prices too much, Pfizer does not have lots of room to lift profits through price hikes. | AbbVie (NYSE: ABBV ) has a broad array of products in the pipeline. President Trump tweeted his criticism on Pfizer's price hike on Jul. The big buyouts cost billions if it is a blockbuster deal. |
25416.0 | 2018-07-20 00:00:00 UTC | AbbVie Becomes Oversold (ABBV) | ABBV | https://www.nasdaq.com/articles/abbvie-becomes-oversold-abbv-2018-07-20 | nan | nan | Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.
In trading on Friday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $86.76 per share. By comparison, the current RSI reading of the S&P 500 ETF ( SPY ) is 63.3. A bullish investor could look at ABBV's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of ABBV shares:
Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $86.96.
Find out what 9 other oversold stocks you need to know about »
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. | In trading on Friday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $86.76 per share. A bullish investor could look at ABBV's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $86.96. | The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $86.96. In trading on Friday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $86.76 per share. A bullish investor could look at ABBV's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. | In trading on Friday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $86.76 per share. The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $86.96. A bullish investor could look at ABBV's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. | In trading on Friday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $86.76 per share. A bullish investor could look at ABBV's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $86.96. |
25417.0 | 2018-07-20 00:00:00 UTC | 10 Cancer-Fighting Health Care Stocks to Buy | ABBV | https://www.nasdaq.com/articles/10-cancer-fighting-health-care-stocks-buy-2018-07-20 | nan | nan | Cancer. The mere mention of the word can drudge up discomfort, as most everyone knows it's second only to heart disease when it comes to claiming lives. Unlike heart disease, though, cancer is difficult to prevent and similarly difficult to fight.
The battle against the myriad forms of cancer, however, also is an opportunity for investors - namely, in health care stocks.
Sales of drugs used to fight the disease are expected to exceed $160 billion by 2021. But because there are so many different types of cancer, that revenue has been and will continue to be widely distributed among the pharmaceutical makers of superior cancer-fighting solutions.
Here's a rundown of the market's top cancer-fighting health care stocks. They come in all shapes and sizes. Some are tightly focused - perhaps only making one drug - while some are arguably overly diversified. In all cases, however, a cancer treatment has the potential to be a game-changer - not just for investors, but for cancer patients as well.
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The past 12 months have been nothing less than miserable for Incyte ( INCY , $70.11) shareholders. Shares have fallen roughly 50% from their July 2017 peak, and the stock's suffered a couple of downgrades just recently. RBC Capital Markets analyst Brian Abrahams downgraded Incyte in June, for instance, lamenting the lack of near-term revenue clarity.
Don't let the stock's poor performance or downgrades mislead you. Incyte has a powerful cancer-fighting drug called Jakafi in its portfolio, and it's growing quite nicely, even if not growing at breakneck speed.
Jakafi, in simplest terms, regulates the production of red blood cells in bone marrow. It's a treatment for polycythemia vera, which is the production of too many red blood cells. Yet it's also a treatment for myelofibrosis, which is a form of cancer that prevents enough red blood cells from being made. They're both relatively uncommon forms of cancer, but that has worked to Incyte's advantage because competition is minimal.
The numbers speak for themselves. Last quarter, Jakafi's net revenue of $313.7 million was 25% better than the year-ago figure. And the company has only scratched the surface with this drug; Jakafi still is in three more unfinished trials.
Bolstering the bullish argument is a pipeline that will not only deepen its oncology bench, but widen its reach to rheumatology, immunology and dermatology markets. All told, Incyte has 17 molecular targets in the hopper, and this year's expected swing to a profit on the back of Jakafi's sales means the company can afford to keep that pipeline moving.
SEE ALSO: 10 Underappreciated Biotech Stocks to Buy
Pharmaceutical giant AbbVie ( ABBV , $89.95) recently was forced to dish out some disappointing news. Its oncology drug Imbruvica, when combined with ibrutinib as a therapy for large B-cell lymphoma (DLBCL), didn't perform well enough to continue its trials.
Don't read the headline in a vacuum. Imbruvica still is approved in the United States as a treatment for five other forms of blood cancer and has earned the FDA's green light for a total of eight specific ailments. Marc Lichtenfeld, Chief Income Strategist for the Oxford Club, points out that "AbbVie's Imbruvica is being studied in more than 130 clinical trials," which includes some testing as a treatment for solid tumors.
Point being, AbbVie's future hardly hinged on that one trial.
Imbruvica sales still were up 38.5% year-over-year last quarter, reaching $762 million. Annualized, that's still not close to the peak yearly sales of $7 billion that AbbVie expects the drug to eventually reach once more trials start to pan out.
"All that plus a robust pipeline and a 4% dividend yield make AbbVie not only my top cancer stock but my top pick in the healthcare sector," Lichtenfeld says.
SEE ALSO: 10 Workhorse Health Care Stocks That Never Break a Sweat
Seattle Genetics ( SGEN , $70.52) may be a one-trick pony among cancer stocks, but the cancer-treating platform Adcetris is a pretty solid trick.
Adcetris is an antibody-drug conjugate, meaning it attaches to another chemotherapy and then helps guide that drug to specific kinds of cancer cells. In this case, Seattle Genetics is targeting CD30, which is a protein found only on the cell membrane of cancerous cells, and then introducing anti-cancer agent monomethyl auristatin to those diseased cells. The drug has been approved as a means of treating Hodgkin lymphoma as well as several types of non-Hodgkin lymphoma.
The one-two-punch combination works well enough to drive a 36% increase in sales of the drug during the first quarter of 2018.
Seattle Genetics is hardly resting on Adcetris' laurels. Not only is the company working on new uses of Adcetris, but it's also developing other drugs including enfortumab vedotin, tisotumab vedotin, tucatinib and ladiratuzumab vedotin. Don't let the tongue-tying names intimidate you. They're all like Adcetris in that they "find" proteins unique to cancerous cells and deliver a cancer-fighting payload to them. The potential of this drug-delivery approach is virtually unlimited.
SEE ALSO: 11 Best Health Care Stocks to Buy
Pharmaceutical outfit Celgene ( CELG , $85.34) does a little of everything, from psoriasis to multiple sclerosis to beta thalassemia, a disorder that prevents a body from producing enough hemoglobin.
Its heavy hitter, however, is cancer, on the back of Revlimid.
Revlimid is a therapy for myelodysplastic syndrome, multiple myeloma, and mantle cell lymphoma, and it takes a multi-pronged approach at combatting each. Not only does it tweak the immune system and reduce the blood flow to cancerous cells, it helps reprogram myeloma cells to die on their own. The company sold $2.2 billion worth of the drug in the first quarter alone, as Revlimid has proven a potent option. It's by far Celgene's biggest seller.
Those who know the Celgene story well will know Revlimid's patent protection is nearing an end (by drug standards, anyway). The end begins in 2022, and the end of the end - assuming it can't extend its patent protection - arrives in 2027. Argus analyst David Toung explained of his downgrade in May, "While (Celgene's) pipeline assets are promising, their combined potential revenue is not enough to completely replace Revlimid, in our view."
That's still plenty of time for Celgene to develop or acquire something else, as most good biopharma names are always doing. Indeed, the company bought Juno Therapeutics earlier this year to bolster its oncology portfolio. Meanwhile, drug development partnerships with outfits like Acceleron ( XLRN ) and Bluebird Bio ( BLUE ) look quite promising as potential profit centers.
SEE ALSO: 5 "Strong Buy" Biotech Stocks to Buy Now
If you think its partnership with Celgene is the only reason Bluebird Bio ( BLUE , $178.95) is one of the noteworthy healthcare stocks with a strong cancer bent, think again. While partnerships are a key part of its business strategy and it's looking well beyond oncology drugs, its immuno-oncology program is the one turning heads.
Bluebird Bio is building a cancer pipeline largely on the potential of CAR-T, or chimeric antigen receptor T-cells. This essentially is a means of tweaking a patient's own immune system in a way that makes it more capable of fighting cancer for itself. In short, T-cells are genetically altered to find a protein that's unique to cancer cells.
Its lead CAR-T drug, bb2121, is being co-developed with Celgene as a treatment for relapsed/refractory multiple myeloma. Although it's only in phase 1 trials right now, it holds great promise. Last month, an update on that trial indicated patients involved in the test were able to stave off progression of the disease for a median timeframe of 11.8 months.
That's only the beginning. The approach could be used to address all sort of cancers and is ready to be tapped by new partners. The company's other pipeline items could help keep it afloat, or attract a suitor. Evercore ISI analyst Josh Schimmer recently lauded the company's commercialization potential of not just bb2121, but also Bluebird's investigational sickle cell disease drug LentiGlobin.
SEE ALSO: 10 Blockbuster Drugs of the Future
Merck & Co. ( MRK , $62.51) may be one of the world's most, if not the most, prolific healthcare stocks. It has been around forever and does a little bit of everything.
That diversity can be a two-edged sword. It takes the rough edges off the inherently volatile results of pharmaceutical sales, but it dampens the positive impact of a true blockbuster drug.
It's a double-edged sword, but one that doesn't appear to be cutting Merck this time around. Its Keytruda has proven revolutionary ... despite almost being dumped back in 2009 as a prospect not even worth developing. By a subtle stroke of luck, the drug's cultivation got just enough funding. The rest, as they say, is history. Keytruda is the company's best-selling drug, driving nearly $1.5 billion worth of revenue during the first quarter. That was 142% better than the year-earlier tally, with that sales explosion reflecting incredible efficacy and a string of new approved uses.
Citi analyst Andrew Baum raised the bar on Keytruda last year, writing, "Merck's success with Keytruda has clearly outperformed our initial expectations which were based on Merck's historic absence as a major oncology player." That optimism was underscored by Baum's much-improved peak annual sales outlook for the oncology drug, from $9 billion to $16 billion.
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With a name like Clovis Oncology ( CLVS , $47.04), it's difficult to argue it's worthy of a spot on a list of cancer stocks. But the merits of Clovis' portfolio - regardless of the company's moniker - would have earned a spot on the list anyway.
Like Seattle Genetics, Clovis is currently a one-trick pony ... but what a pony! Its rucaparib is a polymerase (PARP) 1, 2 and 3 and inhibitor in trials as a narrowly focused treatment for ovarian cancer as well as prostate cancer. Both arenas are competitive, but neither disease has a proverbial show-stopper that oncologists regard as a one-stop solution. The drug also is in trials as a treatment for breast, gastroesophageal, pancreatic, lung and bladder cancers.
In the meantime, the drug is driving some revenue. Rucaparib generated $18.5 million in sales during the first quarter as a third-line therapy for BRCA-mutant ovarian cancer, up from a top line of $7 million in the comparable quarter a year earlier.
That particular usage of the drug points to a nuanced but important detail about Clovis Oncology: It's not trying to save the world from all types of cancer. It's taking a low-risk, low-cost approach to developing drugs that address relatively narrow categories of cancer, where it can dominate a niche market.
By picking battles it knows it has good odds of winning, Clovis is serving investors better in the long run.
SEE ALSO: The 15 All-Time Best-Selling Prescription Drugs
Most investors likely haven't heard of Tesaro ( TSRO , $40.23), and most investors probably haven't heard of Zejula. Both are worthy of a closer look.
The latter is a cancer drug made by the latter. And the $49 million in first-quarter sales is a great start for the newly approved ovarian cancer therapy. Zejula was only given the FDA's green light early last year.
The presence of PARP in healthy cells can be a good thing, as it causes broken or damaged DNA to repair itself. PARP, however, also can cause cancerous cells to repair their DNA, allowing the disease to continue spreading. Zejula is an inhibitor of certain kinds of PARP, aiming at cancerous cells' DNA. If that errant DNA can't be repaired, that cell is programmed to die on its own, thus ridding the body of the diseased cell (and preventing it from replicating).
Tesaro has been and will continue to lose money for the foreseeable future. But this year's expected sales growth of more than 35% followed by next year's projected top-line growth of more than 50% may be more than enough to draw a bullish crowd.
The company continues to develop a promising pipeline. Niraparib, for instance, is in several anti-cancer trials. Tesaro believes niraparib's annual revenue could reach $5 billion, once all of its potential applications are confirmed and approved.
SEE ALSO: The 18 Best Stocks to Buy for 2018
Empliciti, Yervoy and Sprycel are all cancer drugs made by Bristol-Myers Squibb ( BMY , $56.54). Its leading oncology treatment and best-selling drug, however, is a much more familiar name: Opdivo. Its $1.5 billion in first-quarter revenues was up 34% from Q1 2017's tally and accounted for nearly 29% of overall sales.
Both numbers (Opdivo's total sales and its importance to Bristol-Myers) still are growing.
Opdivo is another immunology drug. It works by inducing a patient's own cancer-fighting T cells to recognize and then attack diseased cells by inhibiting the activity of a protein called PD-1. The presence of this particular protein can "trick" the immune system into thinking a cancerous cell is a normal, healthy cell that can be ignored, so by suppressing PD-1's function a patient's immune system can effectively fight the disease on its own.
So far the drug is approved to treat several forms of melanoma, lung cancer and carcinoma, as well as certain Hodgkin lymphoma cases, but new indications are being approved on a regular basis.
It's also long-lasting. In March, for instance, Opdivo was given the FDA's green light as the only PD-1 inhibitor that can be administered as infrequently as once every four weeks, underscoring its efficacy.
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Last but not least among the top healthcare stocks that would make for good cancer plays, AstraZeneca ( AZN , $37.03) hasn't historically been a name that comes to mind.
But this isn't your father's AstraZeneca.
The cancer road taken by relatively new CEO Pascal Soriot hasn't been easy. Last July, AZN shares plunged after a ballyhooed lung cancer trial didn't drive the hoped-for results, calling into question the company's new and sweeping oncology ambitions. But cancer research is a hit-or-miss business, and it only takes one or two hits to turn a normal biopharma company into an oncology powerhouse.
Tagrisso, a recently approved first-line lung cancer treatment, may well be that kind of drug for AstraZeneca. The company had been suggesting potential annual sales on the order of $3 billion, but some analysts see much more in store. UBS analyst Jack Scannell recently wrote, "It has relatively low incremental selling costs given Astra's other lung cancer products, use in a very well defined patient population, and low competitive intensity plus good efficacy and tolerability among eligible patients," leading Scannell to estimate peak annual sales of $5.8 billion.
AstraZeneca's pipeline isn't too shabby either. Lynparza - co-developed with Merck and approved for some second-line cases of ovarian cancer, also shows strong results as a first-option therapy. Meanwhile, its moxetumomab pasudotox is showing promise as a first-line treatment for certain leukaemias (HCL) in its phase 3 trial.
It's not always been pretty, but AstraZeneca us undeniably back in the oncology game, and ranks among the market's most compelling cancer stocks.
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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. | Marc Lichtenfeld, Chief Income Strategist for the Oxford Club, points out that "AbbVie's Imbruvica is being studied in more than 130 clinical trials," which includes some testing as a treatment for solid tumors. SEE ALSO: 10 Underappreciated Biotech Stocks to Buy Pharmaceutical giant AbbVie ( ABBV , $89.95) recently was forced to dish out some disappointing news. Point being, AbbVie's future hardly hinged on that one trial. | SEE ALSO: 10 Underappreciated Biotech Stocks to Buy Pharmaceutical giant AbbVie ( ABBV , $89.95) recently was forced to dish out some disappointing news. Marc Lichtenfeld, Chief Income Strategist for the Oxford Club, points out that "AbbVie's Imbruvica is being studied in more than 130 clinical trials," which includes some testing as a treatment for solid tumors. Point being, AbbVie's future hardly hinged on that one trial. | SEE ALSO: 10 Underappreciated Biotech Stocks to Buy Pharmaceutical giant AbbVie ( ABBV , $89.95) recently was forced to dish out some disappointing news. Marc Lichtenfeld, Chief Income Strategist for the Oxford Club, points out that "AbbVie's Imbruvica is being studied in more than 130 clinical trials," which includes some testing as a treatment for solid tumors. Point being, AbbVie's future hardly hinged on that one trial. | SEE ALSO: 10 Underappreciated Biotech Stocks to Buy Pharmaceutical giant AbbVie ( ABBV , $89.95) recently was forced to dish out some disappointing news. Marc Lichtenfeld, Chief Income Strategist for the Oxford Club, points out that "AbbVie's Imbruvica is being studied in more than 130 clinical trials," which includes some testing as a treatment for solid tumors. Point being, AbbVie's future hardly hinged on that one trial. |
25418.0 | 2018-07-20 00:00:00 UTC | Will HIV Sales Drive Gilead (GILD) to Beat in Q2 Earnings? | ABBV | https://www.nasdaq.com/articles/will-hiv-sales-drive-gilead-gild-to-beat-in-q2-earnings-2018-07-20 | nan | nan | Biotech bigwig Gilead Sciences Inc.GILD is likely to beat expectations when it reports results for the second quarter on Jul 25, after the market closes .
Gilead has a decent track record, with the company's earnings beating estimates in three of the last four quaters. In the last reported quarter, the company's earnings missed expectations by 10.8%. Overall, the company delivered an average positive earnings surprise of 4.98%.
Gilead's stock has rallied 9.2% in the year so far, outperforming the industry's decline of 1.8%.
Why A Likely Positive Surprise?
Our proven model indicates that Gilead is likely to beat earnings this quarter. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to be able to beat estimates, which is what the case is here, as you will see below.
Zacks ESP : Earnings ESP for Gilead is +0.79%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank : Gilead currently carries a Zacks Rank #2 which when combined with a positive ESP makes us reasonably confident of an earnings beat this quarter.
Conversely, we caution against Sell-rated stocks (Zacks Rank #4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Gilead Sciences, Inc. Price and EPS Surprise
Gilead Sciences, Inc. Price and EPS Surprise | Gilead Sciences, Inc. Quote
Factors at Play
While the first-quarter results were disappointing, Gilead reiterated its annual guidance with the results. The company continues to expect net product sales in the range of $20-$21 billion. Adjusted R&D expenses and adjusted SG&A expenses are projected in the range of $3.4-$3.6 billion and $3.4-$3.6 billion, respectively. Adjusted product gross margin is expected in the range of 85-87%.
Strong HIV performance and other antiviral product sales are being driven by continued uptake of tenofovir alafenamide ("TAF") based products - Genvoya, Descovy and Odefsey. We expect the trend to continue in the second quarter as well. Genvoya has already become the most-prescribed regimen for both treatment-naïve and switch patients since its launch in November 2015.
Also, Genvoya has been listed as a preferred regimen in several HIV treatment guidelines. In addition, Truvada, for use in pre-exposure prophylaxis setting, continued to maintain momentum with an estimated 167,000 patients using the drug by the end of the first quarter. HIV is one of the primary areas of focus for Gilead and the company is working to bring new HIV treatments to market to further boost sales of the franchise.
The company received a major boost when the FDA approved the company's once-daily single tablet regimen ("STR"), Biktarvy (bictegravir 50mg/emtricitabine 200mg/tenofovir alafenamide 25mg, BIC/FTC/TAF) for HIV-1 infection. The recent approval of Biktarvy in Europe will further strengthen the company's HIV franchise.
The Zacks Consensus Estimate for sales of Genvoya is $1.1 billion.
On the other hand, the HCV franchise continues to be under competitive and pricing pressure, leading to a massive decline in Harvoni and Sovaldi sales. Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. The franchise suffered a significant plunge in sales due to new competition and fewer patient starts.
While pricing has largely stabilized, market share will stabilize by mid-2018 and patient starts are expected to decline further. HCV revenues are projected to decline further and will constitute a smaller portion of the top line, going forward. The Zacks Consensus Estimate for sales of lead HCV drugs Sovaldi and Harvoni are $34 million and $285 million, respectively.
Given the persistent decline in HCV sales, the company is looking to newer avenues to help its top line. The Kite acquisition was a step in the right direction with the FDA approval of its chimeric antigen receptor T-cell (CAR-T) therapy, Yescarta (axicabtagene ciloleucel), for the treatment of refractory aggressive non-Hodgkin lymphoma, which includes DLBCL, transformed follicular lymphoma and primary mediastinal B-cell lymphoma.
The initial uptake of Yescarta is also encouraging in the United States. The Committee for Medicinal Products for Human Use (CHMP) has issued a positive opinion on the company's Marketing Authorization Application (MAA) for the therapy in Europe.
Gilead is also intending to foray into the NASH market with pipeline candidates, selonsertib and filgotinib. Both the candidates are being evaluated in late stage studies and a tentative approval will diversify Gilead's portfolio. We expect the management to throw more light on the same during the second-quarter's call. Investors are also likely to keep an eye on other pipeline updates.
Other Stocks to Consider
Here are some other health care stocks that you may want to consider, as our model shows that they too have the right combination of elements to post an earnings beat this quarter.
Intercept Pharmaceuticals ICPT is expected to report second-quarter results on Jul 30. The company has an Earnings ESP of +4.25% and a Zacks Rank #2. You can see the complete list of today's Zacks #1 Rank stocks here .
Acorda Therapeutics, Inc. ACOR is scheduled to release second-quarter results on Aug 2. The company has an Earnings ESP of +66.7% and a Zacks Rank #2.
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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. | Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Intercept Pharmaceuticals, Inc. (ICPT): Free Stock Analysis Report To read this article on Zacks.com click here. In addition, Truvada, for use in pre-exposure prophylaxis setting, continued to maintain momentum with an estimated 167,000 patients using the drug by the end of the first quarter. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Intercept Pharmaceuticals, Inc. (ICPT): Free Stock Analysis Report To read this article on Zacks.com click here. Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. Gilead Sciences, Inc. Price and EPS Surprise Gilead Sciences, Inc. Price and EPS Surprise | Gilead Sciences, Inc. Quote Factors at Play While the first-quarter results were disappointing, Gilead reiterated its annual guidance with the results. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Intercept Pharmaceuticals, Inc. (ICPT): Free Stock Analysis Report To read this article on Zacks.com click here. Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. Zacks Rank : Gilead currently carries a Zacks Rank #2 which when combined with a positive ESP makes us reasonably confident of an earnings beat this quarter. | Harvoni and Sovaldi have been facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Acorda Therapeutics, Inc. (ACOR): Free Stock Analysis Report Intercept Pharmaceuticals, Inc. (ICPT): Free Stock Analysis Report To read this article on Zacks.com click here. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to be able to beat estimates, which is what the case is here, as you will see below. |
25419.0 | 2018-07-19 00:00:00 UTC | 3 Big Stock Charts for Thursday: McDonald’s, AbbVie and Coca-Cola | ABBV | https://www.nasdaq.com/articles/3-big-stock-charts-for-thursday%3A-mcdonalds-abbvie-and-coca-cola-2018-07-19 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
It was touch and go for the market for the better part of Wednesday, though by the time the closing bell rang, stocks managed to (mostly) ended the day with a gain. The Nasdaq finished yesterday's action a hair in the red, while the S&P 500 edged 0.22% higher.
There were no real standouts amongst the lethargic action. American Express Company (NYSE: AXP ) was arguably the day's biggest story, with shares up 1.8% headed into its post-close earnings report, though fell 2.7% after hours when revenue fell short of estimates . International Business Machines (NYSE: IBM ) took a different path. Though it ticked a little higher during normal trading hours, it jumped more than 3% in after-hours action in response to its earnings and revenue beat for the recently-completed quarter.
The opposing moves are a clear reminder that in this current market environment, traders must be willing to trade in both directions.
To that end, Coca-Cola (NYSE: KO ), AbbVie (NYSE: ABBV ) and McDonald's (NYSE: MCD ) are lining up as Thursday's top prospects. Between the three newcomers would have exposure to both sides of the market. Here's what to watch with each.
Coca-Cola (KO)
Though Coca-Cola has struggled to adapt to an increasingly-health-conscious consumer, the fact of the matter is, it remains one of the market's most reliable names, dishing out steady (even if uneven) forward progress for the past several years. The trick has been finding the optimal entry point into that long-term uptrend.
7 Top S&P 500 Stocks to Consider for Long-Term Gains
That window of opportunity may well be open right now.
Click to Enlarge • The long-term uptrend is framed by rising support and resistance lines on the monthly chart. We just pushed up and off of the lower edge of the channel, and have plenty of room to keep rising until the upper boundary is met. It's near $49.30, but rising quickly.
• The February-May pullback was daunting, but not only has the stock rebounded since then, it's cleared some major hurdles that confirm it's in an uptrend. Namely, after testing it a few times as resistance last month, KO shares cleared the 200-day moving average line (green), and in the meantime have pushed forward to multi-week highs.
• Just this week we've seen the 20-day line moving above the 200-day moving average line and the 50-day moving average line has crossed above the 100-day line, confirming the undertow is turned bullish in multiple timeframes again.
AbbVie (ABBV)
With just a quick glance AbbVie shares just look like they're bouncing around, without much direction.
Take a closer look at the chart though … the daily chart in particular. There's some method to the bearish madness though, which is a concern - the bears are thinking this through, taking turns for the worst when and where the stock's the most vulnerable.
Click to Enlarge • AbbVie's best shot at a rebound was a couple of weeks ago, when the 50-day and 200-day moving average lines were approached from underneath. All it took was a kiss of those two key moving averages to put the stock back into a downtrend.
• Although "just barely," there has been more bearish volume than bullish volume, as evidenced by the persistently falling accumulation-distribution line.
• Should the 20-day moving average line (blue) fail to hold up as support, the next downside target is last month's low near $90. Below that, the 61.8% Fibonacci retracement line at $75.56 is the next plausible floor.
McDonald's (MCD)
This year is the worst year McDonald's shares have dished out since 2012. The fast food chain hasn't performed terribly, but it's struggled. The weak performance from the stock can't come as a complete surprise.
Yesterday's slide, more important, does indeed signal that things could get much worse before they get any better, as most pros have been saying. One outlook is calling for 18% more downside , and there's nothing about the chart's shape to suggest such a move isn't more than plausible.
Click to Enlarge • The wide divergence of all the key moving average liens seen through January was rapidly undone beginning in March. In fact, those same four lines were almost all at the same point in late May. Knowing that periods of high volatility are followed by periods of low volatility and vice versa, that convergence should lead into a new divergence. In fact, it already is.
• That divergence thus far has been a bearish one, by virtue of the fact that the stocks below all of them, and we're seeing bearish crossunders (of the shorter lines below the longer ones).
• The bearish undertones have been in place for a while now. The monthly chart's MACD crossunder materialized in May, and its Chaikin line has been falling since late last year. The 2017 advance was never built to last.
As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can follow him on Twitter , at @jbrumley.
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The post 3 Big Stock Charts for Thursday: McDonald's, AbbVie and Coca-Cola appeared first on InvestorPlace .
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. | To that end, Coca-Cola (NYSE: KO ), AbbVie (NYSE: ABBV ) and McDonald's (NYSE: MCD ) are lining up as Thursday's top prospects. AbbVie (ABBV) With just a quick glance AbbVie shares just look like they're bouncing around, without much direction. Click to Enlarge • AbbVie's best shot at a rebound was a couple of weeks ago, when the 50-day and 200-day moving average lines were approached from underneath. | To that end, Coca-Cola (NYSE: KO ), AbbVie (NYSE: ABBV ) and McDonald's (NYSE: MCD ) are lining up as Thursday's top prospects. AbbVie (ABBV) With just a quick glance AbbVie shares just look like they're bouncing around, without much direction. Click to Enlarge • AbbVie's best shot at a rebound was a couple of weeks ago, when the 50-day and 200-day moving average lines were approached from underneath. | More From InvestorPlace 5 Strong Earnings Stocks to Buy Post-Netflix Plunge 4 Underappreciated Stocks to Buy Before the Analysts Weigh In 5 Stocks That Could Double In the Next 5 Years 4 Solar Stocks to Buy, 4 to Avoid Compare Brokers The post 3 Big Stock Charts for Thursday: McDonald's, AbbVie and Coca-Cola appeared first on InvestorPlace . To that end, Coca-Cola (NYSE: KO ), AbbVie (NYSE: ABBV ) and McDonald's (NYSE: MCD ) are lining up as Thursday's top prospects. AbbVie (ABBV) With just a quick glance AbbVie shares just look like they're bouncing around, without much direction. | To that end, Coca-Cola (NYSE: KO ), AbbVie (NYSE: ABBV ) and McDonald's (NYSE: MCD ) are lining up as Thursday's top prospects. AbbVie (ABBV) With just a quick glance AbbVie shares just look like they're bouncing around, without much direction. Click to Enlarge • AbbVie's best shot at a rebound was a couple of weeks ago, when the 50-day and 200-day moving average lines were approached from underneath. |
25420.0 | 2018-07-19 00:00:00 UTC | Can Eli Lilly (LLY) Keep the Earnings Streak Alive in Q2? | ABBV | https://www.nasdaq.com/articles/can-eli-lilly-lly-keep-the-earnings-streak-alive-in-q2-2018-07-19 | nan | nan | Eli Lilly and CompanyLLY will report second-quarter 2018 results on Jul 24, before market open. Last quarter, the company delivered a positive earnings surprise of 18.6%.
Lilly's shares have risen 6.6% this year so far while the industry recorded a decrease of 0.7%.
Lilly's earnings performance has been pretty impressive with earnings beating expectations in each of the last four quarters, bringing the average positive surprise to 8.20%.
Eli Lilly and Company Price and EPS Surprise
Eli Lilly and Company Price and EPS Surprise | Eli Lilly and Company Quote
Let's see how things are shaping up for this quarter.
Factors to Consider
Like the previous couple of quarters, strong uptake trends of new products like Trulicity, Taltz, Basaglar, Cyramza, Jardiance and Lartruvo should make up for the decline in sales of established products like Zyprexa, Alimta, Cialis, Strattera and Effient.
While Trulicity sales are being driven by growth in the GLP-1 market and market share gains, Jardiance sales should continue to be driven by increased market share within the growing SGLT2 class. The Zacks Consensus Estimate for Trulicity second-quarter revenues is $730 million.
Continued strong uptake outside the United States will continue to drive sales of Cyramza. In the quarter, Taltz was approved to treat genital psoriasis, which should add to the drug's sales in Q2.
Meanwhile, the loss of exclusivity in some countries for Effient, Strattera, Zyprexa, Cymbalta, Evista and Axiron will continue to hurt volumes. Also, competitive pressure and loss of exclusivity in certain countries are hurting Alimta sales - a trend expected to continue in the second quarter. The Zacks Consensus Estimate for Alimta sales in the second quarter is pegged at $529 million.
Lower demand will continue to hurt sales of Cialis. The Zacks Consensus Estimate for Cialis sales in the second quarter is pegged at $505 million.
Another new drug, Olumiant (baricitinib) was launched in select European countries and in Japan in 2017 and generated sales of $32.2 million in the first quarter supported by a strong launch uptake in Germany. Sales are expected to be higher in the second quarter. The drug was approved in the United States, but only for the lower dose, in June. Lilly should discuss the commercialization plans for Olumiant in the U.S. market on the second-quarter call. Lilly has developed Olumaint in partnership with Incyte Corporation INCY
Advanced breast cancer treatment, Verzenio, launched in the Unites States in the fourth quarter of 2017, generated sales of $29.7 million in the first quarter of 2018. In February, Verzenio gained FDA approval and was launched in the first-line setting for metastatic breast cancer based on MONARCH 3 data - which may bring in some additional sales in Q2.
Some older products like Humulin and Forteo are likely to do well. Last quarter, Forteo sales declined due to decreased volume from unfavorable wholesale and retail buying patterns in the United States. It is to be seen if Forteo sales trends improve this time around
Elanco Animal Health sales have been hurt by lower demand for food animal products due to market access pressure. The negative trend should continue in the second quarter. However, on the first-quarter call, management had said that after being slightly negative in the first half, Animal Health revenues are expected to improve in the second half of 2018 supported by product launches. An update on this guidance is expected on the second-quarter call. The Zacks Consensus Estimate for sales in the Animal Health segment is $793 million.
Lilly is exploring strategic alternatives for this business including a sale, merger or creating a separate company through an initial public offer. A decision regarding the same is expected to be announced in July on the conference call.
Earnings Whispers
Our proven model does not conclusively show that Lilly will beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here, as you will see below.
Earnings ESP: Its Earnings ESP is -0.58% as the Zacks Consensus Estimate for earnings is $1.31 per share while the Most Accurate Estimate is pegged lower at $1.30. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Lilly's Zacks Rank #2 increases the predictive power of ESP. However, we need to have a positive ESP to be confident about an earnings beat.
We caution against Sell-rated stocks (Zacks Rank #4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are some large drug/biotech stocks that have the right combination of elements to beat on earnings this time around:
Amgen, Inc. AMGN with an Earnings ESP of +0.91% and a Zacks Rank #3. The company is scheduled to release results on Jul 26. You can see the complete list of today's Zacks #1 Rank stocks here .
AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. The company is slated to release results on Jul 27.
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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. | AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. In February, Verzenio gained FDA approval and was launched in the first-line setting for metastatic breast cancer based on MONARCH 3 data - which may bring in some additional sales in Q2. | Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. Eli Lilly and Company Price and EPS Surprise Eli Lilly and Company Price and EPS Surprise | Eli Lilly and Company Quote Let's see how things are shaping up for this quarter. | Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. Eli Lilly and Company Price and EPS Surprise Eli Lilly and Company Price and EPS Surprise | Eli Lilly and Company Quote Let's see how things are shaping up for this quarter. | AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. Earnings ESP: Its Earnings ESP is -0.58% as the Zacks Consensus Estimate for earnings is $1.31 per share while the Most Accurate Estimate is pegged lower at $1.30. |
25421.0 | 2018-07-19 00:00:00 UTC | Why AbbVie Shares Are Sliding Today | ABBV | https://www.nasdaq.com/articles/why-abbvie-shares-are-sliding-today-2018-07-19 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
AbbVie (NYSE: ABBV ) stock took a hit today following comments concerning biosimilars.
Source: Shutterstock
The comment that sent ABBV stock down today comes from research firm Citron Research. The following is the Tweet concerning AbbVie.
"$ABBV the next great drug short. TGT price $60 Gottlieb's comments for biosimilars and the removal of safe harbor is a DIRECT hit on Abbvie's abuse of Humira. Citron to release a series of reports detailing the Dirty Money. POTUS, AMZN, and now FDA on the case $60 in 12 months"
The mention of Gottlieb in the Tweet is referring to comments made by U.S. Food and Drug Administration Commissioner Scott Gottlieb. These comments came out yesterday and were concerning the stalling of biosimilars by drug companies.
Here's a portion of what Gottlieb had to say on the matter.
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"While the FDA has approved 11 biosimilars through 2018, only three are now marketed in the U.S.Competition is, for the most part, anemic.
It's anemic because consolidation across the supply chain has made it more attractive for manufacturers, Pharmacy Benefit Managers, Group Purchasing Organizations and distributors to split monopoly profits through lucrative volume-based rebates on reference biologics-or on bundles of biologics and other products-rather than embrace biosimilar competition and lower prices.
It's anemic because litigation has delayed market access for biosimilar products that are, or shortly will be, available in markets outside the U.S. several years before they'll be available to patients here. These delays can come with enormous costs for patients and payors."
ABBV stock was down 4% as of Thursday afternoon.
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As of this writing, William White did not hold a position in any of the aforementioned securities.
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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. | TGT price $60 Gottlieb's comments for biosimilars and the removal of safe harbor is a DIRECT hit on Abbvie's abuse of Humira. InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie (NYSE: ABBV ) stock took a hit today following comments concerning biosimilars. Source: Shutterstock The comment that sent ABBV stock down today comes from research firm Citron Research. | InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie (NYSE: ABBV ) stock took a hit today following comments concerning biosimilars. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Source: Shutterstock The comment that sent ABBV stock down today comes from research firm Citron Research. | InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie (NYSE: ABBV ) stock took a hit today following comments concerning biosimilars. Source: Shutterstock The comment that sent ABBV stock down today comes from research firm Citron Research. The following is the Tweet concerning AbbVie. | InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie (NYSE: ABBV ) stock took a hit today following comments concerning biosimilars. Source: Shutterstock The comment that sent ABBV stock down today comes from research firm Citron Research. The following is the Tweet concerning AbbVie. |
25422.0 | 2018-07-19 00:00:00 UTC | Biogen (BIIB) to Report Q2 Earnings: What's in the Cards? | ABBV | https://www.nasdaq.com/articles/biogen-biib-to-report-q2-earnings%3A-whats-in-the-cards-2018-07-19 | nan | nan | Biogen Inc.BIIB will report second-quarter 2018results on Jul 24, before market open. Last quarter, the company delivered a positive earnings surprise of 2.02%.
Biogen's shares have risen 12.5% this year against the industry 's decline of 2.3% in the same time frame.
Biogen's earnings performance has been decent so far. The company delivered a positive surprise in three of the last four quarters. The average earnings beat over the last four quarters is 6.25%.
Biogen Inc. Price and EPS Surprise
Biogen Inc. Price and EPS Surprise | Biogen Inc. Quote
Let's see how things are shaping up for this announcement
Factors to Consider
In the first quarter of 2018, performance of Biogen's multiple sclerosis (MS) drugs was soft due to rising competitive pressure from Roche's RHHBY newly launched MS drug, Ocrevus. We expect these factors to continue to hurt sales of the MS franchise in the second quarter. However, a couple of other factors that hurt MS sales in the first quarter - seasonality and a larger-than-expected inventory drawdown in the United States - are not expected to have any negative impact on second-quarter sales. International MS sales should remain strong in the second quarter supported by patient growth across major European markets and strong emerging market growth.
The Zacks Consensus Estimate for sales of Tecfidera in the second quarter is pegged at $1.10 billion while that for Tysabri (Global In-Market sales) is $448 million.
Meanwhile, the combined number of patients using Avonex and Plegridy will continue to decline with patients transitioning to other oral MS therapies as well as due to higher discounts and allowance.
Zinbryta will not add any significant revenues in the quarter. In March, Biogen and partner AbbVie announced the decision to withdraw Zinbryta from the markets due to growing safety concerns and limited commercial adoption of the drug due to its restrictive label.
Biogen's new drug, Spinraza, approved for spinal muscular atrophy, saw strong sales in international markets, while sales in United States moderated in the first quarter. On the first-quarter call, management had said that growth in Spinraza U.S sales will be flat for at least the next two quarters, given the continued transition of patients from the loading phase to the less intensive maintenance phase (dosing only once in 4 months). We expect Spinraza sales to be driven by ex-U.S. markets in the second quarter.
On the first-quarter call, management had highlighted that overall patient numbers for Spinraza grew in the quarter - a trend we expect to continue.
Biogen's biosimilar products - Flixabi (a biosimilar referencing Remicade) and Benepali (a biosimilar referencing Enbrel) - are also generating higher revenues. The trend should continue this quarter as well.
Lower-than-expected costs and lower tax rates benefited profits in the first quarter. It remains to be seen if the trend continues this quarter.
Earlier this month, Biogen announced data from a phase II study on its Alzheimer's disease (AD) candidate BAN2401, which is a humanized beta amyloid antibody it is developing in collaboration with Japan's Eisai. Data from the study showed that BAN2401 led to statistically significant slowdown in disease progression and reduction of amyloid beta accumulation in the brain. The positive study data on an otherwise challenging therapeutic area took the investor community by a storm. Numerous questions on the candidate's progress plans are expected on the second-quarter call.
Earnings Whispers
Our proven model does not conclusively show that Biogen is likely to beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here, as you will see below.
Earnings ESP: Its Earnings ESP is -4.35% as the Most Accurate estimate stands at $5.03 while the Zacks Consensus Estimate is pegged higher at $5.26. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Biogen's Zacks Rank #3 increases the predictive power of ESP. However, we need to have a positive ESP to be confident about an earnings beat.
We caution against Sell-rated stocks (Zacks Rank #4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are some large drug/biotech stocks that have the right combination of elements to beat on earnings this time around:
Amgen, Inc. AMGN with an Earnings ESP of +0.91% and a Zacks Rank #3. The company is scheduled to release results on Jul 26. You can see the complete list of today's Zacks #1 Rank stocks here .
AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. The company is slated to release results on Jul 27.
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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. | In March, Biogen and partner AbbVie announced the decision to withdraw Zinbryta from the markets due to growing safety concerns and limited commercial adoption of the drug due to its restrictive label. AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report To read this article on Zacks.com click here. In March, Biogen and partner AbbVie announced the decision to withdraw Zinbryta from the markets due to growing safety concerns and limited commercial adoption of the drug due to its restrictive label. AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report To read this article on Zacks.com click here. In March, Biogen and partner AbbVie announced the decision to withdraw Zinbryta from the markets due to growing safety concerns and limited commercial adoption of the drug due to its restrictive label. AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. | In March, Biogen and partner AbbVie announced the decision to withdraw Zinbryta from the markets due to growing safety concerns and limited commercial adoption of the drug due to its restrictive label. AbbVie, Inc. ABBV has an Earnings ESP of +0.11% and a Zacks Rank #3. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report To read this article on Zacks.com click here. |
25423.0 | 2018-07-19 00:00:00 UTC | Notable Thursday Option Activity: ABBV, HSY, AVB | ABBV | https://www.nasdaq.com/articles/notable-thursday-option-activity-abbv-hsy-avb-2018-07-19 | nan | nan | Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in AbbVie Inc (Symbol: ABBV), where a total volume of 78,614 contracts has been traded thus far today, a contract volume which is representative of approximately 7.9 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 143.7% of ABBV's average daily trading volume over the past month, of 5.5 million shares. Especially high volume was seen for the $85 strike put option expiring July 20, 2018 , with 11,588 contracts trading so far today, representing approximately 1.2 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $85 strike highlighted in orange:
Hershey Company (Symbol: HSY) options are showing a volume of 13,294 contracts thus far today. That number of contracts represents approximately 1.3 million underlying shares, working out to a sizeable 131.4% of HSY's average daily trading volume over the past month, of 1.0 million shares. Particularly high volume was seen for the $92.50 strike call option expiring July 27, 2018 , with 3,903 contracts trading so far today, representing approximately 390,300 underlying shares of HSY. Below is a chart showing HSY's trailing twelve month trading history, with the $92.50 strike highlighted in orange:
And AvalonBay Communities, Inc. (Symbol: AVB) options are showing a volume of 6,445 contracts thus far today. That number of contracts represents approximately 644,500 underlying shares, working out to a sizeable 85.6% of AVB's average daily trading volume over the past month, of 752,515 shares. Particularly high volume was seen for the $170 strike put option expiring July 20, 2018 , with 1,552 contracts trading so far today, representing approximately 155,200 underlying shares of AVB. Below is a chart showing AVB's trailing twelve month trading history, with the $170 strike highlighted in orange:
For the various different available expirations for ABBV options , HSY options , or AVB options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
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. | Especially high volume was seen for the $85 strike put option expiring July 20, 2018 , with 11,588 contracts trading so far today, representing approximately 1.2 million underlying shares of ABBV. Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in AbbVie Inc (Symbol: ABBV), where a total volume of 78,614 contracts has been traded thus far today, a contract volume which is representative of approximately 7.9 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 143.7% of ABBV's average daily trading volume over the past month, of 5.5 million shares. | Below is a chart showing ABBV's trailing twelve month trading history, with the $85 strike highlighted in orange: Hershey Company (Symbol: HSY) options are showing a volume of 13,294 contracts thus far today. Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in AbbVie Inc (Symbol: ABBV), where a total volume of 78,614 contracts has been traded thus far today, a contract volume which is representative of approximately 7.9 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 143.7% of ABBV's average daily trading volume over the past month, of 5.5 million shares. | Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in AbbVie Inc (Symbol: ABBV), where a total volume of 78,614 contracts has been traded thus far today, a contract volume which is representative of approximately 7.9 million underlying shares (given that every 1 contract represents 100 underlying shares). Especially high volume was seen for the $85 strike put option expiring July 20, 2018 , with 11,588 contracts trading so far today, representing approximately 1.2 million underlying shares of ABBV. That number works out to 143.7% of ABBV's average daily trading volume over the past month, of 5.5 million shares. | Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in AbbVie Inc (Symbol: ABBV), where a total volume of 78,614 contracts has been traded thus far today, a contract volume which is representative of approximately 7.9 million underlying shares (given that every 1 contract represents 100 underlying shares). Below is a chart showing AVB's trailing twelve month trading history, with the $170 strike highlighted in orange: For the various different available expirations for ABBV options , HSY options , or AVB options , visit StockOptionsChannel.com. That number works out to 143.7% of ABBV's average daily trading volume over the past month, of 5.5 million shares. |
25424.0 | 2018-07-17 00:00:00 UTC | J&J's (JNJ) Q2 Earnings Beat on Higher Cancer Drug Sales | ABBV | https://www.nasdaq.com/articles/jjs-jnj-q2-earnings-beat-on-higher-cancer-drug-sales-2018-07-17 | nan | nan | Johnson & JohnsonJNJ set the 2018 pharma earnings in motion by beating the Zacks Consensus Estimate on both counts in the second quarter of 2018. The drug and consumer products giant however narrowed its full year sales forecast, due to lower-than-previously expected currency tailwinds. The guidance cut pulled down shares initially in pre-market trading . However, the stock picked up thereafter and rose 1.4% in pre-market trading.
This year so far, J&J's shares have declined 10.7%, comparing unfavorably with the 0.9% decline witnessed by the industry .
Earnings Beat
J&J's second-quarter 2018 earnings came in at $2.10 per share, beating the Zacks Consensus Estimate of $2.06 and increasing 14.8% from the year-ago period.
Adjusted earnings excluded amortization expense and some special items. Including these items, J&J reported second-quarter earnings of $1.45 per share, up 3.6% year over year.
Sales Beat
Sales came in at $20.83 billion, beating the Zacks Consensus Estimate of $20.21 billion. Sales also increased 10.6% from the year-ago quarter, reflecting an operational increase of 8.7% and a positive currency impact of 1.9%.
Organically, excluding the impact of acquisitions and divestitures, sales increased 6.3% on an operational basis, better than 4.3% increase seen in the first quarter. This is because of double-digit growth in the Pharmaceutical segment and continued improved performance in the Medical Devices segment. However, the Consumer unit lagged in the quarter.
Second-quarter sales grew 9.4% in the domestic market to $10.64 billion and 11.8% in international markets to $10.19 billion, reflecting 7.9% operational growth and 3.9% positive currency impact.
Sales in Details
Pharmaceutical segment sales rose 19.9% year over year to $10.35 billion, reflecting 17.6% operational growth and 2.3% positive currency impact as sales rose in both domestic and international markets. Sales in the domestic market rose 17.7% to $5.9 billion. International sales grew 22.9% to $4.46 billion (operational increase of 17.5%).
New products like Imbruvica (cancer) and Darzalex (multiple myeloma) continued to perform well. Core products like Xarelto, Stelara, Zytiga, Simponi/Simponi Aria and Invega Sustenna also contributed to growth. Please note that J&J markets Imbruvica in partnership with AbbVie, Inc. ABBV .
Organically, excluding the impact of acquisitions and divestitures, sales increased 11% on an operational basis, much better than 7.5% growth seen in the previous quarter. The strong performance was led by the company's oncology portfolio. Worldwide sales of J&J's cancer drugs rose 42.2% in the quarter.
In the quarter, J&J recorded pulmonary arterial hypertension (PAH) revenues of $665 million, better than $585 million in the previous quarter. The $30 billion acquisition of Swiss biotech, Actelion in June last year diversified J&J's revenues to the PAH category and added 6.6% to sales growth in the quarter.
However, sales of Invokana/Invokamet declined 27.1% due to higher managed care discounting and market share decline due to competitive pressure.
Importantly, sales of the blockbuster rheumatoid arthritis drug, Remicade, marketed in partnership with Merck & Co., Inc. MRK , were down 13.7% in the quarter with U.S. sales declining 13.7% and U.S. exports going down by 18.1%. Remicade sales declined 12.1% in international markets due to biosimilar competition.
Medical Devices segment sales came in at $6.97 billion, up 3.7% from the year-ago period. It included an operational increase of 1.9% and positive currency movement of 1.8%.
Domestic market sales rose 1.1% year over year to $3.27 billion. International market sales increased 6% (operational increase of 2.5%) year over year to $3.7 billion.
The Consumer segment recorded revenues of $3.5 billion in the reported quarter, up 0.7% year over year. However, on an operational basis, Consumer segment sales declined 0.4%. Foreign currency movement positively impacted sales in the segment by 1.1%. Sales in the domestic market declined 0.7% from the year-ago period to $1.48 billion.
Meanwhile, the international segment recorded an increase of 1.9% to $2.03 billion coming entirely from the positive currency impact while operational increase was flat in the quarter.
2018 Sales Outlook Trimmed
J&J tightened its previously issued earnings guidance for 2018 while lowering its sales range. The guidance cut was due to less favorable currency impact owing to a strengthening dollar.
J&J's new Chief Financial Officer Joe Wolk told CNBC that J&J's operational performance continues to do "extremely well". So, J&J actually expects an increase in expected operational growth.
J&J expects 2018 adjusted earnings per share in the range of $8.07 - $8.17 compared with $8.00 - $8.20 expected previously. The guidance range reflects an operational growth rate between 8.5% and 9.9% (previously 6.8% and 9.6%).
Revenues are expected in the range of $80.5 to $81.3 billion, lower than $81.0 to $81.8 billion, reflecting operational constant currency sales growth rate in the range of 4.5% to 5.5% (previously 4% to 5%).
Our Take
Though quite a few key products in J&J's portfolio like Remicade and Concerta face generic competition, we believe that new products like plaque psoriasis drug, Tremfya (guselkumab), successful label expansion of cancer drugs like Imbruvica and Darzalex and Zytiga, currency tailwinds and contribution from acquisitions helped J&J deliver strong sales and profit in the second quarter of the year. In fact, J&J is quite confident that its Pharma segment will continue to perform better than the market this year despite the impact of biosimilars on Remicade sales.
J&J has been in trouble lately amid lawsuits related to its talc-based products, including its baby powders. Last week, it was ordered by a jury in a St. Louis court to pay $4.69 billion in damages to 22 women who alleged that its talc-based products, including its baby powders, contained asbestos, which was responsible for them to develop ovarian cancer. &J aims to appeal the decision.
J&J currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
A better-ranked biotech stock is Alexion Pharmaceuticals, Inc. ALXN , carrying a Zacks Rank #2 (Buy). Shares of Alexion have gained 12.5% this year so far.
Johnson & Johnson Price, Consensus and EPS Surprise
Johnson & Johnson Price, Consensus and EPS Surprise | Johnson & Johnson Quote
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And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
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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. | Please note that J&J markets Imbruvica in partnership with AbbVie, Inc. ABBV . Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Alexion Pharmaceuticals, Inc. (ALXN): Free Stock Analysis Report To read this article on Zacks.com click here. The drug and consumer products giant however narrowed its full year sales forecast, due to lower-than-previously expected currency tailwinds. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Alexion Pharmaceuticals, Inc. (ALXN): Free Stock Analysis Report To read this article on Zacks.com click here. Please note that J&J markets Imbruvica in partnership with AbbVie, Inc. ABBV . Sales in Details Pharmaceutical segment sales rose 19.9% year over year to $10.35 billion, reflecting 17.6% operational growth and 2.3% positive currency impact as sales rose in both domestic and international markets. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Alexion Pharmaceuticals, Inc. (ALXN): Free Stock Analysis Report To read this article on Zacks.com click here. Please note that J&J markets Imbruvica in partnership with AbbVie, Inc. ABBV . Second-quarter sales grew 9.4% in the domestic market to $10.64 billion and 11.8% in international markets to $10.19 billion, reflecting 7.9% operational growth and 3.9% positive currency impact. | Please note that J&J markets Imbruvica in partnership with AbbVie, Inc. ABBV . Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Alexion Pharmaceuticals, Inc. (ALXN): Free Stock Analysis Report To read this article on Zacks.com click here. Sales in Details Pharmaceutical segment sales rose 19.9% year over year to $10.35 billion, reflecting 17.6% operational growth and 2.3% positive currency impact as sales rose in both domestic and international markets. |
25425.0 | 2018-07-17 00:00:00 UTC | What's Behind Johnson & Johnson's Double-Digit Growth? | ABBV | https://www.nasdaq.com/articles/whats-behind-johnson-johnsons-double-digit-growth-2018-07-17 | nan | nan | Johnson & Johnson (NYSE: JNJ) is a healthcare giant that racks up tens of billions of dollars in revenue every quarter. Usually, it's tough to deliver double-digit growth when you get to be as big of a company as J&J. However, in the second quarter, its sales were 10.6% higher than one year ago.
What's behind this healthcare Goliath's surprising growth: acquisitions, currency fluctuations, and demand for some of its best-selling drugs. Here's what you should know about the company's recent performance, and what to watch in the future.
The numbers
Johnson & Johnson's sales were $20.8 billion last quarter, and rising demand for its drugs (more on that in a minute) was responsible for most of the increase. But its acquisition of Actelion last year, and tailwinds from converting sales outside of the U.S. back into U.S. dollars, also contributed meaningfully to the results.
Specifically, 1.9% of its 10.6% sales increase was due to fluctuating currency. If you back out the benefit associated with currency exchange and the contribution to sales from acquisitions, the company's organic growth was a healthy, but less exciting, 6.3%.
There's not a lot you can do about quarterly currency headwinds and tailwinds. J&J operates worldwide, and currency is always in flux, so conversion will either hurt or help the company's results in any given quarter. Similarly, acquisitions are unpredictable, and while they can boost sales (and hopefully, profit) in the short term, their benefit is typically temporary. After one year, the comparisons become apples-to-apples again.
Because of this, investors should focus their attention on product sales, because that's what provides the best insight into whether a company's executing well.
At J&J, the company's pharmaceuticals segment is giving investors plenty to cheer about.
Although Johnson & Johnson generates billions of dollars in sales from consumer brands such as Band-Aid, and from medical devices, it's the pharmaceutical business that really moves the needle at J&J; its second-quarter performance was no exception. Consumer-goods sales were flat and medical device revenue only grew 1.9% ex-currency, but after backing out currency and acquisitions, J&J's pharmaceutical sales jumped 11% from last year.
That's particularly impressive because the growth came even as sales of its best-selling drug, Remicade, continue to decline because of biosimilar competition . Biologics like Remicade are complex and created in living organisms, so they can't be copied exactly, but companies can create inexact biosimilars that are as effective. And following the launch of Inflectra, a cheaper biosimilar, J&J's Remicade revenue is sliding.
In Q2, Remicade sales fell 13.7% in the U.S. and 14.1% worldwide to $1.32 billion, or about 12.5% of J&J's $10.35 billion in total pharmaceutical sales.
That's a stiff headwind, but J&J was still able to deliver double-digit operational growth in the segment because of Stelara, Darzalex, Imbruvica, and Zytiga.
The immunology drug Stelara has been on the market for psoriasis since 2009, but its sales have surged following its approval for use in Crohn's disease patients in 2016. The expanded label was largely responsible for global Stelara revenue of $1.3 billion in Q2, up 34.2%, ex-currency, from one year ago.
