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26200.0 | 2017-04-10 00:00:00 UTC | AbbVie's Elagolix Meets Primary Endpoint in Phase II Study | ABBV | https://www.nasdaq.com/articles/abbvies-elagolix-meets-primary-endpoint-in-phase-ii-study-2017-04-10 | nan | nan | AbbVie Inc.ABBV along with Neurocrine Biosciences, Inc. NBIX announced positive results from a phase IIb study evaluating its pipeline candidate elagolix for reducing heavy menstrual bleeding in premenopausal women with uterine fibroids. The data from the study were presented at the third Congress of the Society of Endometriosis and Uterine Disorders (SEUD).
We note that AbbVie's shares have outperformed the Zacks classified Large Cap Pharma industry so far this year. AbbVie's shares returned 5.8% year to date, better than 4.7% gain for the industry.
The randomized, double-blind phase IIb uterine fibroids study (M12-813) evaluated elagolix treatment regimens in two parallel groups with dosage of 300mg twice daily and 600mg once daily. It studied elagolix alone as well as in combination with two add-back therapies (estradiol / norethindrone acetate). Data from only 300 mg cohort were presented while 600 mg cohort results will be published later.
The ongoing phase III program on elagolix for uterine fibroids includes two replicate, pivotal, six-month efficacy and safety studies followed by a six-month safety and efficacy extension study
Elagolix is also being evaluated for the treatment of premenopausal women who suffer from endometriosis. In October last year, AbbVie and Neurocrine Biosciences announced positive results from two replicate pivotal phase III trials evaluating elagolix in this indication. The detailed data showed that treatment with elagolix resulted in statistically significant reductions in menstrual and non-menstrual pelvic pain associated with endometriosis compared to placebo at month three and month six. AbbVie plans to submit a NDA to the FDA for endometriosis in 2017.
Apart from elagolix, AbbVie has several candidates in different stages of development across a wide range of therapeutic areas and has partnerships with companies like Roche, Bristol-Myers Squibb Company BMY and Biogen Inc. BIIB .
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 along with Neurocrine Biosciences, Inc. NBIX announced positive results from a phase IIb study evaluating its pipeline candidate elagolix for reducing heavy menstrual bleeding in premenopausal women with uterine fibroids. In October last year, AbbVie and Neurocrine Biosciences announced positive results from two replicate pivotal phase III trials evaluating elagolix in this indication. We note that AbbVie's shares have outperformed the Zacks classified Large Cap Pharma industry so far this year. | In October last year, AbbVie and Neurocrine Biosciences announced positive results from two replicate pivotal phase III trials evaluating elagolix in this indication. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV along with Neurocrine Biosciences, Inc. NBIX announced positive results from a phase IIb study evaluating its pipeline candidate elagolix for reducing heavy menstrual bleeding in premenopausal women with uterine fibroids. | AbbVie Inc.ABBV along with Neurocrine Biosciences, Inc. NBIX announced positive results from a phase IIb study evaluating its pipeline candidate elagolix for reducing heavy menstrual bleeding in premenopausal women with uterine fibroids. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report To read this article on Zacks.com click here. We note that AbbVie's shares have outperformed the Zacks classified Large Cap Pharma industry so far this year. | AbbVie Inc.ABBV along with Neurocrine Biosciences, Inc. NBIX announced positive results from a phase IIb study evaluating its pipeline candidate elagolix for reducing heavy menstrual bleeding in premenopausal women with uterine fibroids. We note that AbbVie's shares have outperformed the Zacks classified Large Cap Pharma industry so far this year. AbbVie's shares returned 5.8% year to date, better than 4.7% gain for the industry. |
26201.0 | 2017-04-10 00:00:00 UTC | Gilead (GILD) HCV Drugs Gets FDA Nod for Label Expansion | ABBV | https://www.nasdaq.com/articles/gilead-gild-hcv-drugs-gets-fda-nod-for-label-expansion-2017-04-10 | nan | nan | Gilead Sciences, Inc.GILD announced that the FDA approved additional indications for Harvoni (ledipasvir 90 mg/sofosbuvir 400 mg) tablets and Sovaldi (sofosbuvir 400 mg) tablets. These drugs can now be used for the treatment of chronic hepatitis C virus (HCV) infection in adolescents without cirrhosis or with compensated cirrhosis, 12 years of age and older or weighing at least 35kg.
Shares of Gilead underperformed the Zacks classified Medical-Biomedical and Genetics industry in the last one year with the stock losing 30.4% during this period, compared with the industry's decline of 9.5%.
We remind investors that while Harvoni is already approved for pediatric patients with genotype 1, 4, 5 or 6 chronic HCV infection, Sovaldi was approved for pediatric patients with genotype 2 or 3 chronic HCV infection in combination with ribavirin.
Hence, the approvals of Sovaldi and Harvoni will benefit patients from interferon-free treatment for HCV infection. As per estimates, of the 23,000-46,000 pediatric HCV patients in the U.S., most are infected with the virus at birth.
As a result of the approvals, children aging 12 and older in the U.S. with genotypes 1 to 6 chronic HCV infection will now have the option of two direct-acting antiviral regimens that offer high cure rates and eliminate the need for interferon injections.
However, Gilead's HCV franchise continued to witness slowdown in the fourth quarter of 2016 across key markets including the U.S. and Europe, reflecting lower sales of Harvoni and Sovaldi as a result of competitive and pricing pressure. HCV product sales were weaker than expected due to fewer new patient starts for Harvoni and lower revenues per patient.
Higher discounts and payer mix continue to hurt sales. Lower patient starts were also observed in the early launch markets in Germany and France while Spain and Italy continued to experience budgetary constraints. Higher discounts and payer mix continue to impact sales adversely.
Moreover, Harvoni, Sovaldi and Epclusa, face competition from AbbVie's ABBV Viekira Pak and Viekira XR among others.
Zacks Rank & Key Pick
Gilead Sciences currently carries Zacks Rank #5 (Strong Sell).
Better-ranked stocks in the health care sector are Heska Corp. HSKA and Retrophin, Inc. RTRX . Both the stocks sport a Zacks Rank #1 (Strong Buy).
You can see the complete list of today's Zacks #1 Rank stocks here .
Heska's earnings per share estimates increased from $1.53 to $1.65 for 2017 and from $1.90 to $2.01 for 2018 over the last 30 days. The company posted a positive surprise in three of the four trailing quarters with an average beat of 291.54%.
Retrophin's loss per share estimates narrowed from 85 cents to 72 cents for 2017 and from 67 cents to 53 cents for 2018 over the last 60 days. The company posted positive earnings surprises in two of the four trailing quarters, with an average beat of 80.55%.
Zacks' Hidden Trades
While we share many recommendations and ideas with the public, certain moves are hidden from everyone but selected members of our portfolio services. Would you like to peek behind the curtain today and view them?
Starting now, for the next month, I invite you to follow all Zacks' private buys and sells in real time from value to momentum...from stocks under $10 to ETF to option movers...from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors.