Darzalex, a multiple myeloma drug, initially won approval for use in heavily pretreated patients in 2015. Late-line multiple myeloma patients were in serious need of new treatment options, so Darzalex sales ramped up quickly. But sales really accelerated once the Food and Drug Administration approved its use earlier in treatment alongside other medications, including Celgene 's megablockbuster Revlimid, and more recently, the widely used Velcade. In Q2, Darzalex's sales skyrocketed 70.9% to $511 million, giving it an annualized sales run rate over $2 billion after less than three years on the market.
J&J shares the blood cancer drug Imbruvica with AbbVie (NYSE: ABBV) ; Imbruvica has also been a big beneficiary of an expanding addressable market. Imbruvica was initially used for chronic lymphocytic leukemia (CLL), but last August, the FDA also OK'd it for chronic graft-versus-host disease, a life-threatening condition often experienced by patients following stem cell transplants. In Q2, J&J's share of Imbruvica revenue was $620 million, up 34.2% year over year.
Finally, sales of J&J's prostate cancer drug Zytiga have also taken off. Prostate cancer is the most common cancer in men, and since Zytiga's launch in 2011, it's been used earlier and earlier in patient treatment. In February, Zytiga won approval for use alongside steroids in metastatic high-risk castration-sensitive prostate cancer, after it reduced the risk of death by 38% versus placebo in patients who had undergone surgery or hormone therapy. The approval helped Zytiga's sales skyrocket nearly 60% year over year to $909 million last quarter, an incredible increase for a drug that's been around as long as it has been.
What to watch next
Remicade is still a multibillion-dollar-per-year drug, so declining sales will remain a headwind for a while. So far, J&J's fast-growing cancer drugs are offsetting its impact, but investors will want to keep an eye out to see if sales start to slow for those fast-growers in the coming quarters.
It will also be important to keep tabs on J&J's research and development programs. The company has spent nearly 16% more on R&D so far this year than last year, and that spending will need to translate into regulatory wins if J&J investors are to be rewarded with additional growth. Among the most intriguing drugs in the company's late-stage pipeline are esketamine and erdafitinib, two drugs J&J plans to file for approval of this year.
If approvals are granted, esketamine could carve out meaningful sales as a treatment for depression because up to 30% of patients fail to respond to existing treatment options. Erdafitinib could similarly be an important new option for patients with metastatic urothelial cancer. Earlier this year, the FDA granted erdafitinib breakthrough status, adding conviction to the thinking that it could win an accelerated OK following its positive midstage trial.
10 stocks we like better than Johnson & Johnson
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Todd Campbell owns shares of Celgene. His clients may have positions in the companies mentioned. The Motley Fool owns shares of and recommends Celgene. The Motley Fool owns shares of Johnson & Johnson. 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. | J&J shares the blood cancer drug Imbruvica with AbbVie (NYSE: ABBV) ; Imbruvica has also been a big beneficiary of an expanding addressable market. But sales really accelerated once the Food and Drug Administration approved its use earlier in treatment alongside other medications, including Celgene 's megablockbuster Revlimid, and more recently, the widely used Velcade. In February, Zytiga won approval for use alongside steroids in metastatic high-risk castration-sensitive prostate cancer, after it reduced the risk of death by 38% versus placebo in patients who had undergone surgery or hormone therapy. | J&J shares the blood cancer drug Imbruvica with AbbVie (NYSE: ABBV) ; Imbruvica has also been a big beneficiary of an expanding addressable market. That's a stiff headwind, but J&J was still able to deliver double-digit operational growth in the segment because of Stelara, Darzalex, Imbruvica, and Zytiga. Darzalex, a multiple myeloma drug, initially won approval for use in heavily pretreated patients in 2015. | J&J shares the blood cancer drug Imbruvica with AbbVie (NYSE: ABBV) ; Imbruvica has also been a big beneficiary of an expanding addressable market. Consumer-goods sales were flat and medical device revenue only grew 1.9% ex-currency, but after backing out currency and acquisitions, J&J's pharmaceutical sales jumped 11% from last year. In Q2, Darzalex's sales skyrocketed 70.9% to $511 million, giving it an annualized sales run rate over $2 billion after less than three years on the market. | J&J shares the blood cancer drug Imbruvica with AbbVie (NYSE: ABBV) ; Imbruvica has also been a big beneficiary of an expanding addressable market. In Q2, J&J's share of Imbruvica revenue was $620 million, up 34.2% year over year. The approval helped Zytiga's sales skyrocket nearly 60% year over year to $909 million last quarter, an incredible increase for a drug that's been around as long as it has been. |
25426.0 | 2018-07-15 00:00:00 UTC | Validea's Top Five Healthcare Stocks Based On John Neff - 7/15/2018 | ABBV | https://www.nasdaq.com/articles/valideas-top-five-healthcare-stocks-based-john-neff-7152018-2018-07-15 | nan | nan | The following are the top rated Healthcare stocks according to Validea's Low PE Investor model based on the published strategy of John Neff . This strategy looks for firms with persistent earnings growth that trade at a discount relative to their earnings growth and dividend yield.
UNIVERSAL HEALTH SERVICES, INC. ( UHS ) is a large-cap value stock in the Healthcare Facilities industry. The rating according to our strategy based on John Neff is 100% based on the firm's underlying fundamentals and the stock's valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Universal Health Services, Inc. is a holding company. The Company's principal business is owning and operating, through its subsidiaries, acute care hospitals and outpatient facilities, and behavioral healthcare facilities. The Company's segments include Acute Care Hospital Services, Behavioral Health Services and Other. As of February 28, 2017, the Company owned and/or operated 319 inpatient facilities, and 33 outpatient and other facilities, located in 37 states, Washington, District of Columbia, the United Kingdom, Puerto Rico and the United States Virgin Islands. The Company's hospitals provide a range of services, such as oncology, diagnostic care, coronary care, pediatric services, pharmacy services and/or behavioral health services. As of February 28, 2017, its acute care facilities located in the United States included 26 inpatient acute care hospitals; four free-standing emergency departments, and four outpatient surgery/cancer care centers and one surgical hospital.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
For a full detailed analysis using NASDAQ's Guru Analysis tool, click here
BIOGEN INC ( BIIB ) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating according to our strategy based on John Neff is 81% based on the firm's underlying fundamentals and the stock's valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Biogen Inc. is a biopharmaceutical company. The Company focuses on discovering, developing, manufacturing and delivering therapies to people living with serious neurological, rare and autoimmune diseases. The Company markets products, including TECFIDERA, AVONEX, PLEGRIDY, TYSABRI, ZINBRYTA and FAMPYRA for multiple sclerosis ( MS ), FUMADERM for the treatment of severe plaque psoriasis and SPINRAZA for the treatment of spinal muscular atrophy (SMA). It also has a collaboration agreement with Genentech, Inc. (Genentech), a member of the Roche Group, with respect to RITUXAN for the treatment of non-Hodgkin's lymphoma, chronic lymphocytic leukemia (CLL) and other conditions, GAZYVA indicated for the treatment of CLL and follicular lymphoma, and other anti-CD20 therapies. The Company's product candidate includes OCREVUS; Biosimilar adalimumab; Aducanumab; E2609; BIIB074; BAN2401; Opicinumab; CIRARA; BIIB061; BIIB054; BIIB067, and BIIB068.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
For a full detailed analysis using NASDAQ's Guru Analysis tool, click here
ABBVIE INC ( ABBV ) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating according to our strategy based on John Neff is 81% based on the firm's underlying fundamentals and the stock's valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: AbbVie Inc. (AbbVie) is a research-based biopharmaceutical company. The Company is engaged in the discovery, development, manufacture and sale of a range of pharmaceutical products. Its products are focused on treating conditions, such as chronic autoimmune diseases in rheumatology, gastroenterology and dermatology; oncology, including blood cancers; virology, including hepatitis C virus (HCV) and human immunodeficiency virus (HIV); neurological disorders, such as Parkinson's disease and multiple sclerosis; metabolic diseases, including thyroid disease and complications associated with cystic fibrosis, and other serious health conditions. It offers products in various categories, including HUMIRA (adalimumab), Oncology products, Virology Products, Additional Virology products, Metabolics/Hormones products, Endocrinology products and other products, which include Duopa and Duodopa (carbidopa and levodopa), Anesthesia products and ZINBRYTA (daclizumab).
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
For a full detailed analysis using NASDAQ's Guru Analysis tool, click here
MEDTRONIC PLC ( MDT ) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating according to our strategy based on John Neff is 81% based on the firm's underlying fundamentals and the stock's valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Medtronic Public Limited Company (Medtronic) is a medical technology and services company. The Company develops, manufactures and markets its medical devices and technologies to hospitals, physicians, clinicians and patients in approximately 160 countries. The Company operates in four segments: Cardiac and Vascular Group, Minimally Invasive Technologies Group, Restorative Therapies Group and Diabetes Group. The Cardiac and Vascular Group segment includes Cardiac Rhythm & Heart Failure, Coronary & Structural Heart and Aortic & Peripheral Vascula. Its Minimally Invasive Technologies Group segment includes Surgical Solutions and Patient Monitoring and Recovery. Its Restorative Therapies Group segment includes Spine, Neuromodulation, Surgical Technologies and Neurovascular. Its Diabetes Group segment includes Intensive Insulin Management, Non-Intensive Diabetes Therapies and Diabetes Services & Solutions. The Company's subsidiaries include Medtronic, Inc. and HeartWare International, Inc.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
For a full detailed analysis using NASDAQ's Guru Analysis tool, click here
CARDINAL HEALTH INC (CAH) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating according to our strategy based on John Neff is 79% based on the firm's underlying fundamentals and the stock's valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Cardinal Health, Inc. is a healthcare services and products company. The Company operates through two segments: Pharmaceutical and Medical. The Pharmaceutical segment distributes branded and generic pharmaceutical, specialty pharmaceutical, over-the-counter healthcare and consumer products. This segment also operates nuclear pharmacies and cyclotron facilities; provides pharmacy management services to hospitals, as well as medication therapy management and patient outcomes services to hospitals, other healthcare providers and payers, and provides services to healthcare companies. The Medical segment distributes a range of medical, surgical and laboratory products, and provides services to hospitals, ambulatory surgery centers, clinical laboratories and other healthcare providers. This segment also manufactures, sources and develops its own Cardinal Health brand medical and surgical products. It provides post-acute care management and transition services, and software to hospitals.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
For a full detailed analysis using NASDAQ's Guru Analysis tool, click here
Since its inception, Validea's strategy based on John Neff has returned 151.32% vs. 151.93% for the S&P 500. For more details on this strategy, click here
About John Neff : While known as the manager with whom many top managers entrusted their own money, Neff was far from the smooth-talking, high-profile Wall Streeter you might expect. He was mild-mannered and low-key, and the same might be said of the Windsor Fund that he managed for more than three decades. In fact, Neff himself described the fund as "relatively prosaic, dull, [and] conservative." There was nothing dull about his results, however. From 1964 to 1995, Neff guided Windsor to a 13.7 percent average annual return, easily outpacing the S&P 500's 10.6 percent return during that time. That 3.1 percentage point difference is huge over time -- a $10,000 investment in Windsor (with dividends reinvested) at the start of Neff's tenure would have ended up as more than $564,000 by the time he retired, more than twice what the same investment in the S&P would have yielded (about $233,000). Considering the length of his tenure, that track record may be the best ever for a manager of such a large fund.
About Validea : Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
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. | For a full detailed analysis using NASDAQ's Guru Analysis tool, click here ABBVIE INC ( ABBV ) is a large-cap growth stock in the Biotechnology & Drugs industry. Company Description: AbbVie Inc. (AbbVie) is a research-based biopharmaceutical company. The following are the top rated Healthcare stocks according to Validea's Low PE Investor model based on the published strategy of John Neff . | For a full detailed analysis using NASDAQ's Guru Analysis tool, click here ABBVIE INC ( ABBV ) is a large-cap growth stock in the Biotechnology & Drugs industry. Company Description: AbbVie Inc. (AbbVie) is a research-based biopharmaceutical company. The Company's hospitals provide a range of services, such as oncology, diagnostic care, coronary care, pediatric services, pharmacy services and/or behavioral health services. | For a full detailed analysis using NASDAQ's Guru Analysis tool, click here ABBVIE INC ( ABBV ) is a large-cap growth stock in the Biotechnology & Drugs industry. Company Description: AbbVie Inc. (AbbVie) is a research-based biopharmaceutical company. The Company's hospitals provide a range of services, such as oncology, diagnostic care, coronary care, pediatric services, pharmacy services and/or behavioral health services. | For a full detailed analysis using NASDAQ's Guru Analysis tool, click here ABBVIE INC ( ABBV ) is a large-cap growth stock in the Biotechnology & Drugs industry. Company Description: AbbVie Inc. (AbbVie) is a research-based biopharmaceutical company. The Company operates in four segments: Cardiac and Vascular Group, Minimally Invasive Technologies Group, Restorative Therapies Group and Diabetes Group. |
25427.0 | 2018-07-15 00:00:00 UTC | 3 Best Big Pharma Stocks to Buy for the 2nd Half of 2018 | ABBV | https://www.nasdaq.com/articles/3-best-big-pharma-stocks-buy-2nd-half-2018-2018-07-15 | nan | nan | Few big pharma stocks excited investors in the first half of 2018. Sure, there were a few stocks that performed pretty well . Overall, though, the year has been at best mediocre for the stocks of major drugmakers. Could the rest of 2018 be a better picture? Maybe so.
Three big pharma stocks, in particular, could be set to move higher. Here's why I think AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Gilead Sciences (NASDAQ: GILD) are the three best big pharma stocks to buy for the second half of 2018.
1. AbbVie
AbbVie stock was on a roll this year until the company's announcement in March of disappointing phase 2 study results for Rova-T in treating small-cell lung cancer. The drugmaker's shares tanked on the news and still haven't recovered. But better things could be in store for AbbVie.
An FDA decision on approval for elagolix in treating endometriosis-associated pain is expected by early August. AbbVie thinks elagolix could become its next blockbuster drug. The company is also evaluating elagolix in a phase 3 clinical study targeting the treatment of uterine fibroids.
AbbVie has a major regulatory filing on the way in the next few months as well. The big pharma company reported overwhelmingly positive results from multiple late-stage clinical studies of upadacitinib in treating rheumatoid arthritis with the most recent results announced in June. Upadacitinib appears likely to be AbbVie's second-most successful immunology drug, trailing only Humira, which ranks as the top-selling drug in the world.
More good news could be on the way in the future. Market research firm EvaluatePharma views AbbVie's pipeline as No. 2 overall in the biopharmaceutical industry.
2. Celgene
It's been a rough year so far for Celgene, with shares down around 20%. Celgene committed the pharma equivalent of an unforced error earlier in 2018, with its filing for ozanimod in treating multiple sclerosis (MS) rejected by the FDA right out of the gate . There are plenty of things to like about the company and its stock, though.
Celgene has had some good news lately. A few days ago, the company and its partner, Acceleron Pharma , announced great results from a late-stage study of luspatercept in treating rare blood disorder beta-thalassemia. Less than two weeks earlier, Celgene and Acceleron reported positive phase 3 results for the drug in treating myelodysplastic syndromes (MDS). Luspatercept could generate peak annual sales topping $2 billion if approved for both indications. The partners plan to submit for FDA approval of luspatercept in the first half of 2019.
Two acquisitions could also pay off nicely for Celgene. The company acquired Impact Biomedicines in January. Celgene plans to submit for FDA approval of Impact's fedratinib as a treatment for myelofibrosis this year. The acquisition of Juno Therapeutics enabled Celgene to control full rights to liso-cel (JCAR017), a CAR-T therapy that could be best-in-class.
Don't forget about ozanimod. Although Celgene hit a bump in the road, the biotech still plans to file for approval of the drug in treating MS in early 2019. Despite the delay, ozanimod is still projected to become a blockbuster success for Celgene.
3. Gilead Sciences
Gilead Sciences has experienced an up-and-down year thus far. The stock jumped more than 20% early in 2018, and then proceeded to give up all those gains and more. Gilead has rebounded somewhat lately, with its share price up by a single-digit percentage year to date.
There are several potential catalysts for Gilead that could be around the corner, however. The company's management thinks that sales for its hepatitis C virus (HCV) franchise will stabilize this year after several years of steep declines. If they're right, it would shift the focus to the company's other drugs -- and that should be great news for Gilead stock.
One key area to watch is Gilead's HIV franchise. The company launched Biktarvy in Q1. Expect sales for the powerful HIV therapy to rapidly gain momentum. Analysts think Biktarvy could eventually generate peak annual sales of around $6 billion.
Gilead could also make a splash in the immunology market. The company expects to announce results in the near future from a phase 3 study evaluating filgotinib in treating rheumatoid arthritis. Gilead also is conducting late-stage studies for the drug in treating Crohn's disease and ulcerative colitis.
Best buy of all
I like all three of these stocks -- and I own all three of them. If I had to pick just one of them as the best to buy, though, it would probably be AbbVie.
AbbVie claims a solid product lineup with Humira, cancer drug Imbruvica, and HIV drug Mavyret. It has a great pipeline. The stock trades at less than 11 times expected earnings. On top of all that, AbbVie's dividend yields nearly 4%. These factors together are enough to make AbbVie an exciting stock regardless of its mediocre performance so far in 2018.
10 stocks we like better than AbbVie
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 quadrupled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and AbbVie wasn't one of them! That's right -- they think these 10 stocks are even better buys.
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*Stock Advisor returns as of June 4, 2018
Keith Speights owns shares of AbbVie, Celgene, and Gilead Sciences. The Motley Fool owns shares of and recommends Celgene and Gilead Sciences. 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. | Here's why I think AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Gilead Sciences (NASDAQ: GILD) are the three best big pharma stocks to buy for the second half of 2018. AbbVie AbbVie stock was on a roll this year until the company's announcement in March of disappointing phase 2 study results for Rova-T in treating small-cell lung cancer. But better things could be in store for AbbVie. | Here's why I think AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Gilead Sciences (NASDAQ: GILD) are the three best big pharma stocks to buy for the second half of 2018. AbbVie AbbVie stock was on a roll this year until the company's announcement in March of disappointing phase 2 study results for Rova-T in treating small-cell lung cancer. But better things could be in store for AbbVie. | Here's why I think AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Gilead Sciences (NASDAQ: GILD) are the three best big pharma stocks to buy for the second half of 2018. AbbVie AbbVie stock was on a roll this year until the company's announcement in March of disappointing phase 2 study results for Rova-T in treating small-cell lung cancer. *Stock Advisor returns as of June 4, 2018 Keith Speights owns shares of AbbVie, Celgene, and Gilead Sciences. | Here's why I think AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Gilead Sciences (NASDAQ: GILD) are the three best big pharma stocks to buy for the second half of 2018. AbbVie AbbVie stock was on a roll this year until the company's announcement in March of disappointing phase 2 study results for Rova-T in treating small-cell lung cancer. But better things could be in store for AbbVie. |
25428.0 | 2018-07-13 00:00:00 UTC | 5 Big Pharma Stocks Investors Love Right Now | ABBV | https://www.nasdaq.com/articles/5-big-pharma-stocks-investors-love-right-now-2018-07-13 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Solid clinical results for Biogen (NASDAQ: BIIB ) sent the stock up nearly 20% in a single day last week. That set the tone for a number of hot drug stock picks for July.
The bullish madness did not stop at Biogen last week. News of positive clinical data for its Alzheimer's study lifted the entire biotechnology sector. Oddly enough, markets largely ignored pharmaceutical stocks, choosing instead to invest in the riskier biotech sector. Still, companies on the cusp of launching a blockbuster product have tremendous revenue potential: they just need enough cash to fund research and development in the interim.
10 Strong Buy Stocks for Under $10
So what stocks in the biotechnology and pharmaceutical sector should investors consider? The following are Big Pharma stocks that should be on the radar of most investors.
Big Pharma Stocks Investors Love: Acadia Pharmaceuticals (ACAD)
Source: Shutterstock
Investors changed their mind on Acadia Pharmaceuticals (NASDAQ: ACAD ) on Monday, July 9 after Southern Investigative Reporting Foundation (SIRF) wrote a negative piece on it. Acadia is described as a biotechnology company that makes drugs targeting disorders in the central nervous system. But the Foundation believes that Acadia is not a biotech company at all, but instead a "ruthless marketing entity." It also cited an April CNN report that said that the FDA did not determine the safety of the drug.
The accusation is hard to believe. In the first quarter, Acadia generated $48.9 million in sales, up by over two-fold from last year. It forecast net sales of $255 million - $270 million for 2018. It is worth noting that R&D expenses rose to $39.3 million, up from $35.4 million. Acadia ended the quarter with $298.1 million, down from $341.3 million sequentially.
Prior to the negative report, Acadia announced that the FDA approved a new formulation and dosage of Nuplazid. The 34 mg daily dose is delivered in a single small capsule. With around 4 to 6 million Parkinson's disease sufferers, half of them exhibit symptoms of psychosis that this drug would address.
Big Pharma Stocks Investors Love: AbbVie (ABBV)
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AbbVie (NYSE: ABBV ) has an immense portfolio of drugs and many more in the pipeline. At a share price of around $97, the stock dropped sharply from its $125.86 yearly high when markets decided in late-June that the company could face generic competition for Humira. Credit Suisse analysts speculated that the drug, which treats arthritis, may face downward pressure as generics make a copy of the drug. Humira is a core AbbVie product that accounts for 60% of its total net present value.
CS concedes that AbbVie's patents are protected in the U.S. until 2023, but that biosimilars will start appearing in Europe in late-2018. Longtime ABBV stockholders have been aware of the risks of competition for nearly two years. Now, at a share price below $100, investors get paid to wait, with a dividend that yields nearly 4%. Management continues to spend well on R&D to boost its pipeline to offset the potential of generic competition.
10 Businesses Amazon Is In Besides Selling Books Online
Humira's competitors have a long road to travel. It must first meet the FDA requirements for the product. Then it must show non-inferior efficacy. Only after those steps may physicians prescribe the drug. Unless the drug copies are cheaper, doctors will likely continue prescribing Humira.
Big Pharma Stocks Investors Love: Celgene (CELG)
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Celgene (NYSE: CELG ), which develops drugs for the treatment of cancer and inflammatory diseases, continues to underperform on the markets. At around $84 a share, the stock is barely above the $74.13 52-week low. Although the stock moved slightly higher last week when Pfizer (NYSE: PFE ) raised prices for a number of its drugs by up to 10%, investors still have little confidence that the company will execute on its multi-year growth plans.
Celgene stretched its balance sheet in a bad way when it bought Juno Therapeutics for $9 billion back in January. While higher cash flow growth from the business is more than enough to manage interest payments to service the higher debt levels, Celgene has little room to stumble on new product launches. The "Refusal to File" it received for its multiple sclerosis candidate Ozanimod adds to its woes of having a number of consecutive pipeline drug failures. In October 2017, Celgene said mongersen, which treats Crohn's disease, failed. These missteps are uncharacteristic for a company that executed so well before the recent string of bad news.
And while the possibility of a patent expiry for Revlimid, a drug that treats multiple myeloma in 2022 poses a threat, if it goes off patent in 2027 and Celgene faces no further new product launch delays, then Celgene is clearly an undervalued drug stock at this share price.
Big Pharma Stocks Investors Love: Crispr Therapeutics (CRSP)
Source: Shutterstock
For the more adventurous biotechnology investor, gene therapy is attracting investors. Crispr Therapeutics (NASDAQ: CRSP ), whose shares traded at a low of $15.67 but closed at around $63, has the potential game-changing technology in gene editing that could change the way scientists approach curing various human diseases. But while CRISPR has the great science for a novel treatment method, it still has no product on the market.
Crispr ended the first quarter with $341.8 million in cash. It generated $1.4 million from collaboration revenue, but expenses jumped to $19.5 million, up from $14.8 million year-on-year. For the quarter, the company lost $28.3 million.
7 S&P 500 Stocks With Low P/E Ratios
Just three analysts cover Crispr, with two calling the stock a "buy" and another rating it as a "hold." The average price target, per TipRanks , is $69.75. This suggests the stock has upside of around 10%.
Big Pharma Stocks Investors Love: Nektar Therapeutics (NKTR)
Source: Shutterstock
Nektar Therapeutics (NASDAQ: NKTR ) may have lost around half its value in the last quarter but the drug targeting developer is still up nearly double from its yearly low. The stock fell after the company reported results of its PIVOT 02. The drug, which treats myeloma, had an ORR (or Overall Response Rate) of 50%. Investors had expected better results. Still, Nektar may proceed to Phase 3 of the study.
At an investor conference held by Jefferies on June 6, Nektar highlighted three things. It said it filed its NDA for NKTR-181 in late-May and that it is looking for partners for the program. In its NKTR-214 study, the company confirmed it will advance into the Phase 3 study. This will involve kidney and bladder cancer subjects. The third point it made was that the Takeda's TAK-659 Phase 1/2 study will have a second-half of the year launch.
On Wall Street, eight analysts cover the stock. On average, the price target is around $96, implying upside of over 100% .
Conversely, five finbox.io models suggest the fair value of NKTR stock is around $45, which is close to the current share price. Another negative for Nektar is the lack of insider buying. Prior to the stock dropping on May 16, several insiders sold the stock.
Despite the potential near-term risks, investors may look forward to Nektar posting initial early data its triplet study of NKTR-262, NKTR-214 and Opdivo in the fourth-quarter timeframe. As for funding for 2018, the company is financially sound. It expects to end the year with around $1.9 billion in cash. Bristol-Myers Squibb (NYSE: BMY ) paid a $1 billion upfront payment in April and made an $850 million premium equity investment.
As of this writing, Chris Lau did not hold a position in any of the aforementioned securities.
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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. | Big Pharma Stocks Investors Love: AbbVie (ABBV) Source: Shutterstock AbbVie (NYSE: ABBV ) has an immense portfolio of drugs and many more in the pipeline. Humira is a core AbbVie product that accounts for 60% of its total net present value. CS concedes that AbbVie's patents are protected in the U.S. until 2023, but that biosimilars will start appearing in Europe in late-2018. | Big Pharma Stocks Investors Love: AbbVie (ABBV) Source: Shutterstock AbbVie (NYSE: ABBV ) has an immense portfolio of drugs and many more in the pipeline. Humira is a core AbbVie product that accounts for 60% of its total net present value. CS concedes that AbbVie's patents are protected in the U.S. until 2023, but that biosimilars will start appearing in Europe in late-2018. | Big Pharma Stocks Investors Love: AbbVie (ABBV) Source: Shutterstock AbbVie (NYSE: ABBV ) has an immense portfolio of drugs and many more in the pipeline. Humira is a core AbbVie product that accounts for 60% of its total net present value. CS concedes that AbbVie's patents are protected in the U.S. until 2023, but that biosimilars will start appearing in Europe in late-2018. | Big Pharma Stocks Investors Love: AbbVie (ABBV) Source: Shutterstock AbbVie (NYSE: ABBV ) has an immense portfolio of drugs and many more in the pipeline. Humira is a core AbbVie product that accounts for 60% of its total net present value. CS concedes that AbbVie's patents are protected in the U.S. until 2023, but that biosimilars will start appearing in Europe in late-2018. |
25429.0 | 2018-07-13 00:00:00 UTC | Will J&J's (JNJ) Pharma Segment Strength Drive Q2 Earnings? | ABBV | https://www.nasdaq.com/articles/will-jjs-jnj-pharma-segment-strength-drive-q2-earnings-2018-07-13 | nan | nan | Johnson & JohnsonJNJ has one of the most diverse revenue streams in the industry within the pharmaceutical division, which accounts for almost half of its revenues. The company has several multi-million dollar drugs covering a broad range of areas such as neuroscience, cardiovascular and metabolism; immunology, oncology, pulmonary hypertension,, and infectious diseases/vaccines. However, like many of its peers, J&J is facing generic competition and pricing pressure for some of the products in its pharmaceutical segment.
J&J's stock has depreciated 8.5% this year so far, comparing unfavorably with a decline of 2.4% recorded by the industry .
J&J's Pharma segment sales picked up from the second half of 2017 after being soft in the first half of 2017. We are likely to see the positive impact of the trend in second-quarter results. The Zacks Consensus Estimate for the J&J's Pharma segment sales is $9.93 billion.
We believe that new products, continued share gains of some key products, label expansion of drugs like Imbruvica, Xarelto, Stelara and Darzalex and meaningful contribution from acquisitions will support the top line.
Continued share gains will drive sales of Imbruvica (cancer indications), Xarelto (blood thinner), Zytiga (prostate cancer) and Stelara (psoriasis). Please note that J&J markets Imbruvica in partnership with AbbVie ABBV . The Zacks Consensus Estimates for total Imbruvica sales is $608 million.
Strong adoption witnessed for the newer indication of Crohn's disease will continue to contribute to Stelara growth. Zytiga was approved in the first-line setting in February, which contributed to the strong performance of the drug in the first quarter, a trend we expect will continue in the second quarter. Also, strong adoption in outside U.S. markets and accelerated adoption in the United States across all lines of therapy are likely to drive sales of Darzalex. Importantly, Darzalex was approved in the first-line setting this May, which can add significantly to sales in the second quarter.
These positives will offset the loss of sales of some drugs like Invokana due to higher managed care discounting and market share decline due to competitive pressure. Meanwhile, biosimilar competition is expected to hurt sales of key arthritis drug, Remicade outside the United States. Please note that J&J markets Remicade in partnership with Merck MRK . The Zacks Consensus Estimates for total Remicade sales is $1.33 billion.
We note that some inventory build and seasonality issues hurt sales of Xarelto in the first quarter. It remains to be seen if the issues persist in the second quarter as well.
Regarding newly launched Tremfya, J&J said on the first quarter conference call that the uptake of the product has been strong. The drug recorded sales of $72 million in the first quarter, which is expected to be higher in the to-be reported quarter. Meanwhile, we expect J&J to discuss initial sales numbers for Erleada, its newly approved next-generation oral androgen receptor ("AR") inhibitor for prostate cancer on the second-quarter conference call.
Overall, in the second quarter, sales in the Pharmaceutical segment are expected to remain strong while the Consumer and Medical Device segments will continue to improve (Read more: J&J to Set Pharma Q2 Earnings in Motion: What's Up? )
J&J currently carries a Zacks Rank #3 (Hold). A better-ranked large-cap pharma stock is H. Lundbeck A/S HLUYY , which sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
While shares of H. Lundbeck have gained 38% this year so far, earnings estimates for 2018 have gone up by 11.6% in the past 60 days.
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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. | Please note that J&J markets Imbruvica in partnership with AbbVie ABBV . Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. The company has several multi-million dollar drugs covering a broad range of areas such as neuroscience, cardiovascular and metabolism; immunology, oncology, pulmonary hypertension,, and infectious diseases/vaccines. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. Please note that J&J markets Imbruvica in partnership with AbbVie ABBV . We believe that new products, continued share gains of some key products, label expansion of drugs like Imbruvica, Xarelto, Stelara and Darzalex and meaningful contribution from acquisitions will support the top line. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. Please note that J&J markets Imbruvica in partnership with AbbVie ABBV . The drug recorded sales of $72 million in the first quarter, which is expected to be higher in the to-be reported quarter. | Please note that J&J markets Imbruvica in partnership with AbbVie ABBV . Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. Zytiga was approved in the first-line setting in February, which contributed to the strong performance of the drug in the first quarter, a trend we expect will continue in the second quarter. |
25430.0 | 2018-07-13 00:00:00 UTC | 2 Overlooked Biotech Stocks to Buy Now | ABBV | https://www.nasdaq.com/articles/2-overlooked-biotech-stocks-buy-now-2018-07-13 | nan | nan | A staggering amount of money is flowing into new companies with promising new technologies, many of which will lead to innovative new drugs. There have been 32 biotech IPOs on the Nasdaq exchange in 2018, and dozens more have raised nine-figure sums privately.
The recent surge in biotech investment is terrific for the pace of innovation, but that capital isn't heading toward the industry's bigger older players, a couple of which are looking mighty underappreciated right now. Perhaps the investment community's intense focus on start-ups has created interesting opportunities to snap up shares of these two overlooked biotechs at a very nice price.
Data source: Yahoo! Finance.
AbbVie and Amgen aren't risky start-ups that can double your money overnight, but their operations churn out enough cash to snap up tomorrow's blockbusters today. Best of all, there's usually plenty left over for their lucky shareholders. Read on to see how massive cash flows make these overlooked stocks look like solid buys right now.
1. AbbVie Inc.: Partnerships big and small
The world's top-selling drug, Humira, generates some tremendous cash flows for AbbVie, which it has deftly invested into new drug candidates at various stages of development. For example, the company shelled out a whopping $21 billion for rights to a blood cancer drug called Imbruvica in 2015. Since becoming the first chemo-free treatment option for the most commonly diagnosed form of leukemia, Imbruvica sales shot up, and it finished the first quarter on pace to contribute more than $3 billion to the company's top line this year.
AbbVie has also had a great deal of luck with smaller deals such as its $75 million upfront payment to Neurocrine Biosciences eight years ago. In return for the relatively tiny upfront payment, promises of royalties, and some milestone payments, AbbVie received rights to Elagolix, a potential new hormone therapy for women with endometriosis-associated pain.
The FDA is expected to hand down an approval decision for Elagolix during the present quarter. If this much-needed treatment option earns a widely expected thumbs up, it could become a blockbuster drug for AbbVie, and it's not the only one emerging from the pipeline. Rapid sales growth that has resulted from deals big and small is expected to help drive the bottom line higher at a stunning 16.7% annual rate over the next five years, according to the average Wall Street analyst following the stock.
2. Amgen, Inc.: Saving for something big?
This big biotech's $9.7 billion acquisition of Onyx Pharmaceuticals in 2013 wasn't the best deal in the history of biotech, but it is working out for shareholders. The crown jewel of the acquisition, Kyprolis, won't become Amgen's top drug, but sales of the multiple myeloma therapy will probably reach $1 billion annually by 2020.
It's important to note that Amgen's been generating heaps of cash for years without a major acquisition, and now it has a whopping $32.2 billion worth of ammunition to fire at the next potential growth opportunity. The company could pull the trigger on a major acquisition, but it doesn't need mighty sums to generate big returns for its most patient investors. In 2007, the company handed Cytokinetics $75 million upfront for rights to omecamtiv mecarbil, a heart failure drug that could generate blockbuster sales if successful in an ongoing late-stage clinical trial.
They can also buy your affection
These drugmakers don't just use their cash flows to acquire tomorrow's growth drivers; they hand it back to their shareholders hand over fist. AbbVie's dividend raises have accelerated lately, and management recently announced a new $10 billion stock repurchase program.
ABBV Dividend data by YCharts .
At recent prices, AbbVie's new repurchase authorization is enough to retire around 6.6% of the company's outstanding shares, which is impressive, but hardly holds a candle to Amgen's recent track record.
A lower share count makes it easier to distribute more to each remaining share, which partly explains how Amgen has more than doubled its quarterly dividend payout over the past five years. The stock offers a respectable 2.7% dividend yield at recent prices that could grow significantly in the years ahead because Amgen needed just 32% of free cash flow generated over the past year to make dividend payments.
AbbVie also has a lot of room to treat investors to bigger payouts. The company used just 42% of free cash flow over the past year to meet its dividend obligations.
With plenty of cash to distribute and invest in their pipelines, both of these biotechs look like screaming buys right now.
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Cory Renauer has no position in any of the stocks mentioned. The Motley Fool recommends Amgen. 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. | AbbVie and Amgen aren't risky start-ups that can double your money overnight, but their operations churn out enough cash to snap up tomorrow's blockbusters today. AbbVie Inc.: Partnerships big and small The world's top-selling drug, Humira, generates some tremendous cash flows for AbbVie, which it has deftly invested into new drug candidates at various stages of development. AbbVie has also had a great deal of luck with smaller deals such as its $75 million upfront payment to Neurocrine Biosciences eight years ago. | AbbVie and Amgen aren't risky start-ups that can double your money overnight, but their operations churn out enough cash to snap up tomorrow's blockbusters today. AbbVie Inc.: Partnerships big and small The world's top-selling drug, Humira, generates some tremendous cash flows for AbbVie, which it has deftly invested into new drug candidates at various stages of development. AbbVie has also had a great deal of luck with smaller deals such as its $75 million upfront payment to Neurocrine Biosciences eight years ago. | AbbVie Inc.: Partnerships big and small The world's top-selling drug, Humira, generates some tremendous cash flows for AbbVie, which it has deftly invested into new drug candidates at various stages of development. AbbVie and Amgen aren't risky start-ups that can double your money overnight, but their operations churn out enough cash to snap up tomorrow's blockbusters today. AbbVie has also had a great deal of luck with smaller deals such as its $75 million upfront payment to Neurocrine Biosciences eight years ago. | AbbVie and Amgen aren't risky start-ups that can double your money overnight, but their operations churn out enough cash to snap up tomorrow's blockbusters today. AbbVie Inc.: Partnerships big and small The world's top-selling drug, Humira, generates some tremendous cash flows for AbbVie, which it has deftly invested into new drug candidates at various stages of development. AbbVie has also had a great deal of luck with smaller deals such as its $75 million upfront payment to Neurocrine Biosciences eight years ago. |
25431.0 | 2018-07-12 00:00:00 UTC | Keep Your Eyes on Healthcare's Odd Couple: AbbVie and Alphabet | ABBV | https://www.nasdaq.com/articles/keep-your-eyes-healthcares-odd-couple-abbvie-and-alphabet-2018-07-12 | nan | nan | One small step for two companies, one giant leap for mankind? That might be what we see in retrospect years from now.
AbbVie (NYSE: ABBV) and Calico, a life sciences company funded by Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) , recently announced a three-year extension of their collaboration to develop therapies for age-related diseases, including cancer and neurodegenerative disorders. The two companies first teamed up in 2014.
These kinds of collaborations happen all the time in the biopharmaceutical world. There's no guarantee that anything significant will come from the AbbVie-Calico partnership. But I think investors should keep their eyes on what the two companies are doing. They just might turn healthcare upside down.
Healthcare's odd couple
AbbVie and Alphabet working together might seem like the healthcare equivalent of the classic TV comedy "The Odd Couple." On the surface, at least, a pairing between one of the biggest drugmakers in the world with one of the largest technology companies in the world seems unusual.
A few years ago, however, Alphabet (which then was known as Google) decided to jump into the healthcare space head first. The company's Google X team had several projects focusing on healthcare-related initiatives. Its Google Ventures venture capital arm invested in quite a few healthcare companies. Some of those early initiatives led to the founding of Google Life Sciences, which was renamed as Verily in late 2015 .
In 2013, though, Google announced that it was starting a new company, Calico, with a really ambitious goal to tackle aging and extend how long humans can live. Google brought Arthur Levinson aboard as the new company's CEO. Levinson led Genentech from 1995 until 2009, when the biotech was acquired by Roche . He also has served as the chairman of Apple 's board of directors since 2011.
Nearly one year after its founding, Calico partnered with AbbVie in what Levinson called "a pivotal event for Calico." Each company ponied up $250 million to fund Calico's effort to establish a world-class research and development facility in the San Francisco Bay area.
What did AbbVie get out of the deal? The big drugmaker has the option to take over late-stage clinical development and commercialization of any therapies resulting from its collaboration with Calico.
What Calico is doing
The recent extension of the collaboration agreement for another three years indicates that both parties are happy with their working relationship so far. AbbVie's chief scientific officer, Michael Severino, said that the companies have "built a successful collaboration -- both scientifically and culturally." Arthur Levinson stated that Calico's collaboration with AbbVie "has fully met our high expectations."
But just what has Calico actually been doing? Few details are available. The press release issued by AbbVie and Calico about the extension stated that the collaboration "has produced more than two dozen early stage programs addressing disease states across oncology and neuroscience and yielded new insights into the biology of aging."
Calico now has more than 150 employees. Its research team includes some of the world's top experts in aging. For example, Cynthia Kenyon has been a pioneer in aging research for decades. Calico's head of research, Daniel Gottschling, is a prominent leader in researching the aging process.
The specific advances made by Calico's team have been largely kept under wraps so far. There is at least one intriguing finding that has been announced by the small biotech, though. Earlier this year, Calico scientists published findings from their research into the naked mole rat.
If you're not a fan of the naked mole rat, perhaps you should be. Calico's research discovered that the rodent defies laws of mortality. As animals age, their risk of death increases exponentially. That's not true for the naked mole rat, however. The creatures show little signs of aging, and their life-spans far exceed that of other rodents.
Calico's publications also point to significant research into the aging of C. elegans , more commonly known as the roundworm. The company's scientists found that specific genetic mutations in the worm that extend lifespan don't cause feebleness in old age as some researchers thought.
Just a small step -- for now
Why care about research into mole rats and roundworms? There's a possibility that Calico's understanding of aging in these animals could lead to breakthroughs in slowing down human aging.
Neither AbbVie nor Alphabet depends on Calico's success in its efforts. AbbVie claims the world's top-selling drug and the second-best drug pipeline in the biopharmaceutical industry . Alphabet ranks as the top search engine provider and is a leader in up-and-coming technologies including artificial intelligence, cloud computing, and self-driving cars. The investments in Calico and the collaboration thus far are merely drops in the bucket for both of these big companies.
But imagine what could happen if Calico does achieve its goal of cracking the code for aging and develops therapies that extend the human life-span. It could rival -- and likely even surpass -- the impact of man's first step on the moon.
The collaboration between Alphabet's Calico and AbbVie isn't a reason for investors to get excited yet. Small steps, though, can and sometimes do lead to giant leaps.
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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Keith Speights owns shares of AbbVie, Alphabet (A shares), and Apple. The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), and Apple. The Motley Fool has the following options: long January 2020 $150 calls on Apple and short January 2020 $155 calls on Apple. 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. | AbbVie (NYSE: ABBV) and Calico, a life sciences company funded by Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) , recently announced a three-year extension of their collaboration to develop therapies for age-related diseases, including cancer and neurodegenerative disorders. There's no guarantee that anything significant will come from the AbbVie-Calico partnership. Healthcare's odd couple AbbVie and Alphabet working together might seem like the healthcare equivalent of the classic TV comedy "The Odd Couple." | AbbVie (NYSE: ABBV) and Calico, a life sciences company funded by Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) , recently announced a three-year extension of their collaboration to develop therapies for age-related diseases, including cancer and neurodegenerative disorders. There's no guarantee that anything significant will come from the AbbVie-Calico partnership. Healthcare's odd couple AbbVie and Alphabet working together might seem like the healthcare equivalent of the classic TV comedy "The Odd Couple." | AbbVie (NYSE: ABBV) and Calico, a life sciences company funded by Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) , recently announced a three-year extension of their collaboration to develop therapies for age-related diseases, including cancer and neurodegenerative disorders. Nearly one year after its founding, Calico partnered with AbbVie in what Levinson called "a pivotal event for Calico." There's no guarantee that anything significant will come from the AbbVie-Calico partnership. | Neither AbbVie nor Alphabet depends on Calico's success in its efforts. AbbVie (NYSE: ABBV) and Calico, a life sciences company funded by Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) , recently announced a three-year extension of their collaboration to develop therapies for age-related diseases, including cancer and neurodegenerative disorders. There's no guarantee that anything significant will come from the AbbVie-Calico partnership. |
25432.0 | 2018-07-11 00:00:00 UTC | AbbVie Inc. (ABBV) Ex-Dividend Date Scheduled for July 12, 2018 | ABBV | https://www.nasdaq.com/articles/abbvie-inc-abbv-ex-dividend-date-scheduled-july-12-2018-2018-07-11 | nan | nan | AbbVie Inc. ( ABBV ) will begin trading ex-dividend on July 12, 2018. A cash dividend payment of $0.96 per share is scheduled to be paid on August 15, 2018. Shareholders who purchased ABBV prior to the ex-dividend date are eligible for the cash dividend payment. This represents an 50% increase over prior dividend payment. At the current stock price of $98.84, the dividend yield is 3.89%.
The previous trading day's last sale of ABBV was $98.84, representing a -21.47% decrease from the 52 week high of $125.86 and a 42.46% increase over the 52 week low of $69.38.
ABBV is a part of the Health Care sector, which includes companies such as Johnson & Johnson ( JNJ ) and Pfizer, Inc. ( PFE ). ABBV's current earnings per share, an indicator of a company's profitability, is $3.97. Zacks Investment Research reports ABBV's forecasted earnings growth in 2018 as 39.22%, compared to an industry average of 7.4%.
For more information on the declaration, record and payment dates, visit the ABBV Dividend History page. Our Dividend Calendar has the full list of stocks that have an ex-dividend today.
Interested in gaining exposure to ABBV through an Exchange Traded Fund [ETF]?
The following ETF(s) have ABBV as a top-10 holding:
Inspire 100 ETF ( BIBL )
Vanguard Health Care ETF ( VHT )
iShares U.S. Healthcare ETF ( IYH )
iShares Global Healthcare ETF ( IXJ )
NuShares Enhanced Yield US Aggregate Bond ETF ( NULG ).
The top-performing ETF of this group is NULG with an increase of 10.2% over the last 100 days. BIBL has the highest percent weighting of ABBV at 5.04%.
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. | Shareholders who purchased ABBV prior to the ex-dividend date are eligible for the cash dividend payment. Zacks Investment Research reports ABBV's forecasted earnings growth in 2018 as 39.22%, compared to an industry average of 7.4%. For more information on the declaration, record and payment dates, visit the ABBV Dividend History page. | The following ETF(s) have ABBV as a top-10 holding: Inspire 100 ETF ( BIBL ) Vanguard Health Care ETF ( VHT ) iShares U.S. Healthcare ETF ( IYH ) iShares Global Healthcare ETF ( IXJ ) NuShares Enhanced Yield US Aggregate Bond ETF ( NULG ). The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. AbbVie Inc. ( ABBV ) will begin trading ex-dividend on July 12, 2018. | Shareholders who purchased ABBV prior to the ex-dividend date are eligible for the cash dividend payment. For more information on the declaration, record and payment dates, visit the ABBV Dividend History page. The following ETF(s) have ABBV as a top-10 holding: Inspire 100 ETF ( BIBL ) Vanguard Health Care ETF ( VHT ) iShares U.S. Healthcare ETF ( IYH ) iShares Global Healthcare ETF ( IXJ ) NuShares Enhanced Yield US Aggregate Bond ETF ( NULG ). | Shareholders who purchased ABBV prior to the ex-dividend date are eligible for the cash dividend payment. ABBV's current earnings per share, an indicator of a company's profitability, is $3.97. AbbVie Inc. ( ABBV ) will begin trading ex-dividend on July 12, 2018. |
25433.0 | 2018-07-10 00:00:00 UTC | Ex-Dividend Reminder: AbbVie, Abbott Laboratories and Patterson Companies | ABBV | https://www.nasdaq.com/articles/ex-dividend-reminder-abbvie-abbott-laboratories-and-patterson-companies-2018-07-10 | nan | nan | Looking at the universe of stocks we cover at Dividend Channel , on 7/12/18, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Patterson Companies Inc (Symbol: PDCO) will all trade ex-dividend for their respective upcoming dividends. AbbVie Inc will pay its quarterly dividend of $0.96 on 8/15/18, Abbott Laboratories will pay its quarterly dividend of $0.28 on 8/15/18, and Patterson Companies Inc will pay its quarterly dividend of $0.26 on 7/27/18. As a percentage of ABBV's recent stock price of $97.23, this dividend works out to approximately 0.99%, so look for shares of AbbVie Inc to trade 0.99% lower - all else being equal - when ABBV shares open for trading on 7/12/18. Similarly, investors should look for ABT to open 0.45% lower in price and for PDCO to open 1.12% lower, all else being equal.
Below are dividend history charts for ABBV, ABT, and PDCO, showing historical dividends prior to the most recent ones declared.
AbbVie Inc (Symbol: ABBV) :
Abbott Laboratories (Symbol: ABT) :
Patterson Companies Inc (Symbol: PDCO) :
In general, dividends are not always predictable, following the ups and downs of company profits over time. Therefore, a good first due diligence step in forming an expectation of annual yield going forward, is looking at the history above, for a sense of stability over time. This can help in judging whether the most recent dividends from these companies are likely to continue. If they do continue, the current estimated yields on annualized basis would be 3.95% for AbbVie Inc, 1.79% for Abbott Laboratories, and 4.49% for Patterson Companies Inc.
In Tuesday trading, AbbVie Inc shares are currently up about 0.2%, Abbott Laboratories shares are up about 0.5%, and Patterson Companies Inc shares are down about 0.4% on the day.
Click here to learn which 25 S.A.F.E. dividend stocks should be on your radar screen »
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. | As a percentage of ABBV's recent stock price of $97.23, this dividend works out to approximately 0.99%, so look for shares of AbbVie Inc to trade 0.99% lower - all else being equal - when ABBV shares open for trading on 7/12/18. If they do continue, the current estimated yields on annualized basis would be 3.95% for AbbVie Inc, 1.79% for Abbott Laboratories, and 4.49% for Patterson Companies Inc. Looking at the universe of stocks we cover at Dividend Channel , on 7/12/18, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Patterson Companies Inc (Symbol: PDCO) will all trade ex-dividend for their respective upcoming dividends. | Looking at the universe of stocks we cover at Dividend Channel , on 7/12/18, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Patterson Companies Inc (Symbol: PDCO) will all trade ex-dividend for their respective upcoming dividends. AbbVie Inc will pay its quarterly dividend of $0.96 on 8/15/18, Abbott Laboratories will pay its quarterly dividend of $0.28 on 8/15/18, and Patterson Companies Inc will pay its quarterly dividend of $0.26 on 7/27/18. AbbVie Inc (Symbol: ABBV) : Abbott Laboratories (Symbol: ABT) : Patterson Companies Inc (Symbol: PDCO) : In general, dividends are not always predictable, following the ups and downs of company profits over time. | Looking at the universe of stocks we cover at Dividend Channel , on 7/12/18, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Patterson Companies Inc (Symbol: PDCO) will all trade ex-dividend for their respective upcoming dividends. AbbVie Inc will pay its quarterly dividend of $0.96 on 8/15/18, Abbott Laboratories will pay its quarterly dividend of $0.28 on 8/15/18, and Patterson Companies Inc will pay its quarterly dividend of $0.26 on 7/27/18. AbbVie Inc (Symbol: ABBV) : Abbott Laboratories (Symbol: ABT) : Patterson Companies Inc (Symbol: PDCO) : In general, dividends are not always predictable, following the ups and downs of company profits over time. | Looking at the universe of stocks we cover at Dividend Channel , on 7/12/18, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Patterson Companies Inc (Symbol: PDCO) will all trade ex-dividend for their respective upcoming dividends. As a percentage of ABBV's recent stock price of $97.23, this dividend works out to approximately 0.99%, so look for shares of AbbVie Inc to trade 0.99% lower - all else being equal - when ABBV shares open for trading on 7/12/18. If they do continue, the current estimated yields on annualized basis would be 3.95% for AbbVie Inc, 1.79% for Abbott Laboratories, and 4.49% for Patterson Companies Inc. |
25434.0 | 2018-07-10 00:00:00 UTC | The Zacks Analyst Blog Highlights: Apache, Continental Resources, KMG Chemicals, ZAGG and AbbVie | ABBV | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights%3A-apache-continental-resources-kmg-chemicals-zagg-and | nan | nan | For Immediate Release
Chicago, IL - July 10, 2018 - Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Apache Corp. APA , Continental Resources, Inc. CLR , KMG Chemicals, Inc. KMG , ZAGG Inc ZAGG and AbbVie Inc. ABBV .
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Monday's Analyst Blog:
Celebrate Trump's 2 nd Year in Office with These 5 Winners
It's time to celebrate President Trump's second year in office. After all, in two out of every three times, the second years of presidential terms have favored stock investors.
Wall Street, by the way, has shown enough confidence even as concerns about trade war loom large. As a matter of fact, solid job additions last month and an economy poised for growth that could come teasingly close to a milestone achieved in 2005 have instilled confidence among investors.
Given the bullishness, investing in stocks with solid growth potential doesn't seem to be a bad proposition.
Wall Street Usually Rises in 2nd Year of Presidential Terms
There is always a 67% chance that the U.S. stock market will scale north during the second years of presidential terms. The Dow Jones Industrial Average, since its inception in 1896, has risen in two out of three times on average during the said period. And when the stock market rises less than 2% in the first half, you can be assured that it's a done deal. Needless to say, the broader S&P 500 index rose less than 2% in the first half of this year.
Even when the markets are fraught with concerns about geopolitical tensions or pending U.S. mid-term elections, you can pin your hopes on the success of the second year of a presidential term. And why not? The stock market is always forward looking and has already discounted such issues. Further, these odds won't get hampered even if it is an aging bull market. This is why, there is a saying that bull markets don't die of old age.
% of time DJIA rises during the 2nd years of presidential terms (Data: Since 1896)
Underlying Fundamentals Point the Way Higher
Stocks, by the way, have remained resilient to potential threats such U.S.-China trade skirmish after the White House imposed tariffs on $34 billion worth of Chinese goods, compelling Beijing to retaliate (read more: Think Small As U.S.-China Trade War Breaks Out! 5 Top Picks ).
Bulls also have solid faith in the underlying strengths of the U.S. economy and perhaps that points the way higher. The United States has been able to create 213,000 jobs in June; a healthy sign that show corporates are finding ways to fill open jobs despite lack of skilled workers. Such hiring figures easily topped analysts' estimates of 200,000 job additions.
Job gains were pretty broad based, with white-collar jobs leading the way with 50,000 job additions. From manufacturers, health-care providers to construction companies, all hired workers, a clear sign of a burgeoning economy.
The unemployment rate rose to 4% last month, but for a good reason. The jobless rate went up mostly because of around 600,000 people entering the labor force. This showed that more Americans are searching for jobs as they are easier to find.
Companies, in the meanwhile, are raising pay and benefits. Hourly wages rose 5 cents to $26.98. The yearly rate of pay hikes remained unchanged at 2.7%.
Ramped up business investments, in a way, is expected to help the economy gain traction. The U.S. economy is projected to expand in the second quarter at an annual pace of nearly 4% after a 2.2% gain in the first three months of this year, economists say. This would put the economy in a solid position this year to meet or even beat 3% growth in gross domestic product (GDP), one of the primary aims of the government (read more: US GDP to Hit Elusive 3% Annual Growth in 13 Years: 5 Picks ).
Pundits Remain Sanguine About the U.S. Equity Outlook
A number of market pundits remain upbeat about the outlook for U.S. equities. They have looked beyond potential headwinds that have been hurting the markets so far this year. In fact, analysts at JPMorgan Chase & Co. have said that upbeat economic data coupled with pro-business policies will help companies register double-digit growth and accelerate buybacks in the near term.
Dubravko Lakos-Bujas, the firm's head of equity strategy, raised his year-end target for the S&P to 3,000 (8.7% upside potential from the current level).
Tobias Levkovich, Citigroup's chief U.S. strategist, is also upbeat, upgrading his rating to overweight from neutral and setting a price a price target of 2,865 for the S&P(3.8% upside potential from the current level).
Andrew Adams, a strategist at Raymond James, in the meantime said that even though this year has seen a more torrid run than last year, he is yet to see red flags that indicate that the bull run is near its end. In fact, he has urged investors to look at the long-term trend and remain bullish.
5 Stocks With Solid Upside Potential in the Second half
Wall Street is gaining traction despite headlines flashing warnings about trade war. At the same time, statistical evidence shows that Trump's second year in office will be fruitful for the stock market. Thus, investing in stocks that can make the most of these bullish trends seems judicious.
We have, hence, selected five stocks that flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy) and a Growth Score of A or B, as it offers the best investment opportunities in the growth investing space.
Apache Corp. is an independent energy company. The stock currently has a Zacks Rank #2 and a Growth Score of A. In the last 60 days, seven earnings estimates moved north, while one moved south for the current year. The Zacks Consensus Estimate for earnings rose 29.6% in the same period. The company's expected earnings growth rate for the current year is 629.2% compared with the Oil and Gas - Exploration and Production - United States industry's projected rally of 20.1%.
Continental Resources, Inc. explores for, develops, and produces crude oil and natural gas properties in the north, south, and east regions of the United States. The stock currently has a Zacks Rank #1 and a Growth Score of B. In the last 60 days, 11 earnings estimates moved north, while none moved south for the current year. The Zacks Consensus Estimate for earnings increased 20.4% in the same period. The company's expected earnings growth rate for the current year is 535.3% compared with the Oil and Gas - Exploration and Production - United States industry's expected gain of 20.1%.
KMG Chemicals, Inc. manufactures, formulates, and distributes specialty chemicals and performance materials worldwide. The stock currently has a Zacks Rank #1 and a Growth Score of B. In the last 60 days, three earnings estimates moved up, while none moved down for the current year. The Zacks Consensus Estimate for earnings increased nearly 13% in the same period. The company's expected earnings growth rate for the current year is 76.2% compared with the Chemical - Specialty industry's estimated rally of 18.9%. You can see the complete list of today's Zacks #1 Rank stocks here .
ZAGG Inc designs, manufactures, and distributes mobile tech accessories for smartphones and tablets in the United States and internationally. The stock currently has a Zacks Rank #1 and a Growth Score of B. In the last 60 days, one earnings estimate moved north, while none moved south for the current year. The Zacks Consensus Estimate for earnings advanced 1.4% in the same period. The company's expected earnings growth rate for the current year is 44.3% compared with the Electronics - Miscellaneous Components industry's projected rally of 21.1%.
AbbVie Inc. discovers, develops, manufactures, and sells pharmaceutical products worldwide. The stock currently has a Zacks Rank #2 and a Growth Score of B. In the last 60 days, two earnings estimates moved north, while none moved south for the current year. The Zacks Consensus Estimate for earnings rose 0.3% in the same period. The company's expected earnings growth rate for the current year is 39.3% compared with the Large Cap Pharmaceuticals industry's estimated growth of 7.4%.
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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. | Stocks recently featured in the blog include Apache Corp. APA , Continental Resources, Inc. CLR , KMG Chemicals, Inc. KMG , ZAGG Inc ZAGG and AbbVie Inc. ABBV . AbbVie Inc. discovers, develops, manufactures, and sells pharmaceutical products worldwide. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. | Stocks recently featured in the blog include Apache Corp. APA , Continental Resources, Inc. CLR , KMG Chemicals, Inc. KMG , ZAGG Inc ZAGG and AbbVie Inc. ABBV . Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. discovers, develops, manufactures, and sells pharmaceutical products worldwide. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include Apache Corp. APA , Continental Resources, Inc. CLR , KMG Chemicals, Inc. KMG , ZAGG Inc ZAGG and AbbVie Inc. ABBV . AbbVie Inc. discovers, develops, manufactures, and sells pharmaceutical products worldwide. | Stocks recently featured in the blog include Apache Corp. APA , Continental Resources, Inc. CLR , KMG Chemicals, Inc. KMG , ZAGG Inc ZAGG and AbbVie Inc. ABBV . AbbVie Inc. discovers, develops, manufactures, and sells pharmaceutical products worldwide. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. |
25435.0 | 2018-07-09 00:00:00 UTC | Better Buy: Eli Lilly and Company vs. AbbVie | ABBV | https://www.nasdaq.com/articles/better-buy-eli-lilly-and-company-vs-abbvie-2018-07-09 | nan | nan | Shares of AbbVie (NYSE: ABBV) started out the year with a bang, while around the same time, Eli Lilly 's (NYSE: LLY) stock price began to slide. Fast-forward to the present, however, and the former laggard is in the lead, albeit with a meager 2% gain.
Is a less expensive AbbVie the better buy now, or will new drug launches give Eli Lilly the edge? Let's look at some of the opportunities and challenges ahead for each to see which is the better stock pick at the moment.
Dividends and buybacks
It's hard for companies this large to triple their value the way some start-ups and smaller biotechs can, but big pharma stocks are known for sharing the hefty profits their patented drugs generate. AbbVie shares offer an attractive 4% yield at recent prices, and earlier this year, its board approved a $10 billion stock repurchase program.
Since 2013, Eli Lilly hasn't had the sort of cash flows that would inspire its board of directors to approve multibillion-dollar share repurchases, and its dividend offers a less-than-inspiring 2.6% yield at recent prices. Its latest payout bump of 8.2% was a nice treat, but Lilly's shareholders have only seen their quarterly payouts rise by 15% over the past five years.
AbbVie, by contrast, has raised its payout by a remarkable 140% over the past five years, and it only needed around 42% of the free cash flow generated over the past 12 months to meet its obligations. Eli Lilly's profits haven't been growing nearly as quickly, but it does have plenty of room to make some big payout bumps in the years ahead.
On the way up
Eli Lilly's dividend isn't anything to be excited about right now, but it could soar on the backs of several recently launched drugs. Aggregate sales of eight products launched since 2014 rose by 80% in the first quarter to $1.5 billion, and they've got a lot further to run.
The company's next-generation diabetes drug, Trulicity, is a big hit already, and its sales are still growing by leaps and bounds. In Q1, revenues from it rose 82% compared to the same period last year, giving the weekly injection drug on track an annualized run rate of $2.7 billion. There are around 29 million type 2 diabetics in the U.S. alone, a population that could drive sales of this treatment much higher.
AbbVie has enjoyed tremendous success with Mavyret, a short course treatment that wipes out the hepatitis C virus. Hepatitis C franchise revenue during Q1 increased 350% to a $3.7 billion run rate. The company's revenues from its share of sales of the blood cancer drug Imbruvica climbed an impressive 36% to hit a $3.0 billion run rate.
On the way down
Mavyret and Imbruvica are growing fast, but AbbVie still depends on it's flagship rheumatoid arthritis therapy, Humira, for the lion's share of its growth, and 59% of its total revenue. Unfortunately, its main patent in the U.S. has already expired, and it looks like it will begin facing competition from less expensive biosimilars in 2023.
Eli Lilly's Humalog franchise is still growing sales at a fair clip, but it's been 22 years since the mealtime insulin injection earned its first FDA approval. Cialis was a $2.3 billion drug last year, and it still provides 8.7% of the company's revenue, but its first-quarter sales fell 12% on year due to generic competition that will probably get more intense in the quarters ahead.
On the way
Lilly recently took a bold step into immuno-oncology with its $1.6 billion acquisition of Armo Biosciences. The company was developing a new drug aimed at solid tumors that showed promise in early-stage trials. AM0010 doesn't have a catchy name yet, but it is in a pivotal trial, and could prove to be an important new treatment option for advanced-stage pancreatic cancer.
Lilly's late-stage pipeline also sports a migraine prevention drug that's under review at the FDA; if approved, it could rake in 10 figures annually at its peak.
AbbVie shareholders can probably look forward to a couple of high-profile FDA approvals in the near future. Earlier this year, it submitted an application for its psoriasis tablet, risankizumab, which AbbVie thinks could generate $4 billion in peak annual sales. The company also has a potential blockbuster in its next-generation rheumatoid arthritis therapy, upadacitinib, which could do even better. Elagolix, for endometriosis-associated pain, could likewise become a blockbuster as the first new oral treatment for a large group of underserved patients.
The better buy now
Eli Lilly has done a fine job of assembling a rookie product lineup with strong potential. With relatively little to drag it down, I wouldn't be surprised if the company grows its top line at a double-digit percentage rate for the next several years. And AbbVie faces a serious challenge due to the loss of exclusivity on Humira. However, I think a late-stage pipeline ready to burst can keep its top line growing at a speedy pace when smoothed out over the coming decade.
I'm fairly optimistic about Eli Lilly, but as an investment, it just can't beat AbbVie at today's prices.
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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. | On the way down Mavyret and Imbruvica are growing fast, but AbbVie still depends on it's flagship rheumatoid arthritis therapy, Humira, for the lion's share of its growth, and 59% of its total revenue. Shares of AbbVie (NYSE: ABBV) started out the year with a bang, while around the same time, Eli Lilly 's (NYSE: LLY) stock price began to slide. Is a less expensive AbbVie the better buy now, or will new drug launches give Eli Lilly the edge? | Is a less expensive AbbVie the better buy now, or will new drug launches give Eli Lilly the edge? AbbVie shares offer an attractive 4% yield at recent prices, and earlier this year, its board approved a $10 billion stock repurchase program. Shares of AbbVie (NYSE: ABBV) started out the year with a bang, while around the same time, Eli Lilly 's (NYSE: LLY) stock price began to slide. | Shares of AbbVie (NYSE: ABBV) started out the year with a bang, while around the same time, Eli Lilly 's (NYSE: LLY) stock price began to slide. AbbVie shares offer an attractive 4% yield at recent prices, and earlier this year, its board approved a $10 billion stock repurchase program. Is a less expensive AbbVie the better buy now, or will new drug launches give Eli Lilly the edge? | Is a less expensive AbbVie the better buy now, or will new drug launches give Eli Lilly the edge? Shares of AbbVie (NYSE: ABBV) started out the year with a bang, while around the same time, Eli Lilly 's (NYSE: LLY) stock price began to slide. AbbVie shares offer an attractive 4% yield at recent prices, and earlier this year, its board approved a $10 billion stock repurchase program. |
25436.0 | 2018-07-09 00:00:00 UTC | Celebrate Trump's 2nd Year in Office With These 5 Winners | ABBV | https://www.nasdaq.com/articles/celebrate-trumps-2nd-year-office-these-5-winners-2018-07-09 | nan | nan | It's time to celebrate President Trump's second year in office. After all, in two out of every three times, the second years of presidential terms have favored stock investors,.
Wall Street, by the way, has shown enough confidence even as concerns about trade war loom large. As a matter of fact, solid job additions last month and an economy poised for growth that could come teasingly close to a milestone achieved in 2005 have instilled confidence among investors.
Given the bullishness, investing in stocks with solid growth potential doesn't seem to be a bad proposition.
Wall Street Usually Rises in 2nd Year of Presidential Terms
There is always a 67% chance that the U.S. stock market will scale north during the second years of presidential terms. The Dow Jones Industrial Average, since its inception in 1896, has risen in two out of three times on average during the said period. And when the stock market rises less than 2% in the first half, you can be assured that it's a done deal. Needless to say, the broader S&P 500 index rose less than 2% in the first half of this year.
Even when the markets are fraught with concerns about geopolitical tensions or pending U.S. mid-term elections, you can pin your hopes on the success of the second year of a presidential term. And why not? The stock market is always forward looking and has already discounted such issues. Further, these odds won't get hampered even if it is an aging bull market. This is why, there is a saying that bull markets don't die of old age.
% of time DJIA rises during the 2nd years of presidential terms (Data: Since 1896)
Underlying Fundamentals Point the Way Higher
Stocks, by the way, have remained resilient to potential threats such U.S.-China trade skirmish after the White House imposed tariffs on $34 billion worth of Chinese goods, compelling Beijing to retaliate (read more: Think Small As U.S.-China Trade War Breaks Out! 5 Top Picks ).
Bulls also have solid faith in the underlying strengths of the U.S. economy and perhaps that points the way higher. The United States has been able to create 213,000 jobs in June; a healthy sign that show corporates are finding ways to fill open jobs despite lack of skilled workers. Such hiring figures easily topped analysts' estimates of 200,000 job additions.
Job gains were pretty broad based, with white-collar jobs leading the way with 50,000 job additions. From manufacturers, health-care providers to construction companies, all hired workers, a clear sign of a burgeoning economy.
The unemployment rate rose to 4% last month, but for a good reason. The jobless rate went up mostly because of around 600,000 people entering the labor force. This showed that more Americans are searching for jobs as they are easier to find.
Companies, in the meanwhile, are raising pay and benefits. Hourly wages rose 5 cents to $26.98. The yearly rate of pay hikes remained unchanged at 2.7%.
Ramped up business investments, in a way, is expected to help the economy gain traction. The U.S. economy is projected to expand in the second quarter at an annual pace of nearly 4% after a 2.2% gain in the first three months of this year, economists say. This would put the economy in a solid position this year to meet or even beat 3% growth in gross domestic product (GDP), one of the primary aims of the government (read more: US GDP to Hit Elusive 3% Annual Growth in 13 Years: 5 Picks ).
Pundits Remain Sanguine About the U.S. Equity Outlook
A number of market pundits remain upbeat about the outlook for U.S. equities. They have looked beyond potential headwinds that have been hurting the markets so far this year. In fact, analysts at JPMorgan Chase & Co. JPM have said that upbeat economic data coupled with pro-business policies will help companies register double-digit growth and accelerate buybacks in the near term.
Dubravko Lakos-Bujas, the firm's head of equity strategy, raised his year-end target for the S&P to 3,000 (8.7% upside potential from the current level).
Tobias Levkovich, Citigroup's C chief U.S. strategist, is also upbeat, upgrading his rating to overweight from neutral and setting a price a price target of 2,865 for the S&P(3.8% upside potential from the current level).
Andrew Adams, a strategist at Raymond James, in the meantime said that even though this year has seen a more torrid run than last year, he is yet to see red flags that indicate that the bull run is near its end. In fact, he has urged investors to look at the long-term trend and remain bullish.
5 Stocks With Solid Upside Potential in the Second half
Wall Street is gaining traction despite headlines flashing warnings about trade war. At the same time, statistical evidence shows that Trump's second year in office will be fruitful for the stock market. Thus, investing in stocks that can make the most of these bullish trends seems judicious.
We have, hence, selected five stocks that flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy) and a Growth Score of A or B, as it offers the best investment opportunities in the growth investing space.
Apache CorporationAPA is an independent energy company. The stock currently has a Zacks Rank #2 and a Growth Score of A. In the last 60 days, seven earnings estimates moved north, while one moved south for the current year. The Zacks Consensus Estimate for earnings rose 29.6% in the same period. The company's expected earnings growth rate for the current year is 629.2% compared with the Oil and Gas - Exploration and Production - United States industry's projected rally of 20.1%.
Continental Resources, Inc.CLR explores for, develops, and produces crude oil and natural gas properties in the north, south, and east regions of the United States. The stock currently has a Zacks Rank #1 and a Growth Score of B. In the last 60 days, 11 earnings estimates moved north, while none moved south for the current year. The Zacks Consensus Estimate for earnings increased 20.4% in the same period. The company's expected earnings growth rate for the current year is 535.3% compared with the Oil and Gas - Exploration and Production - United States industry's expected gain of 20.1%.
KMG Chemicals, Inc.KMG manufactures, formulates, and distributes specialty chemicals and performance materials worldwide. The stock currently has a Zacks Rank #1 and a Growth Score of B. In the last 60 days, three earnings estimates moved up, while none moved down for the current year. The Zacks Consensus Estimate for earnings increased nearly 13% in the same period. The company's expected earnings growth rate for the current year is 76.2% compared with the Chemical - Specialty industry's estimated rally of 18.9%. You can see the complete list of today's Zacks #1 Rank stocks here .
ZAGG IncZAGG designs, manufactures, and distributes mobile tech accessories for smartphones and tablets in the United States and internationally. The stock currently has a Zacks Rank #1 and a Growth Score of B. In the last 60 days, one earnings estimate moved north, while none moved south for the current year. The Zacks Consensus Estimate for earnings advanced 1.4% in the same period. The company's expected earnings growth rate for the current year is 44.3% compared with the Electronics - Miscellaneous Components industry's projected rally of 21.1%.
AbbVie Inc.ABBV discovers, develops, manufactures, and sells pharmaceutical products worldwide. The stock currently has a Zacks Rank #2 and a Growth Score of B. In the last 60 days, two earnings estimates moved north, while none moved south for the current year. The Zacks Consensus Estimate for earnings rose 0.3% in the same period. The company's expected earnings growth rate for the current year is 39.3% compared with the Large Cap Pharmaceuticals industry's estimated growth of 7.4%.
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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. | AbbVie Inc.ABBV discovers, develops, manufactures, and sells pharmaceutical products worldwide. Click to get this free report JPMorgan Chase & Co. (JPM): Free Stock Analysis Report Citigroup Inc. (C): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. In fact, analysts at JPMorgan Chase & Co. JPM have said that upbeat economic data coupled with pro-business policies will help companies register double-digit growth and accelerate buybacks in the near term. | Click to get this free report JPMorgan Chase & Co. (JPM): Free Stock Analysis Report Citigroup Inc. (C): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV discovers, develops, manufactures, and sells pharmaceutical products worldwide. The company's expected earnings growth rate for the current year is 629.2% compared with the Oil and Gas - Exploration and Production - United States industry's projected rally of 20.1%. | Click to get this free report JPMorgan Chase & Co. (JPM): Free Stock Analysis Report Citigroup Inc. (C): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV discovers, develops, manufactures, and sells pharmaceutical products worldwide. The company's expected earnings growth rate for the current year is 535.3% compared with the Oil and Gas - Exploration and Production - United States industry's expected gain of 20.1%. | AbbVie Inc.ABBV discovers, develops, manufactures, and sells pharmaceutical products worldwide. Click to get this free report JPMorgan Chase & Co. (JPM): Free Stock Analysis Report Citigroup Inc. (C): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report KMG Chemicals, Inc. (KMG): Free Stock Analysis Report ZAGG Inc (ZAGG): Free Stock Analysis Report Apache Corporation (APA): Free Stock Analysis Report Continental Resources, Inc. (CLR): Free Stock Analysis Report To read this article on Zacks.com click here. After all, in two out of every three times, the second years of presidential terms have favored stock investors,. |
25437.0 | 2018-07-09 00:00:00 UTC | SPYG, V, BA, ABBV: ETF Inflow Alert | ABBV | https://www.nasdaq.com/articles/spyg-v-ba-abbv-etf-inflow-alert-2018-07-09 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the SPDR Portfolio S&P 500 Growth ETF (Symbol: SPYG) where we have detected an approximate $132.4 million dollar inflow -- that's a 4.9% increase week over week in outstanding units (from 75,150,108 to 78,850,108). Among the largest underlying components of SPYG, in trading today Visa Inc (Symbol: V) is up about 0.7%, Boeing Co. (Symbol: BA) is up about 1.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average:
Looking at the chart above, SPYG's low point in its 52 week range is $7.3812 per share, with $36.36 as the 52 week high point - that compares with a last trade of $35.94. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average » .
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs had notable inflows »
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. | Among the largest underlying components of SPYG, in trading today Visa Inc (Symbol: V) is up about 0.7%, Boeing Co. (Symbol: BA) is up about 1.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average: Looking at the chart above, SPYG's low point in its 52 week range is $7.3812 per share, with $36.36 as the 52 week high point - that compares with a last trade of $35.94. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. | Among the largest underlying components of SPYG, in trading today Visa Inc (Symbol: V) is up about 0.7%, Boeing Co. (Symbol: BA) is up about 1.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average: Looking at the chart above, SPYG's low point in its 52 week range is $7.3812 per share, with $36.36 as the 52 week high point - that compares with a last trade of $35.94. Click here to find out which 9 other ETFs had notable inflows » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of SPYG, in trading today Visa Inc (Symbol: V) is up about 0.7%, Boeing Co. (Symbol: BA) is up about 1.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the SPDR Portfolio S&P 500 Growth ETF (Symbol: SPYG) where we have detected an approximate $132.4 million dollar inflow -- that's a 4.9% increase week over week in outstanding units (from 75,150,108 to 78,850,108). For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average: Looking at the chart above, SPYG's low point in its 52 week range is $7.3812 per share, with $36.36 as the 52 week high point - that compares with a last trade of $35.94. | Among the largest underlying components of SPYG, in trading today Visa Inc (Symbol: V) is up about 0.7%, Boeing Co. (Symbol: BA) is up about 1.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the SPDR Portfolio S&P 500 Growth ETF (Symbol: SPYG) where we have detected an approximate $132.4 million dollar inflow -- that's a 4.9% increase week over week in outstanding units (from 75,150,108 to 78,850,108). For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average: Looking at the chart above, SPYG's low point in its 52 week range is $7.3812 per share, with $36.36 as the 52 week high point - that compares with a last trade of $35.94. |
25438.0 | 2018-07-06 00:00:00 UTC | 3 Buy-Rated Large Cap Pharma Stocks to Boost Health in July | ABBV | https://www.nasdaq.com/articles/3-buy-rated-large-cap-pharma-stocks-boost-health-july-2018-07-06 | nan | nan | The large cap pharmaceuticals sector comprising some of the biggest drugmakers of the world was off to a strong start in 2018. However, the sector took a backseat due to reasons like U.S. market instability and a few negative updates on the pipeline as well as regulatory front. Also, some older drugs of these companies are not performing up to the mark, inducing a drop in their revenues.
The Zacks Large-Cap Pharma industry has declined 3.1% so far this year against the Zacks S&P 500 Composite's gain of 2.6%.
Overall, the sector is expected to rebound in the second half of the year. We believe, new product sales will be ramped up on the back of a rising demand, successful innovation and product line expansion, strong clinical study results and frequent FDA approvals. This upside in turn, might bring the sector back on track this year. Also, many of these companies have accelerated their cost-saving initiatives to enable investment in new products as well as defend the existing product portfolio to optimize long- and short-term growth. Cost savings can drive the earnings performance.
Importantly, mergers and acquisitions (M&A) activity is gaining momentum with the tax reform in place. The new tax law, which cuts corporate tax rate from 35% to 21% and encourages companies to bring back huge cash held overseas at a one-time tax rate of 10%, is spurring merger activity this year.
With an optimistic outlook for the rest of the year, here we highlight three stocks that may prove to be good buys. All these stocks sport a Zacks Rank #1 (Strong Buy) or 2 (Buy) and have seen their share price and earnings estimates rise in the near term. You can see the complete list of today's Zacks #1 Rank stocks here .
Large Cap Pharma Stocks
H. Lundbeck A/SHLUYY
Shares of this Danish drugmaker have rallied 18.9% in the past three months. The Zacks Consensus Estimate for current-year EPS has been revised 11.6% and 4.3% upward for 2018 and 2019, respectively, over the last 60 days. H. Lundbeck has a Zacks Rank of 1.The company witnessed solid revenue growth in the first quarter of 2018 despite headwinds from exchange rates and generic erosion. It also strengthened its R&D pipeline with the inclusion of Parkinson's disease candidate, foliglurax, from the acquisition of Prexton Therapeutics, currently in mid-stage development.
Pfizer Inc.PFE
This Zacks #2 Ranked stock has been working on strengthening its suite of products through buyouts and licensing deals. The company's new products like Ibrance, contribution from acquisitions, cost-cutting efforts, a lower tax rate and share buybacks should help the company achieve its guidance. Pfizer also boasts a strong pipeline and expects approximately 25 to 30 drug approvals through 2022 including around 15 products with blockbuster potential. Pfizer's growing immuno-oncology portfolio offers strong growth prospects. Shares of the company have increased 3.9% in the past three months. Earnings estimates have also moved 0.3% north both for 2018 and 2019, respectively, over the past 60 days.
AbbVie Inc.ABBV
AbbVie's key arthritis drug, Humira, is performing well on strong demand trends despite new competition. Moreover, its drug Imbruvica marketed in partnership with Johnson and Johnson JNJ is approved for hematological cancers has multibillion dollar potential and the company is exploring the possibility of a label expansion for solid tumors and autoimmune diseases. Mavyret for hepatitis C virus has become a major growth driver for AbbVie in a short span within the market. Moreover, AbbVie boasts an impressive late-stage pipeline with label expansions for both new and existing products, expected over the next few years. Several pivotal data readouts and regulatory milestones are also anticipated in 2018. Additionally, the company carries a Zacks Rank of 2 and its share price has also gained 4.4% in the past three months. The consensus estimate for the company's current and next-year bottom line has also been raised 0.3% and 0.2%, respectively, over the past 60 days.
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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. | AbbVie Inc.ABBV AbbVie's key arthritis drug, Humira, is performing well on strong demand trends despite new competition. Mavyret for hepatitis C virus has become a major growth driver for AbbVie in a short span within the market. Moreover, AbbVie boasts an impressive late-stage pipeline with label expansions for both new and existing products, expected over the next few years. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV AbbVie's key arthritis drug, Humira, is performing well on strong demand trends despite new competition. Mavyret for hepatitis C virus has become a major growth driver for AbbVie in a short span within the market. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV AbbVie's key arthritis drug, Humira, is performing well on strong demand trends despite new competition. Mavyret for hepatitis C virus has become a major growth driver for AbbVie in a short span within the market. | AbbVie Inc.ABBV AbbVie's key arthritis drug, Humira, is performing well on strong demand trends despite new competition. Mavyret for hepatitis C virus has become a major growth driver for AbbVie in a short span within the market. Moreover, AbbVie boasts an impressive late-stage pipeline with label expansions for both new and existing products, expected over the next few years. |
25439.0 | 2018-07-06 00:00:00 UTC | 3 Top Biotech Stocks to Buy in July | ABBV | https://www.nasdaq.com/articles/3-top-biotech-stocks-buy-july-2018-07-06 | nan | nan | Biotechnology stocks can pop or drop because of clinical trial successes or failures, and that makes investing in biotech stocks riskier than investing in other industries. Nevertheless, the rewards for those biotech companies that successfully innovate new therapies can be significant, and that makes stocks like Regenxbio (NASDAQ: RGNX) , Regeneron Pharmaceuticals (NASDAQ: REGN) , and AbbVie (NYSE: ABBV) worth considering. Read on to learn more about these companies and why some of our Motley Fools think they could be top stocks to add to portfolios this month.
This gene therapy stock could be onto something big
Todd Campbell (Regenxbio): If you're willing to take on some risk in your growth portfolio, then you might want to consider Regenxbio, a clinical-stage biotech working on a novel approach that could make gene therapy safer and more effective.
Many diseases are the result of genes working incorrectly, so researchers are developing therapies that tinker with genes to correct their function.
Delivering gene therapies to their proper place requires the use of inactivated viruses; however, these viral vectors can be tough to manufacture, and there's concern that they won't produce durable responses. There's also worry they'll cause immune system responses that lead to adverse events.
To overcome those concerns, Regenxbio has developed its NAV technology, a platform consisting of over 100 adeno-associated viral vectors it believes can deliver gene therapy payloads better than other viral vectors.
The company is using its NAV technology platform to develop its own gene therapies, and it's licensing its vectors to other companies in exchange for upfront payments, milestones, and hopefully, royalties.
The most advanced gene therapy in development that's using Regenxbio's technology is AVXS-101, a one-and-done gene therapy for spinal muscular atrophy (SMA), a devastating disease. Earlier this year, Novartisspent $8.7 billion acquiring AveXis to land AVXS-101, and depending on data, Novartis plans to file for FDA approval of AVXS-101 before the end of 2018.
If AVXS-101 is successful, it could move the needle for Regenxbio, but investors will also want to be on the look out later this year for top-line data from trials of Regenxbio's RGX-314, a gene therapy for wet-AMD, and RGX-501, a gene therapy for an inherited form of high cholesterol called homozygous familial hypercholesterolemia (HoFH). Wet-AMD and HoFH are blockbuster indications that these gene therapies could significantly reshape.
Make no mistake, though. This is a high-risk stock. Its revenue consists solely of partnership payments right now, it doesn't have any commercially approved therapies on the market, and there's a chance its studies fail. For this reason, Regenxbio is only suitable for aggressive investors who can withstand disappointment.
The price is right
Brian Feroldi (Regeneron Pharmaceuticals): Once upon a time, Regeneron Pharmaceuticals was a red-hot growth stock that could do no wrong. Unfortunately, a series of events have since caused the tides to turn. This former market-darling has badly underperformed the S&P 500 over the last three years as investors have been forced to make downward adjustments to their growth expectations.
SPY data by YCharts .
While the last few years have been quite trying for investors, I think there are finally reasons to believe that the company's future is starting to look bright. Eylea remains a megablockbuster drug that is still posting strong sales growth . Sales of cholesterol-busting drug Praluent might finally be poised to show meaningful sales growth now that Regernson has proven more willing to negotiate with payers on price. At the same time, eczema drug Dupixent is off to a decent start and could get a major boost if it wins FDA approval as a treatment for asthma.
When adding in the fact that Regeneron boasts 17 programs in late-stage clinical development -- some of which hold blockbuster potential -- market watchers expect the company's profits will grow in excess of 11% annually over the next five years. While that's a far slower rate than what the company has put up in the past, it's still quite good for a company that is currently trading for less than 17 times next year's earnings estimates.
What's not to like with this biotech stock?
Keith Speights (AbbVie): There are few stocks on the market that can appeal to every kind of investor, but I think one big biotech stock just might: AbbVie.
Let's start with why income investors should like the stock. Most biotechs don't pay dividends, but AbbVie does. Its dividend currently yields more than 4%. And AbbVie has boosted its dividend payout by a whopping 140% over the last five years.
What about value investors? AbbVie stock trades at only 10.4 times expected earnings. That's dirt-cheap for a company with the world's best-selling drug and a stable of other strong performers.
Of course, most biotech investors are looking for growth. AbbVie checks the box there, too. Analysts project that AbbVie will grow its annual earnings by nearly 17% on average over the next five years. The company has one of the fastest-growing cancer drugs with Imbruvica. It launched a new hepatitis C drug, Mayvyret, last year that's well on its way to blockbuster status.
Then there's AbbVie's pipeline. Market research firm EvaluatePharma ranked it as the second-best pipeline in the biopharmaceutical industry . AbbVie could have several big winners on the way, including endometriosis drug elagolix and autoimmune disease drugs risankizumab and upadacitinib.
Great dividends, attractive valuation, and strong growth prospects. What's not to like about AbbVie?
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Brian Feroldi has no position in any of the stocks mentioned. Keith Speights owns shares of AbbVie. Todd Campbell has no position in any of the stocks mentioned. His clients may have positions in the companies mentioned. The Motley Fool has no position in any of the stocks mentioned. 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. | Nevertheless, the rewards for those biotech companies that successfully innovate new therapies can be significant, and that makes stocks like Regenxbio (NASDAQ: RGNX) , Regeneron Pharmaceuticals (NASDAQ: REGN) , and AbbVie (NYSE: ABBV) worth considering. Keith Speights (AbbVie): There are few stocks on the market that can appeal to every kind of investor, but I think one big biotech stock just might: AbbVie. Most biotechs don't pay dividends, but AbbVie does. | Nevertheless, the rewards for those biotech companies that successfully innovate new therapies can be significant, and that makes stocks like Regenxbio (NASDAQ: RGNX) , Regeneron Pharmaceuticals (NASDAQ: REGN) , and AbbVie (NYSE: ABBV) worth considering. Keith Speights (AbbVie): There are few stocks on the market that can appeal to every kind of investor, but I think one big biotech stock just might: AbbVie. Most biotechs don't pay dividends, but AbbVie does. | Nevertheless, the rewards for those biotech companies that successfully innovate new therapies can be significant, and that makes stocks like Regenxbio (NASDAQ: RGNX) , Regeneron Pharmaceuticals (NASDAQ: REGN) , and AbbVie (NYSE: ABBV) worth considering. Keith Speights (AbbVie): There are few stocks on the market that can appeal to every kind of investor, but I think one big biotech stock just might: AbbVie. Most biotechs don't pay dividends, but AbbVie does. | Keith Speights (AbbVie): There are few stocks on the market that can appeal to every kind of investor, but I think one big biotech stock just might: AbbVie. What's not to like about AbbVie? Nevertheless, the rewards for those biotech companies that successfully innovate new therapies can be significant, and that makes stocks like Regenxbio (NASDAQ: RGNX) , Regeneron Pharmaceuticals (NASDAQ: REGN) , and AbbVie (NYSE: ABBV) worth considering. |
25440.0 | 2018-07-06 00:00:00 UTC | Bristol-Myers' Sprycel Gets EC Approval for Label Expansion | ABBV | https://www.nasdaq.com/articles/bristol-myers-sprycel-gets-ec-approval-for-label-expansion-2018-07-06 | nan | nan | Bristol-Myers Squibb Company BMY announced that the European Commission (EC) has approved the label expansion of oncology drug Sprycel.
Consequently, the drug is now approved for the treatment of children and adolescents aged one year to 18 years with Philadelphia chromosome-positive (Ph+) chronic myeloid leukemia (CML) in chronic phase (CP). It also includes a powder for oral suspension formulation.
An approval was on the cards as the European Medicines Agency's Committee for Medicinal Products for Human Use (CHMP) had given a positive opinion on the same in April 2018.
The approval was based on positive data from CA180-226 (NCT00777036) study, which evaluated the safety and efficacy of Sprycel in pediatric patients newly diagnosed with CP-CML, and in those who are resistant to or intolerant of Gleevec.
We note that Sprycel is already approved in the United States for the treatment of adults with Philadelphia chromosome-positive (Ph+) chronic myeloid leukemia (CML) in chronic phase (CP). The drug also received the FDA approval for adults with Ph+ acute lymphoblastic leukemia (ALL), who are resistant to or intolerant of prior therapy. The FDA also approved Sprycel for treatment in pediatric patients with Ph+ CML-CP in November 2017.
Label expansion of existing drugs bode well for Bristol-Myers.
Bristol-Myers' shares have declined 6.9% year to date compared with the industry 's decline of 1.1%.
While its blockbuster drug Opdivo continues to perform well and the label expansion of the drug will further boost the top line. Pricing concerns and stiff competition in the immuno-oncology space are major causes of concern. In particular, Merck's MRK Keytruda and Roche's RHHBY Tecentriq pose stiff competition.
Hence, the label expansion of other drugs of the company should maintain the top-line momentum. The cancer portfolio also got a major boost with the launch of immuno-oncology drug, Empliciti, for the treatment of multiple myeloma in December 2015. Bristol-Myers is co-developing Empliciti with AbbVie ABBV .
Zacks Rank
Bristol-Myers has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
It's not the one you think.
See This Ticker Free >>
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Roche Holding AG (RHHBY): Free Stock Analysis Report
Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report
Merck & Co., Inc. (MRK): Free Stock Analysis Report
AbbVie Inc. (ABBV): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
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. | Bristol-Myers is co-developing Empliciti with AbbVie ABBV . Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers Squibb Company BMY announced that the European Commission (EC) has approved the label expansion of oncology drug Sprycel. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers is co-developing Empliciti with AbbVie ABBV . Consequently, the drug is now approved for the treatment of children and adolescents aged one year to 18 years with Philadelphia chromosome-positive (Ph+) chronic myeloid leukemia (CML) in chronic phase (CP). | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers is co-developing Empliciti with AbbVie ABBV . Bristol-Myers Squibb Company BMY announced that the European Commission (EC) has approved the label expansion of oncology drug Sprycel. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers is co-developing Empliciti with AbbVie ABBV . You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. |
25441.0 | 2018-07-05 00:00:00 UTC | Here's Why AbbVie Stock is Good for Your Portfolio's Health | ABBV | https://www.nasdaq.com/articles/heres-why-abbvie-stock-is-good-for-your-portfolios-health-2018-07-05 | nan | nan | AbbVie, Inc.ABBV shares have outperformed the large-cap pharma industry in the past three months. The stock has returned 1.5% in that timeframe against the industry 's decline of 1.1%.
It is one of the reputed names in the pharmaceutical sector. AbbVie came into existence on Jan 1, 2013, after Abbott Laboratories ABT divested its pharmaceutical division
Here are six reasons to invest in the stock.
Favorable Rank & Earnings Surprise Record: AbbVie has a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
It has been consistently beating earnings expectations. Earnings surpassed expectations in each of last four quarters, with an average positive surprise of 2.39%.
The company is expected to record earnings and sales growth of 39.3% and 16.8%, respectively, in 2018. Meanwhile, estimates for 2018 and 2019 increased 0.3% and 0.2%, respectively, in the past 60 days.
Valuation Looks Reasonable: Despite the outperformance, AbbVie's valuation looks fairly reasonable currently.
AbbVie currently has a forward twelve months price-to-earnings ratio (P/E F12M) of 11.25, which is near the lowest level (11.03) in the past year. When compared with the highest level of 17.99 and median level of 13.92 over the past year, there is apparently some upside left.
The space also looks inexpensive when compared with the industry, as the current as well as median F12M P/E ratio for the industry is 14.02 and 15.63, respectively.
Price-to-Earnings Forward Twelve Months (F12M) chart
Key DrugHumira Going Strong: AbbVie's flagship product Humira is approved for several inflammatory indications like rheumatoid arthritis. Humira continues to witness strong demand trends despite launch of drugs with new mechanisms of action and competition from indirect biosimilars. Currently approved for 13 indications, Humira sales have increased consistently - 11.7% in 2015, 16.1% in 2016 and 14.6% in 2017 - backed by robust demand trends. The product continues to see strong growth in the dermatology and gastroenterology markets. The company expects Humira sales to approach $21 billion in 2020.
Though two biosimilar versions of Humira are already approved by the FDA, per settlements with Amgen AMGN and Samsung Bioepis, biosimilar entry into the United States is set for 2023, thus delaying direct biosimilar competition in the country.
Strong Oncology Portfolio: AbbVie work rigorously on expanding and accelerating its presence in oncology. A key drug in its oncology portfolio is Imbruvica, which is currently approved for quite a few indications and has multi-billion dollar potential. AbbVie is exploring the potential to expand Imbruvica's label into solid tumors and autoimmune diseases. Several studies on Imbruvica are ongoing to evaluate the drug alone or in combination in different patient segments. AbbVie expects Imbruvica peak sales of more than $7 billion and revenues of about $5 billion in 2020. AbbVie has developed Imbruvica in partnership with J&J JNJ .
AbbVie is also studying another cancer drug Venclyxto/Venclexta to expand the label to address the broader relapsed/refractory chronic lymphocytic leukemia (CLL) patient population, expand into earlier lines of therapy, and broaden into other hematologic malignancies like multiple myeloma and acute myeloid leukemia. In June, regulatory applications seeking approval for the combination of Venclexta plus Roche's (RHHBY) Rituxan in relapse/refractory CLL were approved in the United States. Label expansion to include this broader patient population should boost Venclexta's commercial potential.
Meanwhile, the 2016 acquisition of drugmaker, Stemcentrx added a key late-stage candidate, rovalpituzumab tesirine or Rova-T, to AbbVie's portfolio. Rova-T is currently in registrational studies for first and second-line small cell lung cancer (SCLC). A phase I, eight-arm "basket study" on Rova-T in neuroendocrine tumors is also ongoing.
Promising Pipeline: AbbVie has a deep pipeline consisting of several interesting late-stage candidates. Promising candidates include elagolix (endometriosis), risankizumab (inflammatory diseases), Depatux-M/ABT-414 (glioblastoma multiforme), ABBV-8E12 (early Alzheimer's disease and progressive supranuclear palsy (PSP)), and upadacitinib/ABT-494 (inflammatory diseases).The company expects to move 10 tumor candidates into clinical development in 2018.
Several pivotal data readouts and regulatory milestones are expected in the second half of the year including FDA decisions on risankizumab and elagolix regulatory applications.
Mavyret Performs Beyond Expectations: AbbVie's eight-week, pan-genotypic, ribavirin-free, once-daily hepatitis C (HCV) treatment, Mavyret, gained approval in the United States, EU, Canada and Japan in 2017. Mavyret, AbbVie's next-generation HCV program, is a combination of glecaprevir, a potent protease inhibitor and pibrentasvir, a NS5A inhibitor. Mavyret has the potential to rejuvenate growth in the HCV franchise. According to AbbVie, Mavyret may be used in up to 95% of HCV patients, depending on the stage of liver disease and prior treatment history. Mavyret performed beyond expectations in the first year of launch, recording sales of almost $500 million in 2017. The positive sales trend continues in 2018 with the drug recording sales of $850 million in the first quarter of 2018. With less than a year on the market, Mavyret already commands 45% share in the United States.
Conclusion
AbbVie faces its share of challenges in the form of slower sales of HCV drugs, potential biosimilar competition to Humira, regular pipeline setbacks and rising competition. However, we believe AbbVie is well positioned to overcome these headwinds.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie came into existence on Jan 1, 2013, after Abbott Laboratories ABT divested its pharmaceutical division Here are six reasons to invest in the stock. Price-to-Earnings Forward Twelve Months (F12M) chart Key DrugHumira Going Strong: AbbVie's flagship product Humira is approved for several inflammatory indications like rheumatoid arthritis. AbbVie, Inc.ABBV shares have outperformed the large-cap pharma industry in the past three months. | Price-to-Earnings Forward Twelve Months (F12M) chart Key DrugHumira Going Strong: AbbVie's flagship product Humira is approved for several inflammatory indications like rheumatoid arthritis. AbbVie is also studying another cancer drug Venclyxto/Venclexta to expand the label to address the broader relapsed/refractory chronic lymphocytic leukemia (CLL) patient population, expand into earlier lines of therapy, and broaden into other hematologic malignancies like multiple myeloma and acute myeloid leukemia. Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Abbott Laboratories (ABT): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. | Mavyret Performs Beyond Expectations: AbbVie's eight-week, pan-genotypic, ribavirin-free, once-daily hepatitis C (HCV) treatment, Mavyret, gained approval in the United States, EU, Canada and Japan in 2017. Conclusion AbbVie faces its share of challenges in the form of slower sales of HCV drugs, potential biosimilar competition to Humira, regular pipeline setbacks and rising competition. Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Abbott Laboratories (ABT): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. | AbbVie, Inc.ABBV shares have outperformed the large-cap pharma industry in the past three months. AbbVie came into existence on Jan 1, 2013, after Abbott Laboratories ABT divested its pharmaceutical division Here are six reasons to invest in the stock. Favorable Rank & Earnings Surprise Record: AbbVie has a Zacks Rank #2 (Buy). |
25442.0 | 2018-07-05 00:00:00 UTC | If You Like Dividends, You Should Love These 3 Stocks | ABBV | https://www.nasdaq.com/articles/if-you-dividends-you-should-love-these-3-stocks-2018-07-05 | nan | nan | If you don't like dividends, you should. Between 1960 and 2017, a whopping 82% of the total return of the S&P 500 index came from the compound growth of reinvesting dividends.
And if you do like dividends, you should especially love three stocks: AbbVie (NYSE: ABBV) , AT&T (NYSE: T) , and Welltower (NYSE: WELL) . Here's what makes these dividend stocks really attractive to income-seeking investors.
1. AbbVie
AbbVie's dividend currently yields 4.14%. The big pharma company takes pride in delivering solid dividend hikes year after year. Since 2013, AbbVie has increased its dividend by 140%.
There shouldn't be a problem with keeping those dividend hikes coming. AbbVie's payout ratio is a respectable 66%. The drugmaker uses only 42% of its free cash flow to fund the dividend program.
Even better, AbbVie appears to be in great shape to grow its earnings, providing even more flexibility to boost its dividend. The company claims the world's top-selling drug -- Humira. Sales of AbbVie's cancer drug Imbruvica and hepatitis C drug Mavyret are soaring.
AbbVie also should have some promising new drugs on the way. Market research firm EvaluatePharma ranked the company's pipeline as the second-best in the biopharmaceutical industry . Potential blockbusters in AbbVie's pipeline include endometriosis drug elagolix and rheumatoid arthritis drug upadacitinib.
2. AT&T
Investors have liked AT&T's dividend for a long time -- and for good reason. The telecommunications giant's dividend yield currently stands at 6.23%. AT&T is a member of the elite group of Dividend Aristocrats and has increased its dividend for 34 consecutive years.
Can AT&T keep that streak going for years to come? Probably so. The company currently uses only 40% of its earnings to pay out dividends. There are also a couple of factors that should enable AT&T to grow its earnings more in the future than it has over the last several years.
One of those factors is the company's acquisition of Time Warner . AT&T expects significant cost synergies from the transaction -- around $1.5 billion per year. The company will also be able to offer new bundled packages to its customers, which holds the potential to boost revenue.
Another key factor that should drive growth for AT&T is the launch of 5G networks. These high-speed networks could open up significant new markets for the company in self-driving cars, smart city applications, and virtual reality.
3. Welltower
Welltower's dividend yield of 6.45% is even more attractive than AT&T's. The company is the world's largest healthcare-focused real estate investment trust (REIT), with more than 1,250 healthcare properties. Welltower has paid a dividend for 187 consecutive quarters -- nearly 47 years running.
After eight years of hiking its dividend, the company appears to be keeping its dividend steady in 2018. That's not surprising, considering that Welltower uses nearly 95% of its free cash flow to fund the dividend program and the company has focused on reducing its leverage.
Is the dividend in trouble? I don't think so. Welltower can depend on steady cash flow from leasing properties to senior housing providers, skilled nursing facilities, and outpatient medical clinics.
Over the long run, Welltower's dividend should look better and better. The number of Americans aged 85 and older is expected to double in the next two decades. The number of Americans aged 75 and over is projected to grow five times faster than the overall U.S. population. These trends should drive demand for senior housing, which in turn should enable Welltower to grow significantly.
My favorite
My personal favorite among these three great dividend stocks is AbbVie. Granted, its yield is lower than AT&T's and Welltower's. However, the drugmaker is increasing its dividend at a much faster rate. Also, AbbVie's growth prospects are much better over the next few years. Dividends are key to delivering strong total returns, but it definitely helps for the stock price to appreciate nicely as well.
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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. | And if you do like dividends, you should especially love three stocks: AbbVie (NYSE: ABBV) , AT&T (NYSE: T) , and Welltower (NYSE: WELL) . AbbVie AbbVie's dividend currently yields 4.14%. Since 2013, AbbVie has increased its dividend by 140%. | And if you do like dividends, you should especially love three stocks: AbbVie (NYSE: ABBV) , AT&T (NYSE: T) , and Welltower (NYSE: WELL) . AbbVie AbbVie's dividend currently yields 4.14%. Since 2013, AbbVie has increased its dividend by 140%. | And if you do like dividends, you should especially love three stocks: AbbVie (NYSE: ABBV) , AT&T (NYSE: T) , and Welltower (NYSE: WELL) . AbbVie AbbVie's dividend currently yields 4.14%. Since 2013, AbbVie has increased its dividend by 140%. | AbbVie AbbVie's dividend currently yields 4.14%. And if you do like dividends, you should especially love three stocks: AbbVie (NYSE: ABBV) , AT&T (NYSE: T) , and Welltower (NYSE: WELL) . Since 2013, AbbVie has increased its dividend by 140%. |
25443.0 | 2018-07-03 00:00:00 UTC | 5 Great Dividend Growth Stocks to Counter Volatility | ABBV | https://www.nasdaq.com/articles/5-great-dividend-growth-stocks-counter-volatility-2018-07-03 | nan | nan | Volatility and uncertainty in the stock market has raised the appeal for dividend growth stocks. A history of dividend growth year over year leads to a healthy portfolio with a greater scope of capital appreciation as opposed to simple dividend paying stocks or those with high yields.
Why Dividend Growth?
Stocks that have a strong history of dividend growth belong to mature companies, which are less susceptible to large swings in the market, and thus act as a hedge against economic or political uncertainty as well as stock market volatility. At the same time, these offer downside protection with their consistent increase in payouts.
Additionally, these stocks have superior fundamentals that make dividend growth a quality and promising investment for the long term. These include a sustainable business model, a long track of profitability, rising cash flows, good liquidity, a strong balance sheet and some value characteristics. Further, a history of strong dividend growth indicates that dividend increase is likely in the future.
Although these stocks do not necessarily have the highest yields, they have outperformed for a longer period than the broader stock market or any other dividend-paying stock.
As a result, picking dividend growth stocks appear as winning strategies when some other parameters are also included.
5-Year Historical Dividend Growth greater than zero : This selects stocks with a solid dividend growth history.
5-Year Historical Sales Growth greater than zero : This represents stocks with a strong record of growing revenue.
5-Year Historical EPS Growth greater than zero : This represents stocks with a solid earnings growth history.
Next 3-5 Year EPS Growth Rate greater than zero : This represents the rate at which a company's earnings are expected to grow. Improving earnings should help companies sustain dividend payments.
Price/Cash Flow less than M-Industry : A ratio less than M-industry indicates that the stock is undervalued in that industry and that an investor needs to pay less for better cash flow generated by the company.
52-Week Price Change greater than S&P 500 (Market Weight) : This ensures that the stock appreciated more than the S&P 500 over the past one year.
Top Zacks Rank : Stocks having a Zacks Rank #1 (Strong Buy) and 2 (Buy) generally outperform their peers in all types of market environment.
Growth Score of B or better : Our research shows that stocks with a Growth Score of A or B when combined with a Zacks Rank #1 or 2 offer the best upside potential.
Here are five of the 11 stocks that fit the bill:
Ohio-based The Progressive Corporation PGR provides personal and commercial auto insurance, residential property insurance, and other specialty property-casualty insurance and related services primarily in the United States. The company has seen positive earnings estimate revision of 14 cents over the past 30 days for this year and has an expected earnings growth rate of 60.08%. It sports a Zacks Rank #1 and a Growth Score of A. You can see the complete list of today's Zacks #1 Rank stocks here.
Texas-based Brinker International Inc. EAT is one of the world's leading casual dining restaurant companies. Brinker International owns, operates, franchises or is involved in the ownership of restaurants under the names Chili's Grill & Bar and Maggiano's Little Italy. It delivered an average positive earnings surprise of 7.22% in the past four quarters and has an expected earnings growth rate of 6.02% for the fiscal (ending June 2019). It has a Zacks Rank #2 and Growth Score of A.
Illinois-based AbbVie Inc. ABBV is a global research-based biopharmaceutical company, which discovers, develops, manufactures and sells pharmaceutical products worldwide. The company delivered an average positive earnings surprise of 2.39% in the last four quarters and has an expected earnings growth rate of 39.29% for this year. It has a Zacks Rank #2 and Growth Score of B.
Pennsylvania-based Vishay Intertechnology Inc. VSH is a global manufacturer and supplier of discrete semiconductors and passive components. It saw positive earnings estimate revision of a penny over the past 30 days for this year with an expected earnings growth of 25.17%. The stock has a Zacks Rank #1 and Growth Score of B.
Hawaii-based Matson Inc. MATX operates as an ocean transportation and logistics company. It offers shipping services in Hawaii, Guam, and Micronesia islands and expedited service from China to southern California. The stock saw positive earnings estimate revision of a couple of cents over the past 30 days for this year and has an expected earnings growth rate of 24.16%. It has a Zacks Rank #2 and Growth Score of B.
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Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks' portfolios and strategies are available at:https://www.zacks.com/performance.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | It has a Zacks Rank #2 and Growth Score of A. Illinois-based AbbVie Inc. ABBV is a global research-based biopharmaceutical company, which discovers, develops, manufactures and sells pharmaceutical products worldwide. Click to get this free report Matson, Inc. (MATX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report The Progressive Corporation (PGR): Free Stock Analysis Report Brinker International, Inc. (EAT): Free Stock Analysis Report Vishay Intertechnology, Inc. (VSH): Free Stock Analysis Report To read this article on Zacks.com click here. These include a sustainable business model, a long track of profitability, rising cash flows, good liquidity, a strong balance sheet and some value characteristics. | Click to get this free report Matson, Inc. (MATX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report The Progressive Corporation (PGR): Free Stock Analysis Report Brinker International, Inc. (EAT): Free Stock Analysis Report Vishay Intertechnology, Inc. (VSH): Free Stock Analysis Report To read this article on Zacks.com click here. It has a Zacks Rank #2 and Growth Score of A. Illinois-based AbbVie Inc. ABBV is a global research-based biopharmaceutical company, which discovers, develops, manufactures and sells pharmaceutical products worldwide. 5-Year Historical EPS Growth greater than zero : This represents stocks with a solid earnings growth history. | Click to get this free report Matson, Inc. (MATX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report The Progressive Corporation (PGR): Free Stock Analysis Report Brinker International, Inc. (EAT): Free Stock Analysis Report Vishay Intertechnology, Inc. (VSH): Free Stock Analysis Report To read this article on Zacks.com click here. It has a Zacks Rank #2 and Growth Score of A. Illinois-based AbbVie Inc. ABBV is a global research-based biopharmaceutical company, which discovers, develops, manufactures and sells pharmaceutical products worldwide. Stocks that have a strong history of dividend growth belong to mature companies, which are less susceptible to large swings in the market, and thus act as a hedge against economic or political uncertainty as well as stock market volatility. | It has a Zacks Rank #2 and Growth Score of A. Illinois-based AbbVie Inc. ABBV is a global research-based biopharmaceutical company, which discovers, develops, manufactures and sells pharmaceutical products worldwide. Click to get this free report Matson, Inc. (MATX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report The Progressive Corporation (PGR): Free Stock Analysis Report Brinker International, Inc. (EAT): Free Stock Analysis Report Vishay Intertechnology, Inc. (VSH): Free Stock Analysis Report To read this article on Zacks.com click here. Further, a history of strong dividend growth indicates that dividend increase is likely in the future. |
25444.0 | 2018-07-03 00:00:00 UTC | AstraZeneca's Two New Cancer Drugs Get Approval in Japan | ABBV | https://www.nasdaq.com/articles/astrazenecas-two-new-cancer-drugs-get-approval-in-japan-2018-07-03 | nan | nan | AstraZenecaAZN announced that the Japanese regulatory authorities have granted approval to its PARP inhibitor, Lynparza tablets for the treatment of patients with unresectable or recurrent BRCA-mutated metastatic breast cancer in patients who have received prior chemotherapy. With this approval, Lynparza becomes the first and only PARP inhibitor approved for use beyond ovarian cancer in Japan. This is the second indication for which Lynparza is now approved in Japan. Lynparza was approved for the first indication - advanced ovarian cancer regardless of BRCA mutation status - in the country earlier this year.
AstraZeneca's shares have risen 0.3% so far this year. In contrast, the industry has declined 5.1%.
Lynparza is also presently marketed for advanced ovarian cancer in later settings.
Lynparza is also in different studies for a range of tumor types including breast, prostate and pancreatic cancers as well as earlier-line settings for ovarian cancer.