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AbbVie Inc. (ABBV): Free Stock Analysis Report
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Retrophin, Inc. (RTRX): Free Stock Analysis Report
Heska Corporation (HSKA): 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. | Moreover, Harvoni, Sovaldi and Epclusa, face 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 Retrophin, Inc. (RTRX): Free Stock Analysis Report Heska Corporation (HSKA): Free Stock Analysis Report To read this article on Zacks.com click here. As a result of the approvals, children aging 12 and older in the U.S. with genotypes 1 to 6 chronic HCV infection will now have the option of two direct-acting antiviral regimens that offer high cure rates and eliminate the need for interferon injections. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Retrophin, Inc. (RTRX): Free Stock Analysis Report Heska Corporation (HSKA): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, Harvoni, Sovaldi and Epclusa, face competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. We remind investors that while Harvoni is already approved for pediatric patients with genotype 1, 4, 5 or 6 chronic HCV infection, Sovaldi was approved for pediatric patients with genotype 2 or 3 chronic HCV infection in combination with ribavirin. | Click to get this free report AbbVie Inc. (ABBV): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Retrophin, Inc. (RTRX): Free Stock Analysis Report Heska Corporation (HSKA): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, Harvoni, Sovaldi and Epclusa, face competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. We remind investors that while Harvoni is already approved for pediatric patients with genotype 1, 4, 5 or 6 chronic HCV infection, Sovaldi was approved for pediatric patients with genotype 2 or 3 chronic HCV infection in combination with ribavirin. | Moreover, Harvoni, Sovaldi and Epclusa, face 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 Retrophin, Inc. (RTRX): Free Stock Analysis Report Heska Corporation (HSKA): Free Stock Analysis Report To read this article on Zacks.com click here. Hence, the approvals of Sovaldi and Harvoni will benefit patients from interferon-free treatment for HCV infection. |
26202.0 | 2017-04-08 00:00:00 UTC | 3 Cheap High-Yield Dividend Stocks to Grow Your Retirement Portfolio | ABBV | https://www.nasdaq.com/articles/3-cheap-high-yield-dividend-stocks-grow-your-retirement-portfolio-2017-04-08 | nan | nan | If you're looking to grow your retirement portfolio, there are two things that can make a huge difference. First, find stocks with low valuations. Second, find stocks that consistently pay high dividend yields.
History shows that, more often than not, cheaper stocks of solid companies perform well over the long run. And reinvesting dividends is one of the best ways around to make investments grow.
But can cheap high-yield dividend stocks be found? Absolutely! Here's how three of them -- AbbVie (NYSE: ABBV) , Cisco Systems (NASDAQ: CSCO) , and Ford (NYSE: F) -- check off all the boxes for retirees.
AbbVie: A biotech bargain
AbbVie ranks as one of the most successful biotechs in the market, claiming winning prescription medications like autoimmune disease drug Humira and cancer drug Imbruvica. The stock trades at a low 10 times expected earnings.
Retired investors should love AbbVie's dividend, which currently yields 3.93%. The company has grown its dividend by 60% since AbbVie was spun off from parent company Abbott Labs in 2013. If you count the time prior to AbbVie's spinoff, the company has increased its dividend for an impressive 45 consecutive years and has paid out a dividend since 1924.
The biggest risk for AbbVie comes from potential competition for Humira. A biosimilar won U.S. regulatory approval last year, but AbbVie is using the court system to defend its patents for the drug. Because Humira generated 63% of the company's total revenue last year, AbbVie's continued success is tightly linked with preserving Humira's market share. However, it has several new drugs already approved and more candidates potentially on the way that should allow both AbbVie's dividend and stock price to keep growing.
Cisco: A technology trifecta
Technology giant Cisco Systems' stock provides investors a trifecta of sorts: low valuation, high dividend yield, and solid growth prospects. Cisco's shares trade at 13 times expected earnings, reflecting a significant discount compared to many technology stocks.
Although Cisco has only paid a dividend since 2011, the company's commitment to its dividend program appears to be rock solid. Cisco has increased its dividend each year since 2011, with the dividend nearly quintupling in size during the period. Its dividend now yields 3.47%.
Cisco's revenue and earnings growth from its core businesses of selling network switches and routers has been sluggish in recent years. However, the company has been busy buying up smaller companies to gain a larger footprint in the cybersecurity and application performance management markets. Wall Street analysts project that Cisco should be able to grow earnings by 10% annually over the next several years.
Ford: A pickup for your portfolio
Shares of big automaker Ford trade at less than seven times expected earnings. That makes the stock more expensive than its major rivals, but Ford stock remains attractively valued.
Ford's dividend yield currently stands at 5.28%. The company has had to discontinue its dividend at times in the past, but Ford paid dividends throughout most of the period from 1956 through the present. More recently, Ford's dividend has been going up -- tripling from 2012 through 2016.
Can Ford keep the good times rolling? Probably so. Ford's F-Series pickup trucks continue to generate impressive sales. The company's high-end Lincoln passenger cars are also selling better than they have in a long time. In addition, Ford is laying the groundwork to become a leader in the autonomous car market, founding a start-up to focus on self-driving technology in February.
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Keith Speights owns shares of AbbVie. The Motley Fool owns shares of and recommends Ford. The Motley Fool recommends Cisco Systems. 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 how three of them -- AbbVie (NYSE: ABBV) , Cisco Systems (NASDAQ: CSCO) , and Ford (NYSE: F) -- check off all the boxes for retirees. AbbVie: A biotech bargain AbbVie ranks as one of the most successful biotechs in the market, claiming winning prescription medications like autoimmune disease drug Humira and cancer drug Imbruvica. Retired investors should love AbbVie's dividend, which currently yields 3.93%. | Because Humira generated 63% of the company's total revenue last year, AbbVie's continued success is tightly linked with preserving Humira's market share. Here's how three of them -- AbbVie (NYSE: ABBV) , Cisco Systems (NASDAQ: CSCO) , and Ford (NYSE: F) -- check off all the boxes for retirees. AbbVie: A biotech bargain AbbVie ranks as one of the most successful biotechs in the market, claiming winning prescription medications like autoimmune disease drug Humira and cancer drug Imbruvica. | If you count the time prior to AbbVie's spinoff, the company has increased its dividend for an impressive 45 consecutive years and has paid out a dividend since 1924. Here's how three of them -- AbbVie (NYSE: ABBV) , Cisco Systems (NASDAQ: CSCO) , and Ford (NYSE: F) -- check off all the boxes for retirees. AbbVie: A biotech bargain AbbVie ranks as one of the most successful biotechs in the market, claiming winning prescription medications like autoimmune disease drug Humira and cancer drug Imbruvica. | Here's how three of them -- AbbVie (NYSE: ABBV) , Cisco Systems (NASDAQ: CSCO) , and Ford (NYSE: F) -- check off all the boxes for retirees. AbbVie: A biotech bargain AbbVie ranks as one of the most successful biotechs in the market, claiming winning prescription medications like autoimmune disease drug Humira and cancer drug Imbruvica. Retired investors should love AbbVie's dividend, which currently yields 3.93%. |
26203.0 | 2017-04-07 00:00:00 UTC | Ex-Dividend Reminder: Patterson Companies, AbbVie and Abbott Laboratories | ABBV | https://www.nasdaq.com/articles/ex-dividend-reminder-patterson-companies-abbvie-and-abbott-laboratories-2017-04-07 | nan | nan | Looking at the universe of stocks we cover at Dividend Channel , on 4/11/17, Patterson Companies Inc (Symbol: PDCO), AbbVie Inc (Symbol: ABBV), and Abbott Laboratories (Symbol: ABT) will all trade ex-dividend for their respective upcoming dividends. Patterson Companies Inc will pay its quarterly dividend of $0.26 on 4/28/17, AbbVie Inc will pay its quarterly dividend of $0.64 on 5/15/17, and Abbott Laboratories will pay its quarterly dividend of $0.265 on 5/15/17. As a percentage of PDCO's recent stock price of $44.71, this dividend works out to approximately 0.58%, so look for shares of Patterson Companies Inc to trade 0.58% lower - all else being equal - when PDCO shares open for trading on 4/11/17. Similarly, investors should look for ABBV to open 0.98% lower in price and for ABT to open 0.61% lower, all else being equal.
Below are dividend history charts for PDCO, ABBV, and ABT, showing historical dividends prior to the most recent ones declared.
Patterson Companies Inc (Symbol: PDCO) :
AbbVie Inc (Symbol: ABBV) :
Abbott Laboratories (Symbol: ABT) :
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 2.33% for Patterson Companies Inc, 3.94% for AbbVie Inc, and 2.43% for Abbott Laboratories.
In Friday trading, Patterson Companies Inc shares are currently up about 0.1%, AbbVie Inc shares are trading flat, and Abbott Laboratories shares are up about 0.1% 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. | If they do continue, the current estimated yields on annualized basis would be 2.33% for Patterson Companies Inc, 3.94% for AbbVie Inc, and 2.43% for Abbott Laboratories. Looking at the universe of stocks we cover at Dividend Channel , on 4/11/17, Patterson Companies Inc (Symbol: PDCO), AbbVie Inc (Symbol: ABBV), and Abbott Laboratories (Symbol: ABT) will all trade ex-dividend for their respective upcoming dividends. Patterson Companies Inc will pay its quarterly dividend of $0.26 on 4/28/17, AbbVie Inc will pay its quarterly dividend of $0.64 on 5/15/17, and Abbott Laboratories will pay its quarterly dividend of $0.265 on 5/15/17. | Looking at the universe of stocks we cover at Dividend Channel , on 4/11/17, Patterson Companies Inc (Symbol: PDCO), AbbVie Inc (Symbol: ABBV), and Abbott Laboratories (Symbol: ABT) will all trade ex-dividend for their respective upcoming dividends. Patterson Companies Inc will pay its quarterly dividend of $0.26 on 4/28/17, AbbVie Inc will pay its quarterly dividend of $0.64 on 5/15/17, and Abbott Laboratories will pay its quarterly dividend of $0.265 on 5/15/17. Patterson Companies Inc (Symbol: PDCO) : AbbVie Inc (Symbol: ABBV) : Abbott Laboratories (Symbol: ABT) : 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 4/11/17, Patterson Companies Inc (Symbol: PDCO), AbbVie Inc (Symbol: ABBV), and Abbott Laboratories (Symbol: ABT) will all trade ex-dividend for their respective upcoming dividends. Patterson Companies Inc will pay its quarterly dividend of $0.26 on 4/28/17, AbbVie Inc will pay its quarterly dividend of $0.64 on 5/15/17, and Abbott Laboratories will pay its quarterly dividend of $0.265 on 5/15/17. Patterson Companies Inc (Symbol: PDCO) : AbbVie Inc (Symbol: ABBV) : Abbott Laboratories (Symbol: ABT) : 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 4/11/17, Patterson Companies Inc (Symbol: PDCO), AbbVie Inc (Symbol: ABBV), and Abbott Laboratories (Symbol: ABT) will all trade ex-dividend for their respective upcoming dividends. If they do continue, the current estimated yields on annualized basis would be 2.33% for Patterson Companies Inc, 3.94% for AbbVie Inc, and 2.43% for Abbott Laboratories. Patterson Companies Inc will pay its quarterly dividend of $0.26 on 4/28/17, AbbVie Inc will pay its quarterly dividend of $0.64 on 5/15/17, and Abbott Laboratories will pay its quarterly dividend of $0.265 on 5/15/17. |
26204.0 | 2017-04-06 00:00:00 UTC | 3 Top Big Pharma Stocks to Buy Now | ABBV | https://www.nasdaq.com/articles/3-top-big-pharma-stocks-buy-now-2017-04-06 | nan | nan | Despite the ongoing political storm over U.S. prescription drug prices, major drug manufacturers -- or "Big Pharma" -- remain, on balance, an attractive group of equities for long-term investors. The fact of the matter is that major pricing reforms aren't even on the political radar for either party at this point, and the pharma industry has multiple tailwinds working in its favor.
So if you're looking to take advantage of this investor-friendly environment, I think AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) are three top Big Pharma stocks worth buying right now. Here's why.
AbbVie: Buy the fear
AbbVie's forward price to earnings ratio of 10 suggests that this pharma stock is an outright bargain. After all, this value is markedly lower than prevailing industry norm of roughly 14.22 -- especially for a pharma stock with a dividend yield of almost 4% and the highest total return on capital within its peer group over the past four years.
The culprit behind AbbVie's cellar-dwelling valuation is the potential introduction of copycat versions of top-selling anti-inflammatory drug Humira in both the U.S. and the EU sometime in 2018. Long story short, Amgen is primed to launch its FDA-approved biosimilar of Humira called "Amjevita" late next year, and biosimilars are close to becoming a reality in the EU as well after a British court found two of Humira's core patents to be invalid.
While more competition is never a good thing for a company's flagship product, the market's concerns about the durability of Humira's revenue streams are probably overblown to a large degree.
The reality is that biosimilars haven't caused branded drugs in the EU to fall off the map like traditional generics. Biosimilars, after all, tend to come with only modest discounts, on the order of 10% to 15% relative to their branded counterparts, lowering the financial incentive for doctors to switch patients to unproven alternatives.
So, if this pattern holds for Humira -- and there's no good reason to think it won't -- AbbVie's emerging oncology portfolio should be able to easily offset these losses and keep the company's top line headed northward.
Bristol's double-digit decline is a great buying opportunity
Over the past year, Bristol's shares have lost a little over 16% of their value, thanks to Opdivo's late-stage miss as a first-line monotherapy for lung cancer. A deeper dive, though, suggests that the market might be letting the perfect be the enemy of the good when it comes to this pharma stock.
Although a first-line lung cancer drug is potentially worth several billion in sales (and that's a big deal for even a company of Bristol's size), Opdivo has still racked up a whopping 11 approvals for other indications in just the past two years. Bristol's top immuno-oncology drug has also attracted the attention of numerous smaller biopharmas hoping to develop novel combination therapies for various hard-to-treat malignancies. In other words, Opdivo's star is far from fading. And, if anything, its footprint is only going to expand from here on out.