In the first quarter of 2018, Lynparza sales rose 100% to $119 million. Sales in the United States surged 144%, gaining from recent label expansion approvals in ovarian cancer, tablets, and breast cancer indication. In Europe, sales rose 44%, pushed higher by a number of successful launches, high BRCA-testing rates and encouraging levels of reimbursement.
AstraZeneca has a joint development and collaboration agreement with Merck MRK for Lynparza.
AstraZeneca's another cancer drug Imfinzi was also approved in Japan for an early-stage lung cancer indication. The PD-L1 inhibitor was approved for patients with locally-advanced, unresectable (stage III) non-small cell lung cancer (NSCLC), whose disease has not progressed following platinum-based chemotherapy concurrent with radiation therapy (CRT).The approval was based on positive progression free survival data from the phase III PACIFIC study.
Imfinzi is already approved in the United States, Canada, Switzerland and India in this indication while an application in the EU is under review, with a decision expected in the second half.
Meanwhile, Imfinzi (durvalumab) is being evaluated for multiple cancers, either alone or in combination with other regimens, including late-stage studies in combination with tremelimumab in hepatocellular carcinoma (HCC, liver cancer), NSCLC, small cell lung cancer, metastatic urothelial cancer and head and neck squamous cell carcinoma (HNSCC) among others.
Imfinzi was launched in the United States for the first indication - second-line advanced bladder cancer - in May last year. Thereafter, Imfinzi was approved and immediately launched for early-stage lung cancer in the United States in February this year, which contributed significantly to the drug's $62 million sales in the first quarter of 2018.
AstraZeneca has a Zacks Rank #4 (Sell).
Better-ranked large-cap pharma stocks include Pfizer, Inc. PFE and AbbVie, Inc. ABBV both with a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Pfizer's stock has gained 7.4% in the past year. Earnings estimates for 2018 as well as 2019 rose 0.3% in the last 60 days.
AbbVie's stock has rallied 28.5% in the past year. Earnings estimates for 2018 increased 0.3% while that for 2019 rose 0.2% in the last 60 days.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Better-ranked large-cap pharma stocks include Pfizer, Inc. PFE and AbbVie, Inc. ABBV both with a Zacks Rank #2 (Buy). AbbVie's stock has rallied 28.5% in the past year. Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. | Better-ranked large-cap pharma stocks include Pfizer, Inc. PFE and AbbVie, Inc. ABBV both with a Zacks Rank #2 (Buy). Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie's stock has rallied 28.5% in the past year. | Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Better-ranked large-cap pharma stocks include Pfizer, Inc. PFE and AbbVie, Inc. ABBV both with a Zacks Rank #2 (Buy). AbbVie's stock has rallied 28.5% in the past year. | Better-ranked large-cap pharma stocks include Pfizer, Inc. PFE and AbbVie, Inc. ABBV both with a Zacks Rank #2 (Buy). AbbVie's stock has rallied 28.5% in the past year. Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report Pfizer Inc. (PFE): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. |
25445.0 | 2018-07-03 00:00:00 UTC | Is Pfizer's Price Hike an Effect of Drug Policy on Sector? | ABBV | https://www.nasdaq.com/articles/is-pfizers-price-hike-an-effect-of-drug-policy-on-sector-2018-07-03 | nan | nan | Pfizer, Inc.PFE is reportedly raising prices of almost 100 drugs, effective July 1. This is the second time that the drug giant has raised the prices of its drugs this year. The scrutiny of drug prices has increased since Trump assumed office. However, with a softer drug pricing policy formed last month, we expect other companies to follow suit.
The increase in price was nearly 9% for the majority of the drugs, within the agreed limit of 10% price rise a year. However, price of a few drugs like Xalatan, Viagra and Chanix have already increased in double digits including the price hike of January.
On May 11, Trump announced plans to control drug prices in the United States. However, a group of investors believe the plan is not likely to have a major impact on the profits of large pharma companies. Instead of including provisions of direct negotiations by Medicare with the pharma companies, Trump targeted intermediaries, certain small pharma companies and foreign countries. Thus, Medicare is a major customer of drugs, paying nearly 30% of dollar values of prescriptions filled. Medicare could have negotiated lower prices directly from the manufacturers.
The President also expects to increase competition by streamlining some approval-related regulatory processes and promoting faster approval to generics/biosimilars. The plan allows more substitutions/additions in Medicare's drug list for single-source generics to contain price rise and gives sponsors more negotiation power with manufacturers. It also instructs companies to display list prices in advertising. The plan also focuses more on transparency related to pricing and availability of generics.
Moreover, the announcement of the price hike by Pfizer comes after weeks of Trump's claim that pharma companies will take massive price cuts voluntarily soon.
Pfizer has defended the price rise by stating that list price does not reflect actual price, which includes discount. It also mentioned that it has hiked prices for only one-tenth of its drug portfolio and also reduced prices of five drugs by 16% to 44%.
Meanwhile, price hike by one company may soon trigger a market-wide increase in drug prices. Thus, Pfizer's move can again stir the opposition related to drug price rise, especially by large pharma companies. Along with Pfizer, stock prices of several other large cap pharma companies moved north on Jul 2 including Johnson & Johnson JNJ , Eli Lilly and Company LLY and AbbVie Inc. ABBV . A rise in drugs prices will certainly help these companies to boost its profits.
So far this year, the large cap pharma industry has declined 5.1% against the S&P 500's rise of 2.2%.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
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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. | Along with Pfizer, stock prices of several other large cap pharma companies moved north on Jul 2 including Johnson & Johnson JNJ , Eli Lilly and Company LLY and AbbVie Inc. ABBV . Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The President also expects to increase competition by streamlining some approval-related regulatory processes and promoting faster approval to generics/biosimilars. | Along with Pfizer, stock prices of several other large cap pharma companies moved north on Jul 2 including Johnson & Johnson JNJ , Eli Lilly and Company LLY and AbbVie Inc. ABBV . Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Along with Pfizer, stock prices of several other large cap pharma companies moved north on Jul 2 including Johnson & Johnson JNJ , Eli Lilly and Company LLY and AbbVie Inc. ABBV . Pfizer has defended the price rise by stating that list price does not reflect actual price, which includes discount. | Along with Pfizer, stock prices of several other large cap pharma companies moved north on Jul 2 including Johnson & Johnson JNJ , Eli Lilly and Company LLY and AbbVie Inc. ABBV . Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The increase in price was nearly 9% for the majority of the drugs, within the agreed limit of 10% price rise a year. |
25446.0 | 2018-07-03 00:00:00 UTC | 3 Reasons BeiGene Needs to Be on Your Radar | ABBV | https://www.nasdaq.com/articles/3-reasons-beigene-needs-be-your-radar-2018-07-03 | nan | nan | You've likely heard quite a bit about the massive opportunity for immuno-oncology (IO) in the U.S. and in Europe.
These are the drugs that train the body's immune system to seek and destroy cancerous cells and tumors. We globally spent $133 billion on the fight against cancer last year, and oncologists really like the idea of using personalized treatments as a replacement for chemotherapy or radiation. We've seen nearly all of big pharma -- including Roche , Bristol-Myers Squibb , and AbbVie (NYSE: ABBV) -- dedicating billions of dollars to develop the next wave of IO drugs.
However, the excitement surrounding this new pharmaceutical trend hasn't yet reached China, the world's most populous country with nearly 1.5 billion people. China's poor intellectual property protections, lack of regulatory clarity, and still-developing insurance networks have caused most biotech companies to keep their distance and focus elsewhere.
It's hard to blame them. China has historically been a pretty difficult place to do business. One of their legacy rules required that clinical trials would need to be run within the country's borders before they'd be accepted on China's mainland. That involves a lot of work, and most U.S. drug developers weren't willing to commit the time and effort required. As a result, it's estimated that two-thirds of the drugs already approved by the U.S. Food and Drug Administration (FDA) between 2001 and 2016 are still not available in China. If that statistic doesn't shock you, it should.
But the times, they are a changin'. China's version of the FDA has finally recognized that it needs to modernize its regulations if it wants to attract innovation. It made a bold decision last year to overhaul several of its long-standing policies. As part of those changes, China will now recognize and accept clinical trial data completed in other countries and will allow drugs developed by one company to be sold or manufactured by others (licensing like this is a common practice in the U.S. and Europe).
This new era of biotechnology in China is upon us, and I believe a company named BeiGene (NASDAQ: BGNE) is perfectly positioned to benefit from it.
Founded on the premise of becoming "the Genentech of China," BeiGene is developing personalized cancer treatments. It is exactly the type of innovative company -- built on science by an American and with connections to the developed world -- that China has been waiting for.
There are three key reasons that I believe BeiGene deserves your investor attention: its efficient R&D process, its partnerships with big pharma, and its exclusive rights to sell Celgene's (NASDAQ: CELG) products. Here is a more detailed look at all three:
1. Access to patients
It has been recently documented that it costs an average of $1.4 billion to successfully develop and market a new drug. That's a lot, and cash burn is one of the key reasons that early stage biotechs fail.
But that incredibly expensive figure is also based upon the rules of the Western world. New drugs need sufficient data from patients to obtain FDA approval, and it can be difficult and time-consuming to find and enroll the right patients. And that's not to mention the costs related to paying the research and development staff to design and actually run the trials. R&D expenses are the most expensive line item of the vast majority of biotech companies.
It's much easier to develop drugs in China's command economy. There's a large population of patients who have never before been given the opportunity to participate in a trial that very well might save their lives. And the country's hospitals are huge: China largest hospital has 4,300 beds; America's has 2,200.
BeiGene has access to more than twice the number of cancer patients in China than there are available in both the U.S. and Europe combined. That's a significant advantage for the company's biopsy-driven drug development platform , which requires analyzing human tissue in order to find correlations between cancerous cells and the immune system.
China's labor costs are also much lower: A well-paid master chemist at BeiGene earns about $25,000 per year. Those lower costs per employee add up when you consider that the company has 850 China-based employees.
Time is money. And both are important when you're competing in the fast-paced biotech market.
2. Big pharma's blessing
Even with access to more patients and with lower R&D costs, BeiGene knows it needs to team up with larger players to gain traction. Big pharma spends billions of dollars each year on marketing, which is instrumental in driving the adoption of IO drugs at hospitals.
BeiGene has partnered with both Merck (NYSE: MRK) and Celgene to build out their pipeline.
Merck is helping BeiGene develop a PARP inhibitor called pamiparib. Poly ADP-ribose polymerases (PARP) repair cancerous cells that are damaged but not killed, so PARP inhibitors are used to ensure that drugs actually kill cancerous cells (especially in solid tumors). Merck is contributing milestone payments for the development of pamiparib that could reach $500 million, and would have the rights to commercialize the drug in all countries but China and Germany.
BeiGene is also working with Celgene to develop its PD-1 antibody tislelizumab. "Tisle" dosed its first Phase 2 patient with advanced hepatocellular carcinoma (liver cancer) earlier this year and is also being evaluated in Phase 3 in comparison to the chemotherapy treatment sorafenib. Just like Merck, Celgene is contributing milestone payments in exchange for the rights to commercialize tisle outside of China. Celgene took the partnership a step further last year when it invested in a 5.9% equity position in the company.
The cash provided by the milestone payments certainly helps to relieve some of the fund-raising stresses that BeiGene would have otherwise had to endure. But these big-name partnerships also bring credibility to the company's brand. Successful trials could serve as a blueprint that attracts other suitors in the future.
3. The rights to Celgene's arsenal
In addition to the milestone payments and the equity position, Celgene also brought something else very important to their partnership. It granted BeiGene the exclusive rights to sell three of its cancer treatments -- Revlimid, Abraxane, and Vidaza -- in China for the next 10 years.
This could prove to be very lucrative. Celgene generates around $10 billion of sales from those three products around the globe each year. China's previous regulatory regime had blocked access to them for patients or hospitals. But BeiGene will now serve as their foot in the door.
To be fair, ramping sales in China is going to take a lot of work. BeiGene only generated $23 million from Celgene's products in the first quarter, which could provide a less-than-sexy $100 million in 2018 if it sticks to its current run rate.
But BeiGene is also doing whatever it takes to grow that number as aggressively as possible. It just obtained reimbursement approval for Abraxane in several provinces, and got China's FDA approval to use Revlimid in other indications.
BeiGene's modest sales figures keep it flying below Wall Street's radar, which is exactly what we want as forward-thinking individual investors. As the company checks the boxes and gains regulatory approvals, the revenue obtained from Celgene's products should grow at an accelerated pace.
The Foolish bottom line
Often misconstrued as just another biotech with a goofy name, BeiGene is actually packing a serious punch. It's the right company (novel science and pedigree) in the right place (a huge market) at the right time (changing regulations) and with the right partners.
The stock has cooled off a bit in 2018 after recently hitting all-time highs of $200 per share. But even with a market cap of $8 billion, I believe today's valuation doesn't give enough credit to BeiGene's future opportunity as the world's most populous country goes all-in on biotechnology innovation.
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Simon Erickson owns shares of AbbVie, BeiGene, and Celgene. The Motley Fool owns shares of and recommends Celgene. 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. | We've seen nearly all of big pharma -- including Roche , Bristol-Myers Squibb , and AbbVie (NYSE: ABBV) -- dedicating billions of dollars to develop the next wave of IO drugs. *Stock Advisor returns as of June 4, 2018 Simon Erickson owns shares of AbbVie, BeiGene, and Celgene. As part of those changes, China will now recognize and accept clinical trial data completed in other countries and will allow drugs developed by one company to be sold or manufactured by others (licensing like this is a common practice in the U.S. and Europe). | We've seen nearly all of big pharma -- including Roche , Bristol-Myers Squibb , and AbbVie (NYSE: ABBV) -- dedicating billions of dollars to develop the next wave of IO drugs. *Stock Advisor returns as of June 4, 2018 Simon Erickson owns shares of AbbVie, BeiGene, and Celgene. Founded on the premise of becoming "the Genentech of China," BeiGene is developing personalized cancer treatments. | We've seen nearly all of big pharma -- including Roche , Bristol-Myers Squibb , and AbbVie (NYSE: ABBV) -- dedicating billions of dollars to develop the next wave of IO drugs. *Stock Advisor returns as of June 4, 2018 Simon Erickson owns shares of AbbVie, BeiGene, and Celgene. As part of those changes, China will now recognize and accept clinical trial data completed in other countries and will allow drugs developed by one company to be sold or manufactured by others (licensing like this is a common practice in the U.S. and Europe). | We've seen nearly all of big pharma -- including Roche , Bristol-Myers Squibb , and AbbVie (NYSE: ABBV) -- dedicating billions of dollars to develop the next wave of IO drugs. *Stock Advisor returns as of June 4, 2018 Simon Erickson owns shares of AbbVie, BeiGene, and Celgene. BeiGene has access to more than twice the number of cancer patients in China than there are available in both the U.S. and Europe combined. |
25447.0 | 2018-07-03 00:00:00 UTC | The 5 Biggest Blockbuster Drugs of 2024, and the Companies Poised to Profit From Them | ABBV | https://www.nasdaq.com/articles/5-biggest-blockbuster-drugs-2024-and-companies-poised-profit-them-2018-07-03 | nan | nan | Predicting the future is easy. Getting the prediction right is another thing altogether.
However, it's possible to predict with at least some degree of confidence which drugs are likely to be the biggest winners, if you don't go too far out into the future. Market research firm EvaluatePharma has done just that with its recently published report that projects the top-selling drugs in the world in 2024.
Which drugs rank at the top of EvaluatePharma's list? Here are the five biggest blockbusters of the future -- and the five companies that are poised to profit from these drugs: AbbVie (NYSE: ABBV) , Merck (NYSE: MRK) , Celgene (NASDAQ: CELG) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) .
1. Humira
Six years from now will look like last year in one respect: AbbVie's Humira will still probably be the best-selling drug in the world. Humira ranked No. 1 in 2017 with sales of $18.9 billion (including revenue made by AbbVie's partner Eisai ). EvaluatePharma projects that the autoimmune-disease drug will rake in less money in 2024, at $15.2 billion. However, that should still be enough for Humira to retain its top spot.
It seems likely that Humira will fall from No. 1 in subsequent years, though. Beginning in 2023, AbbVie faces biosimilar competition for the drug in the U.S. market, where roughly two-thirds of Humira's revenue is made.
2. Keytruda
Merck's Keytruda is expected to be the second best-selling drug in the world by 2024. EvaluatePharma thinks the cancer drug will generate sales totaling nearly $12.7 billion six years from now. Keytruda made $3.8 billion in 2017, which wasn't enough to make the top five blockbusters for the year.
One major factor for Keytruda to claim the No. 2 position within the next few years will be gaining approval for new indications. Merck is evaluating the drug in phase 3 clinical studies targeting several additional types of cancer, including breast cancer, colorectal cancer, nasopharyngeal cancer, renal cancer, and small-cell lung cancer.
3. Revlimid
Revlimid could slip from its No. 2 ranking in 2017 to No. 3 by 2024. However, EvaluatePharma expects sales for Celgene's hematology drug to increase from $8.2 billion last year to $11.9 billion.
There's one major risk for Revlimid, however. The drug's key patents have been challenged by rivals that want to market generic versions of Revlimid. With Celgene currently dependent on Revlimid for 63% of its total revenue, this threat contributes to the biotech being arguably the riskiest big drug stock on the market . However, Celgene likely will be able to reach an agreement with current challengers similar to its deal with Natco Pharma to hold off any significant generic competition in the U.S. for Revlimid for several more years.
4. Opdivo
Keytruda's main competitor, Opdivo, should be the fourth-biggest blockbuster in the world by 2024, according to EvaluatePharma. Bristol-Myers Squibb's cancer drug is projected to make $11.2 billion then, nearly double its sales of $5.7 billion in 2017.
Expectations have been lowered somewhat for Opdivo after Bristol-Myers Squibb reported mixed results in August 2017 from a phase 3 clinical study evaluating a combination of Opdivo and Yervoy as a first-line treatment for kidney cancer. Clinical results announced by the company for Opdivo in treating lung cancer haven't been as impressive as those that Merck has announced for Keytruda, either. Still, Opdivo is likely to enjoy continued sales momentum for years to come.
5. Eliquis
Bristol-Myers Squibb also landed another drug in the top-five list for 2024, anticoagulant Eliquis. EvaluatePharma projects that sales for the drug will top $10.5 billion. Bristol-Myers Squibb will share a significant portion of that revenue, however, with its commercialization partner, Pfizer.
Eliquis is already growing faster than Johnson & Johnson 's Xarelto, another Factor Xa inhibitor that prevents blood clots. The real growth opportunity for Eliquis, though, could be in taking additional market share from warfarin, an older drug that's available in generic form.
Investing for the future
Are the drugmakers that stand to claim the biggest-selling drugs in the world in 2024 great picks for investors to buy now? Not necessarily. There are more dynamics impacting each of the five companies linked to these projected blockbuster drugs of the future.
I do especially like the prospects for three of these stocks, though. AbbVie has new drugs and a strong pipeline that should enable the stock to generate market-beating returns over the next decade. It's a similar story for Celgene. And over the next several years, Pfizer should move beyond the problems with declining sales for older drugs and issues with its sterile-injectables business.
All three of these stocks have attractive valuations. Two of the three -- AbbVie and Pfizer -- also pay dividends with juicy yields. It's difficult to accurately predict the future, but my hunch is that it will be bright for AbbVie, Celgene, and Pfizer.
10 stocks we like better than Pfizer
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Keith Speights owns shares of AbbVie, Celgene, and Pfizer. The Motley Fool owns shares of and recommends Celgene. The Motley Fool owns shares of Johnson & Johnson. 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. | Here are the five biggest blockbusters of the future -- and the five companies that are poised to profit from these drugs: AbbVie (NYSE: ABBV) , Merck (NYSE: MRK) , Celgene (NASDAQ: CELG) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) . Humira Six years from now will look like last year in one respect: AbbVie's Humira will still probably be the best-selling drug in the world. 1 in 2017 with sales of $18.9 billion (including revenue made by AbbVie's partner Eisai ). | Here are the five biggest blockbusters of the future -- and the five companies that are poised to profit from these drugs: AbbVie (NYSE: ABBV) , Merck (NYSE: MRK) , Celgene (NASDAQ: CELG) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) . 1 in 2017 with sales of $18.9 billion (including revenue made by AbbVie's partner Eisai ). Humira Six years from now will look like last year in one respect: AbbVie's Humira will still probably be the best-selling drug in the world. | Here are the five biggest blockbusters of the future -- and the five companies that are poised to profit from these drugs: AbbVie (NYSE: ABBV) , Merck (NYSE: MRK) , Celgene (NASDAQ: CELG) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) . Humira Six years from now will look like last year in one respect: AbbVie's Humira will still probably be the best-selling drug in the world. 1 in 2017 with sales of $18.9 billion (including revenue made by AbbVie's partner Eisai ). | Humira Six years from now will look like last year in one respect: AbbVie's Humira will still probably be the best-selling drug in the world. Here are the five biggest blockbusters of the future -- and the five companies that are poised to profit from these drugs: AbbVie (NYSE: ABBV) , Merck (NYSE: MRK) , Celgene (NASDAQ: CELG) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) . 1 in 2017 with sales of $18.9 billion (including revenue made by AbbVie's partner Eisai ). |
25448.0 | 2018-07-02 00:00:00 UTC | Vertex's Shares Rally as a Rival's CF Candidate Disappoints | ABBV | https://www.nasdaq.com/articles/vertexs-shares-rally-as-a-rivals-cf-candidate-disappoints-2018-07-02 | nan | nan | Vertex Pharmaceuticals Incorporated 's VRTX shares rallied more than 15% on Jun 29, following the announcement of lower-than-expected top-line results from Galapagos NV's GLPG phase II study on cystic fibrosis ("CF") candidate, GLPG2737.
Galapagos is evaluating the candidate on top of Vertex's CF drug, Orkambi (lumacaftor/ivacaftor), in the phase II PELICAN study in CF patients who are homozygous for the class II F508del mutation. The patients treated with GLPG2737, were treated with Orkambi for at least 12-weeks before the study and continued to receive it during the study. The company is developing GLPG2737 as a triple-combination regimen to treat CF patients.
Data from the study showed that GLPG2737 in combination with Orkambi improved ppFEV1, a measure of lung function, by 3.4% and reduced sweat chloride by 19.6 mmol/L from baseline versus placebo.
However, investors have found these data disappointing, which led to a decline in Galapagos' share price last Friday. Vertex is also developing triple-combo regimens. Its two candidates - VX-659 and VX-445 - in combination with tezacaftor and ivacaftor have improved ppFEV1 by 13.3% and 13.8%, respectively, in early to mid-stage studies. The reduction in sweat chloride in patients was also materially higher than GLPG2737.
Moreover, both the candidates are in phase III stage of development.
The numbers and the stage shows that Vertex is a clear leader in the development process of triple-combo regimens for CF patients. The study results are also significantly higher, which can probably ward off competition for a longer term.
So far this year, Vertex's shares have gained 13.4% against a decrease of 7.3% registered by the industry .
Galapagos is also developing triple combination regimens its own CF potentiator/correctors - GLPG2451, GLPG2222 and GLPG2737 - in a phase I study with interim data expected in the third quarter. The CF studies are being conducted in partnership with AbbVie ABBV . However, AbbVie has opted not to proceed with the development of previously contemplated second triple combination therapy comprising GLPG3067, GLPG2222 and GLPG2737.
Meanwhile, Vertex announced in its press release that its third CF drug was approved for the treatment of patients aged 12 and older with two copies of the F508del mutation in the CFTR gene in Canada. The drug will available under the brand name of PrSYMDEKO.
Corbus Pharmaceuticals Holdings, Inc. CRBP , a MA-based clinical-stage pharmaceutical company, is also developing its CF candidate, lenabasum, in a mid-stage study.
Vertex Pharmaceuticals Incorporated Price
Vertex Pharmaceuticals Incorporated Price | Vertex Pharmaceuticals Incorporated Quote
Vertex currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The CF studies are being conducted in partnership with AbbVie ABBV . However, AbbVie has opted not to proceed with the development of previously contemplated second triple combination therapy comprising GLPG3067, GLPG2222 and GLPG2737. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report Corbus Pharmaceuticals Holdings, Inc. (CRBP): Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report Corbus Pharmaceuticals Holdings, Inc. (CRBP): Free Stock Analysis Report To read this article on Zacks.com click here. The CF studies are being conducted in partnership with AbbVie ABBV . However, AbbVie has opted not to proceed with the development of previously contemplated second triple combination therapy comprising GLPG3067, GLPG2222 and GLPG2737. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report Corbus Pharmaceuticals Holdings, Inc. (CRBP): Free Stock Analysis Report To read this article on Zacks.com click here. The CF studies are being conducted in partnership with AbbVie ABBV . However, AbbVie has opted not to proceed with the development of previously contemplated second triple combination therapy comprising GLPG3067, GLPG2222 and GLPG2737. | The CF studies are being conducted in partnership with AbbVie ABBV . However, AbbVie has opted not to proceed with the development of previously contemplated second triple combination therapy comprising GLPG3067, GLPG2222 and GLPG2737. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report Corbus Pharmaceuticals Holdings, Inc. (CRBP): Free Stock Analysis Report To read this article on Zacks.com click here. |
25449.0 | 2018-07-02 00:00:00 UTC | Gilead's (GILD) CAR T Therapy Gets Positive CHMP Opinion | ABBV | https://www.nasdaq.com/articles/gileads-gild-car-t-therapy-gets-positive-chmp-opinion-2018-07-02 | nan | nan | Gilead Sciences, Inc . GILD announced that European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use ("CHMP") has issued a positive opinion on the company's Marketing Authorization Application ("MAA") for CAR T therapy, axicabtagene ciloleucel, as a treatment for adult patients with relapsed or refractory diffuse large B-cell lymphoma ("DLBCL") and primary mediastinal large B-cell lymphoma ("PMBCL"), after two or more lines of systemic therapy.
Axicabtagene ciloleucel, a chimeric antigen receptor T cell (CAR T) therapy, modifies a patient's own T cells to recognize and attack cancer cells.
The agency had earlier granted PRIME status to axicabtagene ciloleucel in May 2016.
A tentative approval is on the cards as the EMA generally takes the CHMP recommendation into account while reviewing any MAA.
We note that axicabtagene ciloleucel was approved by the FDA in October 2017 as Yescarta.
An approval in Europe will boost the growth prospects of the therapy, given the market potential. Per the information provided by the company, there are an estimated 7,700 patients with DLBCL, who are refractory to or have relapsed after two or more lines of the therapy, and may be eligible for CAR T therapy in Europe.
Concurrently, Novartis NVS also obtained positive opinion from the CHMP for its CAR-T therapy, Kymriah, for two B-cell malignancies - B-cell acute lymphoblastic leukemia (ALL) and DLBCL.
Gilead's stock has gained 0.4% in the year so far as against the industry' s decline of 6.9%.
We note that Gilead is looking to newer avenues to help its top line by solidifying its presence in the gene therapy space. The initial uptake of Yescarta in the United States is also encouraging. Gilead is also intending to foray into the NASH market.
Gilead's HCV franchise is experiencing slowdown across key markets, including the United States and Europe, reflecting lower sales of Harvoni and Sovaldi as a result of competitive and pricing pressure. The franchise saw a significant plunge in sales, due to new competition and fewer patient starts. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier, among others. Nevertheless, the HIV franchise continues to maintain momentum.
Zacks Rank
Gilead currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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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. | We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier, among others. Click to get this free report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. GILD announced that European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use ("CHMP") has issued a positive opinion on the company's Marketing Authorization Application ("MAA") for CAR T therapy, axicabtagene ciloleucel, as a treatment for adult patients with relapsed or refractory diffuse large B-cell lymphoma ("DLBCL") and primary mediastinal large B-cell lymphoma ("PMBCL"), after two or more lines of systemic therapy. | Click to get this free report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier, among others. GILD announced that European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use ("CHMP") has issued a positive opinion on the company's Marketing Authorization Application ("MAA") for CAR T therapy, axicabtagene ciloleucel, as a treatment for adult patients with relapsed or refractory diffuse large B-cell lymphoma ("DLBCL") and primary mediastinal large B-cell lymphoma ("PMBCL"), after two or more lines of systemic therapy. | Click to get this free report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier, among others. GILD announced that European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use ("CHMP") has issued a positive opinion on the company's Marketing Authorization Application ("MAA") for CAR T therapy, axicabtagene ciloleucel, as a treatment for adult patients with relapsed or refractory diffuse large B-cell lymphoma ("DLBCL") and primary mediastinal large B-cell lymphoma ("PMBCL"), after two or more lines of systemic therapy. | We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier, among others. Click to get this free report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. GILD announced that European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use ("CHMP") has issued a positive opinion on the company's Marketing Authorization Application ("MAA") for CAR T therapy, axicabtagene ciloleucel, as a treatment for adult patients with relapsed or refractory diffuse large B-cell lymphoma ("DLBCL") and primary mediastinal large B-cell lymphoma ("PMBCL"), after two or more lines of systemic therapy. |
25450.0 | 2018-07-02 00:00:00 UTC | Health Care Sector Update for 07/02/2018: ABBV,PRGO,TEVA,NVS,ADMP,MRK,AZN | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-07022018-abbvprgotevanvsadmpmrkazn-2018-07-02-0 | nan | nan | Top Health Care Stocks
JNJ -0.29%
PFE -0.58%
ABT flat
MRK flat
AMGN -0.53%
Health care stocks were trading lower Monday morning.
Among health care stocks likely to move on news:
- AbbVie ( ABBV ), together with a partner company, has been ordered by a US district court judge to pay $448 million after using sham litigation to illegally keep generic versions of AbbVie's AndroGel testosterone replacement drug from reaching the market. The ruling came in an antitrust lawsuit filed in 2014 by the Federal Trade Commission, in which it accused the companies of filing baseless patent infringement lawsuits in 2011 against generic drugmakers Teva Pharmaceuticals ( TEVA ) and Perrigo ( PRGO ).
In other sector news:
- Novartis' ( NVS ) Sandoz unit has acquired US commercial rights to Adamis Pharmaceuticals' ( ADMP ) Symjepi injection treatment for patients with severe asthma and other lung problems in exchange for an undisclosed upfront fee and performance-based milestone payments.
- Merck & Co (MRK) and AstraZeneca (AZN) Monday said their Lynparaza chemotherapy has been approved in Japan for use in patients with unresectable or recurrent BRCA-mutated, Her2-negative breast cancer who have received prior treatments. The companies developed the drug under a collaboration agreement between Merck and AstraZeneca. It also is approved in Japan as a maintenance treatment for women with platinum-sensitive relapsed ovarian cancer.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among health care stocks likely to move on news: - AbbVie ( ABBV ), together with a partner company, has been ordered by a US district court judge to pay $448 million after using sham litigation to illegally keep generic versions of AbbVie's AndroGel testosterone replacement drug from reaching the market. In other sector news: - Novartis' ( NVS ) Sandoz unit has acquired US commercial rights to Adamis Pharmaceuticals' ( ADMP ) Symjepi injection treatment for patients with severe asthma and other lung problems in exchange for an undisclosed upfront fee and performance-based milestone payments. - Merck & Co (MRK) and AstraZeneca (AZN) Monday said their Lynparaza chemotherapy has been approved in Japan for use in patients with unresectable or recurrent BRCA-mutated, Her2-negative breast cancer who have received prior treatments. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Among health care stocks likely to move on news: - AbbVie ( ABBV ), together with a partner company, has been ordered by a US district court judge to pay $448 million after using sham litigation to illegally keep generic versions of AbbVie's AndroGel testosterone replacement drug from reaching the market. Health care stocks were trading lower Monday morning. | Among health care stocks likely to move on news: - AbbVie ( ABBV ), together with a partner company, has been ordered by a US district court judge to pay $448 million after using sham litigation to illegally keep generic versions of AbbVie's AndroGel testosterone replacement drug from reaching the market. In other sector news: - Novartis' ( NVS ) Sandoz unit has acquired US commercial rights to Adamis Pharmaceuticals' ( ADMP ) Symjepi injection treatment for patients with severe asthma and other lung problems in exchange for an undisclosed upfront fee and performance-based milestone payments. - Merck & Co (MRK) and AstraZeneca (AZN) Monday said their Lynparaza chemotherapy has been approved in Japan for use in patients with unresectable or recurrent BRCA-mutated, Her2-negative breast cancer who have received prior treatments. | Among health care stocks likely to move on news: - AbbVie ( ABBV ), together with a partner company, has been ordered by a US district court judge to pay $448 million after using sham litigation to illegally keep generic versions of AbbVie's AndroGel testosterone replacement drug from reaching the market. Top Health Care Stocks ABT flat MRK flat |
25451.0 | 2018-07-02 00:00:00 UTC | Health Care Sector Update for 07/02/2018: SNNA,MRNS,ABBV,PRGO,TEVA,NVS,ADMP | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-07022018-snnamrnsabbvprgotevanvsadmp-2018-07-02 | nan | nan | Top Health Care Stocks
JNJ +0.17%
PFE +0.06%
ABT -0.03%
MRK -0.49%
AMGN +0.17%
Health care stocks turned mixed this afternoon, including a nearly 0.2% drop for the NYSE Health Care Index. Shares of health care companies in the S&P 500, meanwhile, were up more than 0.2% and the Nasdaq Biotechnology index jumped out to a nearly 0.8% gain just before the closing bell.
Among health care stocks likely to move on news:
+ Sienna Biopharmaceuticals ( SNNA ) rose Monday, topping out with a nearly 7% advance, after the early-stage drugmaker said it has negotiated a new, $40 million term loan facility with Silicon Valley Bank. Sienna drew $30 million from the loan package immediately after closing and can draw the remaining $10 million tranche at any time through its five-year term. The facility is interest-only through July 2020. The new loan facility provides Sienna with "greater financial flexibility" as the company continues to advance its multi-asset pipeline aiming to address significant unmet medical needs," CEO Frederick Beddingfield said.
In other sector news:
+ Marinus Pharmaceuticals ( MRNS ) was just over 4% higher in recent trading, earlier Monday climbing nearly under 12%, after analysts at Cantor Fitzgerald began coverage of the drugmaker with an Overweight investment rating and a $19 price target.
- AbbVie ( ABBV ) was narrowly lower this afternoon, Monday swinging between small gains and losses despite the drugmaker - together with a partner company - late Friday being ordered by a U.S. district court judge to pay $448 million to Teva Pharmaceuticals ( TEVA ) and Perrigo ( PRGO ) after using sham litigation to keep generic versions of its AndroGel testosterone replacement drug from reaching the market. The decision stems from an antitrust lawsuit filed in 2014 by the Federal Trade Commission against AbbVie and Besins Healthcare.
- Novartis' (NVS) was nearly 2% lower on Monday, staying with close range of its session low, despite the Swiss drugmaker's Sandoz unit saying it has acquired U.S. commercial rights to Adamis Pharmaceuticals' (ADMP) Symjepi injection treatment for patients with severe asthma and other lung problems in exchange for an undisclosed upfront fee and performance-based milestone payments.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | - AbbVie ( ABBV ) was narrowly lower this afternoon, Monday swinging between small gains and losses despite the drugmaker - together with a partner company - late Friday being ordered by a U.S. district court judge to pay $448 million to Teva Pharmaceuticals ( TEVA ) and Perrigo ( PRGO ) after using sham litigation to keep generic versions of its AndroGel testosterone replacement drug from reaching the market. The decision stems from an antitrust lawsuit filed in 2014 by the Federal Trade Commission against AbbVie and Besins Healthcare. Among health care stocks likely to move on news: + Sienna Biopharmaceuticals ( SNNA ) rose Monday, topping out with a nearly 7% advance, after the early-stage drugmaker said it has negotiated a new, $40 million term loan facility with Silicon Valley Bank. | - AbbVie ( ABBV ) was narrowly lower this afternoon, Monday swinging between small gains and losses despite the drugmaker - together with a partner company - late Friday being ordered by a U.S. district court judge to pay $448 million to Teva Pharmaceuticals ( TEVA ) and Perrigo ( PRGO ) after using sham litigation to keep generic versions of its AndroGel testosterone replacement drug from reaching the market. The decision stems from an antitrust lawsuit filed in 2014 by the Federal Trade Commission against AbbVie and Besins Healthcare. Top Health Care Stocks | - AbbVie ( ABBV ) was narrowly lower this afternoon, Monday swinging between small gains and losses despite the drugmaker - together with a partner company - late Friday being ordered by a U.S. district court judge to pay $448 million to Teva Pharmaceuticals ( TEVA ) and Perrigo ( PRGO ) after using sham litigation to keep generic versions of its AndroGel testosterone replacement drug from reaching the market. The decision stems from an antitrust lawsuit filed in 2014 by the Federal Trade Commission against AbbVie and Besins Healthcare. Among health care stocks likely to move on news: + Sienna Biopharmaceuticals ( SNNA ) rose Monday, topping out with a nearly 7% advance, after the early-stage drugmaker said it has negotiated a new, $40 million term loan facility with Silicon Valley Bank. | - AbbVie ( ABBV ) was narrowly lower this afternoon, Monday swinging between small gains and losses despite the drugmaker - together with a partner company - late Friday being ordered by a U.S. district court judge to pay $448 million to Teva Pharmaceuticals ( TEVA ) and Perrigo ( PRGO ) after using sham litigation to keep generic versions of its AndroGel testosterone replacement drug from reaching the market. The decision stems from an antitrust lawsuit filed in 2014 by the Federal Trade Commission against AbbVie and Besins Healthcare. Top Health Care Stocks |
25452.0 | 2018-07-01 00:00:00 UTC | Pharma's 2 Biggest Setbacks in 2018 | ABBV | https://www.nasdaq.com/articles/pharmas-2-biggest-setbacks-2018-2018-07-01 | nan | nan | Developing new drugs is wildly expensive. Since 2007, for instance, the average cost of bringing a novel drug to market (a new molecular entity) has hovered around a jaw-dropping $3.9 billion, according to EvaluateGroup. When all drugs are thrown into the mix, however, this figure balloons to an unreal $5.5 billion.
The point here is that it's extremely painful for big pharmas and blue-chip biotechs when their star clinical candidates flame out in late-stage testing, or suffer a serious regulatory setback. Even so, clinical and regulatory setbacks happen all the time in the pharma industry. Investors therefore need to have a solid understanding of how these setbacks impact valuations in the sector from both a short- and long-term perspective.
With this theme in mind, here is a look at how AbbVie (NYSE: ABBV) and Celgene Corporation (NASDAQ: CELG) made the two most costly mistakes halfway through 2018 and why investors in these two elite biopharmas shouldn't necessarily panic over these blunders.
1. AbbVie's Rova-T
In June 2016, AbbVie doled out $5.8 billion to acquire Stemcentrx for its cancer stem-cell therapy called Rova-T (rovalpituzumab tesirine) as a possible game-changing treatment for small-cell lung cancer. Immediately thereafter, analysts chimed in to name Rova-T as one of the most valuable experimental therapies in the clinic at the time. EvaluateGroup, for example, had the therapy's peak sales coming in at a staggering $8.3 billion by 2023, which would have propelled it into the top five best-selling pharma products in the world.
What a difference two years make. After posting dismal midstage trial results for third-line small-cell lung cancer last March, AbbVie revealed at the recent American Society for Clinical Oncology meeting that Rova-T's ongoing trials are showing little sign of efficacy, and poor side-effect profiles to boot. The point being that Rova-T went from a shining star to a potential complete dud in a year's time. As a result, EvaluateGroup downgraded its outlook for the drug's peak sales to a mere $193 million by 2024. That's a stunning 98% drop from where the drug stood in terms of market value back in 2017.
How did this setback impact AbbVie's valuation? Over the course of Jan. 1, 2017, to the day before Rova-T's midstage results were released in March 2018, AbbVie's shares were up by 80%. That kind of high-flying action is certainly unusual for a large-cap biotech stock, perhaps reflecting the market's enthusiasm for this key pipeline asset. In the intervening three-plus months since Rova-T's initial data release, however, AbbVie's shares have been extremely volatile, shedding nearly 7% of their value overall. That's not the end of the world, but AbbVie's upward momentum has certainly tapered off noticeably.
2. Celgene's ozanimod
Approximately three years ago, Celgene purchased Receptos for a noteworthy $7.2 billion for its experimental immunomodulatory drug ozanimod. At the time, the drug was already in human trials for both multiple sclerosis and ulcerative colitis; it had shown promise as a truly game-changing therapeutic option for these hard-to-treat conditions. Celgene thus rolled out a peak sales estimate for ozanimod of between $4 billion to $6 billion during its initial press release announcing the acquisition.
The take-home point here is that with this pricey acquisition, the blue-chip biotech appeared to have finally found its heir apparent to the aging multiple-myeloma drug Revlimid as its next flagship product.
Then the wheels fell off. Despite strong late-stage trial data showing that ozanimod was indeed a potent new therapy for relapsing multiple sclerosis, Celgene reportedly allowed the skeleton crew remaining at the Receptos facility in California to handle the drug's regulatory application with the Food and Drug Administration (FDA). At least that's what Celgene said after the drug got nailed with a refusal-to-file letter from the FDA for missing preclinical and clinical pharmacology data last February. Now the drug isn't scheduled to reach the market until perhaps late 2019.
Why is this regulatory delay such a big deal? Analysts believe that this lengthy delay could allow the drug's competitors across its various indications to catch up from a development standpoint. If so, these same analysts think that ozanimod's commercial opportunity could be slashed by a stunning 56% from peak. That's seriously bad news, especially as the company searches for a way to keep growing beyond Revlimid's eventually date with the patent cliff.
So it's not surprising that Celgene's shares dropped by as much as 25% from their 52-week highs in the months following this self-inflicted wound.
Can these biopharmas adapt and overcome?
Although investors were none too pleased with these setbacks, the good news is that both AbbVie and Celgene have vibrant pipelines capable of making up for lost ground. As proof, AbbVie and Celgene have the second and third most valuable clinical pipelines, respectively, across all of biopharma, according to EvaluateGroup.
That's not surprising given that both companies have taken an exceptionally aggressive approach to pipeline development through external licensing deals, as well as mergers and acquisitions over the past few years.
The net result is that the shares of both AbbVie and Celgene are arguably a great bargain here. AbbVie's top line is still forecast to rise at a healthy 4% compound annual growth rate (CAGR) over the next five years, despite losing exclusivity for its top-selling anti-inflammatory drug Humira and Rova-T's implosion. And Celgene is expected to perform even better over this same period with a stately 9% CAGR. Of course, these growth forecasts would have been richer if Rova-T and ozanimod didn't get derailed, but that doesn't mean the sky is falling, either.
The bottom line is that AbbVie and Celgene prepared for the possibility of a serious setback by building out extremely robust pipelines capable of smoothing out the rough spots over the long term.
Interesting enough, though, several other large biopharmas such as GlaxoSmithKline and Sanofi have failed to follow this same prudent course of action during the height of the patent cliff by relying way too heavily on a small set of experimental product candidates to deliver long-term growth. As such, their shares have drastically underperformed the broad biopharma space over the last decade.
AbbVie and Celgene, on the other hand, apparently learned from the follies of their peers by building pipelines with multiple shots on goal, so to speak. And that's the kind of deep value that savvy investors should appreciate.
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George Budwell has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Celgene and GlaxoSmithKline. 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. | With this theme in mind, here is a look at how AbbVie (NYSE: ABBV) and Celgene Corporation (NASDAQ: CELG) made the two most costly mistakes halfway through 2018 and why investors in these two elite biopharmas shouldn't necessarily panic over these blunders. AbbVie's top line is still forecast to rise at a healthy 4% compound annual growth rate (CAGR) over the next five years, despite losing exclusivity for its top-selling anti-inflammatory drug Humira and Rova-T's implosion. AbbVie's Rova-T In June 2016, AbbVie doled out $5.8 billion to acquire Stemcentrx for its cancer stem-cell therapy called Rova-T (rovalpituzumab tesirine) as a possible game-changing treatment for small-cell lung cancer. | After posting dismal midstage trial results for third-line small-cell lung cancer last March, AbbVie revealed at the recent American Society for Clinical Oncology meeting that Rova-T's ongoing trials are showing little sign of efficacy, and poor side-effect profiles to boot. Over the course of Jan. 1, 2017, to the day before Rova-T's midstage results were released in March 2018, AbbVie's shares were up by 80%. In the intervening three-plus months since Rova-T's initial data release, however, AbbVie's shares have been extremely volatile, shedding nearly 7% of their value overall. | AbbVie's Rova-T In June 2016, AbbVie doled out $5.8 billion to acquire Stemcentrx for its cancer stem-cell therapy called Rova-T (rovalpituzumab tesirine) as a possible game-changing treatment for small-cell lung cancer. With this theme in mind, here is a look at how AbbVie (NYSE: ABBV) and Celgene Corporation (NASDAQ: CELG) made the two most costly mistakes halfway through 2018 and why investors in these two elite biopharmas shouldn't necessarily panic over these blunders. After posting dismal midstage trial results for third-line small-cell lung cancer last March, AbbVie revealed at the recent American Society for Clinical Oncology meeting that Rova-T's ongoing trials are showing little sign of efficacy, and poor side-effect profiles to boot. | With this theme in mind, here is a look at how AbbVie (NYSE: ABBV) and Celgene Corporation (NASDAQ: CELG) made the two most costly mistakes halfway through 2018 and why investors in these two elite biopharmas shouldn't necessarily panic over these blunders. AbbVie's Rova-T In June 2016, AbbVie doled out $5.8 billion to acquire Stemcentrx for its cancer stem-cell therapy called Rova-T (rovalpituzumab tesirine) as a possible game-changing treatment for small-cell lung cancer. After posting dismal midstage trial results for third-line small-cell lung cancer last March, AbbVie revealed at the recent American Society for Clinical Oncology meeting that Rova-T's ongoing trials are showing little sign of efficacy, and poor side-effect profiles to boot. |
25453.0 | 2018-06-29 00:00:00 UTC | Why Vertex Pharmaceuticals Incorporated Stock Surged 14% Today | ABBV | https://www.nasdaq.com/articles/why-vertex-pharmaceuticals-incorporated-stock-surged-14-today-2018-06-29 | nan | nan | What happened
Shares of Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX) were trading 14% higher as of 11 a.m. EDT on Friday. The nice jump for the biotech stock came after Galapagos N.V. (NASDAQ: GLPG) announced disappointing results Thursday evening from a phase 2 clinical study evaluating C2 corrector GLPG2737 in treating cystic fibrosis (CF).
Galapagos' CF drug met its primary endpoint of a statistically significant change from baseline in sweat chloride concentration compared to a placebo at day 28. However, the drug didn't improve lung function by a statistically significant level.
So what
Galapagos' disappointment could mean that Vertex will maintain a virtual monopoly in treating cystic fibrosis. Vertex currently has three approved drugs that improve lung function in CF patients by modulating or correcting dysfunctional CFTR genes. The biotech is evaluating new triple-drug combination therapies that hold even greater promise in helping CF patients.
Like Vertex, Galapagos is also developing triple-drug combos targeting CF. GLPG2737 is one of the three drugs included in a clinical study that's currently in progress. However, the failure of GLPG2737 to improve lung function probably dramatically reduces the chances for success of Galapagos' triple-drug combo.
AbbVie (NYSE: ABBV) , Galapagos' partner, opted not to proceed with the development of a second triple-drug combo that also included GLPG2737. Galapagos said that it's "reviewing the future of its CF collaboration with AbbVie."
Vertex, meanwhile, is going full steam ahead with phase 3 clinical studies for two triple-drug CF combos. Two of the three components of both of these combos -- tezacaftor and ivacaftor -- are also components of Symdeko, which won approval from the Food and Drug Administration in treating CF earlier this year. The third drug in the triple-drug combos demonstrated overwhelmingly positive results in phase 2 clinical studies.
Now what
Vertex CEO Jeff Leiden wasn't too concerned about the potential competition from Galapagos and AbbVie when he spoke at the Cowen healthcare conference in March . He thought that his company's first-mover position would be enough to give Vertex a huge competitive advantage. However, you can bet that Leiden and the rest of the Vertex management team were thrilled to hear the results from Galapagos' clinical study.
The next steps for Vertex are to avoid having its own disappointment from clinical studies of its triple-drug combos. While there's always a risk that could happen, the biotech appears to be in great shape to announce positive data relatively soon. Vertex hopes to prepare regulatory filings for its triple-drug combos in treating CF patients with one F5808del mutation and one minimal function mutation based on four weeks of efficacy data and 12 weeks of safety data.
Unless there's a stunning setback, Vertex now appears likely to rule the CF market for the next several years. Investors can look for further catalysts as the biotech announces its triple-drug combo results and expands into new indications.
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Keith Speights owns shares of AbbVie and Vertex Pharmaceuticals. The Motley Fool recommends Vertex Pharmaceuticals. 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. | Now what Vertex CEO Jeff Leiden wasn't too concerned about the potential competition from Galapagos and AbbVie when he spoke at the Cowen healthcare conference in March . AbbVie (NYSE: ABBV) , Galapagos' partner, opted not to proceed with the development of a second triple-drug combo that also included GLPG2737. Galapagos said that it's "reviewing the future of its CF collaboration with AbbVie." | AbbVie (NYSE: ABBV) , Galapagos' partner, opted not to proceed with the development of a second triple-drug combo that also included GLPG2737. Galapagos said that it's "reviewing the future of its CF collaboration with AbbVie." Now what Vertex CEO Jeff Leiden wasn't too concerned about the potential competition from Galapagos and AbbVie when he spoke at the Cowen healthcare conference in March . | AbbVie (NYSE: ABBV) , Galapagos' partner, opted not to proceed with the development of a second triple-drug combo that also included GLPG2737. Galapagos said that it's "reviewing the future of its CF collaboration with AbbVie." Now what Vertex CEO Jeff Leiden wasn't too concerned about the potential competition from Galapagos and AbbVie when he spoke at the Cowen healthcare conference in March . | *Stock Advisor returns as of June 4, 2018 Keith Speights owns shares of AbbVie and Vertex Pharmaceuticals. AbbVie (NYSE: ABBV) , Galapagos' partner, opted not to proceed with the development of a second triple-drug combo that also included GLPG2737. Galapagos said that it's "reviewing the future of its CF collaboration with AbbVie." |
25454.0 | 2018-06-29 00:00:00 UTC | Lilly's (LLY) Taltz Positive in Ankylosing Spondylitis Study | ABBV | https://www.nasdaq.com/articles/lillys-lly-taltz-positive-in-ankylosing-spondylitis-study-2018-06-29 | nan | nan | Pharma giant Eli Lilly and CompanyLLY announced positive top-line results from a second phase III study on its arthritis drug, Taltz (ixekizumab), for the treatment of Ankylosing Spondylitis (AS), also known as radiographic axial spondyloarthritis (r-axSpA).
The phase III study, COAST-W, evaluated the safety and efficacy of Taltz for the treatment of AS. This is the first AS trial on a patient population with inadequate response to one or two tumor necrosis factor (TNF) inhibitors or intolerance to a TNF inhibitor.
The results showed that Taltz demonstrated a statistically significant improvement in the signs and symptoms of AS, measured by the proportion of patients having achieved Assessment of Spondyloarthritis International Society 40 (ASAS40) response at 16 weeks when compared with placebo. The study met the primary and major secondary endpoints.
AS is a type of spondyloarthritis affecting the pelvic joints and spine.
Notably, the company had earlier reported positive results from the phase III COAST-V study on Taltz for the therapy of AS.
Lilly plans to submit detailed data from the COAST-W study at scientific meetings and in peer-reviewed journals later in 2018. Based on the positive results from the COAST-V and COAST-W studies, the company plans to submit the same for approval in the United States later this year.
We like to remind investors that apart from psoriatic arthritis, Taltz is approved for treating moderate-to-severe plaque psoriasis in adults, eligible for systemic therapy or phototherapy, as well as for active psoriatic arthritis. Although many other drugs like Novartis' NVS Cosentyx and AbbVie's ABBV Humira are approved to treat plaque psoriasis, Lilly claims Taltz is now the first and the only FDA approved treatment for genital psoriasis.
Taltz logged sales of $146.5 million in the first quarter. The label expansion will in turn, expand the eligible patient population of the drug, driving sales going forward. The drug recorded sales of $559.2 million in 2017.
Shares of Lilly have inched up 1.3% year to date against the industry's decline of 6.1%.
Lilly currently carries a Zacks Rank #3 (Hold). Another top ranked stock in the same sector is H Lundbeck A/S HLUYY which carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
H Lundbeck's earnings estimates have been revised 11.6% upward for 2018 and 4.3% for 2019 in the past 60 days. The stock has surged 34.1% year to date.
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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. | Although many other drugs like Novartis' NVS Cosentyx and AbbVie's ABBV Humira are approved to treat plaque psoriasis, Lilly claims Taltz is now the first and the only FDA approved treatment for genital psoriasis. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. Pharma giant Eli Lilly and CompanyLLY announced positive top-line results from a second phase III study on its arthritis drug, Taltz (ixekizumab), for the treatment of Ankylosing Spondylitis (AS), also known as radiographic axial spondyloarthritis (r-axSpA). | Although many other drugs like Novartis' NVS Cosentyx and AbbVie's ABBV Humira are approved to treat plaque psoriasis, Lilly claims Taltz is now the first and the only FDA approved treatment for genital psoriasis. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, the company had earlier reported positive results from the phase III COAST-V study on Taltz for the therapy of AS. | Although many other drugs like Novartis' NVS Cosentyx and AbbVie's ABBV Humira are approved to treat plaque psoriasis, Lilly claims Taltz is now the first and the only FDA approved treatment for genital psoriasis. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. Pharma giant Eli Lilly and CompanyLLY announced positive top-line results from a second phase III study on its arthritis drug, Taltz (ixekizumab), for the treatment of Ankylosing Spondylitis (AS), also known as radiographic axial spondyloarthritis (r-axSpA). | Although many other drugs like Novartis' NVS Cosentyx and AbbVie's ABBV Humira are approved to treat plaque psoriasis, Lilly claims Taltz is now the first and the only FDA approved treatment for genital psoriasis. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, the company had earlier reported positive results from the phase III COAST-V study on Taltz for the therapy of AS. |
25455.0 | 2018-06-29 00:00:00 UTC | XLV, UNH, MRK, ABBV: Large Outflows Detected at ETF | ABBV | https://www.nasdaq.com/articles/xlv-unh-mrk-abbv-large-outflows-detected-etf-2018-06-29 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $483.1 million dollar outflow -- that's a 3.1% decrease week over week (from 186,515,324 to 180,715,324). Among the largest underlying components of XLV, in trading today UnitedHealth Group Inc (Symbol: UNH) is up about 0.6%, Merck & Co Inc (Symbol: MRK) is up about 0.8%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average:
Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $83.74. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average » .