Another key issue to understand is that Bristol exited 2016 with five major blockbuster drugs already in its product portfolio (Opdivo, Orencia, Sprycel, Yervoy, and Eliquis), and a pipeline chock-full of exciting drug candidates for high-value indications like oncology, heart failure, and non-alcoholic steatohepatitis.
The point is that Bristol has multiple value drivers that are probably being overlooked by the market due to its laser-like focus on Opdivo's fate in front line lung cancer -- perhaps creating a golden opportunity to add this top pharma stock to your portfolio on the cheap.
Pfizer is a no-brainer
If you want a top notch balance sheet, a ginormous clinical pipeline, and pricing power galore, Pfizer is definitely your best bet. As an added bonus, this titan of the pharma industry offers an extremely attractive valuation, with a forward price to earnings ratio of just 12.3 -- making it one of the cheapest stocks across the entire industry.
Why is Pfizer trading at such a deep discount relative to its peers? While there's a lot of moving parts with any company this large (with an enterprise value of $228 billion), the company's woes can arguably be distilled down to two overarching factors.
First and foremost, Pfizer has taken a lot of flack for its regular price increases for its older medicines -- price increases that are absolutely necessary to keep its legacy portfolio from falling off a cliff revenue-wise. Put simply, investors are worried that political pressures may curtail these price increases, which would weigh heavily on the company's top line going forward.
Next up, Pfizer's top-selling pain medicine Lyrica is set to face generic competition in the U.S. in early 2019. Even though this event is still a ways away, Lyrica did make up roughly 10% of the drugmaker's total revenues in 2016, showing its importance to Pfizer's top and bottom-lines.
These two risk factors, however, probably shouldn't loom as large in the company's valuation as they seem to. Pfizer's dove headfirst into oncology through its acquisition of Medivation for the blockbuster prostate cancer drug Xtandi. That, combined with Pfizer's wide-ranging immuno-oncology collaboration with Merck KGaA, should provide more than enough financial firepower to blunt the impact of either of these events, after all.
And, coming full circle, the drug pricing debate is unlikely to result in legislative action while Congress is tied up with ostensibly more pressing issues at the moment.
10 stocks we like better than Pfizer
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Pfizer 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 February 6, 2017
George Budwell owns shares of Pfizer. 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. | So, if this pattern holds for Humira -- and there's no good reason to think it won't -- AbbVie's emerging oncology portfolio should be able to easily offset these losses and keep the company's top line headed northward. So if you're looking to take advantage of this investor-friendly environment, I think AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) are three top Big Pharma stocks worth buying right now. AbbVie: Buy the fear AbbVie's forward price to earnings ratio of 10 suggests that this pharma stock is an outright bargain. | So if you're looking to take advantage of this investor-friendly environment, I think AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) are three top Big Pharma stocks worth buying right now. AbbVie: Buy the fear AbbVie's forward price to earnings ratio of 10 suggests that this pharma stock is an outright bargain. The culprit behind AbbVie's cellar-dwelling valuation is the potential introduction of copycat versions of top-selling anti-inflammatory drug Humira in both the U.S. and the EU sometime in 2018. | So if you're looking to take advantage of this investor-friendly environment, I think AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) are three top Big Pharma stocks worth buying right now. AbbVie: Buy the fear AbbVie's forward price to earnings ratio of 10 suggests that this pharma stock is an outright bargain. The culprit behind AbbVie's cellar-dwelling valuation is the potential introduction of copycat versions of top-selling anti-inflammatory drug Humira in both the U.S. and the EU sometime in 2018. | AbbVie: Buy the fear AbbVie's forward price to earnings ratio of 10 suggests that this pharma stock is an outright bargain. So if you're looking to take advantage of this investor-friendly environment, I think AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) are three top Big Pharma stocks worth buying right now. The culprit behind AbbVie's cellar-dwelling valuation is the potential introduction of copycat versions of top-selling anti-inflammatory drug Humira in both the U.S. and the EU sometime in 2018. |
26205.0 | 2017-04-05 00:00:00 UTC | AbbVie/J&J's Imbruvica Label Expansion Filing Accepted by FDA | ABBV | https://www.nasdaq.com/articles/abbvie-jjs-imbruvica-label-expansion-filing-accepted-by-fda-2017-04-05 | nan | nan | AbbVie Inc.ABBV and partner Janssen, Johnson & Johnson's JNJ pharmaceuticals subsidiary, announced that a supplemental new drug application (sNDA) for their cancer drug Imbruvica has been accepted for review by the FDA. AbbVie is looking to get Imbruvica approved for the treatment of patients with chronic graft-versus-host-disease (cGVHD) after the failure of one or more lines of systemic therapy.
So far this year, AbbVie's share price has increased 4%, comparing unfavorably with a gain of 6.1% recorded by the Zacks classified Large-Cap Pharma industry.
Imbruvica is presently approved for five indications. The drug is currently approved in the U.S. for the treatment of mantle cell lymphoma (MCL) or chronic lymphocytic leukemia (CLL) in patients, who have received at least one previous therapy and for CLL patients with deletion 17p. It is also approved for the treatment of Waldenstrom's macroglobulinemia and relapsed/refractory marginal zone lymphoma.
If approved for cGVHD, Imbruvica will be the first medicine approved for the treatment of this disease, which is a serious and debilitating potential consequence of stem cell or bone marrow transplant. Meanwhile, it is also the first potential indication for Imbruvica outside of hematological malignancies. Imbruvica had orphan drug status as well as breakthrough therapy designation in the U.S. for this indication.
We remind investors that a registrational study for cGVHD showed positive results in Dec 2016 and formed the basis of the sNDA application.
Imbruvica was added to AbbVie's pipeline with the May 2015 acquisition of Pharmacyclics. It has become a key revenue driver for AbbVie and accounted for 7% of the company's sales in 2016. In 2017, AbbVie expects to record Imbruvica global revenues of more than $2.4 billion with sales in the U.S. expected to cross $2 billion. In fact, AbbVie expects Imbruvica peak sales of more than $7 billion and revenues of about $5 billion in 2020
At present, the CLL segment is the largest revenue contributor to Imbruvica's growth while expansion into non-Hodgkin's lymphoma (NHL) and other indications will be major growth drivers in the future.
Imbruvica has multi-billion dollar potential and AbbVie is exploring the potential to expand its label into solid tumors and autoimmune diseases. Imbruvica is in phase III studies for diffuse large B-cell lymphoma and follicular lymphoma. AbbVie is positioning Imbruvica as a "pipeline in a molecule" with the treatment featuring in several company-sponsored studies.
AbbVie has a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector include Eli Lilly & Company LLY and Roche Holding AG RHHBY . While Roche enjoys a Zacks Rank #1 (Strong Buy), Lilly has a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Shares of Roche have risen 12.6% this year so far while earnings estimates for 2017 went up almost 12% in the past 30 days.
Shares of Lilly have risen 17% 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.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | So far this year, AbbVie's share price has increased 4%, comparing unfavorably with a gain of 6.1% recorded by the Zacks classified Large-Cap Pharma industry. AbbVie Inc.ABBV and partner Janssen, Johnson & Johnson's JNJ pharmaceuticals subsidiary, announced that a supplemental new drug application (sNDA) for their cancer drug Imbruvica has been accepted for review by the FDA. AbbVie is looking to get Imbruvica approved for the treatment of patients with chronic graft-versus-host-disease (cGVHD) after the failure of one or more lines of systemic therapy. | Click to get this free report Roche Holding AG (RHHBY): 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. AbbVie Inc.ABBV and partner Janssen, Johnson & Johnson's JNJ pharmaceuticals subsidiary, announced that a supplemental new drug application (sNDA) for their cancer drug Imbruvica has been accepted for review by the FDA. AbbVie is looking to get Imbruvica approved for the treatment of patients with chronic graft-versus-host-disease (cGVHD) after the failure of one or more lines of systemic therapy. | In fact, AbbVie expects Imbruvica peak sales of more than $7 billion and revenues of about $5 billion in 2020 At present, the CLL segment is the largest revenue contributor to Imbruvica's growth while expansion into non-Hodgkin's lymphoma (NHL) and other indications will be major growth drivers in the future. Click to get this free report Roche Holding AG (RHHBY): 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. AbbVie Inc.ABBV and partner Janssen, Johnson & Johnson's JNJ pharmaceuticals subsidiary, announced that a supplemental new drug application (sNDA) for their cancer drug Imbruvica has been accepted for review by the FDA. | AbbVie is positioning Imbruvica as a "pipeline in a molecule" with the treatment featuring in several company-sponsored studies. AbbVie has a Zacks Rank #3 (Hold). AbbVie Inc.ABBV and partner Janssen, Johnson & Johnson's JNJ pharmaceuticals subsidiary, announced that a supplemental new drug application (sNDA) for their cancer drug Imbruvica has been accepted for review by the FDA. |
26206.0 | 2017-04-05 00:00:00 UTC | Analysts Predict 10% Gains Ahead For FXH | ABBV | https://www.nasdaq.com/articles/analysts-predict-10-gains-ahead-fxh-2017-04-05 | nan | nan | Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel , we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the First Trust Health Care AlphaDEX Fund ETF (Symbol: FXH), we found that the implied analyst target price for the ETF based upon its underlying holdings is $68.32 per unit.
With FXH trading at a recent price near $62.11 per unit, that means that analysts see 10.00% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of FXH's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Bio-Rad Laboratories Inc (Symbol: BIO), and Zoetis Inc (Symbol: ZTS). Although ABBV has traded at a recent price of $65.11/share, the average analyst target is 14.29% higher at $74.42/share. Similarly, BIO has 13.93% upside from the recent share price of $201.87 if the average analyst target price of $230.00/share is reached, and analysts on average are expecting ZTS to reach a target price of $59.90/share, which is 13.77% above the recent price of $52.65. Below is a twelve month price history chart comparing the stock performance of ABBV, BIO, and ZTS:
Below is a summary table of the current analyst target prices discussed above:
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
10 ETFs With Most Upside To Analyst Targets »
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 ABBV has traded at a recent price of $65.11/share, the average analyst target is 14.29% higher at $74.42/share. Below is a twelve month price history chart comparing the stock performance of ABBV, BIO, and ZTS: Below is a summary table of the current analyst target prices discussed above: Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of FXH's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Bio-Rad Laboratories Inc (Symbol: BIO), and Zoetis Inc (Symbol: ZTS). | Three of FXH's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Bio-Rad Laboratories Inc (Symbol: BIO), and Zoetis Inc (Symbol: ZTS). Although ABBV has traded at a recent price of $65.11/share, the average analyst target is 14.29% higher at $74.42/share. Below is a twelve month price history chart comparing the stock performance of ABBV, BIO, and ZTS: Below is a summary table of the current analyst target prices discussed above: Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? | Below is a twelve month price history chart comparing the stock performance of ABBV, BIO, and ZTS: Below is a summary table of the current analyst target prices discussed above: Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of FXH's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Bio-Rad Laboratories Inc (Symbol: BIO), and Zoetis Inc (Symbol: ZTS). Although ABBV has traded at a recent price of $65.11/share, the average analyst target is 14.29% higher at $74.42/share. | Below is a twelve month price history chart comparing the stock performance of ABBV, BIO, and ZTS: Below is a summary table of the current analyst target prices discussed above: Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of FXH's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Bio-Rad Laboratories Inc (Symbol: BIO), and Zoetis Inc (Symbol: ZTS). Although ABBV has traded at a recent price of $65.11/share, the average analyst target is 14.29% higher at $74.42/share. |
26207.0 | 2017-04-05 00:00:00 UTC | Better Buy: AbbVie Inc. vs. GlaxoSmithKline | ABBV | https://www.nasdaq.com/articles/better-buy-abbvie-inc-vs-glaxosmithkline-2017-04-05 | nan | nan | They're both big, successful drugmakers, but AbbVie (NYSE: ABBV) and GlaxoSmithKline (NYSE: GSK) haven't competed directly against each other all that much in the past. That could potentially change in the future, however, with Glaxo's bid to enter the autoimmune disease market currently dominated by AbbVie.
Regardless of what happens in the future with their potential product rivalries, which of these stocks is the better pick for investors now? Here's how AbbVie and GlaxoSmithKline compare.
Growth
AbbVie easily comes out on top versus GlaxoSmithKline in both sales and earnings growth in recent years. The more important thing for investors, however, is how much each company will be able to grow earnings in the future.
A big question for AbbVie relates to potential challengers to its top-selling autoimmune disease drug, Humira. If it can fend off rivals like it hopes to do, sales for Humira will remain strong. That will allow AbbVie's blockbuster cancer drugs Imbruvica and Venclexta to help deliver additional growth.
Its pipeline also includes several potential stars. AbbVie expects to file for regulatory approval of elagolix, which targets treatment of endometriosis and uterine fibroids, and experimental lung cancer drug Rova-T this year. Other likely winners should follow, including autoimmune disease candidates ABT-494 and risankizumab. Wall Street analysts project that the combination of AbbVie's current products and its pipeline should allow the biotech to grow earnings by nearly 15% annually over the next five years.
GlaxoSmithKline has seen sales fall for its top-selling product, respiratory drug Advair. However, the drugmaker received a lot of help from newer respiratory drugs to offset Advair's declines. GlaxoSmithKline's biggest success has been in HIV, with skyrocketing sales for Tivicay and Triumeq.
The company's pipeline looks especially strong in HIV, with seven late-stage programs. GlaxoSmithKline hopes to extend its leadership in the respiratory area with a couple of late-stage candidates, including experimental COPD drug mepolizumab. In addition, the big pharma company claims several late-stage rare-disease drugs.
GlaxoSmithKline also awaits regulatory approval for sirukumab, which would compete against AbbVie's Humira in the rheumatoid arthrititis market if approved. All of this is enough to convince Wall Street analysts that GlaxoSmithKline can grow its earnings by an average annual rate of nearly 14% over the next five years.