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs experienced notable outflows »
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. | Among the largest underlying components of XLV, in trading today UnitedHealth Group Inc (Symbol: UNH) is up about 0.6%, Merck & Co Inc (Symbol: MRK) is up about 0.8%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $483.1 million dollar outflow -- that's a 3.1% decrease week over week (from 186,515,324 to 180,715,324). These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. | Among the largest underlying components of XLV, in trading today UnitedHealth Group Inc (Symbol: UNH) is up about 0.6%, Merck & Co Inc (Symbol: MRK) is up about 0.8%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $83.74. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). | Among the largest underlying components of XLV, in trading today UnitedHealth Group Inc (Symbol: UNH) is up about 0.6%, Merck & Co Inc (Symbol: MRK) is up about 0.8%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $483.1 million dollar outflow -- that's a 3.1% decrease week over week (from 186,515,324 to 180,715,324). For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $83.74. | Among the largest underlying components of XLV, in trading today UnitedHealth Group Inc (Symbol: UNH) is up about 0.6%, Merck & Co Inc (Symbol: MRK) is up about 0.8%, and AbbVie Inc (Symbol: ABBV) is higher by about 1.3%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $83.74. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). |
25456.0 | 2018-06-29 00:00:00 UTC | Will a Trade War With China Wreak Havoc in US Healthcare? | ABBV | https://www.nasdaq.com/articles/will-trade-war-china-wreak-havoc-us-healthcare-2018-06-29 | nan | nan | Ever since President Trump's imposition of tariffs on steel and aluminum imports from China, markets at large have suffered dearly. There have been a number of meetings between trade representatives from both the countries but all in vain.
To further escalate trade-war tensions, reports have surfaced from the U.S. Treasury Department that it has been drafting policies, which prohibit firms having more than 25% Chinese ownership to benefit from emerging technologies in the United States.
Such policies would have negative ramifications for industries like healthcare, biotech and pharmaceutical which are tech-heavy and need to acquire industrially efficient technologies for growth and sustenance. So would a trade-war with China turn out to be a nightmare for the U.S. healthcare sector? Let's have a look.
Trump's Protectionism Would Dampen U.S. Healthcare Fortunes
Early-stage pharmaceutical startups and biotech companies have historically benefited from increased access to Chinese investment and resources. Intellectual property rights' protection is going to hamper the growing entrepreneurial spirit in the biotech space in the long run. The brunt would be borne more by relatively small-scale startups as American VCs focus more on larger startups from top-notch universities.
Further, China has not included any medical products in the retaliatory tariffs that it imposed on the United States and is not likely to do so in the future as well. However, in case such a scenario occurs, it would not be too good for the healthcare industry. As a norm, China refrains from using copies of drugs from American biotech companies. Experts fear that if China gets down to violating patent rights due to the escalation of trade war, it might start copying drugs from companies having significant exposure to the Asian country.
Under such circumstances, companies from the U.S. pharmaceutical and drug industry would have to pay dearly. Such a turn of events would also result in dwindling global share of the U.S. healthcare industry.
Market leaders of the Zacks Large Cap Pharmaceutical Industry such as AbbVie ABBV , GlaxoSmithKline GSK , Eli Lilly LLY , Merck MRK and Pifzer PFE would end up being the biggest losers. Such companies not only have significant Chinese exposure but are highly vulnerable to instances of I.P. right infringements. You can see the complete list of today's Zacks #1 Rank stocks here .
Chinese Investment is Oxygen for U.S. Biotech and Pharma
Chinese venture-capital funds have invested a whopping $1.4 billion in U.S. biotech and drug companies in the period between January through March. This surpasses the $125.5 million in investments by Chinese VCs for the whole of 2017. Part of such an increase can be attributed to China's efforts in becoming the leader in healthcare investments across the globe.
China increasingly wants to make use of the manufacturing-intensive nature of their economy. Another reason for typically increasing investments in U.S. biotech firms is that China wants to access novel therapies that it can make use of along with high returns from such investments.
However, any restriction by the Trump administration on Chinese involvement in U.S. biotech can spell doomsday for the industry. One of the big reasons is that it is relatively cheaper for the drug and pharmaceutical companies to perform clinical trials in China. The China Drug Administration (CDA) or the Chinese FDA takes less than a third of the time taken by the U.S. FDA in approving results. Consequently, costs involved are also lower over there.
To Conclude
The U.S. pharmaceutical industry has suffered in the recent past due to rising costs associated with raw materials. Trump's act of tariff imposition on China has proved to be rather counterproductive for several industries at large and might turn out to be nightmarish for the healthcare industry.
It is a known fact that Chinese investments breathe life into small and mid-scale healthcare companies in America. Finally, in the event of China infringing drug patent rights from American companies having significant operations on Chinese shores, a bloodbath in the healthcare industry would be inevitable.
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Zacks Investment Research
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. | Market leaders of the Zacks Large Cap Pharmaceutical Industry such as AbbVie ABBV , GlaxoSmithKline GSK , Eli Lilly LLY , Merck MRK and Pifzer PFE would end up being the biggest losers. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. To further escalate trade-war tensions, reports have surfaced from the U.S. Treasury Department that it has been drafting policies, which prohibit firms having more than 25% Chinese ownership to benefit from emerging technologies in the United States. | Market leaders of the Zacks Large Cap Pharmaceutical Industry such as AbbVie ABBV , GlaxoSmithKline GSK , Eli Lilly LLY , Merck MRK and Pifzer PFE would end up being the biggest losers. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Finally, in the event of China infringing drug patent rights from American companies having significant operations on Chinese shores, a bloodbath in the healthcare industry would be inevitable. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Market leaders of the Zacks Large Cap Pharmaceutical Industry such as AbbVie ABBV , GlaxoSmithKline GSK , Eli Lilly LLY , Merck MRK and Pifzer PFE would end up being the biggest losers. Chinese Investment is Oxygen for U.S. Biotech and Pharma Chinese venture-capital funds have invested a whopping $1.4 billion in U.S. biotech and drug companies in the period between January through March. | Market leaders of the Zacks Large Cap Pharmaceutical Industry such as AbbVie ABBV , GlaxoSmithKline GSK , Eli Lilly LLY , Merck MRK and Pifzer PFE would end up being the biggest losers. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Chinese Investment is Oxygen for U.S. Biotech and Pharma Chinese venture-capital funds have invested a whopping $1.4 billion in U.S. biotech and drug companies in the period between January through March. |
25457.0 | 2018-06-29 00:00:00 UTC | Bad News Delivers a Decisive Blow to Galapagos N.V. | ABBV | https://www.nasdaq.com/articles/bad-news-delivers-decisive-blow-galapagos-nv-2018-06-29 | nan | nan | Galapagos N.V. (NASDAQ: GLPG) is developing new triplet combination therapies with AbbVie (NYSE: ABBV) for cystic fibrosis that the two companies hope can challengeVertex Pharmaceuticals (NASDAQ: VRTX) someday. Unfortunately, the results reported yesterday from a mid-stage study did not inspire confidence. Is Galapagos' plan to tackle cystic fibrosis a failure?
What's cystic fibrosis?
A serious, life-shortening disease with few treatment options, cystic fibrosis is caused by problems associated with reabsorbing and transporting chloride and, correspondingly, sodium, the two components of salt. In healthy patients, chloride is transported through the CFTR channel, but in cystic fibrosis patients, faulty genes prevent that from happening.
This inability to properly absorb and transport chlorine can cause many problems for cystic fibrosis patients, especially in the lung, where chlorine depletion can lead to the dehydration of airway surface liquid (ASL), a salt-containing liquid and a mucus gel layer that plays an important role in preventing lung infections.
There are approximately 75,000 people in the world with cystic fibrosis, including about 30,000 in the U.S., and sadly, most patients succumb to their disease before their 30s because of damage to their lungs that eventually results in respiratory failure.
Vertex Pharmaceuticals' dominance
There's no cure for cystic fibrosis, but Vertex Pharmaceuticals markets three drugs that may help improve outcomes for cystic fibrosis patients.
They launched their first cystic fibrosis drug, Kalydeco, in 2012. Kalydeco helps clear mucus from the airways to help prevent infection and improve respiration. Initially, it was only approved for use in a very limited number of people. However, it's now approved for use in patients with 10 specific CFTR mutations.
The second drug that won approval is Orkambi, a combination drug comprising of Kaydeco and lumacaftor that's approved for use in patients with two copies of the F508del mutation in their CFTR gene. Earlier this year, Vertex Pharmaceuticals won approval for its third drug, Symdeko, a combination of Kalydeco and tezacaftor, after it was shown in trials to improve patients' lung function.
About 34,000 cystic fibrosis patients have amenable mutations that can be addressed by these three drugs, and because cystic fibrosis medications cost hundreds of thousands of dollars per year and they must be taken for life, Vertex Pharmaceuticals has carved out a dominant multibillion-dollar position in the indication.
Galapagos stumbles
Under a 2013 that was expanded in 2016, AbbVie is helping Galapagos develop multidrug combination therapies to improve the transport of chloride for up to 90% of cystic fibrosis patients.
Galapagos has been conducting proof-of-concept studies for various cystic fibrosis drugs that it hopes to use together in triplet combinations, and on Thursday, it reported results for one of those drugs, GLPG2737. Although GLPG2737 statistically reduced the amount of chloride lost in sweat, a hallmark of the disease, it failed to statistically improve lung function when used alongside Orkambi. Specifically, the improvement in lung function was 3.4% with a p-value of 0.08, which failed to meet the 0.05 level associated with statistical significance.
The disappointment on the lung function measure is potentially a big problem because GLPG2737 is one of three Galapagos drugs being evaluated in its ongoing triplet study, Falcon. That triplet study is expected to have its first interim data readout in the third quarter of 2018. Until we see data that restores confidence in GLPG2737's efficacy, there's likely to be significant concern over the likelihood for this trial to deliver a win.
What happens next
Galapagos is continuing the triplet study, but AbbVie has decided to opt out of a previously planned second triplet study that would have also included GLPG2737. AbbVie's decision suggests it's not just investors who are nervous about GLPG2737's efficacy.
The stumble of GLPG2737 could mean that Vertex Pharmaceuticals won't face any stiff challenge anytime soon. That would be great news for Vertex Pharmaceuticals because it's already knee-deep working on its own triplet therapies that incorporate Symdeko. If its efforts on triplets pan out, Vertex Pharmaceuticals thinks it will be able to double its addressable patient population. Given Vertex Pharmaceuticals first-quarter sales were $638 million, a triplet success would be a boon for patients, the company, and its investors.
Galapagos cystic fibrosis program could still get back on track if the triplet data hits statistical significance, so they can't be counted out yet. However, if the triplet isn't a winner, investors will have to ratchet back their revenue models. Based on AbbVie's licensing pact, Galapagos can receive up to $600 million in milestones and it can split profit with AbbVie on sales in certain countries if its cystic fibrosis drugs win approval.
The cystic fibrosis program isn't the only iron in the fire at Galapagos, though. It's also working withGilead Sciences on filgotinib, a drug for autoimmune diseases.
Results from filgotinib trials in rheumatoid arthritis are also on deck for later this year, so investors will want to weigh the odds of success of failure for that program before buying Galapagos if they're interested in picking it up on this sell-off.
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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. | Galapagos N.V. (NASDAQ: GLPG) is developing new triplet combination therapies with AbbVie (NYSE: ABBV) for cystic fibrosis that the two companies hope can challengeVertex Pharmaceuticals (NASDAQ: VRTX) someday. Galapagos stumbles Under a 2013 that was expanded in 2016, AbbVie is helping Galapagos develop multidrug combination therapies to improve the transport of chloride for up to 90% of cystic fibrosis patients. What happens next Galapagos is continuing the triplet study, but AbbVie has decided to opt out of a previously planned second triplet study that would have also included GLPG2737. | Galapagos N.V. (NASDAQ: GLPG) is developing new triplet combination therapies with AbbVie (NYSE: ABBV) for cystic fibrosis that the two companies hope can challengeVertex Pharmaceuticals (NASDAQ: VRTX) someday. Galapagos stumbles Under a 2013 that was expanded in 2016, AbbVie is helping Galapagos develop multidrug combination therapies to improve the transport of chloride for up to 90% of cystic fibrosis patients. What happens next Galapagos is continuing the triplet study, but AbbVie has decided to opt out of a previously planned second triplet study that would have also included GLPG2737. | Galapagos stumbles Under a 2013 that was expanded in 2016, AbbVie is helping Galapagos develop multidrug combination therapies to improve the transport of chloride for up to 90% of cystic fibrosis patients. Galapagos N.V. (NASDAQ: GLPG) is developing new triplet combination therapies with AbbVie (NYSE: ABBV) for cystic fibrosis that the two companies hope can challengeVertex Pharmaceuticals (NASDAQ: VRTX) someday. What happens next Galapagos is continuing the triplet study, but AbbVie has decided to opt out of a previously planned second triplet study that would have also included GLPG2737. | Galapagos stumbles Under a 2013 that was expanded in 2016, AbbVie is helping Galapagos develop multidrug combination therapies to improve the transport of chloride for up to 90% of cystic fibrosis patients. Galapagos N.V. (NASDAQ: GLPG) is developing new triplet combination therapies with AbbVie (NYSE: ABBV) for cystic fibrosis that the two companies hope can challengeVertex Pharmaceuticals (NASDAQ: VRTX) someday. What happens next Galapagos is continuing the triplet study, but AbbVie has decided to opt out of a previously planned second triplet study that would have also included GLPG2737. |
25458.0 | 2018-06-29 00:00:00 UTC | Should Value Investors Consider AbbVie (ABBV) Stock Now? | ABBV | https://www.nasdaq.com/articles/should-value-investors-consider-abbvie-abbv-stock-now-2018-06-29 | nan | nan | Value investing is easily one of the most popular ways to find great stocks in any market environment. After all, who wouldn't want to find stocks that are either flying under the radar and are compelling buys, or offer up tantalizing discounts when compared to fair value?
One way to find these companies is by looking at several key metrics and financial ratios, many of which are crucial in the value stock selection process. Let's put AbbVie Inc.ABBV stock into this equation and find out if it is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look elsewhere for top picks:
PE Ratio
A key metric that value investors always look at is the Price to Earnings Ratio, or PE for short. This shows us how much investors are willing to pay for each dollar of earnings in a given stock, and is easily one of the most popular financial ratios in the world. The best use of the PE ratio is to compare the stock's current PE ratio with: a) where this ratio has been in the past; b) how it compares to the average for the industry/sector; and c) how it compares to the market as a whole.
On this front, AbbVie has a trailing twelve months PE ratio of nearly 15.0, as you can see in the chart below:
This level actually compares pretty favorably with the market at large, as the PE for the S&P 500 stands at about 19.9. If we focus on the long-term PE trend, AbbVie's current PE level puts it slightly below its midpoint over the past five years. Moreover, the current level is fairly below the highs for this stock, suggesting it might be a good entry point.
Further, the stock's PE also compares favorably with the sector's trailing twelve months PE ratio, which stands at 19.7. At the very least, this indicates that the stock is relatively undervalued right now, compared to its peers.
We should also point out that AbbVie has a forward PE ratio (price relative to this year's earnings) of just 11.7, so it is fair to say that a slightly more value-oriented path may be ahead for AbbVie stock in the near term too.
P/S Ratio
Another key metric to note is the Price/Sales ratio. This approach compares a given stock's price to its total sales, where a lower reading is generally considered better. Some people like this metric more than other value-focused ones because it looks at sales, something that is far harder to manipulate with accounting tricks than earnings.
Right now, AbbVie has a P/S ratio of about 5.0. This is higher than the S&P 500 average, which comes in at 3.3 right now. Nonetheless, as we can see in the chart below, this is well below the highs for this stock in particular over the past few years.
Broad Value Outlook
In aggregate, AbbVie currently has a Zacks Value Style Score of A, putting it into the top 20% of all stocks we cover from this look. This makes AbbVie a solid choice for value investors, and some of its other key metrics make this pretty clear too.
For example, the PEG ratio for AbbVie is just 0.9, a level that is lower than the industry average of 1.8. The PEG ratio is a modified PE ratio that takes into account the stock's earnings growth rate.
What About the Stock Overall?
Though AbbVie might be a good choice for value investors, there are plenty of other factors to consider before investing in this name. In particular, it is worth noting that the company has a Growth grade of B and a Momentum score of C. This gives ABBV a Zacks VGM score-or its overarching fundamental grade-of A. (You can read more about the Zacks Style Scores here >> )
Meanwhile, the company's recent earnings estimates have been trending higher. The current quarter has seen one estimate go higher in the past sixty days compared to none lower, while the full year estimate has seen two upward and zero downward revisions in the same time period.
As a result, the current quarter consensus estimate has risen by 1% in the past two months, while the full year estimate has inched up by 0.6%. You can see the consensus estimate trend and recent price action for the stock in the chart below:
AbbVie Inc. Price and Consensus
AbbVie Inc. Price and Consensus | AbbVie Inc. Quote
This favorable trend is why the stock has a Zacks Rank #2 (Buy) and why we are looking for outperformance from the company in the near term.
Bottom Line
AbbVie is an inspired choice for value investors, as it is hard to beat its incredible lineup of statistics on this front. Its strong Zacks Rank also indicates robust growth potential in the near future. However, the company's prospects might be constrained due to adverse broader factors, as it has a sluggish industry rank (Bottom 23% out of more than 250 industries). In fact, over the past two years, the industry has clearly underperformed the broader market, as you can see below:
So, value investors might want to wait for the broader factors to turn around in this name first, but once that happens, this stock could be a compelling pick.
Wall Street's Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It's a once-in-a-generation opportunity to invest in pure genius.
Click for details >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
AbbVie Inc. (ABBV): Free Stock Analysis Report
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Zacks Investment Research
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. | In particular, it is worth noting that the company has a Growth grade of B and a Momentum score of C. This gives ABBV a Zacks VGM score-or its overarching fundamental grade-of A. Bottom Line AbbVie is an inspired choice for value investors, as it is hard to beat its incredible lineup of statistics on this front. Let's put AbbVie Inc.ABBV stock into this equation and find out if it is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look elsewhere for top picks: PE Ratio A key metric that value investors always look at is the Price to Earnings Ratio, or PE for short. | If we focus on the long-term PE trend, AbbVie's current PE level puts it slightly below its midpoint over the past five years. You can see the consensus estimate trend and recent price action for the stock in the chart below: AbbVie Inc. Price and Consensus AbbVie Inc. Price and Consensus | AbbVie Inc. Quote This favorable trend is why the stock has a Zacks Rank #2 (Buy) and why we are looking for outperformance from the company in the near term. Let's put AbbVie Inc.ABBV stock into this equation and find out if it is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look elsewhere for top picks: PE Ratio A key metric that value investors always look at is the Price to Earnings Ratio, or PE for short. | Let's put AbbVie Inc.ABBV stock into this equation and find out if it is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look elsewhere for top picks: PE Ratio A key metric that value investors always look at is the Price to Earnings Ratio, or PE for short. You can see the consensus estimate trend and recent price action for the stock in the chart below: AbbVie Inc. Price and Consensus AbbVie Inc. Price and Consensus | AbbVie Inc. Quote This favorable trend is why the stock has a Zacks Rank #2 (Buy) and why we are looking for outperformance from the company in the near term. On this front, AbbVie has a trailing twelve months PE ratio of nearly 15.0, as you can see in the chart below: This level actually compares pretty favorably with the market at large, as the PE for the S&P 500 stands at about 19.9. | Let's put AbbVie Inc.ABBV stock into this equation and find out if it is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look elsewhere for top picks: PE Ratio A key metric that value investors always look at is the Price to Earnings Ratio, or PE for short. On this front, AbbVie has a trailing twelve months PE ratio of nearly 15.0, as you can see in the chart below: This level actually compares pretty favorably with the market at large, as the PE for the S&P 500 stands at about 19.9. If we focus on the long-term PE trend, AbbVie's current PE level puts it slightly below its midpoint over the past five years. |
25459.0 | 2018-06-27 00:00:00 UTC | AbbVie (ABBV), Calico Extend R&D Deal, to Invest $500M Each | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-calico-extend-rd-deal-to-invest-%24500m-each-2018-06-27 | nan | nan | AbbVie, Inc.ABBV announced extension of its 2014 research and development (R&D) agreement with Calico Life Sciences to jointly discover and develop candidates to treat age-related diseases including neurodegeneration and cancer.
Calico is a San Francisco Bay Area based biotech company, backed by Alphabet Inc. GOOGL . Since the companies first entered the deal, the partnership has produced more than two dozen early-stage programs. With the latest agreement, the collaboration has been extended for another three years.
Calico will be responsible for the early R&D programs until 2022 and will continue to advance the programs through phase IIa through 2027. AbbVie will continue to support Calico in early R&D stages and will have the option to manage late-stage development and commercial activities. The companies will be sharing costs and profits equally and contribute $500 million each additionally to the collaboration.
The deal strengthens AbbVie's grip on the oncology segment. As it is, AbbVie has a strong position in the oncology market with drugs like Imbruvica, which it markets in partnership with J&J JNJ .
Imbruvica, currently approved for quite a few indications, has multi-billion dollar potential and AbbVie is exploring the potential to expand Imbruvica's label into solid tumors and autoimmune diseases. Several studies on Imbruvica are ongoing to evaluate the drug alone or in combination in different patient segments. AbbVie expects Imbruvica peak sales of more than $7 billion and revenues of about $5 billion in 2020.
AbbVie is also studying chronic lymphocytic leukemia (CLL) drug Venclyxto/Venclexta to expand the label to address the broader relapsed/refractory CLL patient population, expand into earlier lines of therapy and other hematologic malignancies like multiple myeloma and AML. Data from the phase III MURANO study of Venclexta plus Roche's RHHBY Rituxan in relapse/refractory CLL presented in last September showed that the combination led to a profound improvement in progression free survival compared to Treanda plus Rituxan. Regulatory applications seeking approval for the combination use in this broader patient population were approved in the United States earlier this month. Label expansion for this indication should expand the patient population for Venclexta significantly and boost its commercial potential.
AbbVie's shares have declined 4.8% this year so far compared with the industry 's decline of 4.9%.
AbbVie currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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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. | AbbVie will continue to support Calico in early R&D stages and will have the option to manage late-stage development and commercial activities. AbbVie, Inc.ABBV announced extension of its 2014 research and development (R&D) agreement with Calico Life Sciences to jointly discover and develop candidates to treat age-related diseases including neurodegeneration and cancer. The deal strengthens AbbVie's grip on the oncology segment. | AbbVie is also studying chronic lymphocytic leukemia (CLL) drug Venclyxto/Venclexta to expand the label to address the broader relapsed/refractory CLL patient population, expand into earlier lines of therapy and other hematologic malignancies like multiple myeloma and AML. Click to get this free report Alphabet Inc. (GOOGL): Free Stock Analysis Report Roche Holding AG (RHHBY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie, Inc.ABBV announced extension of its 2014 research and development (R&D) agreement with Calico Life Sciences to jointly discover and develop candidates to treat age-related diseases including neurodegeneration and cancer. | Imbruvica, currently approved for quite a few indications, has multi-billion dollar potential and AbbVie is exploring the potential to expand Imbruvica's label into solid tumors and autoimmune diseases. AbbVie is also studying chronic lymphocytic leukemia (CLL) drug Venclyxto/Venclexta to expand the label to address the broader relapsed/refractory CLL patient population, expand into earlier lines of therapy and other hematologic malignancies like multiple myeloma and AML. Click to get this free report Alphabet Inc. (GOOGL): Free Stock Analysis Report Roche Holding AG (RHHBY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. | AbbVie, Inc.ABBV announced extension of its 2014 research and development (R&D) agreement with Calico Life Sciences to jointly discover and develop candidates to treat age-related diseases including neurodegeneration and cancer. AbbVie will continue to support Calico in early R&D stages and will have the option to manage late-stage development and commercial activities. The deal strengthens AbbVie's grip on the oncology segment. |
25460.0 | 2018-06-27 00:00:00 UTC | 3 Biotech Stocks With Major Potential Catalysts in July | ABBV | https://www.nasdaq.com/articles/3-biotech-stocks-major-potential-catalysts-july-2018-06-27 | nan | nan | When you think of July, visions of fireworks might come to mind. Three biotechs -- and a big partner for one of them -- are especially hoping to see some fireworks next month.
Neurocrine Biosciences (NASDAQ: NBIX) , along with partner AbbVie (NYSE: ABBV) , Progenics Pharmaceuticals (NASDAQ: PGNX) , and Insys Pharmaceuticals (NASDAQ: INSY) await major approval decisions by the U.S. Food and Drug Administration (FDA). Here's what you need to know about the potential catalysts for these biotech stocks.
1. Neurocrine Biosciences (and AbbVie)
Neurocrine Biosciences originally developed elagolix but licensed the drug to AbbVie seven years ago. The FDA is scheduled to make its approval decision on the drug for treating endometriosis-associated pain in either July or August.
AbbVie submitted the New Drug Application (NDA) for elagolix in early September 2017. The following month, the FDA granted priority review for the NDA, which should have placed an approval decision no later than April 2018. However, the FDA subsequently extended its review period by three months to give it time to review additional information.
Elagolix is also being evaluated in a phase 3 clinical study for treating uterine fibroids. If approved for both indications, the drug is projected to become a blockbuster for AbbVie. However, success for elagolix is arguably even more important to Neurocrine. The smaller biotech stands to receive milestone payments and royalties on sales of the drug. Neurocrine currently only has one approved product on the market, Ingrezza, which treats tardive dyskinesia, a side effect resulting from long-term use of antipsychotic medications.
2. Progenics Pharmaceuticals
Progenics Pharmaceuticals already has one product on the market, Relistor, which is licensed to Valeant Pharmaceuticals . The small-cap biotech hopes to add another product to the list, with the FDA scheduled to announce its approval decision by July 31 on Azedra, a treatment for rare tumors in and outside of the adrenal glands.
Like elagolix, Azedra initially had an early review date. However, in March, Progenics announced that the FDA extended the review period for three additional months to review additional data submitted by the biotech. The 10% drop for Progenics stock on the day the delay was announced underscores just how important Azedra is for the biotech.
If approved, Azedra is expected to generate peak annual sales of between $200 million and $300 million. Progenics' market cap is only twice the upper end of that range. Should the FDA give a thumbs-up for the drug next month, expect this biotech stock to skyrocket.
3. Insys Pharmaceuticals
Insys Pharmaceuticals is best known for its opioid painkiller Subsys. The biotech also has another approved product, cannabinoid drug Syndros. But Insys pledged in 2017 to file for approval for at least one new drug each year through 2021. The company submitted for FDA approval of buprenorphine in treating acute pain in December 2017. A decision is expected by July 28.
Unfortunately for Insys, the odds of winning approval appear to be quite small. In May, an FDA advisory committee recommended against approval of the drug. The FDA doesn't have to go along with the advisory committee's recommendation, but it does so around 86% of the time, according to research by consulting firm McKinsey.
A surprise approval by the FDA would likely provide a nice boost to Insys stock, which has fallen around 18% so far in 2018. On the other hand, a rejection by the FDA might not make much of a difference in the biotech's share price because a negative decision is expected based on the advisory committee recommendation.
Most likely to succeed?
Obviously, Insys is the least likely to succeed of the three. But which of these biotechs is most likely to succeed? It depends on how you define success.
I fully expect Neurocrine and AbbVie will win FDA approval for elagolix. And I think the drug will be by far the biggest winner of the three products mentioned. In that sense, Neurocrine and AbbVie are most likely to succeed.
However, an approval for Azedra would mean more to Progenics than an approval of elagolix would mean for Neurocrine, and certainly more than it would mean for AbbVie. Will Azedra secure approval, though? I think the odds are pretty good and wouldn't read too much into the FDA's delay to review additional data. While there's still a reasonable chance that Azedra won't win approval, I think the biggest catalyst for July could benefit Progenics.
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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. | Neurocrine Biosciences (NASDAQ: NBIX) , along with partner AbbVie (NYSE: ABBV) , Progenics Pharmaceuticals (NASDAQ: PGNX) , and Insys Pharmaceuticals (NASDAQ: INSY) await major approval decisions by the U.S. Food and Drug Administration (FDA). Neurocrine Biosciences (and AbbVie) Neurocrine Biosciences originally developed elagolix but licensed the drug to AbbVie seven years ago. AbbVie submitted the New Drug Application (NDA) for elagolix in early September 2017. | Neurocrine Biosciences (NASDAQ: NBIX) , along with partner AbbVie (NYSE: ABBV) , Progenics Pharmaceuticals (NASDAQ: PGNX) , and Insys Pharmaceuticals (NASDAQ: INSY) await major approval decisions by the U.S. Food and Drug Administration (FDA). Neurocrine Biosciences (and AbbVie) Neurocrine Biosciences originally developed elagolix but licensed the drug to AbbVie seven years ago. AbbVie submitted the New Drug Application (NDA) for elagolix in early September 2017. | Neurocrine Biosciences (NASDAQ: NBIX) , along with partner AbbVie (NYSE: ABBV) , Progenics Pharmaceuticals (NASDAQ: PGNX) , and Insys Pharmaceuticals (NASDAQ: INSY) await major approval decisions by the U.S. Food and Drug Administration (FDA). However, an approval for Azedra would mean more to Progenics than an approval of elagolix would mean for Neurocrine, and certainly more than it would mean for AbbVie. Neurocrine Biosciences (and AbbVie) Neurocrine Biosciences originally developed elagolix but licensed the drug to AbbVie seven years ago. | However, an approval for Azedra would mean more to Progenics than an approval of elagolix would mean for Neurocrine, and certainly more than it would mean for AbbVie. Neurocrine Biosciences (NASDAQ: NBIX) , along with partner AbbVie (NYSE: ABBV) , Progenics Pharmaceuticals (NASDAQ: PGNX) , and Insys Pharmaceuticals (NASDAQ: INSY) await major approval decisions by the U.S. Food and Drug Administration (FDA). Neurocrine Biosciences (and AbbVie) Neurocrine Biosciences originally developed elagolix but licensed the drug to AbbVie seven years ago. |
25461.0 | 2018-06-26 00:00:00 UTC | Oversold Conditions For AbbVie (ABBV) | ABBV | https://www.nasdaq.com/articles/oversold-conditions-abbvie-abbv-2018-06-26 | nan | nan | Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.
In trading on Tuesday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.8, after changing hands as low as $92.49 per share. By comparison, the current RSI reading of the S&P 500 ETF ( SPY ) is 42.2. A bullish investor could look at ABBV's 29.8 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of ABBV shares:
Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $92.30.
Find out what 9 other oversold stocks you need to know about »
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. | In trading on Tuesday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.8, after changing hands as low as $92.49 per share. A bullish investor could look at ABBV's 29.8 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $92.30. | The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $92.30. In trading on Tuesday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.8, after changing hands as low as $92.49 per share. A bullish investor could look at ABBV's 29.8 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. | In trading on Tuesday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.8, after changing hands as low as $92.49 per share. The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $92.30. A bullish investor could look at ABBV's 29.8 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. | In trading on Tuesday, shares of AbbVie Inc (Symbol: ABBV) entered into oversold territory, hitting an RSI reading of 29.8, after changing hands as low as $92.49 per share. A bullish investor could look at ABBV's 29.8 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of ABBV shares: Looking at the chart above, ABBV's low point in its 52 week range is $69.38 per share, with $125.86 as the 52 week high point - that compares with a last trade of $92.30. |
25462.0 | 2018-06-26 00:00:00 UTC | AbbVie's (ABBV) Imbruvica sNDA Gets Priority Review From FDA | ABBV | https://www.nasdaq.com/articles/abbvies-abbv-imbruvica-snda-gets-priority-review-from-fda-2018-06-26 | nan | nan | AbbVie Inc. ABBV announced that the FDA has granted a priority review to its lymphoma drug Imbruvica's (ibrutinib) sNDA for the treatment of Waldenström's macroglobulinemia (WM) in combination with Rituxan (rituximab), marketed by Genentech, a subsidiary of Roche Group RHHBY .
The sNDA was based on positive data from the phase III study, iNNOVATE, which evaluated Imbruvica in combination with Rituxan and showed positive outcomes across all lines of WM treatment including patients with untreated and relapsed/refractory WM.
The phase III study (n=150) enrolled patients with relapsed/refractory and treatment-naive WM. Patients received intravenous Rituxan 375 mg/m2 once weekly for four consecutive weeks followed by a second four-weekly Rituxan course post a three-month interval . They either received Imbruvica420 mg or placebo once daily until permanently discontinuing the treatment. The primary endpoint was progression free survival with a measure of safety and tolerability across all treatment lines.
Based on the data and if approved, the sNDA would expand the drug's label for the indication of WM as the first chemotherapy-free combination treatment option.
Notably, Imbruvica is a first-in-class Bruton's tyrosine kinase inhibitor. The drug is already approved in the United States for the following indications such as chronic lymphocytic leukemia, small lymphocytic lymphoma, Waldenström's macroglobulinemia along with previously-treated mantle cell lymphoma, previously-treated marginal zone lymphoma and the previously-treated chronic graft-versus-host disease.
The drug is being jointly developed and marketed by Pharmacyclics LLC, which got acquired by AbbVie in 2015 and Janssen Biotech, a unit of Johnson & Johnson JNJ .
We also mark that AbbVie's Humira drug is a key growth driver for its revenue base. Imbruvica also appears to have great potential of a blockbuster drug. In the first quarter of 2018, the drug's net revenues were $762 million, up 38.5% year over year. By the end of the year, its global revenues might exceed $3.3 billion with sales in the United States likely to cross $2.7 billion.
Share of AbbVie has decreased 3.8% year to date compared to the industry's decline of 4.4%.
AbbVie currently carries a Zacks Rank #3 (Hold). A better-ranked stock in the same sector is H Lundbeck A/S HLUYY , sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here
H Lundbeck's earnings estimates have been revised 11.6% upward for 2018 and 4.3% for 2019 in the past 60 days. The stock has soared 42.9% year to date.
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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. | AbbVie Inc. ABBV announced that the FDA has granted a priority review to its lymphoma drug Imbruvica's (ibrutinib) sNDA for the treatment of Waldenström's macroglobulinemia (WM) in combination with Rituxan (rituximab), marketed by Genentech, a subsidiary of Roche Group RHHBY . The drug is being jointly developed and marketed by Pharmacyclics LLC, which got acquired by AbbVie in 2015 and Janssen Biotech, a unit of Johnson & Johnson JNJ . We also mark that AbbVie's Humira drug is a key growth driver for its revenue base. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV announced that the FDA has granted a priority review to its lymphoma drug Imbruvica's (ibrutinib) sNDA for the treatment of Waldenström's macroglobulinemia (WM) in combination with Rituxan (rituximab), marketed by Genentech, a subsidiary of Roche Group RHHBY . The drug is being jointly developed and marketed by Pharmacyclics LLC, which got acquired by AbbVie in 2015 and Janssen Biotech, a unit of Johnson & Johnson JNJ . | AbbVie Inc. ABBV announced that the FDA has granted a priority review to its lymphoma drug Imbruvica's (ibrutinib) sNDA for the treatment of Waldenström's macroglobulinemia (WM) in combination with Rituxan (rituximab), marketed by Genentech, a subsidiary of Roche Group RHHBY . Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. The drug is being jointly developed and marketed by Pharmacyclics LLC, which got acquired by AbbVie in 2015 and Janssen Biotech, a unit of Johnson & Johnson JNJ . | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report H Lundbeck A/S (HLUYY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV announced that the FDA has granted a priority review to its lymphoma drug Imbruvica's (ibrutinib) sNDA for the treatment of Waldenström's macroglobulinemia (WM) in combination with Rituxan (rituximab), marketed by Genentech, a subsidiary of Roche Group RHHBY . The drug is being jointly developed and marketed by Pharmacyclics LLC, which got acquired by AbbVie in 2015 and Janssen Biotech, a unit of Johnson & Johnson JNJ . |
25463.0 | 2018-06-26 00:00:00 UTC | Gilead's (GILD) Biktarvy Gets EC Nod for HIV- 1 Infection | ABBV | https://www.nasdaq.com/articles/gileads-gild-biktarvy-gets-ec-nod-for-hiv-1-infection-2018-06-26 | nan | nan | Gilead Sciences, Inc . GILD announced that the European Commission has granted Marketing Authorization to HIV combination therapy Biktarvy (bictegravir 50mg/emtricitabine 200 mg/tenofovir alafenamide 25 mg; BIC/FTC/TAF).
Biktarvy is approved as a once-daily single tablet regimen (STR) for the treatment of HIV-1 infection in adults without present or past evidence of viral resistance to the integrase class, emtricitabine or tenofovir.
The approval was supported by positive data from four ongoing phase III studies, namely Studies 1489 and 1490 in treatment-naïve HIV-1 infected adults, and Studies 1844 and 1878 in virologically suppressed adults.
With this approval, BIC/FTC/TAF becomes Gilead's third FTC/TAF-based STR approved in the European Union in the past three years. BIC/FTC/TAF met its primary objective at 48 weeks in all four studies.
The regimen was earlier approved by the FDA in February 2018. The approval in Europe will further strengthen the company's HIV franchise.
Gilead is a dominant player in the HIV market with an impressive portfolio for the same. HIV is one of the primary areas of focus for Gilead and the company is working to bring new HIV treatments to market to further boost sales of the franchise. The company was the first to bring to market a single-tablet regimen (STR) for the treatment of HIV - Atripla. The TAF-based products, Genvoya, Odefsey and Descovy, are performing well with strong adoption in both the United States and Europe.
Biktarvy combines the novel, unboosted integrase strand transfer inhibitor ("INSTI") bictegravir, with the demonstrated safety and efficacy profile of the Descovy, (FTC/TAF) dual nucleoside reverse transcriptase inhibitor ("NRTI") backbone, and the smallest INSTI-based triple-therapy STR is produced. The approval of this new HIV therapy will pose stiff competition to GlaxoSmith's GSK existing therapies, Tivicay and Triumeq.
Meanwhile, Gilead is banking on its HIV franchise to drive growth in future, given the persistent decline in HCV sales. Gilead's stock has gained 0.8% in the last six months as against the industry' s decline of 6.8%.
Pricing has largely stabilized and market share will stabilize by mid-2018, while patient starts are expected to decline further. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others.
Meanwhile, Gilead is looking at newer avenues to help its top line, by solidifying its presence in the gene therapy space. The initial uptake of Yescarta is also encouraging. Gilead is also intending to foray into the NASH market with pipeline candidates - selonsertib and filgotinib.
Zacks Rank
Gilead currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
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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. | We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. GILD announced that the European Commission has granted Marketing Authorization to HIV combination therapy Biktarvy (bictegravir 50mg/emtricitabine 200 mg/tenofovir alafenamide 25 mg; BIC/FTC/TAF). | Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. GILD announced that the European Commission has granted Marketing Authorization to HIV combination therapy Biktarvy (bictegravir 50mg/emtricitabine 200 mg/tenofovir alafenamide 25 mg; BIC/FTC/TAF). | Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. With this approval, BIC/FTC/TAF becomes Gilead's third FTC/TAF-based STR approved in the European Union in the past three years. | We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. Click to get this free report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. With this approval, BIC/FTC/TAF becomes Gilead's third FTC/TAF-based STR approved in the European Union in the past three years. |
25464.0 | 2018-06-25 00:00:00 UTC | The Zacks Analyst Blog Highlights: Procter & Gamble, AbbVie, IBM, McDonald's and General Electric | ABBV | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights%3A-procter-gamble-abbvie-ibm-mcdonalds-and-general | nan | nan | For Immediate Release
Chicago, IL - June 25, 2018 - Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Procter & Gamble PG , AbbVie ABBV , IBM IBM , McDonald's MCD and General Electric GE .
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Friday's Analyst Blog:
Top Research Reports for Procter & Gamble, AbbVie and IBM
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Procter & Gamble, AbbVie and IBM. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today's research reports here >>>
Procter & Gamble 's shares have underperformed the Zacks Soap and Cleaning Materials industry year to date (-16.8% vs. -11.5%). The Zacks analyst thinks Procter & Gamble has been benefiting from higher demand for skincare products, along with fabric and home care products.
Further, the company boasts an impressive earnings surprise history, which continued in third-quarter fiscal 2018. Also, results improved year over year. While bottom-line results were aided by productivity cost savings, top line was driven by organic sales growth and higher volumes.
Management remains focused on product improvement, packaging and marketing initiatives, and productivity cost-savings plan. The company is witnessing strained margins owing to increased commodity costs, adverse geographic and product mix as well as unfavorable pricing impacts and product reinvestments. Also, slowerglobal marketgrowth along with softness across Baby, Feminine and Family Care segment remains concerns.
(You can read the full research report on Procter & Gamble here >>> ).
Shares of AbbVie have lost -1.2% year to date, outperforming the Zacks Large Cap Pharmaceuticals industry, which has declined -5.1% over the same period. AbbVie's key drug, Humira is performing well based on strong demand trends despite new competition.
Moreover, Imbruvica has multibillion-dollar potential and AbbVie is exploring the possibility of label expansion into solid tumors and autoimmune diseases. Mavyret's launch has been stronger than expected. Mavyret has become a major growth driver for AbbVie in a short time on the market.
AbbVie has an impressive late-stage pipeline with label expansions for both new and existing products expected over the next few years. Several pivotal data readouts and regulatory milestones are expected in 2018.
Promising data from several pivotal studies and settlement of its second Humira patent dispute with Biogen are other tailwinds. However, Viekira's sales continue to be hurt by intensifying competition. Also, potential long-term competition to Humira is a concern.
(You can read the full research report on AbbVie here >>> ).
IBM 's shares have underperformed the broader market on a year-to-date basis, losing -8% vs. the S&P 500's +3% gain. The Zacks analyst likes IBM's improving position in the cloud, security and analytics. Moreover, accretive acquisitions have expanded IBM's product portfolio into higher-growth segments, such as Cloud computing and Big Data.
Further, expanding footprint in the rapidly growing blockchain market is positive. The expanded partnership with Red Hat bodes well for the company in the long haul. Oniqua buyout will add asset optimization capabilities IoT based capabilities to aid IBM's Maximo. IBM has positive record of earnings surprises in recent quarters.
However, the strategic imperatives will take some more time to report meaningful growth and offset weakness in the traditional business. IBM's ongoing heavily time-consuming business model transition to cloud continues to hurt the stock. Additionally, intensifying competition is a major concern. Estimates have been stable lately ahead of the company's Q2 earnings release.
(You can read the full research report on IBM here >>> ).
Other noteworthy reports we are featuring today include McDonald's and General Electric.
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Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1 Stock of the Day pick for free .
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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. | Stocks recently featured in the blog include Procter & Gamble PG , AbbVie ABBV , IBM IBM , McDonald's MCD and General Electric GE . Here are highlights from Friday's Analyst Blog: Top Research Reports for Procter & Gamble, AbbVie and IBM The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Procter & Gamble, AbbVie and IBM. | Stocks recently featured in the blog include Procter & Gamble PG , AbbVie ABBV , IBM IBM , McDonald's MCD and General Electric GE . Today's Research Daily features new research reports on 16 major stocks, including Procter & Gamble, AbbVie and IBM. Click to get this free report International Business Machines Corporation (IBM): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report General Electric Company (GE): Free Stock Analysis Report McDonald's Corporation (MCD): Free Stock Analysis Report Procter & Gamble Company (The) (PG): Free Stock Analysis Report To read this article on Zacks.com click here. | Here are highlights from Friday's Analyst Blog: Top Research Reports for Procter & Gamble, AbbVie and IBM The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Procter & Gamble, AbbVie and IBM. Click to get this free report International Business Machines Corporation (IBM): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report General Electric Company (GE): Free Stock Analysis Report McDonald's Corporation (MCD): Free Stock Analysis Report Procter & Gamble Company (The) (PG): Free Stock Analysis Report To read this article on Zacks.com click here. | Today's Research Daily features new research reports on 16 major stocks, including Procter & Gamble, AbbVie and IBM. Stocks recently featured in the blog include Procter & Gamble PG , AbbVie ABBV , IBM IBM , McDonald's MCD and General Electric GE . Here are highlights from Friday's Analyst Blog: Top Research Reports for Procter & Gamble, AbbVie and IBM The Zacks Research Daily presents the best research output of our analyst team. |
25465.0 | 2018-06-25 00:00:00 UTC | Monday 6/25 Insider Buying Report: DOVA, ABBV | ABBV | https://www.nasdaq.com/articles/monday-625-insider-buying-report-dova-abbv-2018-06-25 | nan | nan | As the saying goes, there are many possible reasons for an insider to sell a stock, but only one reason to buy - they expect to make money. So let's look at two noteworthy recent insider buys.
On Thursday, Dova Pharmaceuticals' Director, Steven M. Goldman, made a $151,100 purchase of DOVA, buying 5,000 shares at a cost of $30.22 a piece. So far Goldman is in the green, up about 13.3% on their buy based on today's trading high of $34.23. Dova Pharmaceuticals is trading up about 3.8% on the day Monday. Before this latest buy, Goldman purchased DOVA at 3 other times during the past twelve months, for a total investment of $1.79M at an average of $19.41 per share.
And at AbbVie, there was insider buying on Wednesday, by Director Edward J. Rapp who purchased 1,013 shares for a cost of $98.63 each, for a trade totaling $99,909. Before this latest buy, Rapp made one other purchase in the past year, buying $281,782 shares at a cost of $70.45 a piece. AbbVie Inc is trading off about 0.7% on the day Monday. Investors have the opportunity to pick up ABBV at a price even lower than Rapp did, with the stock changing hands as low as $92.61 at last check today which is 6.1% below Rapp's purchase price.
VIDEO: Monday 6/25 Insider Buying Report: DOVA, ABBV
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. | And at AbbVie, there was insider buying on Wednesday, by Director Edward J. Rapp who purchased 1,013 shares for a cost of $98.63 each, for a trade totaling $99,909. AbbVie Inc is trading off about 0.7% on the day Monday. Investors have the opportunity to pick up ABBV at a price even lower than Rapp did, with the stock changing hands as low as $92.61 at last check today which is 6.1% below Rapp's purchase price. | VIDEO: Monday 6/25 Insider Buying Report: DOVA, ABBV The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. And at AbbVie, there was insider buying on Wednesday, by Director Edward J. Rapp who purchased 1,013 shares for a cost of $98.63 each, for a trade totaling $99,909. AbbVie Inc is trading off about 0.7% on the day Monday. | VIDEO: Monday 6/25 Insider Buying Report: DOVA, ABBV The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. And at AbbVie, there was insider buying on Wednesday, by Director Edward J. Rapp who purchased 1,013 shares for a cost of $98.63 each, for a trade totaling $99,909. AbbVie Inc is trading off about 0.7% on the day Monday. | And at AbbVie, there was insider buying on Wednesday, by Director Edward J. Rapp who purchased 1,013 shares for a cost of $98.63 each, for a trade totaling $99,909. AbbVie Inc is trading off about 0.7% on the day Monday. Investors have the opportunity to pick up ABBV at a price even lower than Rapp did, with the stock changing hands as low as $92.61 at last check today which is 6.1% below Rapp's purchase price. |
25466.0 | 2018-06-21 00:00:00 UTC | ABBV Dividend Yield Pushes Past 4% | ABBV | https://www.nasdaq.com/articles/abbv-dividend-yield-pushes-past-4-2018-06-21 | nan | nan | Looking at the universe of stocks we cover at Dividend Channel , in trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) were yielding above the 4% mark based on its quarterly dividend (annualized to $3.84), with the stock changing hands as low as $95.26 on the day. Dividends are particularly important for investors to consider, because historically speaking dividends have provided a considerable share of the stock market's total return. To illustrate, suppose for example you purchased shares of the S&P 500 ETF ( SPY ) back on 12/31/1999 - you would have paid $146.88 per share. Fast forward to 12/31/2012 and each share was worth $142.41 on that date, a decrease of $4.67/share over all those years. But now consider that you collected a whopping $25.98 per share in dividends over the same period, for a positive total return of 23.36%. Even with dividends reinvested, that only amounts to an average annual total return of about 1.6%; so by comparison collecting a yield above 4% would appear considerably attractive if that yield is sustainable. AbbVie Inc (Symbol: ABBV) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index.
In general, dividend amounts are not always predictable and tend to follow the ups and downs of profitability at each company. In the case of AbbVie Inc, looking at the history chart for ABBV below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 4% annual yield.
ABBV has been growing its dividend for more than 20 years consecutively. For more dividend growth stocks view our Dividend Aristocrats List on Dividend Channel.
Click here to find out which 9 other dividend stocks just recently went on sale »
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. | Looking at the universe of stocks we cover at Dividend Channel , in trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) were yielding above the 4% mark based on its quarterly dividend (annualized to $3.84), with the stock changing hands as low as $95.26 on the day. AbbVie Inc (Symbol: ABBV) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of AbbVie Inc, looking at the history chart for ABBV below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 4% annual yield. | Looking at the universe of stocks we cover at Dividend Channel , in trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) were yielding above the 4% mark based on its quarterly dividend (annualized to $3.84), with the stock changing hands as low as $95.26 on the day. AbbVie Inc (Symbol: ABBV) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of AbbVie Inc, looking at the history chart for ABBV below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 4% annual yield. | Looking at the universe of stocks we cover at Dividend Channel , in trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) were yielding above the 4% mark based on its quarterly dividend (annualized to $3.84), with the stock changing hands as low as $95.26 on the day. AbbVie Inc (Symbol: ABBV) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of AbbVie Inc, looking at the history chart for ABBV below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 4% annual yield. | Looking at the universe of stocks we cover at Dividend Channel , in trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) were yielding above the 4% mark based on its quarterly dividend (annualized to $3.84), with the stock changing hands as low as $95.26 on the day. AbbVie Inc (Symbol: ABBV) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of AbbVie Inc, looking at the history chart for ABBV below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 4% annual yield. |
25467.0 | 2018-06-21 00:00:00 UTC | XLV, ABBV, AMGN, MDT: ETF Outflow Alert | ABBV | https://www.nasdaq.com/articles/xlv-abbv-amgn-mdt-etf-outflow-alert-2018-06-21 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $80.8 million dollar outflow -- that's a 0.5% decrease week over week (from 187,465,324 to 186,515,324). Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 2.3%, Amgen Inc (Symbol: AMGN) is down about 0.8%, and Medtronic PLC (Symbol: MDT) is up by about 0.2%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average:
Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $84.60. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average » .
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs experienced notable outflows »
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. | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 2.3%, Amgen Inc (Symbol: AMGN) is down about 0.8%, and Medtronic PLC (Symbol: MDT) is up by about 0.2%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $80.8 million dollar outflow -- that's a 0.5% decrease week over week (from 187,465,324 to 186,515,324). These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 2.3%, Amgen Inc (Symbol: AMGN) is down about 0.8%, and Medtronic PLC (Symbol: MDT) is up by about 0.2%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $84.60. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 2.3%, Amgen Inc (Symbol: AMGN) is down about 0.8%, and Medtronic PLC (Symbol: MDT) is up by about 0.2%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $80.8 million dollar outflow -- that's a 0.5% decrease week over week (from 187,465,324 to 186,515,324). For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $84.60. | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 2.3%, Amgen Inc (Symbol: AMGN) is down about 0.8%, and Medtronic PLC (Symbol: MDT) is up by about 0.2%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.82 per share, with $91.79 as the 52 week high point - that compares with a last trade of $84.60. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). |
25468.0 | 2018-06-20 00:00:00 UTC | 5 Experimental New Drugs That Could Be Worth $47 Billion | ABBV | https://www.nasdaq.com/articles/5-experimental-new-drugs-could-be-worth-47-billion-2018-06-20 | nan | nan | Dollars today are worth a whole lot more than dollars you might receive a few years from now, so when a relatively conservative market research provider pins an 11-digit net present value to a drug still in development, it pays to understand why.
Every year, EvaluatePharma ranks experimental drugs in development based on what they could earn if approved, and this year the top five are worth a combined $47 billion. Here's what investors need to know about the top five in reverse order.
5. GSK2857916 from GlaxoSmithKline
The fifth most valuable research and development project right now belongs to GlaxoSmithKline (NYSE: GSK) and it's so fresh it doesn't even have a proper name yet. GSK2857916 is a fancy protein bound to a lethal dose of chemo that it only releases when it finds its target. In this candidate's case, the target is beta-cell maturation antigen, a protein often found on the surface of cancer cells in people with multiple myeloma.
Multiple myeloma is the second most common form of blood cancer, and existing treatments rack up billions in annual sales. Relapsed patients rarely respond to subsequent treatments, but GSK2857916 shrank tumors for 21 of 35 people in a group that had seen a median of five prior lines of treatment.
If GlaxoSmithKline's candidate keeps producing results like these, it's going to fill a big unmet need, which is why its net present value is an estimated $7.5 billion. We'll know more about its chances once the company finishes a phase 2 clinical slated to begin any day now.
4. Brolucizumab from Novartis
Age-related macular degeneration (AMD) is the leading cause of irreversible vision loss among people over 50 years of age. The condition isn't curable, but pricey treatments can slow it down. EvaluatePharma thinks this candidate from Novartis (NYSE: NVS) is worth $8.1 billion right now because it looks like a big improvement over Eylea, a currently popular injection that racked up $3.7 billion in sales last year.
Holding back AMD requires constant dosing, but patients aren't so thrilled about regular eyeball jabs. Novartis' experimental treatment looks like it can do the job for most patients on a 12-week schedule even though Eylea treatment calls for an injection every eight weeks.
3. Aducanumab from Biogen
Biogen Inc. 's (NASDAQ: BIIB) Alzheimer's disease hopeful topped the list last year, but repeated failures with experimental drugs that attack the disease from a similar angle have all flopped. Despite the risk, EvaluatePharma estimates aducanumab's present value at around $8.4 billion and this figure will rise or fall dramatically when the company reads off results of ongoing pivotal trials, probably in early 2020.
During a relatively small study, investigators noticed patients in groups treated with aducanumab declined less in their performance on a clinical dementia test, although the differences weren't all strong enough to be considered statistically significant. There are no treatments that slow this debilitating disease that affects 5.7 million people in the U.S. alone. If Biogen's candidate can prove itself in larger trials, this could be the best-selling drug of its time.
2. Upadacitinib from AbbVie
AbbVie Inc. 's (NYSE: ABBV) flagship rheumatoid arthritis (RA) treatment is the world's best-selling drug today, and its next addition to this space could be worth $9.9 billion. A 30 mg dose of upadacatinib helped half of the patients that received it achieve clinical remission versus just 18% among those given a standard first-line RA treatment.
AbbVie intends to submit an application for the treatment of RA before the end of 2018 with a possible launch slated for next year. Given solid pivotal trial data we've already seen in RA, plus mid-stage results that suggest upadacatinib could also treat Crohn's disease and eczema, this estimate could rise a bit further next year.
1. VX-659 + tezacaftor + ivacaftor from Vertex
Pharmaceuticals
It seems fitting that the most valuable research and development program in the biopharma space also has the most complicated name. Vertex Pharmaceuticals (NASDAQ: VRTX) thinks adding VX-659 to two drugs that are already on the market can help a lot more patients with cystic fibrosis breathe easier.