Valuation
AbbVie stock currently trades at 18 times trailing-12-month earnings and 10 times expected earnings. That makes the biotech stock's valuation appear quite attractive.
Looking in the rearview mirror, GlaxoSmithKline stock looks a lot more expensive with a trailing-12-month earnings multiple of nearly 93. However, the drugmaker's improving earnings picture gives it a forward earnings multiple of 15. That's much better, but AbbVie clearly wins on valuation.
Dividends
Both AbbVie and GlaxoSmithKline claim impressive dividend yields. GlaxoSmithKline's yield of 4.75% tops AbbVie's yield of 3.93%, which might make you think the nod in this category should go to the British drugmaker.
However, we also need to look at the ability to keep the dividends flowing. On that count, AbbVie performs much better. While GlaxoSmithKline didn't generate nearly enough profits in 2016 to fund its dividend, AbbVie used less than 63% of its earnings to pay dividends.
Also, GlaxoSmithKline's dividend has gone up and down and recent years. AbbVie, on the other hand, has steadily increased its dividend every year since the company's spinoff from Abbott Labs .
Better buy
I don't think this is a tough decision. GlaxoSmithKline is making a comeback with great new products that should provide solid growth for the future and claims a high dividend yield. However, in my view, AbbVie is the better choice.
AbbVie combines impressive growth, low valuation, and a tremendous dividend track record. Although the biotech faces some questions about biosimilar competition to Humira, AbbVie seems to be in reasonable position to fend off U.S. challengers for at least a few years.
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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. | AbbVie expects to file for regulatory approval of elagolix, which targets treatment of endometriosis and uterine fibroids, and experimental lung cancer drug Rova-T this year. Wall Street analysts project that the combination of AbbVie's current products and its pipeline should allow the biotech to grow earnings by nearly 15% annually over the next five years. They're both big, successful drugmakers, but AbbVie (NYSE: ABBV) and GlaxoSmithKline (NYSE: GSK) haven't competed directly against each other all that much in the past. | They're both big, successful drugmakers, but AbbVie (NYSE: ABBV) and GlaxoSmithKline (NYSE: GSK) haven't competed directly against each other all that much in the past. A big question for AbbVie relates to potential challengers to its top-selling autoimmune disease drug, Humira. Dividends Both AbbVie and GlaxoSmithKline claim impressive dividend yields. | Growth AbbVie easily comes out on top versus GlaxoSmithKline in both sales and earnings growth in recent years. Dividends Both AbbVie and GlaxoSmithKline claim impressive dividend yields. While GlaxoSmithKline didn't generate nearly enough profits in 2016 to fund its dividend, AbbVie used less than 63% of its earnings to pay dividends. | While GlaxoSmithKline didn't generate nearly enough profits in 2016 to fund its dividend, AbbVie used less than 63% of its earnings to pay dividends. They're both big, successful drugmakers, but AbbVie (NYSE: ABBV) and GlaxoSmithKline (NYSE: GSK) haven't competed directly against each other all that much in the past. That could potentially change in the future, however, with Glaxo's bid to enter the autoimmune disease market currently dominated by AbbVie. |
26208.0 | 2017-03-31 00:00:00 UTC | AbbVie's (ABBV) Humira Drug Label Update Approved by FDA | ABBV | https://www.nasdaq.com/articles/abbvies-abbv-humira-drug-label-update-approved-by-fda-2017-03-31 | nan | nan | AbbVie Inc. 's ABBV announced that the FDA has approved the inclusion of moderate to severe fingernail psoriasis data on the label of AbbVie's multi-utility TNF blocker drug, Humira. With this approval, Humira becomes the first and the only drug to include data on fingernail psoriasis in its prescribing information.
The data have been added to the "Clinical Studies" sections of the Prescribing Information of the Humira label as a third psoriasis study (Study Ps-III) in the plaque psoriasis. With the FDA approval, healthcare providers are likely to be able to make informed medical decisions, while prescribing treatments for psoriasis patients.
AbbVie's share price has increased 14% in the past one year, outperforming the Zacks classified Large-Cap Pharmaceuticals industry's gain of 5.8%.
The consent by the FDA was based on the data from a multicenter, double-blind phase III study conducted to evaluate fingernail psoriasis in patients with moderate to severe chronic plaque psoriasis. Moreover, data from the 26-week study indicated that 48.9% of patients treated with Humira achieved a Physician's Global Assessment-fingernail-psoriasis of 0 (clear) or 1 (minimal). It also showed a two grade improvement from the baseline after 26 weeks. On the contrary, 6.9% of patients treated with a placebo achieved clear or minimal assessment.
We note that Humira was already approved in the U.S. for the treatment of adults with moderate to severe chronic plaque psoriasis in 2008. Additionally, this drug is accepted for several indications like rheumatoid arthritis, psoriatic arthritis, ankylosing spondylitis, Crohn's disease, plaque psoriasis, ulcerative colitis and juvenile idiopathic arthritis. With several companies striving to bring Humira biosimilars to the market, AbbVie has been focusing on diversifying its revenue base and lowering its dependence on the product. Further, the company is working on expanding Humira's label in the fields of rheumatology, gastroenterology (pediatric ulcerative colitis), and dermatology (pediatric psoriasis).
In fact, Humira is considered to be the key growth driver at AbbVie. In the year 2016, Humira generated total sales of approximately $16 billion, up 14.7% year over year. It contributed almost 63% to the company's total sales during same period.
Zacks Rank & Key Picks
AbbVie currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector include Vertex Pharmaceuticals Incorporated VRTX , Roche Holding AG RHHBY and Grifols, S.A. GRFS . While Grifols sports a Zacks Rank #1 (Strong Buy), Roche and Vertex carry a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Vertex's earnings estimates for 2017 were stable over the past 30 days. Also, the company's share price rose 45.6% since the beginning of this year.
Roche's earnings estimates increased from $1.70 to $1.90 for 2017, over the last 30 days. Also, the company's share price rose 13% since the beginning of this year.
Grifols' earnings estimates increased from $1.04 to $1.14 for 2017, over the last 30 days. Further, the company's share price increased 18.3% since the beginning of this year.