The company's currently running phase 3 trials with two relatively large groups of cystic fibrosis patients, and we should have some early efficacy data to look at in the second half. If the triple-combo hits the mark, its estimated net present value of $13.1 billion could get adjusted higher still.
Stay sharp
Before you get too excited and run out buying up shares of these drugmakers, it's important to realize biotech estimates can change dramatically. Last June, AbbVie had another candidate near the top of this list. Rova-T was thought to be worth $8.5 billion, but following a recent clinical trial disappointment, its estimate fell to just $193 million.
Outlooks for experimental new drugs are always subject to new data, plus the Food and Drug Administration throws plenty of curveballs. With this in mind, investors should always consume prelaunch estimates with a big grain of salt.
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Cory Renauer has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Biogen. The Motley Fool recommends Vertex Pharmaceuticals. 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. | Upadacitinib from AbbVie AbbVie Inc. 's (NYSE: ABBV) flagship rheumatoid arthritis (RA) treatment is the world's best-selling drug today, and its next addition to this space could be worth $9.9 billion. AbbVie intends to submit an application for the treatment of RA before the end of 2018 with a possible launch slated for next year. Last June, AbbVie had another candidate near the top of this list. | Upadacitinib from AbbVie AbbVie Inc. 's (NYSE: ABBV) flagship rheumatoid arthritis (RA) treatment is the world's best-selling drug today, and its next addition to this space could be worth $9.9 billion. AbbVie intends to submit an application for the treatment of RA before the end of 2018 with a possible launch slated for next year. Last June, AbbVie had another candidate near the top of this list. | Upadacitinib from AbbVie AbbVie Inc. 's (NYSE: ABBV) flagship rheumatoid arthritis (RA) treatment is the world's best-selling drug today, and its next addition to this space could be worth $9.9 billion. AbbVie intends to submit an application for the treatment of RA before the end of 2018 with a possible launch slated for next year. Last June, AbbVie had another candidate near the top of this list. | Upadacitinib from AbbVie AbbVie Inc. 's (NYSE: ABBV) flagship rheumatoid arthritis (RA) treatment is the world's best-selling drug today, and its next addition to this space could be worth $9.9 billion. AbbVie intends to submit an application for the treatment of RA before the end of 2018 with a possible launch slated for next year. Last June, AbbVie had another candidate near the top of this list. |
25469.0 | 2018-06-20 00:00:00 UTC | Forget Johnson & Johnson: Here Are 2 Better Dividend Stocks | ABBV | https://www.nasdaq.com/articles/forget-johnson-johnson-here-are-2-better-dividend-stocks-2018-06-20 | nan | nan | If you own Johnson & Johnson (NYSE: JNJ) stock, there's a really good chance that you do so because of its dividend. The healthcare giant is a longtime favorite for income investors, in large part due to its sterling track record of 56 consecutive years of dividend increases.
But if you really prioritize dividend payments, Johnson & Johnson isn't the best choice. It's not even the top pick in the healthcare arena. When it comes to dividends, I think investors should look to AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) instead of J&J.
A lot to offer
AbbVie is a rarity in that it has something to offer to nearly every kind of investor. The big pharma company's dividend yield of 3.86% should be enticing to income investors -- and definitely more attractive than Johnson & Johnson's 2.94% yield. AbbVie also has a long track record of dividend increases. Over the last five years, the company has hiked its dividend payout by an impressive 140%. J&J increased its dividend by 36% during the period.
Value investors should like AbbVie's low forward earnings multiple of 11. By comparison, Johnson & Johnson stock currently trades at more than 14 times expected earnings. That's not bad at all, but it's still quite higher than AbbVie's forward-looking valuation.
AbbVie stock should also be appealing to growth-seeking investors. Wall Street analysts project that AbbVie will increase its earnings by nearly 17% annually over the next five years -- more than double the expected earnings growth for Johnson & Johnson.
What's especially notable about AbbVie's growth potential is that the company should enjoy strong growth even with its top-selling drug, Humira, facing competition from biosimilars in Europe beginning later this year. Despite these headwinds, though, market research firm EvaluatePharma thinks that Humira will remain the No. 1 best-selling drug in the world in 2024 .
AbbVie's growth should come from both current products and its pipeline. Sales for enormously successful cancer drug Imbruvica (which AbbVie co-markets with J&J) are expected to keep rising. Another cancer drug, Venclexta, is poised for rapid sales growth. AbbVie's hepatitis C drug Mavyret is already a big winner in its first year on the market. Pipeline candidates including immunology drugs upadacitinib and risankizumab are expected to be blockbusters .
This growth is also important for dividend investors. AbbVie currently uses around 66% of its earnings to fund the dividend. Sustained earnings growth should enable the company to keep on increasing its dividend payout for years to come.
Turning the corner
Pfizer's dividend yield of 3.74% isn't too far behind AbbVie's. It's also well ahead of Johnson & Johnson's yield. And while Pfizer's dividend increases of 42% over the last five years aren't as impressive as AbbVie's, the big drugmaker still beats J&J on that front.
What about valuation? Pfizer stock trades at under 12 times expected earnings. That's a little more expensive than AbbVie, but it's well below J&J's forward earnings multiple.
Another reason for investors to like Pfizer is that the company appears to be turning a corner. Pfizer's growth has been hampered in recent years by declining sales for its older products that have lost exclusivity. In addition, product shortages due to manufacturing issues have hurt revenue for the sterile injectables business that Pfizer gained with its 2015 Hospira acquisition.
However, Pfizer expects the negative impact of declining sales of its older drugs will decrease over the next few years. The company also is making progress in resolving the issues that have plagued its sterile injectables business. With these two major challenges becoming less significant, Pfizer's growth should pick up steam.
Several current drugs should be key to the company's success: anticoagulant Eliquis, breast cancer drug Ibrance, autoimmune disease drug Xeljanz, and new diabetes drug Steglatro along with its combination products Steglujan and Segluromet. Pfizer's pipeline includes plenty of solid candidates, with breast cancer drug talazoparib and pain drug tanezumab notably standing out. It wouldn't be surprising for Pfizer to make strategic acquisitions that pay off , especially to strengthen its position in the potentially lucrative nonalcoholic steatohepatitis (NASH) market.
In defense of J&J
It might sound like I'm beating up on Johnson & Johnson. That's not my intent. I actually like the company and like the stock.
One advantage that J&J has is its breadth of exposure across the healthcare spectrum. The company is a top drugmaker, but it's also a major medical device maker and a leader in consumer healthcare products. These other areas can hold back J&J's growth somewhat, but they also provide a stability that makes Johnson & Johnson less risky than most other stocks.
If you're looking for a steady dividend stock, you could do much worse than buying Johnson & Johnson. But you can also do better, in my opinion, by buying AbbVie or Pfizer.
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Keith Speights owns shares of AbbVie and Pfizer. The Motley Fool owns shares of Johnson & Johnson. 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. | When it comes to dividends, I think investors should look to AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) instead of J&J. A lot to offer AbbVie is a rarity in that it has something to offer to nearly every kind of investor. AbbVie also has a long track record of dividend increases. | When it comes to dividends, I think investors should look to AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) instead of J&J. A lot to offer AbbVie is a rarity in that it has something to offer to nearly every kind of investor. AbbVie also has a long track record of dividend increases. | Wall Street analysts project that AbbVie will increase its earnings by nearly 17% annually over the next five years -- more than double the expected earnings growth for Johnson & Johnson. When it comes to dividends, I think investors should look to AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) instead of J&J. A lot to offer AbbVie is a rarity in that it has something to offer to nearly every kind of investor. | Wall Street analysts project that AbbVie will increase its earnings by nearly 17% annually over the next five years -- more than double the expected earnings growth for Johnson & Johnson. And while Pfizer's dividend increases of 42% over the last five years aren't as impressive as AbbVie's, the big drugmaker still beats J&J on that front. When it comes to dividends, I think investors should look to AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) instead of J&J. |
25470.0 | 2018-06-19 00:00:00 UTC | Agree To Purchase AbbVie At $55, Earn 3.2% Using Options | ABBV | https://www.nasdaq.com/articles/agree-purchase-abbvie-55-earn-32-using-options-2018-06-19 | nan | nan | Investors considering a purchase of AbbVie Inc (Symbol: ABBV) shares, but tentative about paying the going market price of $98.19/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2020 put at the $55 strike, which has a bid at the time of this writing of $1.75. Collecting that bid as the premium represents a 3.2% return against the $55 commitment, or a 2% annualized rate of return (at Stock Options Channel we call this the YieldBoost ).
Selling a put does not give an investor access to ABBV's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. And the person on the other side of the contract would only benefit from exercising at the $55 strike if doing so produced a better outcome than selling at the going market price. ( Do options carry counterparty risk? This and six other common options myths debunked ). So unless AbbVie Inc sees its shares fall 44% and the contract is exercised (resulting in a cost basis of $53.25 per share before broker commissions, subtracting the $1.75 from $55), the only upside to the put seller is from collecting that premium for the 2% annualized rate of return.
Below is a chart showing the trailing twelve month trading history for AbbVie Inc, and highlighting in green where the $55 strike is located relative to that history:
The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2020 put at the $55 strike for the 2% annualized rate of return represents good reward for the risks. We calculate the trailing twelve month volatility for AbbVie Inc (considering the last 252 trading day closing values as well as today's price of $98.19) to be 32%. For other put options contract ideas at the various different available expirations, visit the ABBV Stock Options page of StockOptionsChannel.com.
In mid-afternoon trading on Tuesday, the put volume among S&P 500 components was 1.67M contracts, with call volume at 2.07M, for a put:call ratio of 0.81 so far for the day, which is unusually high compared to the long-term median put:call ratio of .65. In other words, there are lots more put buyers out there in options trading so far today than would normally be seen, as compared to call buyers. Find out which 15 call and put options traders are talking about today .
Top YieldBoost Puts of the S&P 500 »
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. | Investors considering a purchase of AbbVie Inc (Symbol: ABBV) shares, but tentative about paying the going market price of $98.19/share, might benefit from considering selling puts among the alternative strategies at their disposal. Below is a chart showing the trailing twelve month trading history for AbbVie Inc, and highlighting in green where the $55 strike is located relative to that history: The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2020 put at the $55 strike for the 2% annualized rate of return represents good reward for the risks. We calculate the trailing twelve month volatility for AbbVie Inc (considering the last 252 trading day closing values as well as today's price of $98.19) to be 32%. | Selling a put does not give an investor access to ABBV's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. Below is a chart showing the trailing twelve month trading history for AbbVie Inc, and highlighting in green where the $55 strike is located relative to that history: The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2020 put at the $55 strike for the 2% annualized rate of return represents good reward for the risks. We calculate the trailing twelve month volatility for AbbVie Inc (considering the last 252 trading day closing values as well as today's price of $98.19) to be 32%. | Selling a put does not give an investor access to ABBV's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. Below is a chart showing the trailing twelve month trading history for AbbVie Inc, and highlighting in green where the $55 strike is located relative to that history: The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2020 put at the $55 strike for the 2% annualized rate of return represents good reward for the risks. Investors considering a purchase of AbbVie Inc (Symbol: ABBV) shares, but tentative about paying the going market price of $98.19/share, might benefit from considering selling puts among the alternative strategies at their disposal. | Investors considering a purchase of AbbVie Inc (Symbol: ABBV) shares, but tentative about paying the going market price of $98.19/share, might benefit from considering selling puts among the alternative strategies at their disposal. Below is a chart showing the trailing twelve month trading history for AbbVie Inc, and highlighting in green where the $55 strike is located relative to that history: The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2020 put at the $55 strike for the 2% annualized rate of return represents good reward for the risks. Selling a put does not give an investor access to ABBV's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. |
25471.0 | 2018-06-18 00:00:00 UTC | Bristol-Myers Posts Data on Empliciti, China Approves Opdivo | ABBV | https://www.nasdaq.com/articles/bristol-myers-posts-data-on-empliciti-china-approves-opdivo-2018-06-18 | nan | nan | Bristol-Myers Squibb CompanyBMY announced positive results from the phase II study, ELOQUENT-3, on oncology drug, Empliciti.
The study is evaluating the addition of Empliciti to Pomalyst and low-dose dexamethasone (EPd) in patients with relapsed/refractory multiple myeloma (RRMM). The international study is evaluating Pomalyst-based triplet combination in patients with RRMM, who received at least two prior therapies, including Revlimid and a proteasome inhibitor.
The study achieved its primary endpoint as the results show a statistically significant and clinically meaningful improvement in progression-free survival (PFS) for patients treated with EPd compared with only Pomalyst and dexamethasone (Pd).
The data were also presented at the 23rd Congress of the European Hematology Association.
Data from the study showed that patients randomized to EPd experienced a 46% reduction in risk of disease progression compared with patients randomized to Pd alone, with median PFS of 10.3 months compared with 4.7 months in Pd patients.
Additionally, the PFS benefit experienced among patients randomized to EPd was consistent among patients who had received two to three prior lines of therapy and four or more prior lines of therapy.
The combination therapy, if approved, can provide an important treatment option for patients with relapsed/refractory multiple myeloma whose disease has progressed after treatment with lenalidomide and a proteasome inhibitor.
Bristol-Myers is co-developing Empliciti with AbbVie ABBV .
Bristol-Myers' shares have declined 9.4% year to date compared with the industry 's decline of 1.8%.
Earlier, the company announced that the China National Drug Administration has approved its blockbuster immuno-oncology drug Opdivo, for the treatment of locally advanced or metastatic non-small cell lung cancer (NSCLC) after prior platinum-based chemotherapy in adult patients without EGFR or ALK genomic tumor aberrations.
Per the company, this is the first and only PD-1 inhibitor approved in China. The approval was based on data from the pivotal phase III study, CheckMate-078 trial, in which 90% of the patients enrolled were from China.
We note that Opdivo became the first PD-1 immune checkpoint inhibitor to gain regulatory approval. It is currently approved in several countries including the United States, the EU and Japan for several cancer indications.
Opdivo became the first PD-1 inhibitor to be approved for a hematological malignancy - classical Hodgkin lymphoma - in both the United States (May 2016) and the EU (November 2016). The drug has been performing impressively, due to demand resulting from the rapid commercial acceptance for several indications, including melanoma, renal cell carcinoma and second-line NSCLC.
Label expansion into additional indications would give the product access to a higher patient population and increase the commercial potential of the drug significantly.
However, Opdivo faces stiff competition from Merck's MRK Keytruda and Roche's RHHBY Tecentriq which can limit market share gains.
Zacks Rank & Another Stock to Consider
Bristol-Myers carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here.
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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. | Bristol-Myers is co-developing Empliciti with AbbVie ABBV . Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The study achieved its primary endpoint as the results show a statistically significant and clinically meaningful improvement in progression-free survival (PFS) for patients treated with EPd compared with only Pomalyst and dexamethasone (Pd). | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers is co-developing Empliciti with AbbVie ABBV . The study is evaluating the addition of Empliciti to Pomalyst and low-dose dexamethasone (EPd) in patients with relapsed/refractory multiple myeloma (RRMM). | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers is co-developing Empliciti with AbbVie ABBV . Data from the study showed that patients randomized to EPd experienced a 46% reduction in risk of disease progression compared with patients randomized to Pd alone, with median PFS of 10.3 months compared with 4.7 months in Pd patients. | Bristol-Myers is co-developing Empliciti with AbbVie ABBV . Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The study is evaluating the addition of Empliciti to Pomalyst and low-dose dexamethasone (EPd) in patients with relapsed/refractory multiple myeloma (RRMM). |
25472.0 | 2018-06-17 00:00:00 UTC | Big Pharma Stock Investors Beware: Another $250 Billion Patent Cliff Is Coming | ABBV | https://www.nasdaq.com/articles/big-pharma-stock-investors-beware-another-250-billion-patent-cliff-coming-2018-06-17 | nan | nan | Just as big pharma companies were finally getting over the patent cliff from a few years ago, another one is on the way.
Market research firm EvaluatePharma projects that more than $250 billion in sales are at risk between 2018 and 2024 for drugs that will lose patent exclusivity. Four companies could especially feel the sting from these losses: AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , Johnson & Johnson (NYSE: JNJ) , and Novo Nordisk (NYSE: NVO) . Should investors beware of these big pharma stocks?
Measuring the risks
How did EvaluatePharma calculate the potential financial impact of the coming patent cliff? It's simple. The research firm looked at all drugs that have already lost patent exclusivity or are scheduled to do so prior to 2024. EvaluatePharma then estimated the sales for these drugs in the year prior to when they go off-patent and applied that amount to subsequent years. The grand total came to $251 billion.
The biggest drug that faces the loss of patent exclusivity happens to be the best-selling drug in the world right now -- Humira. AbbVie reported sales of $18.4 billion for the autoimmune disease drug last year. Although a key U.S. patent for Humira expired in 2016, AbbVie has other patents that protect the drug through 2022. But beginning in early 2023, Humira will face competition from at least one biosimilar -- Amgen 's Amjevita. AbbVie faces biosimilar competition later this year in Europe.
Celgene claimed the No. 2 top-selling drug of 2017 with Revlimid, which generated sales of $8.2 billion. A key European patent for the blood cancer drug will expire in 2022. And while Celgene's U.S. patents for the drug extend through 2026, the company brokered a deal with Natco Pharma that allows a generic version of Revlimid to be sold in the U.S. in limited volumes beginning in March 2022.
Johnson & Johnson already lost patent exclusivity for its top product, Remicade. The healthcare giant faces the expiration of patents for another blockbuster autoimmune disease drug, Stelara, in 2022. Stelara generated sales topping $4 billion last year.
The big pharma company with the most sales at risk due to patent expirations is Novo Nordisk. Several of Novo's top diabetes products, including NovoLog/NovoRapid and NovoLog Mix/NovoMix, lost patent exclusivity over the last few years. Key patents for Levemir in the U.S. and Europe expire in 2019. Total 2017 sales for Novo Nordisk's drugs that have or will lose patent exclusivity exceeded $9 billion.
Risk vs. reality
How scary is the impending patent cliff? It's not as bad as you might think.
The worst brunt won't be felt until 2023. Total sales at risk due to patent expiration will actually be much lower than in recent years in 2020, 2021, and even 2024.
Also, just because sales are at risk doesn't mean that those sales will completely be lost. EvaluatePharma projects that roughly $139 billion in sales will be lost between 2018 and 2024 for drugs that go off-patent. That's a big number, but it's also much lower than the $250-plus billion in sales that are at risk during the period.
Humira, for example, is still expected to be the world's No. 1 drug in 2024, with sales of more than $15.2 billion. EvaluatePharma thinks that Revlimid will slip a spot from No. 2 to No. 3, but will still grow robustly and generate revenue of close to $8.2 billion annually seven years from now.
Johnson & Johnson has demonstrated the ability to hold on to most of the revenue for Remicade despite losing patent exclusivity. However, J&J's tactics have been controversial and spurred Pfizer to sue for alleged violation of antitrust laws.
EvaluatePharma's report noted that many analysts aren't too concerned about Novo Nordisk's patent cliff. The firm stated that sales expectations for Novo's drugs that have or will lose patent protection continue to remain relatively high, probably because of "the historical sales erosion seen for injected diabetes therapy."
Most importantly, all of these companies are busy scrambling to grow sales for other products and launch new drugs. Celgene CEO Mark Alles earlier this month touted several of the company's promising pipeline candidates, including multiple sclerosis drug ozanimod, CAR-T therapies JCAR017 and bb2121, and myelofibrosis drug fedratinib. AbbVie CEO Rick Gonzalez spoke last month about the tremendous growth potential for currently approved drugs Imbruvica and Mavyret as well as pipeline drugs elagolix and upadacitinib.
"Road Runner" big pharma stocks?
In my view, two of these stocks will enjoy strong growth over the next few years. Both AbbVie and Celgene have great pipelines and other solid blockbuster drugs. Both should also see sustained momentum for their top-selling products.
What about the other two stocks? Johnson & Johnson is so big that it can absorb the impact of losses of patent exclusivity. Novo Nordisk has new drugs, especially Ozempic, that should help it perform well.
Remember the old cartoons where Road Runner ran off a cliff and defied gravity? Poor Wile E. Coyote followed behind but plummeted to the bottom of the canyon. I think that potentially all of these big pharma stocks could be more like Road Runner than Wile E. Coyote. They'll go off the patent cliff, but they won't be hurt -- at least not too much.
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Keith Speights owns shares of AbbVie, Celgene, and Pfizer. The Motley Fool owns shares of and recommends Celgene. The Motley Fool owns shares of Johnson & Johnson. The Motley Fool recommends Novo Nordisk. 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. | *Stock Advisor returns as of June 4, 2018 Keith Speights owns shares of AbbVie, Celgene, and Pfizer. Four companies could especially feel the sting from these losses: AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , Johnson & Johnson (NYSE: JNJ) , and Novo Nordisk (NYSE: NVO) . AbbVie reported sales of $18.4 billion for the autoimmune disease drug last year. | Four companies could especially feel the sting from these losses: AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , Johnson & Johnson (NYSE: JNJ) , and Novo Nordisk (NYSE: NVO) . AbbVie reported sales of $18.4 billion for the autoimmune disease drug last year. Although a key U.S. patent for Humira expired in 2016, AbbVie has other patents that protect the drug through 2022. | Although a key U.S. patent for Humira expired in 2016, AbbVie has other patents that protect the drug through 2022. Four companies could especially feel the sting from these losses: AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , Johnson & Johnson (NYSE: JNJ) , and Novo Nordisk (NYSE: NVO) . AbbVie reported sales of $18.4 billion for the autoimmune disease drug last year. | Four companies could especially feel the sting from these losses: AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , Johnson & Johnson (NYSE: JNJ) , and Novo Nordisk (NYSE: NVO) . AbbVie reported sales of $18.4 billion for the autoimmune disease drug last year. Although a key U.S. patent for Humira expired in 2016, AbbVie has other patents that protect the drug through 2022. |
25473.0 | 2018-06-15 00:00:00 UTC | 3 High-Yield Stocks at Rock-Bottom Prices | ABBV | https://www.nasdaq.com/articles/3-high-yield-stocks-rock-bottom-prices-2018-06-15 | nan | nan | Finding stocks that offer up a high yield and are trading at a bargain price isn't easy, but there are a few of them floating around. Knowing that, we asked a team of investors to each highlight a dividend stock with a big yield that is currently trading at a rock-bottom price. Here's why they called out AbbVie (NYSE: ABBV) , Brookfield Infrastructure Partners (NYSE: BIP) , and Retail Opportunity Investment Corp (NASDAQ: ROIC) .
Income, value, and growth -- this big pharma has it all
Keith Speights (AbbVie): Impeccable. That's probably the best way to describe AbbVie's credentials as a dividend stock. The big pharma company was part of Dividend AristocratAbbott Labs (NYSE: ABT) until it was spun off as a separate entity in 2013. Since then, AbbVie has kept its parent's streak of annual dividend increases going, boosting the dividend payout by a whopping 140% over the last five years.
AbbVie's dividend currently yields more than 3.7%. And there's no reason to think more dividend hikes won't be on the way. The company uses only 42% of its free cash flow to fund the dividend program, giving AbbVie ample flexibility to increase its dividends in the future.
Investors don't have to pay through the nose to enjoy that nice dividend yield. AbbVie stock trades at only 11 times expected earnings. But the drugmaker's growth prospects make its valuation look even more attractive. AbbVie could realistically achieve average annual earnings growth of 17% over the next few years.
The company's top-selling drug, Humira, faces biosimilar competition in Europe beginning later this year. However, AbbVie claims a couple of other fast-growing products -- cancer drug Imbruvica and hepatitis C drug Mavyret. More importantly, the company's pipeline could deliver several more big winners , including autoimmune disease drugs risankizumab and upadacitinib. Whether you're looking for income, value, or growth, AbbVie has it all.
Has yield, will travel
Maxx Chatsko(Brookfield Infrastructure Partners): The relationship between Mr. Market and Brookfield Infrastructure Partners has frayed in 2018, with the stock sliding 16% year to date. But the company has plenty to offer long-term investors willing to bet on a rebound , including a yield now sitting at 5%.
The near-continuous slide in market cap and unit price in 2018 is very uncharacteristic. Consider that the stock has delivered total returns (share gains plus reinvested dividends) of 405% in the last decade, which easily beats the total return of 152% from the S&P 500 in that span. In fact, that makes it one of the best investments of the last 10 years.
What's going on with Brookfield Infrastructure Partners stock? Aside from Wall Street jitters over near-term growth prospects , there's an absence of great explanations for the stock's slide. Management recently announced it was proceeding more carefully with capital deployments after it observed changes in the global economy. Since the best opportunities arise in more volatile periods, that's a good thing for the long-term growth of the business. But Wall Street is worried growth will slow in the coming quarters.
Nonetheless, management still thinks the business will deliver distribution growth of 5% to 8% in the coming years. A slew of projects including toll roads in India, utilities in South America, fiber-optic cables in France, and energy infrastructure in the United States provides confidence that healthy growth is still more than possible for Brookfield Infrastructure Partners going forward. Simply put, this is a great opportunity to buy a high-yield stock at a great price, then reap the rewards over the long haul.
A grocery-anchored REIT
Brian Feroldi(Retail Opportunity Investment Corp): Between rising interest rate and the recent troubles of the retail industry, it's not hard to figure out why Retail Opportunity Investments Corp (ROIC) has underperformed the S&P 500 over the past year. The company's business model is to buy grocery-anchored shopping centers in high-traffic areas and then lease out space to high-quality tenants. The business is structured as a real-estate investment trust , so the vast majority of profits are passed along to shareholders as a dividend (which currently yields 4.2%). Given the recent tidal wave of retail bankruptcies , it's understandable why Wall Street isn't feeling great about this business right now.
I understand that skepticism, but a look under the hood suggests that ROIC is actually in great shape. The company's lease rate has stood above 97% for 15 quarters in a row, which suggests there is plenty of demand from retailers to rent at the company's properties. That makes sense because ROIC only acquires shopping centers in densely populated areas that have a major grocery store on site. This laser-like focus on quality helps keeps traffic high even when times are tough. That's an attractive prospect for many retailers and helps to explain why ROIC has had no problem pushing through rent increases even as the overall market remains weak.
For 2018, management has decided to take its foot off the gas and see how shopping center prices react to the changing retail landscape. Long-term investors should applaud that move since buying new properties would require issuing shares at a depressed price.
Looking ahead, I think it's likely that Wall Street will eventually warm up to this business once it realizes that the company's high-quality portfolio will allow it to continue pushing through steady rent increases. If true, then income-loving investors might want to snatch up a few shares of this stock on the cheap while they still can.
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Brian Feroldi has no position in any of the stocks mentioned. Keith Speights owns shares of AbbVie. Maxx Chatsko has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Retail Opportunity Investments. 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. | Here's why they called out AbbVie (NYSE: ABBV) , Brookfield Infrastructure Partners (NYSE: BIP) , and Retail Opportunity Investment Corp (NASDAQ: ROIC) . Income, value, and growth -- this big pharma has it all Keith Speights (AbbVie): Impeccable. That's probably the best way to describe AbbVie's credentials as a dividend stock. | Here's why they called out AbbVie (NYSE: ABBV) , Brookfield Infrastructure Partners (NYSE: BIP) , and Retail Opportunity Investment Corp (NASDAQ: ROIC) . Income, value, and growth -- this big pharma has it all Keith Speights (AbbVie): Impeccable. That's probably the best way to describe AbbVie's credentials as a dividend stock. | Here's why they called out AbbVie (NYSE: ABBV) , Brookfield Infrastructure Partners (NYSE: BIP) , and Retail Opportunity Investment Corp (NASDAQ: ROIC) . Income, value, and growth -- this big pharma has it all Keith Speights (AbbVie): Impeccable. That's probably the best way to describe AbbVie's credentials as a dividend stock. | AbbVie's dividend currently yields more than 3.7%. Here's why they called out AbbVie (NYSE: ABBV) , Brookfield Infrastructure Partners (NYSE: BIP) , and Retail Opportunity Investment Corp (NASDAQ: ROIC) . Income, value, and growth -- this big pharma has it all Keith Speights (AbbVie): Impeccable. |
25474.0 | 2018-06-15 00:00:00 UTC | Daily Dividend Report: VICI, WPC, ABBV, BMY, EQR | ABBV | https://www.nasdaq.com/articles/daily-dividend-report-vici-wpc-abbv-bmy-eqr-2018-06-15 | nan | nan | VICI Properties ( VICI ) has declared a regular quarterly cash dividend of $0.2625 per share of common stock for the period from April 1, 2018 to June 30, 2018. The dividend will be payable on July 13, 2018 to stockholders of record as of the close of business on June 28, 2018.
W. P. Carey ( WPC ) increased its quarterly cash dividend to $1.020 per share, equivalent to an annualized dividend rate of $4.08 per share. The dividend is payable on July 16, 2018 to stockholders of record as of June 29, 2018.
AbbVie ( ABBV ) declared a quarterly cash dividend of $0.96 per share. The cash dividend is payable Aug. 15, 2018 to stockholders of record at the close of business on July 13, 2018.
Bristol-Myers Squibb Company ( BMY ) declared a quarterly dividend of forty cents ($0.40) per share on the $.10 par value Common Stock of the corporation. The next quarterly dividend will be payable on August 1, 2018, to stockholders of record at the close of business on July 6, 2018.
Equity Residential ( EQR ) declared quarterly dividends on the Company's common and preferred shares. A regular common share dividend for the second quarter of $0.54 per share will be paid on July 13, 2018 to shareholders of record on June 25, 2018.
VIDEO: Daily Dividend Report: VICI, WPC, ABBV, BMY, EQR
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. | AbbVie ( ABBV ) declared a quarterly cash dividend of $0.96 per share. VIDEO: Daily Dividend Report: VICI, WPC, ABBV, BMY, EQR The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Bristol-Myers Squibb Company ( BMY ) declared a quarterly dividend of forty cents ($0.40) per share on the $.10 par value Common Stock of the corporation. | VIDEO: Daily Dividend Report: VICI, WPC, ABBV, BMY, EQR The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. AbbVie ( ABBV ) declared a quarterly cash dividend of $0.96 per share. VICI Properties ( VICI ) has declared a regular quarterly cash dividend of $0.2625 per share of common stock for the period from April 1, 2018 to June 30, 2018. | AbbVie ( ABBV ) declared a quarterly cash dividend of $0.96 per share. VIDEO: Daily Dividend Report: VICI, WPC, ABBV, BMY, EQR The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. VICI Properties ( VICI ) has declared a regular quarterly cash dividend of $0.2625 per share of common stock for the period from April 1, 2018 to June 30, 2018. | AbbVie ( ABBV ) declared a quarterly cash dividend of $0.96 per share. VIDEO: Daily Dividend Report: VICI, WPC, ABBV, BMY, EQR The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. VICI Properties ( VICI ) has declared a regular quarterly cash dividend of $0.2625 per share of common stock for the period from April 1, 2018 to June 30, 2018. |
25475.0 | 2018-06-15 00:00:00 UTC | Better Buy: AbbVie Inc. vs. GlaxoSmithKline plc | ABBV | https://www.nasdaq.com/articles/better-buy-abbvie-inc-vs-glaxosmithkline-plc-2018-06-15 | nan | nan | If you only looked at stock performance for 2018, GlaxoSmithKline plc (NYSE: GSK) would seem to be in much better shape than AbbVie Inc. (NYSE: ABBV) . GSK stock is up nearly 20% year to date, while AbbVie's share price isn't much higher than it was at the beginning of the year. 2017 was a different story, though, with AbbVie gaining more than 50% and GSK falling 8%.
But past stock performance can't help much in determining which of these two big pharma stocks is the better buy now. Instead, we need to look at the strength of each company's current products, the potential for their pipelines, their dividends, and their stock valuations. Here's how AbbVie and GlaxoSmithKline compare on these important criteria.
The case for AbbVie
AbbVie claims the top-selling drug in the world -- Humira. The good news is that Humira still should be a huge moneymaker for years to come and even keep its No. 1 spot at least through 2024. The bad news is that sales are expected to decline in Europe beginning later this year and in the U.S. in 2023 as Humira faces biosimilar competition.
But AbbVie has other current products that are enjoying strong momentum. Market research firm EvaluatePharma projects that cancer drug Imbruvica will be the No. 6 best-selling drug in the world by 2024. Two of AbbVie's other products, hepatitis C drug Mavyret and cancer drug Venclexta, are expected to rank in the 50 top-selling drugs.
AbbVie's pipeline also includes several potential blockbuster candidates. The company expects to win Food and Drug Administration (FDA) approval for elagolix in treating endometriosis in the third quarter of 2018. AbbVie submitted for FDA approval of risankizumab for treating plaque psoriasis in April. It also hopes to obtain regulatory approval for rheumatoid arthritis drug upadacitinib next year.
Overall, Wall Street analysts project that AbbVie's current and forthcoming products will enable the drugmaker to grow earnings by an average of nearly 17% annually over the next five years. Investors also can realistically expect dividend hikes from the company. AbbVie's dividend currently yields 3.73%, and the big pharma company has boosted the dividend payout by 140% over the last five years. AbbVie's payout ratio of 66% combined with its earnings growth prospects indicate flexibility to increase the dividend even more in the future.
AbbVie stock is priced attractively, especially considering its potential for growth and its solid dividend. Shares currently trade at only 11 times expected earnings.
The case for GlaxoSmithKline
GlaxoSmithKline's product lineup is strong in three different areas. Sales are booming for the company's respiratory drugs, especially Nucala and its Ellipta franchise drugs. GSK's HIV drugs, led by Tivicay and Triumeq, are performing very well in the marketplace. GlaxoSmithKline also claims a big winner with its shingles vaccine Shingrix. Nucala could have even more growth potential in the near future. GSK hopes to win FDA approval of the drug in treating COPD later this year.
GlaxoSmithKline also has several promising pipeline candidates. At the top of the list is GSK2857916, a B-cell maturation antigen (BCMA) antibody-drug conjugate currently being evaluated in phase 2 clinical studies for treatment of multiple myeoloma. GSK could have additional HIV winners with its dolutegravir/lamivudine and cabotegravir/rilpivirine combos.
The company faces some headwinds with its older legacy drugs for which sales are declining due to loss of exclusivity. However, Wall Street still thinks that GSK will grow earnings by nearly 9% annually, on average, over the next five years thanks to its strong newer products.
GSK's dividend yield of 5.26% looks especially attractive. With the company using most of its free cash flow to fund the dividend program, though, investors shouldn't expect any dividend hikes.
What about valuation? GlaxoSmithKline stock trades at 14 times expected earnings. The stock looks like even more of a bargain based on its enterprise value -to- EBITDA ratio of a little over 10.
Better buy
The one area where GlaxoSmithKline clearly comes out on top is in dividend yield. However, AbbVie's dividend appears to be more stable. AbbVie also should have stronger growth prospects and has a lower forward earnings multiple. Based on all these considerations, I think that AbbVie is the better stock.
AbbVie does face some risks. The company remains heavily dependent on Humira. If its other products and pipeline candidates don't deliver as expected, AbbVie could be in trouble in a few years. My view, though, is that the company should be in good shape. I see AbbVie as a winning long-term investment.
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Keith Speights owns shares of AbbVie. The Motley Fool has no position in any of the stocks mentioned. 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. | Overall, Wall Street analysts project that AbbVie's current and forthcoming products will enable the drugmaker to grow earnings by an average of nearly 17% annually over the next five years. If you only looked at stock performance for 2018, GlaxoSmithKline plc (NYSE: GSK) would seem to be in much better shape than AbbVie Inc. (NYSE: ABBV) . GSK stock is up nearly 20% year to date, while AbbVie's share price isn't much higher than it was at the beginning of the year. | The case for AbbVie AbbVie claims the top-selling drug in the world -- Humira. AbbVie's dividend currently yields 3.73%, and the big pharma company has boosted the dividend payout by 140% over the last five years. If you only looked at stock performance for 2018, GlaxoSmithKline plc (NYSE: GSK) would seem to be in much better shape than AbbVie Inc. (NYSE: ABBV) . | GSK stock is up nearly 20% year to date, while AbbVie's share price isn't much higher than it was at the beginning of the year. The case for AbbVie AbbVie claims the top-selling drug in the world -- Humira. Two of AbbVie's other products, hepatitis C drug Mavyret and cancer drug Venclexta, are expected to rank in the 50 top-selling drugs. | GSK stock is up nearly 20% year to date, while AbbVie's share price isn't much higher than it was at the beginning of the year. If you only looked at stock performance for 2018, GlaxoSmithKline plc (NYSE: GSK) would seem to be in much better shape than AbbVie Inc. (NYSE: ABBV) . 2017 was a different story, though, with AbbVie gaining more than 50% and GSK falling 8%. |
25476.0 | 2018-06-13 00:00:00 UTC | ABBV Makes Notable Cross Below Critical Moving Average | ABBV | https://www.nasdaq.com/articles/abbv-makes-notable-cross-below-critical-moving-average-2018-06-13 | nan | nan | In trading on Wednesday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $98.60, changing hands as low as $97.86 per share. AbbVie Inc shares are currently trading down about 0.6% on the day. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average:
Looking at the chart above, ABBV's low point in its 52 week range is $69.37 per share, with $125.86 as the 52 week high point - that compares with a last trade of $98.47.
Click here to find out which 9 other stocks recently crossed below their 200 day moving average »
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. | In trading on Wednesday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $98.60, changing hands as low as $97.86 per share. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $69.37 per share, with $125.86 as the 52 week high point - that compares with a last trade of $98.47. AbbVie Inc shares are currently trading down about 0.6% on the day. | In trading on Wednesday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $98.60, changing hands as low as $97.86 per share. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $69.37 per share, with $125.86 as the 52 week high point - that compares with a last trade of $98.47. AbbVie Inc shares are currently trading down about 0.6% on the day. | In trading on Wednesday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $98.60, changing hands as low as $97.86 per share. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $69.37 per share, with $125.86 as the 52 week high point - that compares with a last trade of $98.47. AbbVie Inc shares are currently trading down about 0.6% on the day. | In trading on Wednesday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $98.60, changing hands as low as $97.86 per share. AbbVie Inc shares are currently trading down about 0.6% on the day. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $69.37 per share, with $125.86 as the 52 week high point - that compares with a last trade of $98.47. |
25477.0 | 2018-06-13 00:00:00 UTC | Notable ETF Inflow Detected - XLV, ABBV, AMGN, MDT | ABBV | https://www.nasdaq.com/articles/notable-etf-inflow-detected-xlv-abbv-amgn-mdt-2018-06-13 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $298.0 million dollar inflow -- that's a 1.9% increase week over week in outstanding units (from 183,965,324 to 187,465,324). Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 0.5%, Amgen Inc (Symbol: AMGN) is trading flat, and Medtronic PLC (Symbol: MDT) is lower by about 0.3%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average:
Looking at the chart above, XLV's low point in its 52 week range is $77.28 per share, with $91.79 as the 52 week high point - that compares with a last trade of $85.65. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average » .
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs had notable inflows »
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. | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 0.5%, Amgen Inc (Symbol: AMGN) is trading flat, and Medtronic PLC (Symbol: MDT) is lower by about 0.3%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $298.0 million dollar inflow -- that's a 1.9% increase week over week in outstanding units (from 183,965,324 to 187,465,324). These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 0.5%, Amgen Inc (Symbol: AMGN) is trading flat, and Medtronic PLC (Symbol: MDT) is lower by about 0.3%. For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.28 per share, with $91.79 as the 52 week high point - that compares with a last trade of $85.65. Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 0.5%, Amgen Inc (Symbol: AMGN) is trading flat, and Medtronic PLC (Symbol: MDT) is lower by about 0.3%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $298.0 million dollar inflow -- that's a 1.9% increase week over week in outstanding units (from 183,965,324 to 187,465,324). For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.28 per share, with $91.79 as the 52 week high point - that compares with a last trade of $85.65. | Among the largest underlying components of XLV, in trading today AbbVie Inc (Symbol: ABBV) is down about 0.5%, Amgen Inc (Symbol: AMGN) is trading flat, and Medtronic PLC (Symbol: MDT) is lower by about 0.3%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $298.0 million dollar inflow -- that's a 1.9% increase week over week in outstanding units (from 183,965,324 to 187,465,324). For a complete list of holdings, visit the XLV Holdings page » The chart below shows the one year price performance of XLV, versus its 200 day moving average: Looking at the chart above, XLV's low point in its 52 week range is $77.28 per share, with $91.79 as the 52 week high point - that compares with a last trade of $85.65. |
25478.0 | 2018-06-13 00:00:00 UTC | Humira's Sales Will Decline -- and It's Fantastic News for AbbVie | ABBV | https://www.nasdaq.com/articles/humiras-sales-will-decline-and-its-fantastic-news-abbvie-2018-06-13 | nan | nan | Can bad news be good news? For AbbVie (NYSE: ABBV) , it can.
The company's top-selling drug, Humira, will begin to face biosimilar competition in Europe later this year. In early 2023, biosimilars to Humira will hit the U.S. market. There's no doubt that sales for the drug will decline over the next few years. That's the bad news.
But it's also good news for AbbVie. How? The rate of decline isn't projected to be very great, according to a report recently published by market research firm EvaluatePharma.
Sales for Humira are expected to decrease by 3% annually through 2024. As a result, EvaluatePharma thinks Humira will still rank as the No. 1 best-selling drug in the world seven years from now, despite lower revenue. That's good -- even fantastic -- news for AbbVie.
Humira of the future
In 2017, AbbVie reported Humira sales of $18.4 billion. The drug generated 65% of the company's total revenue. Humira claimed a market share of 34% last year in the global anti-rheumatic products market, according to EvaluatePharma.
Fast-forward to 2024. EvaluatePharma projects that Humira's total sales will drop to $15.2 billion. And that figure includes the portion of revenue belonging to Esai , AbbVie's partner in Japan. Humira's market share is expected to fall to less than 27%.
Still, Humira should be able to easily hold on to the No. 1 spot among the best-selling drugs in the world. Merck 's Keytruda is projected to be a distant second, with estimated sales in 2024 of $12.7 billion.
The big reason Humira will maintain its position at the top is the U.S. market. U.S. sales of the drug are projected to be around $12.2 billion in 2024. That's not much lower than Humira's 2017 U.S. sales of nearly $12.4 billion. Will Amgen 's (NASDAQ: AMGN) biosimilar Amjevita, which will go on sale in the U.S. effective Jan. 31, 2023, really make that small of a dent in Humira's sales? Not really. The impact will be greater than the 2024 projections indicate.
AbbVie expects U.S. sales of Humira will increase over the next few years. The company predicts that total sales of the drug will approach $21 billion by 2020. This means sales for Humira will be like an accordion -- expanding then contracting.
Buying time
These projections from EvaluatePharma confirm how good the deal with Amgen made last September really was for AbbVie. The company was able to do exactly what it wanted: Buy time.
Upadacitinib provides a great example of what this additional time for Humira without U.S. biosimilar competition gives AbbVie. The drug could win FDA approval for treating rheumatoid arthritis in 2019. EvaluatePharma projects that upadacitinib will be the No. 5 best-selling anti-rheumatic product in the world by 2024, with sales of nearly $2.6 billion. That amount by itself makes up a big chunk of the gap in annual Humira revenue in 2024 compared to 2017.
But AbbVie also has another successor to Humira that could launch next year. In April, the company submitted for FDA approval of risankizumab in treating psoriasis. The drug is also being evaluated in a phase 3 study for the treatment of Crohn's disease. EvaluatePharma projects that risankizumab could generate annual revenue of $2.1 billion by 2024.
The Amgen deal also bought time for AbbVie's existing products to ramp up sales considerably. Hepatitis C drug Mayvryet is expected to generate annual revenue of nearly $2.9 billion by 2024. Cancer drug Venclexta could rake in $2.8 billion by 2024, although AbbVie will share some of that revenue with its partner, Roche .
AbbVie's biggest-selling drug other than Humira, Imbruvica, should also enjoy strong momentum. EvaluatePharma thinks Imbruvica will be the No. 4 cancer drug in the world by 2024, with sales topping $9.5 billion. However, that total includes revenue made by AbbVie and Johnson & Johnson .
Beyond 2024
While 2024 is still years away, it's not far enough in the future to fully understand AbbVie's prospects. The company will still only be in the early stages of declining sales for Humira then. Even with falling sales for Humira, though, AbbVie expects the drug to generate significant cash flow throughout the next decade.
And AbbVie is preparing for the time when Humira won't be its main story. In January, the company stated that it planned to achieve $35 billion in risk-adjusted non-Humira sales by 2025. That was before the big clinical setback for Rova-T , though. But even without Rova-T, the company could still have $30 billion in non-Humira sales by 2025.
AbbVie will certainly have bad news on the way once biosimilar rivals begin taking a bite out of Humira's market share. But because of the timing of that bad news, the big pharma company should be in fantastic shape -- through 2024 and beyond.
10 stocks we like better than AbbVie
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 quadrupled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and AbbVie wasn't one of them! That's right -- they think these 10 stocks are even better buys.
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*Stock Advisor returns as of June 4, 2018
Keith Speights owns shares of AbbVie. The Motley Fool owns shares of Johnson & Johnson. 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. | Buying time These projections from EvaluatePharma confirm how good the deal with Amgen made last September really was for AbbVie. AbbVie will certainly have bad news on the way once biosimilar rivals begin taking a bite out of Humira's market share. For AbbVie (NYSE: ABBV) , it can. | However, that total includes revenue made by AbbVie and Johnson & Johnson . For AbbVie (NYSE: ABBV) , it can. But it's also good news for AbbVie. | Humira of the future In 2017, AbbVie reported Humira sales of $18.4 billion. Even with falling sales for Humira, though, AbbVie expects the drug to generate significant cash flow throughout the next decade. For AbbVie (NYSE: ABBV) , it can. | Humira of the future In 2017, AbbVie reported Humira sales of $18.4 billion. For AbbVie (NYSE: ABBV) , it can. But it's also good news for AbbVie. |
25479.0 | 2018-06-11 00:00:00 UTC | Abbvie/Roche's Leukemia Drugs Combination Gets FDA Approval | ABBV | https://www.nasdaq.com/articles/abbvie-roches-leukemia-drugs-combination-gets-fda-approval-2018-06-11 | nan | nan | AbbVie, Inc.ABBV announced that the FDA has granted approval for the combination use of its cancer drug Venclexta and Roche's RHHBY Rituxan for the treatment of patients with relapsed/refractory chronic lymphocytic leukemia ("CLL") or small lymphocytic lymphoma (SLL), with or without 17p deletion, who have received at least one prior therapy.
Venclexta is jointly marketed by AbbVie and Roche's Pharma arm, Genentech in the United States and by AbbVie outside the United States.
The FDA approval for combination use was based on positive data from the phase III MURANO study of Venclexta plus Rituxan in relapse/refractory CLL
Data from the study, presented in September last year, showed that the combination led to a profound improvement in progression free survival compared to Teva Pharmaceutical's TEVA Treanda plus Rituxan(BR). Results from the study showed that a fixed duration of treatment with Venclexta plus Rituxan significantly reduced the risk of disease progression or death by 81% compared with BR. Overall response rate (ORR) was 92% in the Venclexta/Rituxan arm compared to 72% for BR.
Concurrently, the FDA also approved Venclexta as a monotherapy for CLL or SLL patients, with or without 17p deletion. Until now, as a monotherapy, Venclexta was approved to treat patients with CLL with 17p deletion, as detected by an FDA-approved test.
The FDA approval for label expansion of Venclexta for this indication should expand the patient population for Venclexta significantly and boost its commercial potential. With the latest approval, Venclexta/Rituxan becomes the first oral, chemotherapy-free, fixed duration treatment option for CLL patients.
Also, this summer, AbbVie will file a regulatory application in the United States for Venclexta in acute myeloid leukemia (AML) while a phase III program in multiple myeloma is also progressing well.
AbbVie's shares have gained 3.8% this year so far against the industry 's decline of 3.7%.
AbbVie currently carries a Zacks Rank #3 (Hold). A better-ranked large-cap pharma stock is Eli Lilly & Company LLY , with a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Lilly's earnings estimates increased 5.8% for 2018 and 3.2% for 2019 over the past 60 days. The company delivered a positive earnings surprise in all the trailing four quarters, with an average beat of 8.20%. Shares of Lilly have gained 2% this year so far.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Also, this summer, AbbVie will file a regulatory application in the United States for Venclexta in acute myeloid leukemia (AML) while a phase III program in multiple myeloma is also progressing well. AbbVie, Inc.ABBV announced that the FDA has granted approval for the combination use of its cancer drug Venclexta and Roche's RHHBY Rituxan for the treatment of patients with relapsed/refractory chronic lymphocytic leukemia ("CLL") or small lymphocytic lymphoma (SLL), with or without 17p deletion, who have received at least one prior therapy. Venclexta is jointly marketed by AbbVie and Roche's Pharma arm, Genentech in the United States and by AbbVie outside the United States. | AbbVie, Inc.ABBV announced that the FDA has granted approval for the combination use of its cancer drug Venclexta and Roche's RHHBY Rituxan for the treatment of patients with relapsed/refractory chronic lymphocytic leukemia ("CLL") or small lymphocytic lymphoma (SLL), with or without 17p deletion, who have received at least one prior therapy. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Teva Pharmaceutical Industries Ltd. (TEVA): Free Stock Analysis Report To read this article on Zacks.com click here. Venclexta is jointly marketed by AbbVie and Roche's Pharma arm, Genentech in the United States and by AbbVie outside the United States. | AbbVie, Inc.ABBV announced that the FDA has granted approval for the combination use of its cancer drug Venclexta and Roche's RHHBY Rituxan for the treatment of patients with relapsed/refractory chronic lymphocytic leukemia ("CLL") or small lymphocytic lymphoma (SLL), with or without 17p deletion, who have received at least one prior therapy. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Teva Pharmaceutical Industries Ltd. (TEVA): Free Stock Analysis Report To read this article on Zacks.com click here. Venclexta is jointly marketed by AbbVie and Roche's Pharma arm, Genentech in the United States and by AbbVie outside the United States. | AbbVie, Inc.ABBV announced that the FDA has granted approval for the combination use of its cancer drug Venclexta and Roche's RHHBY Rituxan for the treatment of patients with relapsed/refractory chronic lymphocytic leukemia ("CLL") or small lymphocytic lymphoma (SLL), with or without 17p deletion, who have received at least one prior therapy. Venclexta is jointly marketed by AbbVie and Roche's Pharma arm, Genentech in the United States and by AbbVie outside the United States. Also, this summer, AbbVie will file a regulatory application in the United States for Venclexta in acute myeloid leukemia (AML) while a phase III program in multiple myeloma is also progressing well. |
25480.0 | 2018-06-11 00:00:00 UTC | The Zacks Analyst Blog Highlights: Bristol Myers, Merck, Roche, Lilly and AbbVie | ABBV | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights%3A-bristol-myers-merck-roche-lilly-and-abbvie-2018-06-11 | nan | nan | For Immediate Release
Chicago, IL - June 11, 2018 - Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Bristol Myers BMY , Merck MRK , Roche RHHBY , Lilly LLY and AbbVie ABBV .
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Friday's Analyst Blog:
Pharma Stock Roundup: Merck, Lilly & More
This week was ruled by cancer data presentations at the annual meeting of the American Society of Clinical Oncology ("ASCO") in Chicago by pharma bigwigs like Bristol Myers, Merck and Roche, among others. JAK inhibitors were in the news this week with Lilly finally gaining FDA approval for its rheumatoid arthritis ("RA") candidate Olumiant (baricitinib) in the United States while AbbVie presented positive top-line data from its fifth late-stage study on upadacitinib in RA.
Recap of the Week's Most Important Stories
Update from ASCO: Merck stole the show at ASCO after presenting data from several cancer studies of its PD-L1 inhibitor, Keytruda. Key presentations were from two pivotal lung cancer trials. KEYNOTE-042 study evaluated Keytruda monotherapy in newly-diagnosed lung cancer patients while KEYNOTE-407 study evaluated Keytruda in combination with chemotherapy in difficult-to treat squamous non-small cell lung cancer (NSCLC). Both the studies showed that treatment with Keytruda led to improved survival. Particularly, data from the KEYNOTE- 407 study, which evaluated Keytruda in combination with chemotherapy for the first-line treatment of metastatic squamous NSCLC was considered "practice changing" by investors.
Four and five years follow-up data presented from two advanced melanoma studies showed that treatment with Keytruda led to long-term survival benefit. Interim data from a cohort of a phase II study, KEYNOTE-158, evaluating Keytruda as a monotherapy in patients with previously treated advanced small cell lung cancer (SCLC) demonstrated encouraging response rates in the overall population of SCLC patients as well as in patients whose tumors express PD-L1. Keytruda also demonstrated encouraging ORR in studies evaluating the Lenvima/Keytruda combination in four different tumor types and Keytruda monotherapy for the first-line treatment of advanced clear cell RCC.
Bristol-Myers and Nektar Therapeutics (NKTR) presented preliminary data from a mid-stage study evaluating NKTR-214 in combination with Bristol-Myers'PD-L1 inhibitor, Opdivo in several tumor types. The response rates in melanoma and kidney cancer patients did not impress investors, resulting in a 42% drop in Nektar's stock on Monday. (Read more: Nektar and Bristol-Myers Present Data on Cancer Study )
Bristol-Myers also presented data on Opdivo at ASCO. In a late-stage study evaluating Opdivo versus Yervoy in a broad range of patients with resected stage III or IV melanoma, Opdivo demonstrated sustained, superior recurrence-free survival versus Yervoy. In another study, Opdivo plus chemotherapy showed improved PFS versus chemotherapy in first-line lung cancer patients with PD-L1 expression
Novartis (NVS) announced positive data from a combination study on breast cancer drug Kisqali and from two long-term leukemia studies on Tasigna. (Read more: Novartis Announces Positive Data on Kisqali and Tasigna ).
Roche presented data from a late-stage study, which showed that Tecentriq (atezolizumab) plus chemotherapy reduced the risk of disease worsening or death (PFS) by 29% in advanced squamous NSCLC patients versus chemotherapy alone.
AbbVie presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). The data demonstrated high rates of responses in such patients. Also, interim data from a late-stage study evaluating Imbruvica plus Roche's Rituxan in Waldenström's macroglobulinemia, a rare form of Non-Hodgkin's lymphoma, showed that the combination significantly reduced the risk of disease progression or death by 80% compared to placebo plus Rituxan.