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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's share price has increased 14% in the past one year, outperforming the Zacks classified Large-Cap Pharmaceuticals industry's gain of 5.8%. With several companies striving to bring Humira biosimilars to the market, AbbVie has been focusing on diversifying its revenue base and lowering its dependence on the product. AbbVie Inc. 's ABBV announced that the FDA has approved the inclusion of moderate to severe fingernail psoriasis data on the label of AbbVie's multi-utility TNF blocker drug, Humira. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report Grifols, S.A. (GRFS): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. 's ABBV announced that the FDA has approved the inclusion of moderate to severe fingernail psoriasis data on the label of AbbVie's multi-utility TNF blocker drug, Humira. AbbVie's share price has increased 14% in the past one year, outperforming the Zacks classified Large-Cap Pharmaceuticals industry's gain of 5.8%. | AbbVie Inc. 's ABBV announced that the FDA has approved the inclusion of moderate to severe fingernail psoriasis data on the label of AbbVie's multi-utility TNF blocker drug, Humira. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report Grifols, S.A. (GRFS): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie's share price has increased 14% in the past one year, outperforming the Zacks classified Large-Cap Pharmaceuticals industry's gain of 5.8%. | AbbVie's share price has increased 14% in the past one year, outperforming the Zacks classified Large-Cap Pharmaceuticals industry's gain of 5.8%. AbbVie Inc. 's ABBV announced that the FDA has approved the inclusion of moderate to severe fingernail psoriasis data on the label of AbbVie's multi-utility TNF blocker drug, Humira. With several companies striving to bring Humira biosimilars to the market, AbbVie has been focusing on diversifying its revenue base and lowering its dependence on the product. |
26209.0 | 2017-03-29 00:00:00 UTC | How AbbVie Is Attacking Tumors at Their Roots | ABBV | https://www.nasdaq.com/articles/how-abbvie-attacking-tumors-their-roots-2017-03-29 | nan | nan | Just as the body's normal stem cells renew and sustain organs and tissue, cancer stem cells do the same for tumors. Large cap drugmaker AbbVie (NYSE: ABBV) is taking the lead in developing drugs to go after cancer stem cells, and long-term investors could enjoy the payoff.
All tumor cells are not alike
Shrinking or removing a tumor without eradicating the cancer stem cells is like cutting off a weed at the soil line without removing the root. Cancer stem cells are literally the root of tumors, supporting their growth and spread.
The theory of cancer stem cells has been around for decades, but only recently have tools become available to allow scientists to prove the theory correct. Scientists now have discovered that a small subset of tumor cells are uniquely capable of fueling tumor growth, while the majority are essentially bystanders. Only the stem cells are capable of fully replicating tumors indefinitely, supporting a sustained the attack on the body.
The important implication of this theory is that cancer stem cells form the reservoir of malignancy that supports metastases and causes cancer to recur after surgery, radiation, and chemotherapy. Researchers believe that if these cells could be eliminated, the remaining cancer cells in the body will be attacked by the immune system or die out naturally, since they don't have the ability to reproduce.
A pricey acquisition
AbbVie plunged into the cancer stem cell market with its 2016 acquisition of biotech unicorn Stemcentrx, but the purchase raised some eyebrows due to the high price tag. The acquisition of Stemcentryx, a start-up backed by Peter Thiel 's Founders Fund, was the third-largest pharma deal in 2016, and it cost AbbVie a cool $5.8 billion up front and an additional $4 billion in the future if milestones are met. That's certainly not chump change, but company officials countered arguments of overpayment by pointing out the importance of acquiring an entirely new platform for tumor drug development and a pipeline of new drugs based on a novel and promising approach.
The most immediate prize was the drug rovalpituzumab tesirine, mercifully nicknamed Rova-T by the company. Rova-T is an antibody drug conjugate (ADC), meaning it combines an antibody that targets a specific protein with a powerful poison that's delivered directly to the cancer cell. In this case, the target protein is DLL3, which is expressed on the surface of cancer stem cells in patients with small cell lung cancer (SCLC), a particularly aggressive and deadly form of the disease.
Positive results but far from proof
Rova-T success will not be a slam dunk. Shortly after the Stemcentrx acquisition, AbbVie presented results of a phase 1a/1b trial at the American Society of Clinical Oncology. The study results generated skepticism in some circles because among the 26 patients with the highest levels of DLL3, only 10 (39%) responded to the drug, and among the other 34 patients (whose tumors were not absolutely smothered in the drug's target), only one (3%) experienced tumor shrinkage.
Nevertheless, AbbVie executives were encouraged. The phase 1 trial was not designed to prove efficacy, but it still showed that a significant proportion of subjects responded to treatment. In fact, 50% of the patients in the high-DLL3 group who were receiving the drug as a third-line treatment had tumor shrinkage, and the one-year survival rate was 32% among this cohort. That compares with a historical rate of 12% among patients at that level of sickness, according to one AbbVie official. That trial laid the groundwork for a registrational trial now under way, called TRINITY, that is aimed at third-line treatment of SCLC patients with high DLL3 expression.
So, although the drug probably will never be approved for the broad SCLC indication, it does appear to have some promise in patients with high DLL3.
Just the beginning
There are plenty of ways the Stemcentrx acquisition could pay off for AbbVie and its investors. The company is partnering with Bristol-Myers Squibb on a trial combining Rova-T with cancer drugs Opdivo and Yervoy, potentially leading to a powerful combination therapy. DLL3 is expressed on stem cells of other forms of cancer as well, and AbbVie is launching an eight-arm phase 1/2 trial of Rova-T against pancreatic, thyroid, prostate, and colorectal cancer, and metastatic melanoma. The company expects to launch Rova-T in 2018. Meanwhile, the Stemcentrx unit has four other clinical-stage drugs, with two more expected to begin phase 1 trials this year.
Success with this approach is not certain by any means, but if it proves out, AbbVie could have multiple big winners on its hands. Rova-T alone could reach $5 billion in peak sales. A platform for generating a new class of drugs that get to the root of cancer could have long term investors in AbbVie reaping rewards well into the next decade.
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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. | Large cap drugmaker AbbVie (NYSE: ABBV) is taking the lead in developing drugs to go after cancer stem cells, and long-term investors could enjoy the payoff. A platform for generating a new class of drugs that get to the root of cancer could have long term investors in AbbVie reaping rewards well into the next decade. A pricey acquisition AbbVie plunged into the cancer stem cell market with its 2016 acquisition of biotech unicorn Stemcentrx, but the purchase raised some eyebrows due to the high price tag. | DLL3 is expressed on stem cells of other forms of cancer as well, and AbbVie is launching an eight-arm phase 1/2 trial of Rova-T against pancreatic, thyroid, prostate, and colorectal cancer, and metastatic melanoma. Large cap drugmaker AbbVie (NYSE: ABBV) is taking the lead in developing drugs to go after cancer stem cells, and long-term investors could enjoy the payoff. A pricey acquisition AbbVie plunged into the cancer stem cell market with its 2016 acquisition of biotech unicorn Stemcentrx, but the purchase raised some eyebrows due to the high price tag. | DLL3 is expressed on stem cells of other forms of cancer as well, and AbbVie is launching an eight-arm phase 1/2 trial of Rova-T against pancreatic, thyroid, prostate, and colorectal cancer, and metastatic melanoma. Large cap drugmaker AbbVie (NYSE: ABBV) is taking the lead in developing drugs to go after cancer stem cells, and long-term investors could enjoy the payoff. A pricey acquisition AbbVie plunged into the cancer stem cell market with its 2016 acquisition of biotech unicorn Stemcentrx, but the purchase raised some eyebrows due to the high price tag. | Large cap drugmaker AbbVie (NYSE: ABBV) is taking the lead in developing drugs to go after cancer stem cells, and long-term investors could enjoy the payoff. A pricey acquisition AbbVie plunged into the cancer stem cell market with its 2016 acquisition of biotech unicorn Stemcentrx, but the purchase raised some eyebrows due to the high price tag. The acquisition of Stemcentryx, a start-up backed by Peter Thiel 's Founders Fund, was the third-largest pharma deal in 2016, and it cost AbbVie a cool $5.8 billion up front and an additional $4 billion in the future if milestones are met. |
26210.0 | 2017-03-28 00:00:00 UTC | 3 Things You Probably Didn't Know About AbbVie Inc. | ABBV | https://www.nasdaq.com/articles/3-things-you-probably-didnt-know-about-abbvie-inc-2017-03-28 | nan | nan | Since its spinoff from Abbott Laboratories (NYSE: ABT) in 2013, AbbVie (NYSE: ABBV) has become one of the hottest big biotech stocks on the market. When AbbVie was formed, its market cap was close to Abbott's. Now, however, the biotech's market cap is nearly 35% higher than that of its parent company.