Lilly Gets FDA Nod for Lower Dose of Olumiant: Eli Lilly and partner Incyte gained FDA approval for the lower dose of (2 mg) of the companies' JAK inhibitor, Olumiant. The FDA did not approve the higher dose (4 mg) and the drug's label was approved with a boxed warning stating risk of serious infections, malignancies and thrombosis. Olumiant is already marketed in Europe and Japan and generated sales of $32.2 million in the first quarter of 2018. In the United States, Lilly faced significant trouble in getting FDA nod for Olumiant. In April last year, the FDA had issued a complete response letter for the new drug application seeking approval of Olumiant, requesting additional information to determine the most appropriate doses. This year in April, an FDA advisory committee had recommended approval of the lower dose of the drug while not recommending the higher dose of 4 mg on inadequate safety profile to support an approval relative to its benefits. (Read more: Eli Lilly's Olumiant Gets FDA Nod for Rheumatoid Arthritis ).
AbbVie's 5th Late-Stage Upadacitinib Study Succeeds: AbbVie's oral JAK-1 selective inhibitor, upadacitinib, met all primary as well as secondary endpoints in the fifth phase III study from its SELECT program. Top-line data from the study showed thata significantly higher proportion of patients treated with upadacitinib in both 15 and 30 mg doses achieved superior responses compared to chemotherapy agent methotrexate. AbbVie plans to submit regulatory applications for upadacitinib in rheumatoid arthritis in the second half of the year. (Read more: Abbvie's Upadacitinib Fifth RA Study Data Positive )
Glaxo Completes Buyout of Novartis' Stake in Consumer Healthcare JV : Glaxo announced that it has completed its previously announced deal to buy out Novartis' 36.5% stake in the Consumer HealthCare joint venture for $13 billion (£9.2 billion),
With the acquisition of Novartis' stake, Glaxo now has 100% ownership of its Consumer Healthcare unit, which includes products such as Sensodyne and Flonase. Glaxo and Novartis created the JV in 2015 as part of a three-part transaction between the two companies by combining their consumer divisions.
Roche's Haemophilia A Candidate Gets Priority Review : Roche's sBLA looking for label expansion of its drug, Hemlibra for people with haemophilia A without factor VIII inhibitors was granted priority review by the FDA. Hemlibra is presently marketed for routine prophylaxis to prevent or reduce the frequency of bleeding episodes in haemophilia A patients with factor VIII inhibitors. With the FDA granting priority review, a decision is expected on Oct 14
Separately, Roche's cancer drug Rituxan gained FDA approval for a new indication, moderate to severe pemphigus vulgaris (PV), a potentially life-threatening disease
The NYSE ARCA Pharmaceutical Index rose 1.7% in the last five trading sessions.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). Stocks recently featured in the blog include Bristol Myers BMY , Merck MRK , Roche RHHBY , Lilly LLY and AbbVie ABBV . JAK inhibitors were in the news this week with Lilly finally gaining FDA approval for its rheumatoid arthritis ("RA") candidate Olumiant (baricitinib) in the United States while AbbVie presented positive top-line data from its fifth late-stage study on upadacitinib in RA. | (Read more: Abbvie's Upadacitinib Fifth RA Study Data Positive ) Glaxo Completes Buyout of Novartis' Stake in Consumer Healthcare JV : Glaxo announced that it has completed its previously announced deal to buy out Novartis' 36.5% stake in the Consumer HealthCare joint venture for $13 billion (£9.2 billion), With the acquisition of Novartis' stake, Glaxo now has 100% ownership of its Consumer Healthcare unit, which includes products such as Sensodyne and Flonase. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include Bristol Myers BMY , Merck MRK , Roche RHHBY , Lilly LLY and AbbVie ABBV . | JAK inhibitors were in the news this week with Lilly finally gaining FDA approval for its rheumatoid arthritis ("RA") candidate Olumiant (baricitinib) in the United States while AbbVie presented positive top-line data from its fifth late-stage study on upadacitinib in RA. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include Bristol Myers BMY , Merck MRK , Roche RHHBY , Lilly LLY and AbbVie ABBV . | Stocks recently featured in the blog include Bristol Myers BMY , Merck MRK , Roche RHHBY , Lilly LLY and AbbVie ABBV . JAK inhibitors were in the news this week with Lilly finally gaining FDA approval for its rheumatoid arthritis ("RA") candidate Olumiant (baricitinib) in the United States while AbbVie presented positive top-line data from its fifth late-stage study on upadacitinib in RA. AbbVie presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). |
25481.0 | 2018-06-10 00:00:00 UTC | 3 Reasons to Expect Smooth Sailing for AbbVie's Mission-Critical Candidate | ABBV | https://www.nasdaq.com/articles/3-reasons-expect-smooth-sailing-abbvies-mission-critical-candidate-2018-06-10 | nan | nan | As one of the world's largest drugmakers, AbbVie Inc. (NYSE: ABBV) is made of many moving pieces. The big one at the top, Humira, can't keep growing forever. In fact, its main U.S. patent has already expired.
Luckily, a key component of the company's Humira replacement strategy is firing on all cylinders. Upadacitinib has some pretty big shoes to fill, but there are a few reasons we can look forward to smooth sailing ahead.
Upadacitinib hit the mark again
AbbVie's rheumatoid arthritis (RA) candidate recently passed its fifth pivotal trial designed to support new drug applications to be submitted later this year. This one bodes well for the drug's potential to reach a large portion of around 23.7 million people with RA that can't tolerate effective doses of the most common first-line treatment, methotrexate. It won't be easy to replace inexpensive methotrexate as the first treatment in a rheumatologist's arsenal, but upadacitinib certainly has the efficacy numbers to make it happen. During the Select-Early trial with methotrexate-naive patients, half of those given 30 mg of the experimental treatment showed no sign of disease activity at 24 weeks versus just 18% in the group receiving methotrexate.
Methotrexate intolerance is awfully hard to define because the severity of symptoms such as abdominal pain and nausea vary widely from patient to patient. It's hard to pin a number down, but I think at least a fifth of RA patients simply can't take enough methotrexate, and just as many more don't take it as often as they should to avoid damaging flare-ups.
Given this huge population with unmet need, more enthusiastic peak sales estimates for upadacitinib run past $5 billion annually, and AbbVie's suggestion of $6.5 billion isn't outside the realm of possibility. To get anywhere near there, though, AbbVie needs to convince regulators the drug is safe enough to be taken for years on end.
The FDA kept a big lane open
Earlier this month, the Food and Drug Administration handed down a complicated approval decision for upadactinib's potential rival, Olumiant from Incyte Corporation (NASDAQ: INCY) and Eli Lilly and Co. (NYSE: LLY) . The partners were more than a little disappointed when the agency limited its approval to a dosage that's probably too small to be a major threat to AbbVie's candidate, at least in the U.S.
It's still a bit early but Olumiant sales in Europe are growing fast, suggesting a strong market for new RA treatments. Despite an approval limited to adults that already know they can't use older drugs, Olumiant sales jumped 39% from the fourth quarter of last year to the first quarter of 2018.
Strong early uptake in Europe where governments are notoriously hesitant to pay for pricey new therapies suggests a class leader has a solid shot at becoming a blockbuster drug in the lucrative U.S. territory. With Olumiant mostly out of the way, AbbVie's candidate has a much better shot at success at home.
Probably safer than you'd think
Rheumatoid arthritis can be debilitating, but it isn't dangerous enough to expect the FDA to make exceptions regarding safety. That could be a problem because several people have died after receiving upadacitinib during clinical trials intended to prove it's safe.
Of particular concern were dangerous venous thromboembolic events (VTE), or blood clots that break free and clog up blood vessels that supply the lungs. The FDA's limited approval of Olumiant is a direct result of unexplained blood clots observed during clinical trials leading to its approval.
Incyte and Lilly's main problem is a lack of evidence to convince regulators that Olumiant wasn't responsible, but that probably won't be an issue for AbbVie. After more than 3,300 patient years of clinical trial exposure, those taking upadacitinib experienced VTEs at a slightly lower rate than patients in control groups.
Looking ahead
It might seem silly to argue safety issues when a drug appears safer than a placebo or standard care, but the FDA will probably try anyway. There have simply been too many fatal and near-fatal events associated with the candidate to let it slide.
Although it looks like smooth sailing ahead, AbbVie investors need to brace themselves for an unfortunate ruling. Upadacitinib isn't the only important new drug candidate barreling through the company's pipeline, but without its success, replacing eventual Humira losses could be a struggle.
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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. | Upadacitinib hit the mark again AbbVie's rheumatoid arthritis (RA) candidate recently passed its fifth pivotal trial designed to support new drug applications to be submitted later this year. As one of the world's largest drugmakers, AbbVie Inc. (NYSE: ABBV) is made of many moving pieces. Given this huge population with unmet need, more enthusiastic peak sales estimates for upadacitinib run past $5 billion annually, and AbbVie's suggestion of $6.5 billion isn't outside the realm of possibility. | Upadacitinib hit the mark again AbbVie's rheumatoid arthritis (RA) candidate recently passed its fifth pivotal trial designed to support new drug applications to be submitted later this year. Although it looks like smooth sailing ahead, AbbVie investors need to brace themselves for an unfortunate ruling. As one of the world's largest drugmakers, AbbVie Inc. (NYSE: ABBV) is made of many moving pieces. | Upadacitinib hit the mark again AbbVie's rheumatoid arthritis (RA) candidate recently passed its fifth pivotal trial designed to support new drug applications to be submitted later this year. Incyte and Lilly's main problem is a lack of evidence to convince regulators that Olumiant wasn't responsible, but that probably won't be an issue for AbbVie. As one of the world's largest drugmakers, AbbVie Inc. (NYSE: ABBV) is made of many moving pieces. | As one of the world's largest drugmakers, AbbVie Inc. (NYSE: ABBV) is made of many moving pieces. Upadacitinib hit the mark again AbbVie's rheumatoid arthritis (RA) candidate recently passed its fifth pivotal trial designed to support new drug applications to be submitted later this year. Given this huge population with unmet need, more enthusiastic peak sales estimates for upadacitinib run past $5 billion annually, and AbbVie's suggestion of $6.5 billion isn't outside the realm of possibility. |
25482.0 | 2018-06-07 00:00:00 UTC | Should You Stick With Gilead Sciences? | ABBV | https://www.nasdaq.com/articles/should-you-stick-gilead-sciences-2018-06-07 | nan | nan | Waning demand for Gilead Sciences ' (NASDAQ: GILD) once-revolutionary hepatitis C drugs has made it one of biopharma's worst performers since 2015, and demand isn't going to improve anytime soon. Should Gilead Sciences shareholders throw the towel, or is this a beat-up bargain that's worth buying?
In this episode of Industry Focus: Healthcare , host Kristine Harjes and Motley Fool contributor Todd Campbell discuss Gilead's past and the research and development programs it hopes will rekindle investors' optimism in the future.
A full transcript follows the video.
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This video was recorded on June 6, 2018.
Kristine Harjes: Welcome to Industry Focus , the podcast that dives into a different sector of the stock market every day. Today is June 6th, and this is the Wednesday Healthcare edition of the show. I'm your host, Kristine Harjes, and I have healthcare specialist Todd Campbell on the line. Welcome to the show, Todd!
Todd Campbell: Hi, Kristine! It's going to be an interesting show today for listeners, because we're going to be talking about probably one of the toughest things for investors to do, which is sticking with stocks when they stumble, right?
Harjes: Absolutely. Earlier today, I had a great conversation with Jeff Fischer, who is the lead advisor on Motley Fool Pro. We were talking about big biotech today. In particular, he made this really good comparison to big pharma a couple of decades ago, where these stocks had been darlings for so long until the patent cliff walloped them and newer treatments came out, and the stocks completely fell out of favor.
Now, 20 years later, it kind of looks like the market is getting the same sort of view of big biotech. Some of the companies that we talk about the most on this show have gotten clobbered. In particular, we get questions all the time about Gilead Sciences and Celgene (NASDAQ: CELG) , which are two stocks that we talk about a ton on Industry Focus , and I know a lot of listeners hold in their portfolios, but they've been such poor performers over the last few years. So, today, we're going to tackle the question of why have they declined so much, and also, what do we expect going forward for them?
Campbell: This is a topic that I'm sure is going to be interesting to a lot of our listeners. It's also interesting to me, and I don't know, maybe to you, Kristine. I actually own both of these companies in my own retirement account, and I am, sadly, down on both of them. I'm down about 18% on Gilead, and I'm about 28% down on Celgene. And one of the things that people always end up asking me, and they probably ask you, too, Kristine, is, "What do I do with this stock I'm down on?" And you have to go back and understand why it fell, what your catalyst or the reason behind you buying it in the first place was, whether or not that still remains intact, and then, what it is that's coming down in the future that could maybe get these stocks back on track. So, I think this is an important show. How do we want to start, Kristine? Do you want to just dive into Gilead? How do you want to approach it?
Harjes: Sure, let's do Gilead first. I'm in the same boat as you, Todd. I don't know if we bought around the same time. I think the first time I bought Gilead Sciences was right around when Sovaldi was first approved, so I'm also down about 20% on the position. There was a lot of hype about this stock's hepatitis C franchise, starting with that first approval of Sovaldi a few years back. Basically, it was kind of boom and bust. These drugs skyrocketed and sold billions and billions of dollars' worth, and then, just as quickly, they dropped off a cliff. I think the lingering question now with this company is, have hepatitis C sales stabilized? We'll provide some more context around that. I think that's question No. 1. Question No. 2, what else do they have going on? This is a company that really made its name in HIV before it ever had any HCV drugs. So, how is that franchise doing? Can we still count on it? Also, what other newer growth opportunities do they have?
So, laying out that structure, we'll talk HCV, HIV, and then new growth opportunities. Sounds good?
Campbell: Yeah. They're a victim of their own success. The launch of Sovaldi in early 2014, followed up by Harvoni later on that year, I think it was October, those were game-changing drugs. You took an indication that was a major cause of life-threatening liver disease and you provided a functional cure for the first time for patients. That was just revolutionary. Fantastic science. Of course, there were so many people. It's a very, very prevalent disease. And there were so many people with advanced cases of that disease that were just waiting for this revolutionary new treatment to launch that sales roared out of the gate. It didn't hurt that these were expensive drugs, either, right, Kristine?
Harjes: Yeah, absolutely.
Campbell: These things launched with $80,000-plus price tags for a 12-week course of treatment. I think it was $1,000 a pill when Sovaldi was launched. Combine a high price with crazy good efficacy and a huge patient population, it's little wonder that, at one point, the HCV franchise was bringing in sales at about a $20 billion annualized clip. To put the sheer size of that market opportunity in perspective, if you annualize the sales that Gilead Sciences just reported in the first quarter, it's about $20 billion. That just goes to show you how much hepatitis C sales have fallen off over the last few years. I think, Kristine, you probably agree with me that there are a few different things that are going on and contributing to that. You have more competition, which, of course, has created a price war, but you also have a scenario where you have fewer late-stage patients to treat -- your addressable market, because your drug's so effective, has shrunk.
Harjes: It's important to recognize that that is a good thing, that last statement there, that the patient population is shrinking because people are being cured. That's amazing from a human perspective. But when you look at the business, it also leads to declining sales. Plus, when you add in competition, primarily from AbbVie (NYSE: ABBV) , for example, AbbVie just released a drug called Mavyret, which is the first treatment that treats all different types of hepatitis C. Previously, you had different drugs for the different genotypes. And, it only takes eight weeks, as opposed to the prior standard of care from Gilead Sciences, Epclusa, which was a 12-week treatment. It's kind of a no-brainer that people would prefer the eight weeks.
These companies have gone back and forth about who has the better drug that can treat more people with greater efficacy -- well, actually, they're all incredibly effective, but, with a shorter treatment duration. But, when it comes down to it, when you look at the numbers, this franchise has been on the decline for a while now. Right now, they're looking at about a $4 billion 2018 sales rate just for those HCV drugs. In the first quarter, they brought in $1 billion, so they're on track for that projection. But that $1 billion was down 59% year over year. And that's not the first time that we've seen these sales go down.
Quarter after quarter, I keep hearing analysts, and even management, say that the stabilization is coming soon. The big question is, where exactly are these sales going to stabilize? It's my impression that AbbVie is going to continue to innovate, Gilead's going to continue to compete on price, and all the while, they're going to be curing more and more people and having to reach out to patient populations that are either harder to reach, or that don't have as advanced stages of the disease, and so it might be harder for these folks to get insurance coverage. I think it's only going to get harder for them. So, that's a big question mark for me. I don't know where exactly this bottom floor line will be.
Campbell: I read an article earlier this year that actually raised the question, did Gilead Sciences make a mistake in deciding to shelve any additional R&D into this indication? For example, trying to drive treatment duration down to, say, four weeks, or two weeks, or one dose and you're done. Maybe. Mavyret seems to be the best drug on the market in the indication right now, as evidenced by the fact that it's raking in a couple of billion in sales, and the hepatitis C market share is shifting away from Gilead Sciences to AbbVie. And I don't think that that's going to change. You have a smaller addressable patient pool. Now, make no mistake, $4 billion in annualized sales, I mean, most biotech companies would love to have products raking in $4 billion in sales. But, again, it's the rate of change that's been the concern for investors.
And there's really no evidence yet in 2018 -- going back to the question you asked at the top of the show, is this going to be the year where we finally get that (unclear 9:02), where we can say, "OK, we're going to get better from here. We're at least stabilizing. And maybe, as additional new patients are diagnosed with the disease, then we can at least maintain where we are today, maybe grow a little bit." I don't think you can say that yet with Gilead Sciences. And that's going to put a lot of pressure on the other parts of its business, the HIV business and, thanks to their acquisition last year of Kite Pharma, their gene therapy business.
Harjes: Absolutely. Let's talk about HIV a little bit. Currently, Gilead is in the process of switching over the patients that are on their medications from these cocktail regimens that contain an older drug called TDF to a newer one that has similar efficacy but a better side effect profile called TAF. In February, they launched a TAF combination therapy called Biktarvy that is projected to be the best-selling new drug to reach the market this entire year. This is something that, management of Gilead Sciences has said it will be its best drug ever. It's been referred to as Gilead's Mount Everest. So, a ton of excitement about Biktarvy. But right now, it kind of looks like that switch from TDF to TAF has been about net neutral, where the HIV segment as a whole has been roughly flat with sales.
Campbell: What they've been able to do is innovate new therapies that reduce patient burden. HIV has become much more of a chronic disease than it was in the past in large part due to Gilead Sciences' drugs that it's launched in the past. So, turning it into a chronic disease, the next step then was to say, "OK, how can we reduce patient burden and make these drugs safer?"
One of the ways that they've done that is being able to take the various drugs that they'd developed as individual medicines and combine them together into single-tablet regimens. These single-tablet regimens really have been what's driving HIV sales and maintaining their market share over the course of the last three years or so. As you mentioned, the reformulation of the drug Viread into TAF, and then reformulating all of their combination therapies so that they include TAF instead of that older drug.
What you're seeing now with the launch of Biktarvy earlier this year is, OK, we feel like, we have a certain number of patients, obviously, that are being treated for HIV. And those patients are being treated chronically. There are some other competitors out there in the space, and we have to make sure that we're still innovating to maintain our market share there. And that's what these drugs are doing.
Biktarvy, though, isn't necessarily just going to be winning away market share from those other competitors, though. It's also going to be winning away market share from its existing drugs. Every time you make a pill that's smaller and easier to take, or that has the same efficacy but it actually has a better safety profile, you're not just going to win away business from other people, you're going to actually cannibalize your own sales. And that's kind of where they're at right now, and what they're projecting going forward.
I think they're still saying that HIV is going to be a growth franchise for them, but it wouldn't be right, I don't think, to expect that that growth franchise is going to produce anything more than single-digit growth, maybe low double-digit, over the course of the next couple of years, anyway.
Harjes: Right. And that cannibalization is something that we also saw going back to hepatitis C. This past quarter, Sovaldi, which was the first of Gilead Sciences' HCV drugs to be approved, didn't even get its own line item in Gilead's latest quarterly report. That's because they innovated, they came up with better and better and better still drugs, which caused the older drug to not be used as much.
Anyway, one growth opportunity that I do want to point out in HIV, before we move on to the other growth opportunities for Gilead, is in PrEP, which is for prevention of HIV. Truvada, right now, is being used for PrEP. There are about 167,000 people currently on it. But, there's a lot of attention being put on this that they could potentially reach many, many more patients who are at risk of HIV and get them on these drugs, potentially even moving over to a TAF-based cocktail, such as Descovy, for PrEP. According to management itself, this could be just as important within the HIV segment as treatment of patients that actively have the disease itself. That's pretty huge. It remains to be seen whether or not it will actually grow that large, but I'm hopeful, because it's an amazing thing, to be able to prevent somebody from contracting HIV in the first place.
Campbell: They've been talking about that for years now, Kristine. Truvada, I suppose that one of the upsides there is that while a lot of its other, older legacy drugs have seen cannibalization, like you mentioned, Truvada's sales have fallen off by far less. That's because, in the U.S., you saw 9% year over year growth in the first quarter for Truvada because of preventive.
The thing that investors need to remember, though, is Truvada's an old drug, and its patent protection is going to expire. That's where this next trial, which you alluded to, this Descovy, the next trial evaluating it as a PrEP treatment, is so important. Obviously, if Truvada goes off patent and Descovy's trial falls short, then that PrEP market is going to end up being dominated by generics. In the HIV space, that's going to be something that our investors are going to want to pay a lot of attention to.
Harjes: Yeah, that's a great point. Moving on to other growth opportunities for Gilead Sciences, there are three that stand out to me. Even as I say that, I realize that this show is potentially going to be kind of long, so we will move through them relatively quickly.
The first one that I want to highlight is in NASH. This one has gotten a ton of attention from investors because of how big this disease space could potentially be. NASH is a progressive fatty liver disease that is estimated to become the leading cause of liver transplants by 2020. It blows my mind just how prevalent this disease is, and how big it could potentially be. I've read estimates that, in nations with fatty diets -- that would be the United States -- there are estimates that 5-20% of the population is affected by this disease. And it's growing, too, because that sort of diet and the obesity and the diabetes that go along with it are also growing at astonishing rates. Right now, there are no approved treatments for NASH. And yet, Gilead looks like it could potentially be first to market or best in class here.
Campbell: There are a lot of competitors working on NASH drugs, though. And, yes, you're right, Gilead Sciences is theoretically in the lead. They have a Phase III drug, Selonsertib, easy for me to say. That's going to have data next year. Theoretically, it could go in front of regulators as soon as by the end of next year. But you have other companies out there, like Intercept , that are also developing drugs for NASH.
One of the things that investors need to recognize is that the NASH market is kind of uncharted territory. We don't know what the size of the market is. You can look at this patient population and say, "It's as big as the diabetes patient population," but people aren't really actively being treated for this disease yet. And frankly, it's kind of a silent disease, Kristine. One of the things that you're going to have to figure out is, how are you going to diagnose or evaluate these patients, find them, and then move them into treatment? And, how much will payers be willing to pay for a drug that addresses such a large patient pool?
Without a doubt, very intriguing opportunity ahead. Just a couple of concerns or things that people need to bear in mind as that data comes out next year.
Harjes: Yep, absolutely. But, I do think that they have experience in similar spaces. I think that the NASH market bears a lot of resemblance to both HIV and HCV, where people might not even realize that they have the disease, it is potentially really huge, but it's also complex, different types of patients have different types of the disease. So, it'll require various combinations of different treatments put together in a cocktail to adequately address the needs of different patients. Hopefully, Selonsertib, which is Gilead's lead candidate here, could become the backbone of a really large franchise.
Next growth opportunity that I want to touch on is with anti-inflammatory. There's a drug called Filgotinib that Gilead is working on with their partner, Galápagos . It's a JAK1 inhibitor, so it's kind of similar to a drug called Xeljanz, which was already approved back in 2012 for rheumatoid arthritis patients. Rheumatoid arthritis is a disease where, it's fairly common, it's an inflammatory disease that is not always adequately controlled by the standard of care. That's why you get these new JAK inhibitors and other approaches to treating the disease. If the drug reaches the market, which would be in a few years, if all goes well, peak annual sales are estimated to be between $2-3 billion.
Campbell: Again, data coming out soon. You're going to have the first Phase III trial readout data later this year in patients who don't respond well to anti-TNF therapy, that would be drugs like the $18 billion a year Humira. That data is going to come out, like I said, later this year. Then, you have trial results coming out early next year, as well, in RA. RA, obviously, is a massive, megablockbuster indication. But, similar to NASH, there are a lot of other people who are working on next-generation drugs for RA, so you have a competitive field.
One of the things that's going to be really interesting here is, how will Gilead Sciences position Filgotinib to be able to win market share against some of these other drugs? Now, the question has been asked of Gilead Sciences. What they're saying, Kristine, is that their drug is way more effective and potentially safer because it's more selective, it's a better-targeting drug for the JAK family, if you will. And if they're right, then yeah, maybe they can differentiate on that specificity. The other way that they're thinking they may do that is through a relationship with Verily, which is a spin-off of Google , where they're going to actually take a look at the different components that cause RA, and then try and show, "Wow, these people tend to respond much, much better to Filgotinib than to other drugs."
Harjes: Yep. Let's move on to Gilead's third and final growth opportunity that we want to discuss today, which is in oncology.
Campbell: Gene therapy, obviously, has massive promise as -- I'm not going to say curative because there are a lot of relapses still occurring for some of these people who are being treated with things like CAR-T therapies. But, it could dramatically reshape how we treat patients with various cancers, specifically blood cancers. They bought Kite Pharma for, what was it, Kristine? $11 billion? $12 billion?
Harjes: $11.9 billion. Yeah, right around there.
Campbell: They bought Kite last year to get into this space. Kite already has its first drug on the market, Yescarta. Yescarta has an opportunity, really, to help late-stage patients that have very few treatment options. As a result, people think that this could be a $1 billion drug. There is a Phase III trial that's ongoing right now, ZUMA-7, that could elevate its use to second-line, as a second-line treatment for people with diffuse large B-cell lymphoma. If that trial reads out well, then, yeah, I think you have a good shot here at, at least, hundreds of millions of dollars in sales, if not in the billion-dollar-plus category. Right now, in Q1, sales were only about $40 million, though.
Harjes: And ignoring the price tag, because that's its own question, I do think that the Kite acquisition was pretty smart strategically for Gilead Sciences. They've wanted to get into oncology for a while. Investors will recall that they had a drug called Zydelig, which ended up totally failing based on a bad safety profile. So, now, they're turning to this new CAR-T therapy -- which, granted, is not 100% safe, particularly this first generation of CAR-T therapies to hit the market. But, Yescarta is just that first generation. They will hopefully be able to come up with more drugs that use this CAR-T process that come after Yescarta and are safer. At that point, they will have more treatment centers that are up and running, because the actual administration process for CAR-T is ridiculously complex, and requires specialized training and certification in that administration. Their goal is to get centers up that cover 80% of covered lives.
Hopefully, that will continue to go well. It looks like insurance coverage for Yescarta is also going as planned, where most patients are covered by their commercial plans, Medicare is covering it. Peak sales for Yescarta are a little bit under $3 billion, but hopefully there will be more drugs from the Kite segment of Gilead Sciences to come.
I will put the asterisk out there that there is competition in this space. There are plenty of other companies working on CAR-T therapies. But, I do think that this is an enormous market, and it probably has room for multiple players.
Campbell: I have no plans on selling my Gilead Sciences shares, just to bottom-line it for our listeners. [laughs] It's in my retirement account, I'm going to hold on to it for the long-term. They have $32 billion in cash. That gives them a ton of financial flexibility to go out there and invest in R&D and buy other companies. They generate a tremendous amount of operating cash flow. They have industry-best margins. And they pay a dividend. It's a relatively competitive dividend that they've increased for three consecutive years. So, I'm willing to give them the benefit of the doubt. We'll wait and see how these other projects come out.
Harjes: My ultimate conclusion here is similar. I think I might be a little bit less bullish than you. I'm not sure that I'm going to sell my shares, but I'm certainly thinking about it. It does have that nice 3.5% dividend yield. And I think eventually, the growth will be there. But, I think, barring a big acquisition that the market reacts well to, this stock will be in the same place nine months from now, 12 months from now. That's just speculation on my part. For me, it's like, yes, I'm a long-term investor, I want to sit and hold Gilead for a long time, but I also do question if there are better places for my money at this point.
Anyway, I realize that we have gone super, duper long on Gilead. I think we're at 25 minutes or so already. So, I'm thinking, Todd, if you don't mind, let's put a pin in this and come back to it maybe next week and do a part two where we cover Celgene. What do you say?
Campbell: I think that makes a tremendous amount of sense, because there's some really, really cool data that came out at ASCO last week on Celgene that our investors will want to know. Stay tuned for part two, everyone.
Harjes: Yeah. I would hate to have to rush the Celgene component of the show, because I think it'll be, hopefully, just as interesting as the Gilead part. Hang tight, listeners! Sorry for the poor planning on our part, but hopefully we'll be back with an even more in-depth show than we otherwise would be able to do on Celgene next week.
As always, people on the program may have interests in the stocks that they talk about, and The Motley Fool may have formal recommendations for or against, so don't buy or sell stocks based solely on what you hear. Today's show was produced by Anne Henry. For Todd Campbell, I'm Kristine Harjes. Thanks for listening and Fool on!
Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Kristine Harjes owns shares of Gilead Sciences. Todd Campbell owns shares of GOOG, Celgene, and Gilead Sciences. His clients may have positions in the companies mentioned. The Motley Fool owns shares of and recommends GOOGL, GOOG, Celgene, and Gilead Sciences. 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. | Plus, when you add in competition, primarily from AbbVie (NYSE: ABBV) , for example, AbbVie just released a drug called Mavyret, which is the first treatment that treats all different types of hepatitis C. Previously, you had different drugs for the different genotypes. It's my impression that AbbVie is going to continue to innovate, Gilead's going to continue to compete on price, and all the while, they're going to be curing more and more people and having to reach out to patient populations that are either harder to reach, or that don't have as advanced stages of the disease, and so it might be harder for these folks to get insurance coverage. Mavyret seems to be the best drug on the market in the indication right now, as evidenced by the fact that it's raking in a couple of billion in sales, and the hepatitis C market share is shifting away from Gilead Sciences to AbbVie. | Plus, when you add in competition, primarily from AbbVie (NYSE: ABBV) , for example, AbbVie just released a drug called Mavyret, which is the first treatment that treats all different types of hepatitis C. Previously, you had different drugs for the different genotypes. It's my impression that AbbVie is going to continue to innovate, Gilead's going to continue to compete on price, and all the while, they're going to be curing more and more people and having to reach out to patient populations that are either harder to reach, or that don't have as advanced stages of the disease, and so it might be harder for these folks to get insurance coverage. Mavyret seems to be the best drug on the market in the indication right now, as evidenced by the fact that it's raking in a couple of billion in sales, and the hepatitis C market share is shifting away from Gilead Sciences to AbbVie. | Mavyret seems to be the best drug on the market in the indication right now, as evidenced by the fact that it's raking in a couple of billion in sales, and the hepatitis C market share is shifting away from Gilead Sciences to AbbVie. Plus, when you add in competition, primarily from AbbVie (NYSE: ABBV) , for example, AbbVie just released a drug called Mavyret, which is the first treatment that treats all different types of hepatitis C. Previously, you had different drugs for the different genotypes. It's my impression that AbbVie is going to continue to innovate, Gilead's going to continue to compete on price, and all the while, they're going to be curing more and more people and having to reach out to patient populations that are either harder to reach, or that don't have as advanced stages of the disease, and so it might be harder for these folks to get insurance coverage. | Plus, when you add in competition, primarily from AbbVie (NYSE: ABBV) , for example, AbbVie just released a drug called Mavyret, which is the first treatment that treats all different types of hepatitis C. Previously, you had different drugs for the different genotypes. It's my impression that AbbVie is going to continue to innovate, Gilead's going to continue to compete on price, and all the while, they're going to be curing more and more people and having to reach out to patient populations that are either harder to reach, or that don't have as advanced stages of the disease, and so it might be harder for these folks to get insurance coverage. Mavyret seems to be the best drug on the market in the indication right now, as evidenced by the fact that it's raking in a couple of billion in sales, and the hepatitis C market share is shifting away from Gilead Sciences to AbbVie. |
25483.0 | 2018-06-06 00:00:00 UTC | ASCO Ends: Winners & Losers at the Key Cancer Research Event | ABBV | https://www.nasdaq.com/articles/asco-ends-winners-losers-key-cancer-research-event-2018-06-06 | nan | nan | The world of cancer research is changing fast. This space is seeing huge developments and companies are taking great strides in treating a variety of cancers.
Cancer research is definitely an exciting area and one that investors will keep a close watch on in the coming years. This is because the disease is one of the leading causes of morbidity and mortality across the world preceded only by heart disease.
The five-day ASCO conference in Chicago, which is basically the most important annual cancer research event, concluded yesterday. The conference featured clinical updates from several companies about the latest developments in treating the disease.
Merck MRK stole the limelight at ASCO after presenting data from several cancer studies of its PD-L1 inhibitor, Keytruda.
The data presentation from Merck, which garnered the most attention from physicians and investors was from a second interim analysis of a pivotal lung cancer study on Keytruda - phase III KEYNOTE-407 study . The study evaluated Keytruda in combination with chemotherapy for the first-line treatment of metastatic squamous NSCLC, which is a difficult-to-treat lung cancer patient population. The data from the study showed that the combination of Keytruda plus chemotherapy led to significant improvement in both overall survival (OS) and progression-free survival regardless of PD-L1 expression. PD-L1 is a protein present on the surface of cells.
The risk of death (OS) was reduced by 36% compared to chemotherapy alone. The PFS improvement was nearly half for patients in the Keytruda combination group compared with chemotherapy alone.
The data was termed "practice changing" by CNBC - changing the way doctors look at prescribing these drugs to cancer patients. It further cemented Merck's position in the lung cancer market, which is the most lucrative oncology sector.
In this context, we must mention that Roche RHHBY also presented data from a similar late-stage study, which showed that Tecentriq (atezolizumab) plus chemotherapy reduced the risk of disease worsening or death (PFS) by 29% in advanced squamous NSCLC patients versus chemotherapy alone.
Coming back to Merck, the company also presented data from another pivotal lung cancer study (KEYNOTE-042) evaluating Keytruda monotherapy in first-line NSCLC patients with PD-L1 expression of at least 1%. This study also showed that treatment with Keytruda led to improved survival. Meanwhile, four and five years follow-up data presented from two advanced melanoma studies showed that treatment with Keytruda led to long-term survival benefit. Interim data from a cohort of a phase II study, KEYNOTE-158, evaluating Keytruda as a monotherapy in patients with previously treated advanced small cell lung cancer (SCLC) demonstrated encouraging response rates in the overall population of SCLC patients as well as in patients whose tumors express PD-L1.
Meanwhile, Keytruda also demonstrated encouraging ORR in studies evaluating the Lenvima/Keytruda combination in four different tumor types and Keytruda monotherapy for the first-line treatment of advanced clear cell RCC. Merck & partner AstraZeneca also presented positive Lynparza combo data in breast cancer. Shares of Merck have gone up by more than 3% since Friday, Jun 1 on ASCO strength.
Nektar Therapeutics NKTR was the biggest loser at ASCO. Nektar along with partner Bristol-Myers BMY , presented preliminary data from a mid-stage study evaluating NKTR-214 in combination with Bristol-Myers' PD-L1 inhibitor Opdivo in several tumor types. The response rates in melanoma and kidney cancer patients did not impress investors, resulting in a 42% fall in Nektar's stock on Jun 4, which was probably the worst performance by an S&P 500 Index member in the last five years. (Read more: Nektar and Bristol-Myers Present Data on Cancer Study ).
Merck, Bristol-Myers and Nektar currently have a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Bristol-Myers also presented data on Opdivo at ASCO. In a late-stage study evaluating Opdivo versus Yervoy in a broad range of patients with resected stage III or IV melanoma, Opdivo demonstrated sustained, superior recurrence-free survival versus Yervoy. In the study, Opdivo plus chemotherapy showed improved PFS versus chemotherapy in first-line lung cancer patients with PD-L1 expression
Celgene CELG and partner Bluebird Bio presented early-stage data for the CAR-T cell therapy bb2121 in patients with late-stage relapsed/refractory multiple myeloma. Though the study showed a median PFS of 11.8 months in this heavily pre-treated patient population, the data did not impress investors.
Celgene also presented data on another CAR-T therapy - liso-ce (JCAR017) - which it acquired from its acquisition of Juno earlier this year. The data showed that at six months, 49% of the patients with relapsed/refractory aggressive B-cell non-Hodgkin lymphoma (NHL) remained in remission while 46% maintained a complete response. (Read more: Celgene Presents Data on CAR T Therapy, Revlimid & Pomalyst )
Novartis NVS announced positive data from a combination study on breast cancer drug Kisqali and from two long-term leukemia studies on Tasigna. (Read More: Novartis Announces Positive Data on Kisqali and Tasigna ).
AbbVie ABBV presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). The data demonstrated high rates of responses in such patients. Also, interim data from a late-stage study evaluating Imbruvica plus Roche's Rituxan in Waldenström's macroglobulinemia, a rare form of Non-Hodgkin's lymphoma, showed that the combination significantly reduced the risk of disease progression or death by 80% compared to placebo plus Rituxan.
Pfizer, Amgen, AstraZeneca and J&J also made some cancer data presentations at the meeting.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie ABBV presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Celgene Corporation (CELG): Free Stock Analysis Report Nektar Therapeutics (NKTR): Free Stock Analysis Report To read this article on Zacks.com click here. Coming back to Merck, the company also presented data from another pivotal lung cancer study (KEYNOTE-042) evaluating Keytruda monotherapy in first-line NSCLC patients with PD-L1 expression of at least 1%. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Celgene Corporation (CELG): Free Stock Analysis Report Nektar Therapeutics (NKTR): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). Interim data from a cohort of a phase II study, KEYNOTE-158, evaluating Keytruda as a monotherapy in patients with previously treated advanced small cell lung cancer (SCLC) demonstrated encouraging response rates in the overall population of SCLC patients as well as in patients whose tumors express PD-L1. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Celgene Corporation (CELG): Free Stock Analysis Report Nektar Therapeutics (NKTR): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). Interim data from a cohort of a phase II study, KEYNOTE-158, evaluating Keytruda as a monotherapy in patients with previously treated advanced small cell lung cancer (SCLC) demonstrated encouraging response rates in the overall population of SCLC patients as well as in patients whose tumors express PD-L1. | AbbVie ABBV presented early data from a phase II study evaluating a combination of its cancer drugs Imbruvica plus Venclexta (venetoclax) for the first-line treatment of patients with chronic lymphocytic leukemia (CLL). Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Celgene Corporation (CELG): Free Stock Analysis Report Nektar Therapeutics (NKTR): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers also presented data on Opdivo at ASCO. |
25484.0 | 2018-06-06 00:00:00 UTC | Abbvie's (ABBV) Upadacitinib Fifth RA Study Data Positive | ABBV | https://www.nasdaq.com/articles/abbvies-abbv-upadacitinib-fifth-ra-study-data-positive-2018-06-06 | nan | nan | AbbVie, Inc.ABBV announced that its investigational oral JAK inhibitor, upadacitinib met all primary as well as secondary endpoints in the fifth phase III study from its SELECT program.
The phase III study, SELECT-EARLY, evaluated the candidate for moderate-to-severe rheumatoid arthritis (RA) in patients who had not been previously treated with chemotherapy agent methotrexate (MTX) versus MTX monotherapy. The SELECT program evaluates more than 4,000 patients across six studies on RA.
After 12 weeks of treatment, the ACR50 response (primary endpoint) was achieved in 52% of the patients receiving the 15 mg oral once-daily dose of upadacitinib and 56% of the patients taking the 30 mg dose versus 28% for patients receiving MTX.
The second primary endpoint of clinical remission was achieved by 48% of the patients in the 15 mg dose arm and 50% in the 30 mg dose arm, at week 24, versus only 18% for MTX.
Meanwhile, 76% and 77% of patients in the 15 mg and 30 mg dose arm, respectively achieved ACR20 response at week 12 versus 54% for MTX.
The results clearly show that a significantly higher proportion of patients treated with upadacitinib in both doses achieved superior responses compared to MTX. This suggests that upadacitinib monotherapy has the potential to control progression of RA and reduce the risk of permanent bone and joint damage for MTX naive patients.
AbbVie plans to submit regulatory applications for upadacitinib in rheumatoid arthritis in the second half of the year.
Other than rheumatoid arthritis, upadacitinib is also being evaluated in late-stage studies for Crohn's disease and psoriatic arthritis and mid-stage studies for atopic dermatitis, giant cell arteritis and ulcerative colitis.
JAK inhibitors, also known as Janus kinase inhibitors, are emerging as a potential treatment option for RA, eczema and other inflammatory diseases. These medicines work by inhibiting the activity of one or more of the Janus kinase family of enzymes
Last week, Eli Lilly LLY and partner Incyte Corporation INCY gained FDA approval for the lower dose of (2 mg) of their oral JAK inhibitor, Olumiant. While the FDA did not approve the higher dose (4 mg), the drug's label was approved with a boxed warning stating risk of serious infections, malignancies and thrombosis. Olumiant is already marketed in Europe and Japan. Another JAK inhibitor available in the market to treat RA is Pfizer's PFE Xeljanz.
Successful development of upadacitinib will boost AbbVie's RA portfolio, especially as biosimilar competition looms for its blockbuster RA drug, Humira.
Humira accounts for 65% of AbbVie's sales. Amgen and Samsung Bioepis/Biogen's Humira biosimilars will be launched in the United States in 2023 and in the EU in 2018.
AbbVie's shares have gained 2.6% this year so far against the industry 's decline of 4.1%.
AbbVie currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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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. | AbbVie, Inc.ABBV announced that its investigational oral JAK inhibitor, upadacitinib met all primary as well as secondary endpoints in the fifth phase III study from its SELECT program. AbbVie plans to submit regulatory applications for upadacitinib in rheumatoid arthritis in the second half of the year. Successful development of upadacitinib will boost AbbVie's RA portfolio, especially as biosimilar competition looms for its blockbuster RA drug, Humira. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie, Inc.ABBV announced that its investigational oral JAK inhibitor, upadacitinib met all primary as well as secondary endpoints in the fifth phase III study from its SELECT program. AbbVie plans to submit regulatory applications for upadacitinib in rheumatoid arthritis in the second half of the year. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie, Inc.ABBV announced that its investigational oral JAK inhibitor, upadacitinib met all primary as well as secondary endpoints in the fifth phase III study from its SELECT program. AbbVie plans to submit regulatory applications for upadacitinib in rheumatoid arthritis in the second half of the year. | AbbVie, Inc.ABBV announced that its investigational oral JAK inhibitor, upadacitinib met all primary as well as secondary endpoints in the fifth phase III study from its SELECT program. AbbVie plans to submit regulatory applications for upadacitinib in rheumatoid arthritis in the second half of the year. Successful development of upadacitinib will boost AbbVie's RA portfolio, especially as biosimilar competition looms for its blockbuster RA drug, Humira. |
25485.0 | 2018-06-06 00:00:00 UTC | Gilead Collaborates with Hookipa for HBV and HIV Therapies | ABBV | https://www.nasdaq.com/articles/gilead-collaborates-with-hookipa-for-hbv-and-hiv-therapies-2018-06-06 | nan | nan | Gilead SciencesGILD entered into a research collaboration and license agreement with Hookipa Biotech AG. Per the agreement, Gilead will own exclusive rights to Hookipa's TheraT and Vaxwave arenavirus vector-based immunization technologies for two major chronic infectious disease indications, hepatitis B virus (HBV) and human immunodeficiency virus (HIV). While research work will be carried out by both, Hookipa will manufacture arenavirus-based vectors for clinical development by Gilead.
In exchange, Gilead will provide an upfront payment of $10 million. In addition, Hookipa will be eligible to receive payments up to a total of more than $400 million based upon the achievement of specified development, regulatory and commercial milestones. Moreover, Gilead will fund all research and development activities. Hookipa will also be eligible to receive tiered royalties on net sales.
The agreement further expands the relationship between Hookipa and Gilead following Gilead's participation in Hookipa's Series C financing in Dec 2017. Hookipa's unique therapeutic vaccine technology demonstrated excellent safety and immunogenicity in phase I studies.
Gilead is banking on its HIV franchise to drive growth in future, given the persistent decline in HCV sales. Gilead's stock has lost 3.0% in the last six months as against the industry' s loss of 5.2%.
Gilead's HCV franchise witnessed slowdown across key markets, including the United States and Europe, reflecting lower sales of Harvoni and Sovaldi as a result of competitive and pricing pressure. The franchise saw a significant plunge in sales due to new competition and fewer patient starts.
Pricing has largely stabilized and market share will stabilize by mid-2018, while patient starts are expected to decline further. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others.
Meanwhile, Gilead is looking to newer avenues to help its top line by solidifying its presence in the gene therapy space. The initial uptake of Yescarta is also encouraging. Gilead is also intending to foray into the NASH market with pipeline candidates - selonsertib and filgotinib.
During the first quarter, Gilead announced an agreement with Sangamo Therapeutics, Inc. SGMO to use Sangamo's zinc finger nuclease technology platform for the development of next-generation ex vivo cell therapies in oncology.
Zacks Rank
Gilead currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
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And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
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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. | We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sangamo Therapeutics, Inc. (SGMO): Free Stock Analysis Report To read this article on Zacks.com click here. In addition, Hookipa will be eligible to receive payments up to a total of more than $400 million based upon the achievement of specified development, regulatory and commercial milestones. | Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sangamo Therapeutics, Inc. (SGMO): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. Zacks Rank Gilead currently carries a Zacks Rank #3 (Hold). | Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sangamo Therapeutics, Inc. (SGMO): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. The agreement further expands the relationship between Hookipa and Gilead following Gilead's participation in Hookipa's Series C financing in Dec 2017. | We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sangamo Therapeutics, Inc. (SGMO): Free Stock Analysis Report To read this article on Zacks.com click here. In addition, Hookipa will be eligible to receive payments up to a total of more than $400 million based upon the achievement of specified development, regulatory and commercial milestones. |
25486.0 | 2018-06-06 00:00:00 UTC | 2 Cheap Dividend Stocks You Can Buy Right Now | ABBV | https://www.nasdaq.com/articles/2-cheap-dividend-stocks-you-can-buy-right-now-2018-06-06 | nan | nan | Pay less to get paid more. That's exactly what can happen when you buy solid dividend stocks that trade at bargain prices. But can these kinds of stocks be found? Absolutely.
I think both income-seeking investors and value investors will like AbbVie (NYSE: ABBV) and Gilead Sciences (NASDAQ: GILD) . Here's why these are two cheap dividend stocks that you can buy right now.
1. AbbVie
AbbVie definitely checks off the "cheap" box using a couple of valuation metrics. The big pharma stock trades at only 11 times expected earnings. And thanks to strong projected earnings growth, AbbVie's price-to-earnings-to-growth (PEG) ratio is a low 0.77.
Investors might drool a bit over AbbVie's dividend yield of 3.73%. AbbVie has increased its dividend payout by 140% since the company was spun off from Abbott Labs in 2013.
More dividend hikes should be on the way. AbbVie uses only 42% of its free cash flow to fund the dividend program, giving the company plenty of financial flexibility to increase its dividend in the future.
If the bargain price and great dividend aren't enough for you, consider that AbbVie claims several growth drivers that could push its share price upward. Imbruvica is one of the fastest-growing cancer drugs on the market. Another drug in the company's oncology lineup, Venclexta, has tremendous potential. AbbVie's new hepatitis C virus (HCV) drug Mavyret stole the limelight in the company's first-quarter update .
The big pharma company also boasts a solid pipeline with several potential blockbusters . Elagolix should be on course to win Food and Drug Administration (FDA) approval for treating endometriosis within the next few months. AbbVie expects to launch two new drugs targeting treatment of autoimmune diseases next year -- risankizumab and upadacitinib.
2. Gilead Sciences
Gilead Sciences is one of the three cheapest healthcare stocks on the market using the enterprise value (EV)-to- EBITDA ratio. The big biotech stock also is inexpensive based on its forward earnings multiple of 10.8.
What about the dividend? Gilead looks great in that department, as well. Its dividend yield currently stands at 3.5%. Gilead didn't initiate its dividend until 2015, but since then, the company has increased its payout every year, with cumulative dividend growth of nearly 33%.
Unlike AbbVie, Gilead stock hasn't performed very well recently. Over the last three years, Gilead's share price has dropped nearly 40% as its HCV sales declined. However, better days could be ahead for Gilead, as it expects sales for its HCV drugs to stabilize this year. In addition, it launched a new HIV drug Biktarvy in the first quarter, and market research firm EvaluatePharma projects it will be the biggest new drug launched in 2018 .
There's a lot to like about Gilead's pipeline, too. The biotech could have another blockbuster on the way with anti-inflammatory drug filgotinib. Perhaps even more important, Gilead is one of the leaders in developing drugs for treating non-alcoholic steatohepatitis (NASH) . Some observers think that the NASH treatment market could reach $35 billion annually over the next several years.
Any worries?
Both AbbVie and Gilead face some risks. AbbVie still depends heavily on its top-selling drug Humira. The drug faces biosimilar competition in Europe later this year and in the U.S. beginning in 2023. AbbVie had a significant pipeline setback in March . Another big clinical failure would definitely hurt the company.
For Gilead, there's the chance that its HCV sales won't stabilize as expected. The biotech really needs Biktarvy to deliver on its potential. Gilead also can't afford a big pipeline setback for filgotinib or its NASH candidates.
Neither AbbVie nor Gilead are worry-free stocks, but I like the prospects for both drugmakers. Both companies offer investors attractive valuations, mouth-watering dividends, and potential growth, and I think both AbbVie and Gilead Sciences are great stocks to buy right now.
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Keith Speights owns shares of AbbVie and Gilead Sciences. The Motley Fool owns shares of and recommends Gilead Sciences. 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. | AbbVie's new hepatitis C virus (HCV) drug Mavyret stole the limelight in the company's first-quarter update . AbbVie expects to launch two new drugs targeting treatment of autoimmune diseases next year -- risankizumab and upadacitinib. Both companies offer investors attractive valuations, mouth-watering dividends, and potential growth, and I think both AbbVie and Gilead Sciences are great stocks to buy right now. | I think both income-seeking investors and value investors will like AbbVie (NYSE: ABBV) and Gilead Sciences (NASDAQ: GILD) . AbbVie AbbVie definitely checks off the "cheap" box using a couple of valuation metrics. And thanks to strong projected earnings growth, AbbVie's price-to-earnings-to-growth (PEG) ratio is a low 0.77. | Both companies offer investors attractive valuations, mouth-watering dividends, and potential growth, and I think both AbbVie and Gilead Sciences are great stocks to buy right now. I think both income-seeking investors and value investors will like AbbVie (NYSE: ABBV) and Gilead Sciences (NASDAQ: GILD) . AbbVie AbbVie definitely checks off the "cheap" box using a couple of valuation metrics. | Both companies offer investors attractive valuations, mouth-watering dividends, and potential growth, and I think both AbbVie and Gilead Sciences are great stocks to buy right now. I think both income-seeking investors and value investors will like AbbVie (NYSE: ABBV) and Gilead Sciences (NASDAQ: GILD) . AbbVie AbbVie definitely checks off the "cheap" box using a couple of valuation metrics. |
25487.0 | 2018-06-04 00:00:00 UTC | Eli Lilly's Olumiant Gets FDA Nod for Rheumatoid Arthritis | ABBV | https://www.nasdaq.com/articles/eli-lillys-olumiant-gets-fda-nod-for-rheumatoid-arthritis-2018-06-04 | nan | nan | Eli Lilly and CompanyLLY along with its partner Incyte Corporation INCY announced that the FDA has approved the 2 mg dose of Olumiant (baricitinib) for treating moderately-to-severely active rheumatoid arthritis ("RA"). The once-daily oral JAK inhibitor is approved as monotherapy or in combination with methotrexate for treating adult patients with inadequate response to tumor necrosis factor ("TNF") inhibitor therapies.
The approval in the United States was not much of a surprise considering that an FDA advisory committee had recommended approval of the lower dose of the drug in April. However, the 4 mg dose of the drug was not approved.
Moreover, the drug's label includes a boxed warning stating risk of serious infections, malignancies and thrombosis.
The companies expect to launch the drug by the end of the second quarter. It will be available at a price 60% lower than the leading TNF inhibitors approved for RA, which includes AbbVie's ABBV Humira and Amgen's AMGN Enbrel among others.
We remind investors that the FDA had issued a Complete Response Letter in April 2017 for the new drug application seeking approval of Olumiant, requesting additional information to determine the most appropriate doses.
Olumiant is already approved in Europe and Japan and generated sales of $32.2 million in the first quarter of 2018. The U.S. approval will further boost the sales of the drug.
Lilly's share price has increased 0.5% year to date compared with the industry 's decline of 4.4%.
The companies will conduct a long-term safety study of Olumiant in RA patients as part of the approval.
Following approval in the United States, Incyte is now eligible to receive a milestone payment of $100 million from Lilly, which it expects to record in full in the second quarter of 2018.
Olumiant is also being evaluated in a late-stage study for the treatment of atopic dermatitis.
Eli Lilly and Company Price
Eli Lilly and Company Price | Eli Lilly and Company Quote
Lilly currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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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. | It will be available at a price 60% lower than the leading TNF inhibitors approved for RA, which includes AbbVie's ABBV Humira and Amgen's AMGN Enbrel among others. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. Eli Lilly and CompanyLLY along with its partner Incyte Corporation INCY announced that the FDA has approved the 2 mg dose of Olumiant (baricitinib) for treating moderately-to-severely active rheumatoid arthritis ("RA"). | It will be available at a price 60% lower than the leading TNF inhibitors approved for RA, which includes AbbVie's ABBV Humira and Amgen's AMGN Enbrel among others. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. Eli Lilly and Company Price Eli Lilly and Company Price | Eli Lilly and Company Quote Lilly currently carries a Zacks Rank #2 (Buy). | Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. It will be available at a price 60% lower than the leading TNF inhibitors approved for RA, which includes AbbVie's ABBV Humira and Amgen's AMGN Enbrel among others. The approval in the United States was not much of a surprise considering that an FDA advisory committee had recommended approval of the lower dose of the drug in April. | Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Incyte Corporation (INCY): Free Stock Analysis Report To read this article on Zacks.com click here. It will be available at a price 60% lower than the leading TNF inhibitors approved for RA, which includes AbbVie's ABBV Humira and Amgen's AMGN Enbrel among others. The approval in the United States was not much of a surprise considering that an FDA advisory committee had recommended approval of the lower dose of the drug in April. |
25488.0 | 2018-06-01 00:00:00 UTC | After Hours Most Active for Jun 1, 2018 : ODP, PRSP, GME, ATUS$, QQQ, OKTA, ABBV, FOXA, GDDY, GM, ZNGA, MSFT | ABBV | https://www.nasdaq.com/articles/after-hours-most-active-jun-1-2018-odp-prsp-gme-atus-qqq-okta-abbv-foxa-gddy-gm-znga-msft | nan | nan | The NASDAQ 100 After Hours Indicator is down -.74 to 7,083.19. The total After hours volume is currently 89,870,577 shares traded.
The following are the most active stocks for the after hours session :
Office Depot, Inc. ( ODP ) is -0.04 at $2.43, with 48,071,361 shares traded. ODP's current last sale is 86.79% of the target price of $2.8.
Perspecta Inc. ( PRSP ) is unchanged at $24.55, with 13,684,642 shares traded.
Gamestop Corporation ( GME ) is +0.01 at $13.73, with 9,924,519 shares traded. GME's current last sale is 91.53% of the target price of $15.
Altice USA, Inc. (ATUS$) is +0.03 at $18.00, with 2,654,607 shares traded. As reported by Zacks, the current mean recommendation for ATUS$ is in the "buy range".
Invesco QQQ Trust, Series 1 ( QQQ ) is -0.16 at $172.58, with 2,060,629 shares traded. This represents a 27.08% increase from its 52 Week Low.
Okta, Inc. ( OKTA ) is +0.15 at $57.50, with 1,852,991 shares traded.OKTA is scheduled to provide an earnings report on 6/6/2018, for the fiscal quarter ending Apr2018. The consensus earnings per share forecast is -0.3 per share, which represents a -50 percent increase over the EPS one Year Ago
AbbVie Inc. ( ABBV ) is -0.03 at $98.02, with 1,778,546 shares traded. ABBV's current last sale is 86.74% of the target price of $113.
Twenty-First Century Fox, Inc. ( FOXA ) is -0.06 at $38.50, with 1,728,766 shares traded. FOXA's current last sale is 95.06% of the target price of $40.5.
GoDaddy Inc. ( GDDY ) is unchanged at $73.61, with 1,417,538 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2018. The consensus EPS forecast is $0.07. , following a 52-week high recorded in today's regular session.
General Motors Company ( GM ) is +0.05 at $43.25, with 1,380,069 shares traded. As reported by Zacks, the current mean recommendation for GM is in the "buy range".
Zynga Inc. ( ZNGA ) is unchanged at $4.47, with 1,112,351 shares traded. As reported by Zacks, the current mean recommendation for ZNGA is in the "buy range".
Microsoft Corporation ( MSFT ) is +0.03 at $100.82, with 826,397 shares traded., following a 52-week high recorded in today's regular session.
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. | The consensus earnings per share forecast is -0.3 per share, which represents a -50 percent increase over the EPS one Year Ago AbbVie Inc. ( ABBV ) is -0.03 at $98.02, with 1,778,546 shares traded. ABBV's current last sale is 86.74% of the target price of $113. The following are the most active stocks for the after hours session : Office Depot, Inc. ( ODP ) is -0.04 at $2.43, with 48,071,361 shares traded. | The consensus earnings per share forecast is -0.3 per share, which represents a -50 percent increase over the EPS one Year Ago AbbVie Inc. ( ABBV ) is -0.03 at $98.02, with 1,778,546 shares traded. ABBV's current last sale is 86.74% of the target price of $113. , following a 52-week high recorded in today's regular session. | The consensus earnings per share forecast is -0.3 per share, which represents a -50 percent increase over the EPS one Year Ago AbbVie Inc. ( ABBV ) is -0.03 at $98.02, with 1,778,546 shares traded. ABBV's current last sale is 86.74% of the target price of $113. The following are the most active stocks for the after hours session : Office Depot, Inc. ( ODP ) is -0.04 at $2.43, with 48,071,361 shares traded. | The consensus earnings per share forecast is -0.3 per share, which represents a -50 percent increase over the EPS one Year Ago AbbVie Inc. ( ABBV ) is -0.03 at $98.02, with 1,778,546 shares traded. ABBV's current last sale is 86.74% of the target price of $113. The NASDAQ 100 After Hours Indicator is down -.74 to 7,083.19. |
25489.0 | 2018-06-01 00:00:00 UTC | Solid Month Ends with New Round of Trade Fears | ABBV | https://www.nasdaq.com/articles/solid-month-ends-new-round-trade-fears-2018-06-01 | nan | nan | Trade war concerns resurfaced on Thursday...but this time it had nothing to do with China. The Trump administration announced that it would be imposing tariffs on steel and aluminum for U.S. allies Canada, Mexico and the EU. The responses from those countries were swift and stern.
The response from the market, though, was not as severe as might be expected. The major indices were definitely down on Thursday, but it wasn't the frightened plunge that we've become accustomed to on this issue. It looks like the market was expecting something like this sooner or later.
The Dow dipped by 1.02% (or about 250 points) to 24,415.8, while the S&P was off 0.69% to 2705.3. The NASDAQ was only down by 0.27% to 7442.1. The Russell 2000, which hit another new record just yesterday, slipped 0.87% to 1633.6.
"But just like Italy I'm hoping markets calm on this news," said Jeremy in Counterstrike . "In my opinion, this is Trump playing hardball to get a deal from everyone in the world on trade. The market is getting used to this notion, otherwise we would have been down a lot more."
Despite this rough ending, the major indices still produced a second straight month with gains. The NASDAQ jumped by about 5.3% in May, while the S&P increased 2.2% and the Dow rose about 1%. These performances marked a dramatic improvement over April, which was the first positive month since January but only saw gains of less than 0.5% for each of the indices.
Now we head into Friday with the NASDAQ up a bit for the week, but the Dow and S&P both down. The big news tomorrow is likely to be the employment situation report (unless there's more news on trade or some other headline). The last reading was considered a "goldilocks" report, as it was strong enough for the employment rate to dip below 4% but not enough to accelerate the Fed's rate hike plans.
Today's Portfolio Highlights:
Healthcare Innovators: A few downgrades from big brokerage firms had Kevin looking a bit askew at large-cap pharma company AbbVie (ABBV), which was one of this portfolio's earliest buys back in April 2017. The editor took a day to think about it and eventually came to the decision that the safest move was to take profits. Therefore, he sold ABBV on Thursday for a return of more than 51%.
Surprise Trader: It may not be earnings season, but there are still companies set to report. Case in point, industrial distribution company HD Supply (HDS) announces before the bell next Tuesday. The company is coming off back-to-back 5-cent earnings surprises, and Dave thinks the streak can continue next week. The editor sees an opportunity here and so he bought a 12.5% allocation in the name today. Read more in the full write-up.
Technology Innovators: Nanometrics (NANO) is a chip stock that recently reported a strong beat-and-raise quarter, which included revenues that beat the consensus by $10 million. Brian Bolan thinks the next quarter looks even better with guidance on the top and bottom lines that are already ahead of expectations. The editor decided that NANO would make a good addition to the portfolio. Read his complete commentary for a lot more on this new pick.
Momentum Trader: Shares of Attunity (ATTU) jumped more than 11% yesterday, and Dave wants to take advantage of that surge. This cloud-based software company has only been in the portfolio for a little more than two weeks; the editor added it on May 15th after a strong quarter that included a positive surprise of 240%. Half of the position was sold on Thursday for a 12.3% return. Dave also halved the DMC Global (BOOM) holding for a 3.7% profit.
Options Trader:"A solid Employment Situation Report tomorrow could be just what the market needs to kick it over the hump. The consensus is looking for 190,000 new jobs to have been created last month (184,000 from the private sector and 6,000 from the public) with the unemployment rate holding steady at 3.9%.
"Still, news that the US will impose steel tariffs on Canada, Mexico and the EU weighed on stocks. And they responded by saying they will issue new tariffs of their own on the US. Just like a trade war was averted with China (I never thought we'd see one anyway), I don't think we'll see one here. But it did throw a new worry into the market just when people thought we could move on from this.
"Either way, I don't see this as derailing the market in any way at this stage. And ultimately it should help forge new deals. There could be a few more bumps along the road before we get there. But I see this as being transitory and it should not impede the market's overall bullish advance." -- Kevin Matras
Until Tomorrow,
Jim Giaquinto
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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. | Today's Portfolio Highlights: Healthcare Innovators: A few downgrades from big brokerage firms had Kevin looking a bit askew at large-cap pharma company AbbVie (ABBV), which was one of this portfolio's earliest buys back in April 2017. Therefore, he sold ABBV on Thursday for a return of more than 51%. Technology Innovators: Nanometrics (NANO) is a chip stock that recently reported a strong beat-and-raise quarter, which included revenues that beat the consensus by $10 million. | Today's Portfolio Highlights: Healthcare Innovators: A few downgrades from big brokerage firms had Kevin looking a bit askew at large-cap pharma company AbbVie (ABBV), which was one of this portfolio's earliest buys back in April 2017. Therefore, he sold ABBV on Thursday for a return of more than 51%. "Still, news that the US will impose steel tariffs on Canada, Mexico and the EU weighed on stocks. | Today's Portfolio Highlights: Healthcare Innovators: A few downgrades from big brokerage firms had Kevin looking a bit askew at large-cap pharma company AbbVie (ABBV), which was one of this portfolio's earliest buys back in April 2017. Therefore, he sold ABBV on Thursday for a return of more than 51%. This cloud-based software company has only been in the portfolio for a little more than two weeks; the editor added it on May 15th after a strong quarter that included a positive surprise of 240%. | Today's Portfolio Highlights: Healthcare Innovators: A few downgrades from big brokerage firms had Kevin looking a bit askew at large-cap pharma company AbbVie (ABBV), which was one of this portfolio's earliest buys back in April 2017. Therefore, he sold ABBV on Thursday for a return of more than 51%. The last reading was considered a "goldilocks" report, as it was strong enough for the employment rate to dip below 4% but not enough to accelerate the Fed's rate hike plans. |
25490.0 | 2018-05-31 00:00:00 UTC | Gilead & Galapagos Announce Positive Data on Filgotinib | ABBV | https://www.nasdaq.com/articles/gilead-galapagos-announce-positive-data-on-filgotinib-2018-05-31 | nan | nan | Gilead Sciences, Inc . GILD and Galapagos NVGLPG announced that the phase II study, EQUATOR, on pipeline candidate, filgotinib achieved its primary endpoint of improvement in the signs and symptoms of psoriatic arthritis at Week 16, as assessed by the American College of Rheumatology 20 percent improvement score (ACR20).
The EQUATOR trial, initiated by Galapagos in April 2017, is a multicenter randomized, double-blind, placebo-controlled trial to assess the safety and efficacy of the selective JAK1 inhibitor filgotinib in adult patients with moderately to severely active psoriatic arthritis.
The data from the study depicted an ACR20 response of 80% for filgotinib versus 33% for placebo. Additionally, the ACR50 and ACR70 responses at Week 16 were also significantly higher for filgotinib than placebo. Filgotinib was generally well-tolerated in the trial and no new safety signals were observed. However, there was one serious infection in the filgotinib group where a patient who experienced pneumonia with a fatal outcome and one other patient receiving filgotinib developed herpes zoster.
Both the companies plan to report the detailed results from the EQUATOR trial at a future scientific conference.
Concurrently, Gilead and Galapagos also announced that an independent Data Monitoring Committee (DMC) conducted a planned interim futility analysis of the phase IIb/IIII study, SELECTION, on filgotinib for the treatment of ulcerative colitis. The analysis was conducted after 350 patients completed the induction period in the phase IIb portion of the study. The DMC recommended that the study should go on as planned into phase III at both the 100 mg and 200 mg once daily dose level in biologic-experienced and biologic-naïve patients. The multicenter, randomized, double-blind, placebo-controlled study to assess the safety and efficacy of the selective JAK1 inhibitor filgotinib in adult patients, with moderately to severely active ulcerative colitis was initiated by Gilead in late 2016. Consequently, Gilead will pay $15 million to Galapagos for this progression from phase II to phase III in the SELECTION trial. The trial will enroll a total of 1,300 patients, targeted to be randomized to receive filgotinib 100 mg, 200 mg, or placebo once-daily administered for 58 weeks. The primary objective of SELECTION is to evaluate the efficacy of filgotinib as compared to placebo in establishing EBS (endoscopy, bleeding, stool) remission at Week 10.
Both Galapagos and Gilead entered into a global collaboration for the development and commercialization of filgotinib in inflammatory indications. The candidate is also being evaluated in the ongoing phase III program, FINCH in rheumatoid arthritis, the phase III trial, DIVERSITY for Crohn's disease (also small bowel and fistulizing Crohn's disease phase II studies) among others.
Given the persistent decline in HCV sales, Gilead is looking to newer avenues to help its top line. Gilead's stock has lost 8.2% in the last six months as against the industry' 's loss of 8.1%.
Gilead's HCV franchise witnessed slowdown across key markets, including the United States and Europe, reflecting lower sales of Harvoni and Sovaldi as a result of competitive and pricing pressure. The franchise saw a significant plunge in sales due to new competition and fewer patient starts. Pricing has largely stabilized and market share will stabilize by mid-2018, while patient starts are expected to decline further. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others.
Gilead is looking to solidify its presence in the gene therapy space. The initial uptake of Yescarta is also encouraging. Gilead is also intending to foray into the NASH market with pipeline candidates - selonsertib and filgotinib.
Zacks Rank
Gilead currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
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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. | We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report To read this article on Zacks.com click here. Concurrently, Gilead and Galapagos also announced that an independent Data Monitoring Committee (DMC) conducted a planned interim futility analysis of the phase IIb/IIII study, SELECTION, on filgotinib for the treatment of ulcerative colitis. | Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. The EQUATOR trial, initiated by Galapagos in April 2017, is a multicenter randomized, double-blind, placebo-controlled trial to assess the safety and efficacy of the selective JAK1 inhibitor filgotinib in adult patients with moderately to severely active psoriatic arthritis. | Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. The EQUATOR trial, initiated by Galapagos in April 2017, is a multicenter randomized, double-blind, placebo-controlled trial to assess the safety and efficacy of the selective JAK1 inhibitor filgotinib in adult patients with moderately to severely active psoriatic arthritis. | Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Galapagos NV (GLPG): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa face competition from AbbVie's ABBV Viekira Pak and Mayret, and Merck's MRK Zepatier among others. The EQUATOR trial, initiated by Galapagos in April 2017, is a multicenter randomized, double-blind, placebo-controlled trial to assess the safety and efficacy of the selective JAK1 inhibitor filgotinib in adult patients with moderately to severely active psoriatic arthritis. |
25491.0 | 2018-05-31 00:00:00 UTC | Pfizer's Arthritis Drug Gets FDA Nod for Ulcerative Colitis | ABBV | https://www.nasdaq.com/articles/pfizers-arthritis-drug-gets-fda-nod-for-ulcerative-colitis-2018-05-31 | nan | nan | Pfizer Inc.PFE announced that the FDA has approved the label expansion of its JAK inhibitor, Xeljanz (tofacitinib), to include a new indication - moderately to severely active ulcerative colitis ("UC"). The drug is approved for the treatment of adult patients with recommended a dose of 10 mg twice-daily for at least eight weeks.
The approval was expected as the FDA Gastrointestinal Drugs Advisory Committee had adopted a positive vote in a meeting in March recommending the approval of the supplemental new drug application (sNDA) filed in July last year seeking label expansion of Xeljanz in UC.
Xeljanz is already marketed for the treatment of rheumatoid arthritis and active psoriatic arthritis. In the first quarter of 2018, Xeljanz sales were $326 million, up 30.4% from the year-ago period. The label expansion in the UC indication is likely to boost its sales further.
Shares of Pfizer have lost 0.5% so far this year, compared with a 6% decrease for the industry it belongs to.
Pfizer is currently evaluating Xeljanz in an open label long-term extension study, OCTAVE Open.
However, there are several blockbuster drugs in the inflammatory segment approved for UC, which includes Johnson & Johnson's JNJ Remicade and Simponi, AbbVie's ABBV Humira and Shire's SHPG Lialda. Moreover, many biotech companies are developing their candidates for the treatment for UC. Hence, competition is likely to increase in this segment.
Pfizer Inc. Price
Pfizer Inc. Price | Pfizer Inc. Quote
Pfizer currently has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
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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. | However, there are several blockbuster drugs in the inflammatory segment approved for UC, which includes Johnson & Johnson's JNJ Remicade and Simponi, AbbVie's ABBV Humira and Shire's SHPG Lialda. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Shire plc (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. Pfizer Inc.PFE announced that the FDA has approved the label expansion of its JAK inhibitor, Xeljanz (tofacitinib), to include a new indication - moderately to severely active ulcerative colitis ("UC"). | However, there are several blockbuster drugs in the inflammatory segment approved for UC, which includes Johnson & Johnson's JNJ Remicade and Simponi, AbbVie's ABBV Humira and Shire's SHPG Lialda. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Shire plc (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Shire plc (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. However, there are several blockbuster drugs in the inflammatory segment approved for UC, which includes Johnson & Johnson's JNJ Remicade and Simponi, AbbVie's ABBV Humira and Shire's SHPG Lialda. The approval was expected as the FDA Gastrointestinal Drugs Advisory Committee had adopted a positive vote in a meeting in March recommending the approval of the supplemental new drug application (sNDA) filed in July last year seeking label expansion of Xeljanz in UC. | However, there are several blockbuster drugs in the inflammatory segment approved for UC, which includes Johnson & Johnson's JNJ Remicade and Simponi, AbbVie's ABBV Humira and Shire's SHPG Lialda. Click to get this free report Pfizer Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Shire plc (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. The approval was expected as the FDA Gastrointestinal Drugs Advisory Committee had adopted a positive vote in a meeting in March recommending the approval of the supplemental new drug application (sNDA) filed in July last year seeking label expansion of Xeljanz in UC. |
25492.0 | 2018-05-31 00:00:00 UTC | Thursday’s Vital Data: Micron Technology, Inc. (MU), Bank of America Corp (BAC) and AbbVie Inc. (ABBV) | ABBV | https://www.nasdaq.com/articles/thursdays-vital-data-micron-technology-inc-mu-bank-america-corp-bac-and-abbvie-inc-abbv | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
U.S. stock futures are trading mixed this morning. Renewed trade war fears are limiting Wall Street's upside, as traders look to close out May on a largely positive note.
Political uncertainty in Italy remains a top concern, while the White House could announce tariffs on the EU as soon as today. Still, the Dow Jones Industrial Average is looking at a 2% gain for May. Meanwhile, the S&P 500 Index is up 2.9% for the month and the Nasdaq Composite has surged 5.6%.
Heading into the last trading day of May, Dow futures areflat. S&P 500 futures are up 0.03% and Nasdaq-100 futures have added 0.04%.
In options activity, volume surged heading into the end of the month - a typical time for portfolio re-positioning. Overall, about 18.2 million calls and 14.7 million puts changed hands on the session. On the CBOE, the single-session equity put/call volume ratio fell to 0.56. The 10-day moving average held at 0.60.
Options traders continued to load up on Micron Technology, Inc. (NASDAQ: MU ) calls on Wednesday, despite rising concerns from China about memory prices. Elsewhere, Bank of America Corp (NYSE: BAC ) call options volume surged following a projection for flat second-quarter revenue. Finally, AbbVie Inc. (NASDAQ: ABBV ) put volume rolled in following a Credit Suisse downgrade.
Let's take a closer look:
Micron Technology, Inc. (MU)
Micron stock has soared to its highest levels since the dotcom boom this week. The shares topped out north of $64.50 before rolling over yesterday. Micron has continued to ride buying strength from it's stronger-than-expected second-quarter forecast and $10 billion stock buyback plan.
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However, profit taking and rising concerns that China may take action on DRAM and NAND pricing lead to selling pressure yesterday. In fact, MU stock is down nearly 3% premarket.
Those concerns didn't stop MU stock options traders yesterday. Volume jumped to 528,000 contracts, with calls gobbling up 71% of the day's take. What's more, weekly June 22 options remain considerably popular ahead of next month's quarterly earnings report.
The weekly June put/call open interest ratio rests at 0.33, with calls tripling puts for the series. That said, this reading has risen off last week's low of 0.27 , indicating that puts are starting to gain a bit of a following.
Bank of America Corp (BAC)
Second-quarter revenue from sales and trading will be flat year over year, Bank of America Chief Executive Brian Moynihan said yesterday . The statement follows on the heels of similar concerns from JPMorgan Chase & Co. (NYSE: JPM ), which warned of similar results earlier this week.
However, Moynihan said BofA would benefit from share buybacks. If you're a regular reader of mine, you know my opinion on companies using share buybacks to boost stock prices.
BAC options traders didn't appear perturbed by the news, however. Volume yesterday rose to over 491,000 contracts, or about 1.5 times BAC's daily average. Calls made up a whopping 83% of yesterday's activity.
That said, short-term BAC options traders remain on the fence. Currently, the June put/call OI ratio comes in at 0.97, with puts and calls in near parity for the series. BAC's recent breach of support near $30 likely isn't helping bolster bullish sentiment on the shares right now.
AbbVie Inc. (ABBV)
AbbVie stock largely ignored a bearish research note from Credit Suisse yesterday . The ratings firm cut ABBV stock to "underperform" and dropped its price target to $89 from $104. Credit Suisse cited longevity concerns for flagship drug Humira due to emerging competition and a lack of exciting replacement medications in the company's pipeline.
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ABBV stock options traders took note of the news, however. Volume swelled to 167,000 contracts, or more than 2.5 times AbbVie's daily average. Puts claimed 55% of that activity.
What's more, the short-term outlook among ABBV options traders is heavily bearish. Currently, the June put/call OI ratio comes in at 1.37, with puts firmly in command. If ABBV fails to retain support at $100, we could see this ratio rise even higher.
As of this writing, Joseph Hargett held no positions on any of the aforementioned securities.
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The post Thursday's Vital Data: Micron Technology, Inc. (MU), Bank of America Corp (BAC) and AbbVie Inc. (ABBV) appeared first on InvestorPlace .
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. | Finally, AbbVie Inc. (NASDAQ: ABBV ) put volume rolled in following a Credit Suisse downgrade. AbbVie Inc. (ABBV) AbbVie stock largely ignored a bearish research note from Credit Suisse yesterday . The ratings firm cut ABBV stock to "underperform" and dropped its price target to $89 from $104. | AbbVie Inc. (ABBV) AbbVie stock largely ignored a bearish research note from Credit Suisse yesterday . Finally, AbbVie Inc. (NASDAQ: ABBV ) put volume rolled in following a Credit Suisse downgrade. The ratings firm cut ABBV stock to "underperform" and dropped its price target to $89 from $104. | More From InvestorPlace The 7 Best Long-Term Stocks for Risk-Off Investors 3 U.S. Stocks to Buy as International Growth Slows 25 Unstoppable Stocks to Buy No Matter What 3 Cheapest Stocks With Greatest Potential for Growth Compare Brokers The post Thursday's Vital Data: Micron Technology, Inc. (MU), Bank of America Corp (BAC) and AbbVie Inc. (ABBV) appeared first on InvestorPlace . Finally, AbbVie Inc. (NASDAQ: ABBV ) put volume rolled in following a Credit Suisse downgrade. AbbVie Inc. (ABBV) AbbVie stock largely ignored a bearish research note from Credit Suisse yesterday . | AbbVie Inc. (ABBV) AbbVie stock largely ignored a bearish research note from Credit Suisse yesterday . Finally, AbbVie Inc. (NASDAQ: ABBV ) put volume rolled in following a Credit Suisse downgrade. The ratings firm cut ABBV stock to "underperform" and dropped its price target to $89 from $104. |
25493.0 | 2018-05-30 00:00:00 UTC | AstraZeneca (AZN) Stock on Growth Path This Year: Here's Why | ABBV | https://www.nasdaq.com/articles/astrazeneca-azn-stock-on-growth-path-this-year%3A-heres-why-2018-05-30 | nan | nan | Shares of AstraZeneca, PLCAZN have risen 4.8% so far this year against the Large-Cap Pharma industry 's decline of 4.9%.
Though the drug sector was off to a strong start in 2018, it has struggled thereafter, probably on U.S. market instability and a few negative updates on the pipeline and regulatory front. Only four large-cap drug stocks have risen this year including AstraZeneca, Merck MRK , AbbVie, Inc. ABBV and Glaxo GSK .
Factors Driving AstraZeneca Stock
AstraZeneca announced quite a few positive developments on the regulatory and pipeline front this year, which led shares to outperform the industry.
AstraZeneca recorded good progress in Oncology in the first quarter of 2018. Lynparza received EU approval for a broad second-line ovarian cancer indication with the tablet formulation, and for breast cancer in the United States. Tagrisso received the important U.S. approval for first-line EGFR mutated non-small cell lung cancer (NSCLC). PD-L1 inhibitor Imfinzi was approved and immediately launched for the second indication in the United States - early stage lung cancer - which drove sales higher in the first quarter.
In hematology, moxetumomab submission was accepted by the FDA and granted priority review for an intended indication in third-line hairy cell leukemia. In CVRM, AstraZeneca received EU and U.S. approval for Lokelma to treat hyperkalemia. In Respiratory, biologic medicine, Fasenra was approved in the EU and Japan in January.
There were however a few negative pipeline updates. Fasenra did not meet the primary endpoint in the first COPD trial, GALATHEA. The ARCTIC trial of Imfinzi plus tremelimumab in third-line non-small cell lung cancer did not meet the primary endpoint of progression-free-survival (PFS) and overall survival (OS). Meanwhile, its core products like Nexium, Crestor and Seroquel are facing generic competition, which is hurting sales growth. The diabetes franchise also faces stiff competition while pricing pressure is hurting sales in AstraZeneca's Respiratory franchise.
Nonetheless, AstraZeneca's newer drugs like Brilinta (cardiovascular), Lynparza (ovarian cancer), Farxiga/Forxiga (type II diabetes) and Tagrisso (lung cancer) are doing well. Brilinta and Farxiga achieved blockbuster status in 2017, exceeding $1 billion in sales. Imfinzi and Fasenra, launched in 2017/early 2018, are off to a strong start given their highly competitive clinical profile. AstraZeneca is also looking for further label expansions for these drugs.
Its newer medicines registered sales growth of 66% in the first quarter of 2018. These new drugs should keep contributing to the top line while several launches are underway across each of the therapeutic areas, Oncology, CV metabolism and Respiratory. AstraZeneca is looking to return to growth in 2018 on the back of newer drugs. Meanwhile, cost-cutting initiatives should drive the bottom line.
All these positive developments are likely to keep the stock's momentum alive this year.
AstraZeneca currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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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. | Only four large-cap drug stocks have risen this year including AstraZeneca, Merck MRK , AbbVie, Inc. ABBV and Glaxo GSK . Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. PD-L1 inhibitor Imfinzi was approved and immediately launched for the second indication in the United States - early stage lung cancer - which drove sales higher in the first quarter. | Only four large-cap drug stocks have risen this year including AstraZeneca, Merck MRK , AbbVie, Inc. ABBV and Glaxo GSK . Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Nonetheless, AstraZeneca's newer drugs like Brilinta (cardiovascular), Lynparza (ovarian cancer), Farxiga/Forxiga (type II diabetes) and Tagrisso (lung cancer) are doing well. | Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Only four large-cap drug stocks have risen this year including AstraZeneca, Merck MRK , AbbVie, Inc. ABBV and Glaxo GSK . Factors Driving AstraZeneca Stock AstraZeneca announced quite a few positive developments on the regulatory and pipeline front this year, which led shares to outperform the industry. | Only four large-cap drug stocks have risen this year including AstraZeneca, Merck MRK , AbbVie, Inc. ABBV and Glaxo GSK . Click to get this free report AstraZeneca PLC (AZN): Free Stock Analysis Report GlaxoSmithKline plc (GSK): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Factors Driving AstraZeneca Stock AstraZeneca announced quite a few positive developments on the regulatory and pipeline front this year, which led shares to outperform the industry. |
25494.0 | 2018-05-30 00:00:00 UTC | Is AbbVie Inc. (ABBV) a Buy? | ABBV | https://www.nasdaq.com/articles/abbvie-inc-abbv-buy-2018-05-30 | nan | nan | Let's cut to the chase: Yes, AbbVie Inc. (NYSE: ABBV) stock is a great pick for long-term investors, in my view. The reason why I think the big pharma stock is one to buy is simple: There's a good chance that it will deliver market-beating returns for years to come.
By market-beating returns, I mean a total return of more than 9% to 10% annually on average. That's what the S&P 500 has delivered since 1965. Can AbbVie generate an even higher total return over the long run? I think it can -- because of three key factors.
1. A fantastic dividend
AbbVie automatically has a head start on topping a 10% average annualized return thanks to its fantastic dividend. The company's dividend currently yields nearly 4%. By comparison, the S&P 500 index's dividend yield is less than 2%.
Of course, just because AbbVie's dividend looks great now doesn't mean that it always will. We can have a pretty good level of confidence with AbbVie, though, for a couple of reasons.
First, the big pharma company definitely has the financial flexibility to keep the dividends flowing at current levels for a long time to come. AbbVie uses only 42% of its free cash flow to fund the dividend program. Its financial condition would have to deteriorate a lot before the dividend would be threatened. The good news is that AbbVie's free cash flow isn't worsening and is instead getting even stronger.
Second, AbbVie's management team prioritizes the dividend very highly. That's evidenced by the fact that AbbVie's dividend has increased by 140% since the company was spun off from Abbott Labs in 2013. Remember also that most of AbbVie's current executive team came from Abbott, which has paid quarterly dividends since 1924 and has increased its dividend payout for 46 consecutive years.
2. Strong earnings growth
A great dividend isn't enough to beat the S&P 500's total return, though. AbbVie needs to be able to also generate strong earnings growth. Wall Street analysts think the company will be able to grow earnings by more than 17% annually over the next few years. That seems attainable, in my view.
The company historically has relied on Humira for most of its growth. That's changing, however, with several other products that are either already on the market or are on the way. Imbruvica serves as the cornerstone of AbbVie's growth strategy. It's projected to become the No. 4 selling cancer drug in the world by 2022 , with sales of $7.5 billion.
Another cancer drug in AbbVie's lineup, Venclexta, should benefit tremendously from expanded indications in treating relapsed or refractory and first-line chronic lymphocytic leukemia (CLL), acute myeloid leukemia (AML), and multiple myeloma. Venclexta gained FDA approval in 2016 for treating CLL with 17p deletion. Peak sales for the drug could be as high as $3 billion.
AbbVie's hepatitis C drug, Mavyret, was the star of the company's Q1 update . Market research firm EvaluatePharma projects the drug will reach peak annual sales of $1.9 billion by 2021.
Then there's AbbVie's pipeline, which features three especially promising candidates. AbbVie anticipates FDA approval for elagolix in treating endometriosis in the third quarter of 2018. The company also hopes to launch two new autoimmune disease drugs in 2019: risankizumab and upadacitinib. All three drugs are expected to be blockbusters.
3. Attractive valuation
Earnings growth in the upper teens probably wouldn't be enough to drive AbbVie stock higher faster than the market if its share price was already expensive. That's not the case for AbbVie, though.
The pharma stock currently trades at 11 times expected earnings. Considering AbbVie's realistic growth prospects, the stock could even be considered to be a bargain.
What could get in the way
There are two key things that I think could get in the way of AbbVie delivering a market-beating total return. One is if Humira sales deteriorate much more quickly than expected in the face of biosimilar competition. Biosimilars to Humira hit the market in Europe later this year and in the U.S. in early 2023. The other potential challenge is the risk of major pipeline setbacks.
I'm not too concerned about the first threat. AbbVie CFO Bill Chase stated in March that "you're not going to see anything catastrophic" happen with Humira sales despite biosimilar competition. Based on the experience of other big drugs that now compete with biosimilar rivals, I suspect that Chase is right. Sales for Humira will no doubt decline, but I expect that decline to be gradual.
We can't dismiss the possibility that AbbVie will encounter some significant pipeline setbacks, though. The company already experienced one with the disappointing phase 2 results for Rova-T as a third-line treatment for relapsed/refractory small cell lung cancer (SCLC). However, AbbVie's other late-stage pipeline candidates don't carry the same level of risk that Rova-T did, in my opinion.
While there's always a chance that AbbVie will underperform the S&P 500 in the coming years, I think the odds are definitely in favor of AbbVie beating the market. I have owned the stock for a while and don't plan on selling it anytime soon.
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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. | Attractive valuation Earnings growth in the upper teens probably wouldn't be enough to drive AbbVie stock higher faster than the market if its share price was already expensive. Let's cut to the chase: Yes, AbbVie Inc. (NYSE: ABBV) stock is a great pick for long-term investors, in my view. Can AbbVie generate an even higher total return over the long run? | Can AbbVie generate an even higher total return over the long run? Let's cut to the chase: Yes, AbbVie Inc. (NYSE: ABBV) stock is a great pick for long-term investors, in my view. A fantastic dividend AbbVie automatically has a head start on topping a 10% average annualized return thanks to its fantastic dividend. | A fantastic dividend AbbVie automatically has a head start on topping a 10% average annualized return thanks to its fantastic dividend. Attractive valuation Earnings growth in the upper teens probably wouldn't be enough to drive AbbVie stock higher faster than the market if its share price was already expensive. While there's always a chance that AbbVie will underperform the S&P 500 in the coming years, I think the odds are definitely in favor of AbbVie beating the market. | Let's cut to the chase: Yes, AbbVie Inc. (NYSE: ABBV) stock is a great pick for long-term investors, in my view. Of course, just because AbbVie's dividend looks great now doesn't mean that it always will. Can AbbVie generate an even higher total return over the long run? |
25495.0 | 2018-05-30 00:00:00 UTC | Noteworthy Wednesday Option Activity: ABBV, GS, DG | ABBV | https://www.nasdaq.com/articles/noteworthy-wednesday-option-activity-abbv-gs-dg-2018-05-30 | nan | nan | Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 137,043 contracts have traded so far, representing approximately 13.7 million underlying shares. That amounts to about 143.8% of ABBV's average daily trading volume over the past month of 9.5 million shares. Especially high volume was seen for the $120 strike call option expiring June 08, 2018 , with 31,063 contracts trading so far today, representing approximately 3.1 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $120 strike highlighted in orange:
Goldman Sachs Group Inc (the (Symbol: GS) saw options trading volume of 38,278 contracts, representing approximately 3.8 million underlying shares or approximately 140.8% of GS's average daily trading volume over the past month, of 2.7 million shares. Especially high volume was seen for the $207.50 strike put option expiring June 08, 2018 , with 2,306 contracts trading so far today, representing approximately 230,600 underlying shares of GS. Below is a chart showing GS's trailing twelve month trading history, with the $207.50 strike highlighted in orange:
And Dollar General Corp (Symbol: DG) options are showing a volume of 24,879 contracts thus far today. That number of contracts represents approximately 2.5 million underlying shares, working out to a sizeable 106.7% of DG's average daily trading volume over the past month, of 2.3 million shares. Especially high volume was seen for the $90 strike put option expiring June 01, 2018 , with 6,946 contracts trading so far today, representing approximately 694,600 underlying shares of DG. Below is a chart showing DG's trailing twelve month trading history, with the $90 strike highlighted in orange:
For the various different available expirations for ABBV options , GS options , or DG options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
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. | Especially high volume was seen for the $120 strike call option expiring June 08, 2018 , with 31,063 contracts trading so far today, representing approximately 3.1 million underlying shares of ABBV. Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 137,043 contracts have traded so far, representing approximately 13.7 million underlying shares. That amounts to about 143.8% of ABBV's average daily trading volume over the past month of 9.5 million shares. | Especially high volume was seen for the $120 strike call option expiring June 08, 2018 , with 31,063 contracts trading so far today, representing approximately 3.1 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $120 strike highlighted in orange: Goldman Sachs Group Inc (the (Symbol: GS) saw options trading volume of 38,278 contracts, representing approximately 3.8 million underlying shares or approximately 140.8% of GS's average daily trading volume over the past month, of 2.7 million shares. Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 137,043 contracts have traded so far, representing approximately 13.7 million underlying shares. | Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 137,043 contracts have traded so far, representing approximately 13.7 million underlying shares. Especially high volume was seen for the $120 strike call option expiring June 08, 2018 , with 31,063 contracts trading so far today, representing approximately 3.1 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $120 strike highlighted in orange: Goldman Sachs Group Inc (the (Symbol: GS) saw options trading volume of 38,278 contracts, representing approximately 3.8 million underlying shares or approximately 140.8% of GS's average daily trading volume over the past month, of 2.7 million shares. | Especially high volume was seen for the $120 strike call option expiring June 08, 2018 , with 31,063 contracts trading so far today, representing approximately 3.1 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $120 strike highlighted in orange: Goldman Sachs Group Inc (the (Symbol: GS) saw options trading volume of 38,278 contracts, representing approximately 3.8 million underlying shares or approximately 140.8% of GS's average daily trading volume over the past month, of 2.7 million shares. Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 137,043 contracts have traded so far, representing approximately 13.7 million underlying shares. |
25496.0 | 2018-05-30 00:00:00 UTC | Health Care Sector Update for 05/30/2018: ABBV,CTRV,TXMD | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-05302018-abbvctrvtxmd-2018-05-30 | nan | nan | Top Health Care Stocks
JNJ +1.68%
PFE +1.39%
ABT +1.86%
MRK +2.19%
AMGN +2.26%
Health care stocks were solidly on positive ground Wednesday, including a nearly 1.6% gain for the NYSE Health Care Index in recent trading. Shares of health care companies in the S&P 500 were up almost 1.4% as a group while the Nasdaq Biotechnology index was gaining 1.1%.
Among health care stocks moving on news:
+ AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Investors tendered a total of more than 75.7 million shares of the drugmaker's stock by Tuesday's midnight deadline, suggesting a preliminary proration of 94.3%,
In other sector news:
+ ContraVir Pharmaceuticals ( CTRV ) rallied Wednesday after the drugmaker reported new findings confirming its CRV431 cyclophilin inhibitor reduces the number and size of liver tumors in mice with hepatocellular carcinoma. Data from the pre-clinical study suggests CRV431 lowered the number of tumor nodules by 44% and reduced the overall tumor burden by 56% compared with the vehicle control group. It also said that 25% of the CRV431-treated mice had no liver tumors at the end of the 10-week study compared with all of the mice in the control group having at least five tumors per liver.
- TherapeuticsMD ( TXMD ) slumped Wednesday, falling almost 7% in recent trading, despite the company securing regulatory approval for its vaginal inserts to treat painful intercourse for women. Following approval by the US Food and Drug Administration, the company's Imvexxy dyspareunia treatment becomes the only product in its therapeutic class to offer either 4 microgram or 10 microgram dosing.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among health care stocks moving on news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Investors tendered a total of more than 75.7 million shares of the drugmaker's stock by Tuesday's midnight deadline, suggesting a preliminary proration of 94.3%, In other sector news: + ContraVir Pharmaceuticals ( CTRV ) rallied Wednesday after the drugmaker reported new findings confirming its CRV431 cyclophilin inhibitor reduces the number and size of liver tumors in mice with hepatocellular carcinoma. - TherapeuticsMD ( TXMD ) slumped Wednesday, falling almost 7% in recent trading, despite the company securing regulatory approval for its vaginal inserts to treat painful intercourse for women. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Among health care stocks moving on news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Data from the pre-clinical study suggests CRV431 lowered the number of tumor nodules by 44% and reduced the overall tumor burden by 56% compared with the vehicle control group. | Among health care stocks moving on news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Health care stocks were solidly on positive ground Wednesday, including a nearly 1.6% gain for the NYSE Health Care Index in recent trading. Investors tendered a total of more than 75.7 million shares of the drugmaker's stock by Tuesday's midnight deadline, suggesting a preliminary proration of 94.3%, In other sector news: + ContraVir Pharmaceuticals ( CTRV ) rallied Wednesday after the drugmaker reported new findings confirming its CRV431 cyclophilin inhibitor reduces the number and size of liver tumors in mice with hepatocellular carcinoma. | Among health care stocks moving on news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Health care stocks were solidly on positive ground Wednesday, including a nearly 1.6% gain for the NYSE Health Care Index in recent trading. Investors tendered a total of more than 75.7 million shares of the drugmaker's stock by Tuesday's midnight deadline, suggesting a preliminary proration of 94.3%, In other sector news: + ContraVir Pharmaceuticals ( CTRV ) rallied Wednesday after the drugmaker reported new findings confirming its CRV431 cyclophilin inhibitor reduces the number and size of liver tumors in mice with hepatocellular carcinoma. |
25497.0 | 2018-05-30 00:00:00 UTC | Health Care Sector Update for 05/30/2018: EXAS,ABBV,CTRV,TXMD | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-05302018-exasabbvctrvtxmd-2018-05-30 | nan | nan | Top Health Care Stocks
JNJ +1.31%
PFE +1.08%
ABT +1.32%
MRK +2.31%
AMGN +1.95%
Health care stocks were solidly on positive ground Wednesday, including a more than 1.5% gain for the NYSE Health Care Index in recent trade. Also today, shares of health care companies in the S&P 500 were up nearly 1.4% as a group while the Nasdaq Biotechnology index gained 1.3% today.
Among health care stocks moving on news:
+ Exact Sciences ( EXAS ) surged Wednesday, climbing as much as 13%, after the American Cancer Society released updated guidelines lowering the recommended age for individuals to start colorectal cancer screenings to 45 years of age, or five years younger than its previous recommendation, after new data showed new cases of colorectal cancer are occurring at an increasing rate among younger adults.
In other sector news:
+ AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Investors tendered a total of more than 75.7 million shares of the drugmaker's stock by Tuesday's midnight deadline, suggesting a preliminary proration of 94.3%,
- ContraVir Pharmaceuticals ( CTRV ) was narrowly lower Wednesday afternoon, reversing a 9% rally earlier in the session, that followed the drugmaker reporting new findings confirming its CRV431 cyclophilin inhibitor reduced the number and size of liver tumors in mice with hepatocellular carcinoma. Data from the pre-clinical study indicated CRV431 lowered the number of tumor nodules by 44% and reduced the overall tumor burden by 56% compared to the vehicle control group. It also said that 25% of the CRV431-treated mice had no liver tumors at the end of the 10-week study compared with all of the mice in the control group having at least five tumors per liver.
- TherapeuticsMD ( TXMD ) slumped Wednesday, falling almost 7% in recent trading, despite the company securing regulatory approval for its vaginal inserts to treat painful intercourse for women. Following approval by the U.S. Food and Drug Administration, the company's Imvexxy dyspareunia treatment becomes the only product in its therapeutic class to offer either 4 microgram or 10 microgram dosing.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In other sector news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Among health care stocks moving on news: + Exact Sciences ( EXAS ) surged Wednesday, climbing as much as 13%, after the American Cancer Society released updated guidelines lowering the recommended age for individuals to start colorectal cancer screenings to 45 years of age, or five years younger than its previous recommendation, after new data showed new cases of colorectal cancer are occurring at an increasing rate among younger adults. Investors tendered a total of more than 75.7 million shares of the drugmaker's stock by Tuesday's midnight deadline, suggesting a preliminary proration of 94.3%, - ContraVir Pharmaceuticals ( CTRV ) was narrowly lower Wednesday afternoon, reversing a 9% rally earlier in the session, that followed the drugmaker reporting new findings confirming its CRV431 cyclophilin inhibitor reduced the number and size of liver tumors in mice with hepatocellular carcinoma. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In other sector news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Also today, shares of health care companies in the S&P 500 were up nearly 1.4% as a group while the Nasdaq Biotechnology index gained 1.3% today. | In other sector news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Health care stocks were solidly on positive ground Wednesday, including a more than 1.5% gain for the NYSE Health Care Index in recent trade. Among health care stocks moving on news: + Exact Sciences ( EXAS ) surged Wednesday, climbing as much as 13%, after the American Cancer Society released updated guidelines lowering the recommended age for individuals to start colorectal cancer screenings to 45 years of age, or five years younger than its previous recommendation, after new data showed new cases of colorectal cancer are occurring at an increasing rate among younger adults. | In other sector news: + AbbVie ( ABBV ) was nearly 3% higher on Wednesday after reporting preliminary results of its modified Dutch auction tender offer, saying it will likely reacquire around 71.4 million of its shares at $105 apiece, equalling about 4.5% of the drugmaker's outstanding shares. Health care stocks were solidly on positive ground Wednesday, including a more than 1.5% gain for the NYSE Health Care Index in recent trade. Among health care stocks moving on news: + Exact Sciences ( EXAS ) surged Wednesday, climbing as much as 13%, after the American Cancer Society released updated guidelines lowering the recommended age for individuals to start colorectal cancer screenings to 45 years of age, or five years younger than its previous recommendation, after new data showed new cases of colorectal cancer are occurring at an increasing rate among younger adults. |
25498.0 | 2018-05-29 00:00:00 UTC | What's in Store for Cooper Companies' (COO) Q2 Earnings? | ABBV | https://www.nasdaq.com/articles/whats-in-store-for-cooper-companies-coo-q2-earnings-2018-05-29 | nan | nan | The Cooper Companies ' COO second-quarter fiscal 2018 results are scheduled to release on Jun 7, after market close. While the core CooperVision (CVI) division is likely to put up a stellar performance, growth across other major segments may also act as catalysts.
In the fiscal first quarter, Cooper Companies posted strong results, with adjusted earnings of $2.79 per share beating the Zacks Consensus Estimate by 10.7% and increasing 44.6% year over year.
Moreover, revenues in the first quarter increased 4% at constant currency (cc) to $590 million, also outpacing the Zacks Consensus Estimate of $582.1 million.
Notably, for the second quarter, the Zacks Consensus Estimate for revenues is pegged at $626.6 million, reflecting year-over-year growth of 19.9%. The same for adjusted earnings per share is pinned at $2.83, showing year-over-year growth of 13.2%.
Furthermore, for the trailing four quarters, Cooper Companies has a positive earnings surprise of 6.1%.
The Cooper Companies, Inc. Price and EPS Surprise
The Cooper Companies, Inc. Price and EPS Surprise | The Cooper Companies, Inc. Quote
Let's delve deeper.
CooperVision in Focus
CooperVision manufactures and sells a wide range of contact lenses. In the last reported quarter, this segment accounted for a whopping 75.4% of Cooper Companies' revenues. Revenues in the segment came in at $444.8 million, up 8% at cc.
Robust performance by toric (31% of CVI revenues), multifocal (11%), single-use sphere lenses (26%) and non-single-use sphere lenses (32%) drove solid growth in the segment.
Notably, for the second quarter, the Zacks Consensus Estimate for CVI revenues are pinned at $464 million which shows a year-over-year increase of 13.4%.
Multifocal revenues rose 5% year over year at cc to $46.9 million. The Zacks Consensus Estimate for second-quarter revenues is pegged at $47.4 million, reflecting a rise of 10.6% from a year ago.
Toric revenues increased 9% to $137.8 million. The consensus estimate for second-quarter revenues is pegged at $148 million, indicating a year-over-year upside of 12.1%.
Single-use sphere lenses sales climbed 11% at cc to $116.3 million. The Zacks Consensus Estimate for second-quarter revenues stands at $119 million, showing a year-over-year rise of 14.4%.
Sales of non-single-use sphere lenses rose 4% to $143.8 million. The Zacks Consensus Estimate for second-quarter revenues is pinned at $147 million, showing year-over-year growth of 13.1%.
Other Factors at Play
CooperSurgical (CSI)
CooperSurgical offers a variety of medical devices and surgical instruments that are primarily utilized by gynecologists and obstetricians. In the first quarter of fiscal 2018, the segment accounted for 24.6% of total revenues. Meanwhile, the Zacks Consensus Estimate for the segment's second-quarter revenues is pegged at $162 million, indicating growth of 42.1% from the prior-year quarter. Management is also optimistic about the recently-closed acquisition of PARAGARD.
The fertility category posted revenues of $57 million, down 5% at cc. However, the Zacks Consensus Estimate for the segment is pegged at $63 million, up from $61 million recorded in the prior-year quarter. Recently, Cooper Companies acquired the assets of The LifeGlobal Group and its affiliates, which is likely to augment its fertility business.
Guidance Solid
For fiscal 2018, total revenues are projected in the band of $2,510-$2,560 million compared with the previous $2,480-$2,530 million.
Revenues at the CVI segment are now estimated in the range of $1,865-$1,900 million, higher than the earlier $1,830-$1,865 million.
Adjusted earnings per share are now anticipated in the band of $11.70-$11.90 versus $11.35-$11.65 earlier.
Intense Competition
Cooper Companies operates in a highly competitive industry. Both of the company's business segments face considerable competition from peers. CooperVision primarily faces competition in the spherical, toric and multifocal lens categories from the likes of Johnson & Johnson Vision Care, CIBA Vision owned by Novartis AG and Valeant Pharmaceuticals' Bausch & Lomb.
What Our Model Predicts
Our quantitative model does not conclusively predict a beat for Cooper Companies this earnings season. This is because a stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to be able to beat estimates.
Zacks ESP: The Earnings ESP for Cooper Companies is -0.45%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Cooper Companies carries a Zacks Rank #3.
Stocks Worth a Look
Here are a few stocks worth considering as they have the right combination of elements to post beats this earnings season.
AbbVie Inc. ABBV has an Earnings ESP of +0.25% and a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here.
Ally Financial Inc. ALLY has an Earnings ESP of +3.14% and a Zacks Rank #3.
American Tower Corporation AMT has an Earnings ESP of +0.02% and a Zacks Rank #3.
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American Tower Corporation (REIT) (AMT): Free Stock Analysis Report
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The Cooper Companies, Inc. (COO): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
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. | AbbVie Inc. ABBV has an Earnings ESP of +0.25% and a Zacks Rank #3. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report American Tower Corporation (REIT) (AMT): Free Stock Analysis Report Ally Financial Inc. (ALLY): Free Stock Analysis Report The Cooper Companies, Inc. (COO): Free Stock Analysis Report To read this article on Zacks.com click here. While the core CooperVision (CVI) division is likely to put up a stellar performance, growth across other major segments may also act as catalysts. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report American Tower Corporation (REIT) (AMT): Free Stock Analysis Report Ally Financial Inc. (ALLY): Free Stock Analysis Report The Cooper Companies, Inc. (COO): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV has an Earnings ESP of +0.25% and a Zacks Rank #3. In the fiscal first quarter, Cooper Companies posted strong results, with adjusted earnings of $2.79 per share beating the Zacks Consensus Estimate by 10.7% and increasing 44.6% year over year. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report American Tower Corporation (REIT) (AMT): Free Stock Analysis Report Ally Financial Inc. (ALLY): Free Stock Analysis Report The Cooper Companies, Inc. (COO): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV has an Earnings ESP of +0.25% and a Zacks Rank #3. In the fiscal first quarter, Cooper Companies posted strong results, with adjusted earnings of $2.79 per share beating the Zacks Consensus Estimate by 10.7% and increasing 44.6% year over year. | AbbVie Inc. ABBV has an Earnings ESP of +0.25% and a Zacks Rank #3. Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report American Tower Corporation (REIT) (AMT): Free Stock Analysis Report Ally Financial Inc. (ALLY): Free Stock Analysis Report The Cooper Companies, Inc. (COO): Free Stock Analysis Report To read this article on Zacks.com click here. In the fiscal first quarter, Cooper Companies posted strong results, with adjusted earnings of $2.79 per share beating the Zacks Consensus Estimate by 10.7% and increasing 44.6% year over year. |
25499.0 | 2018-05-29 00:00:00 UTC | After Hours Most Active for May 29, 2018 : BAC, GE, CSCO, MSFT, JPM, QQQ, ABBV, WFC, SO, QCOM, FOXA, PEP | ABBV | https://www.nasdaq.com/articles/after-hours-most-active-may-29-2018-bac-ge-csco-msft-jpm-qqq-abbv-wfc-so-qcom-foxa-pep | nan | nan | The NASDAQ 100 After Hours Indicator is up 5.26 to 6,931.8. The total After hours volume is currently 50,131,718 shares traded.
The following are the most active stocks for the after hours session :
Bank of America Corporation ( BAC ) is +0.08 at $29.04, with 2,880,727 shares traded. As reported by Zacks, the current mean recommendation for BAC is in the "buy range".
General Electric Company ( GE ) is -0.01 at $14.17, with 2,448,332 shares traded. GE's current last sale is 88.56% of the target price of $16.
Cisco Systems, Inc. ( CSCO ) is -0.01 at $42.96, with 1,931,539 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Jul 2018. The consensus EPS forecast is $0.63. As reported by Zacks, the current mean recommendation for CSCO is in the "buy range".
Microsoft Corporation ( MSFT ) is +0.11 at $98.12, with 1,816,770 shares traded. Over the last four weeks they have had 12 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2018. The consensus EPS forecast is $1.08. As reported by Zacks, the current mean recommendation for MSFT is in the "buy range".
J P Morgan Chase & Co ( JPM ) is +0.16 at $106.09, with 1,803,623 shares traded. JPM's current last sale is 84.87% of the target price of $125.
Invesco QQQ Trust, Series 1 ( QQQ ) is +0.18 at $169.15, with 1,731,883 shares traded. This represents a 24.56% increase from its 52 Week Low.
AbbVie Inc. ( ABBV ) is -0.27 at $99.20, with 1,526,349 shares traded. Over the last four weeks they have had 6 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2018. The consensus EPS forecast is $1.97. ABBV's current last sale is 87.79% of the target price of $113.
Wells Fargo & Company ( WFC ) is unchanged at $52.95, with 1,471,905 shares traded. WFC's current last sale is 84.72% of the target price of $62.5.
Southern Company (The) ( SO ) is unchanged at $44.30, with 1,460,921 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2018. The consensus EPS forecast is $0.66. SO's current last sale is 98.44% of the target price of $45.
QUALCOMM Incorporated ( QCOM ) is +0.07 at $58.30, with 1,308,966 shares traded. QCOM's current last sale is 100.52% of the target price of $58.
Twenty-First Century Fox, Inc. ( FOXA ) is unchanged at $38.65, with 1,128,553 shares traded. FOXA's current last sale is 95.43% of the target price of $40.5.
Pepsico, Inc. ( PEP ) is unchanged at $101.10, with 1,039,612 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2018. The consensus EPS forecast is $1.54. As reported by Zacks, the current mean recommendation for PEP is in the "buy range".
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. | AbbVie Inc. ( ABBV ) is -0.27 at $99.20, with 1,526,349 shares traded. ABBV's current last sale is 87.79% of the target price of $113. The following are the most active stocks for the after hours session : Bank of America Corporation ( BAC ) is +0.08 at $29.04, with 2,880,727 shares traded. | AbbVie Inc. ( ABBV ) is -0.27 at $99.20, with 1,526,349 shares traded. ABBV's current last sale is 87.79% of the target price of $113. Over the last four weeks they have had 12 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2018. | AbbVie Inc. ( ABBV ) is -0.27 at $99.20, with 1,526,349 shares traded. ABBV's current last sale is 87.79% of the target price of $113. Over the last four weeks they have had 12 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2018. | AbbVie Inc. ( ABBV ) is -0.27 at $99.20, with 1,526,349 shares traded. ABBV's current last sale is 87.79% of the target price of $113. Over the last four weeks they have had 12 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2018. |
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