There's much for investors to like about AbbVie now -- but there are also some reasons for concern. Here are three things you might not know about this successful biotech.
1. One of the fastest-growing dividends
You probably already know that AbbVie currently boasts the highest dividend yield of any biotech stock . The company's yield of 3.9% easily tops the next-best contenders, Gilead Sciences and Amgen .
But did you know that AbbVie's dividend growth is among the highest of any stock on the market, regardless of industry? Over the last three years, AbbVie's dividend increased by an average annual rate of more than 17%. If we include Abbott's dividend track record, AbbVie has increased its dividend for 45 years in a row.
Even better, AbbVie appears to be poised to keep the dividend hikes coming. The company currently uses less than 63% of its earnings to fund the dividend program. That leaves plenty of room for more increases, especially considering that AbbVie's earnings are expected to grow significantly in the coming years.
2. One of the strongest product portfolios
Since Abbott spun it off, AbbVie has primarily been known for its huge blockbuster autoimmune disease drug, Humira. Sales for the company's other products were so much smaller in comparison that I nicknamed AbbVie's lineup "Humira and the seven dwarfs." That moniker isn't applicable today.
The 2015 acquisition of Pharmacyclics allowed AbbVie to pick up Imbruvica. The cancer drug could generate annual revenue of $5 billion by 2020 with approval of additional indications. AbbVie's buyout last year of Stemcentrx brought another cancer drug, Rova-T, into its pipeline. Rova-T is expected to launch next year and could reach peak annual sales of up to $5 billion. AbbVie partnered with Roche to develop yet another cancer drug, Venclexta, which could hit annual sales of up to $2 billion by 2020.
Humira could be joined in the next couple of years by two experimental autoimmune-disease candidates in AbbVie's pipeline. The company expects to launch risankizumab in 2019 for treating psoriasis and ABT-494 the same year for treating rheumatoid arthritis. Additional indications could also follow for both drugs.
3. One of the biggest debt loads
The acquisitions of Pharmacyclics and Stemcentrx came at a cost. AbbVie now has a total debt of nearly $37 billion. The only drugmaker with a higher level of debt is Pfizer . However, if you counted only long-term debt, AbbVie would rank at the top among all biopharmaceutical companies.
The buyout of Stemcentrx last year caused Moody's Investor Service to downgrade AbbVie's senior unsecured long-term rating to Baa2 from Baa1, which reflects a moderate credit risk. AbbVie's shareholders probably don't want the company to take on much more debt.
However, AbbVie's strong earnings and cash flow should allow the biotech to easily service its current debt. Earnings growth could also enable AbbVie to retire some of the debt more quickly, if it chose to do so.
One thing no one knows
There's at least one thing that no one knows about AbbVie: When will Humira's sales begin to fall? That uncertainty could make some investors wary of buying the stock.
I think, though, with its strong dividend and portfolio full of potential winners, AbbVie remains a smart pick. Abbott's spinoff has paid off nicely so far. My take is that it will continue to pay off for at least a few years to come.
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 tripled the market.*
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Keith Speights owns shares of AbbVie, Gilead Sciences, and Pfizer. The Motley Fool owns shares of and recommends Gilead Sciences. The Motley Fool has the following options: long June 2017 $70 calls on 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. | One of the strongest product portfolios Since Abbott spun it off, AbbVie has primarily been known for its huge blockbuster autoimmune disease drug, Humira. The buyout of Stemcentrx last year caused Moody's Investor Service to downgrade AbbVie's senior unsecured long-term rating to Baa2 from Baa1, which reflects a moderate credit risk. *Stock Advisor returns as of February 6, 2017 Keith Speights owns shares of AbbVie, Gilead Sciences, and Pfizer. | AbbVie's buyout last year of Stemcentrx brought another cancer drug, Rova-T, into its pipeline. The buyout of Stemcentrx last year caused Moody's Investor Service to downgrade AbbVie's senior unsecured long-term rating to Baa2 from Baa1, which reflects a moderate credit risk. *Stock Advisor returns as of February 6, 2017 Keith Speights owns shares of AbbVie, Gilead Sciences, and Pfizer. | One of the fastest-growing dividends You probably already know that AbbVie currently boasts the highest dividend yield of any biotech stock . But did you know that AbbVie's dividend growth is among the highest of any stock on the market, regardless of industry? If we include Abbott's dividend track record, AbbVie has increased its dividend for 45 years in a row. | AbbVie's buyout last year of Stemcentrx brought another cancer drug, Rova-T, into its pipeline. AbbVie now has a total debt of nearly $37 billion. AbbVie's shareholders probably don't want the company to take on much more debt. |
26211.0 | 2017-03-28 00:00:00 UTC | Pfizer's Arthritis Drug Xeljanz Gets Marketing Nod in Europe | ABBV | https://www.nasdaq.com/articles/pfizers-arthritis-drug-xeljanz-gets-marketing-nod-in-europe-2017-03-28 | nan | nan | Pfizer, Inc. 's PFE rheumatoid arthritis (RA) drug, Xeljanz has received marketing approval in Europe.
The European Commission has approved Xeljanz (5 mg taken twice daily) to be used in combination with methotrexate (MTX) for the treatment of moderate-to-severely active RA in adult patients who have had an inadequate response to or cannot tolerate one or more disease-modifying antirheumatic drugs (DMARDs). Xeljanz has also been approved as monotherapy in case of intolerance to MTX or when treatment with MTX is inappropriate.
Xeljanz (5 mg twice daily), a JAK inhibitor, is presently approved in the U.S. as a second-line treatment for moderate-to-severely active RA in patients who have had an inadequate response to or cannot tolerate methotrexate. In Feb 2016, the FDA approved a once-daily extended-release (XR) formulation of Xeljanz (11 mg) tablets. Earlier this month, the drug was approved in China.
Pfizer's shares are up 5.3% so far this year, comparing unfavorably with the Zacks classified Large-Cap Pharma industry's gain of 6.2%.
Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira.
The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. The study demonstrated non-inferiority of Xeljanz plus MTX versus Humira plus MTX, thereby meeting the primary endpoint. However, Xeljanz monotherapy did not demonstrate non-inferiority versus Humira plus MTX, thereby failing to meet the primary endpoint.
Xeljanz is also being studied for the treatment of active psoriatic arthritis (PsA) and ulcerative colitis. Label and geographical expansion will boost the drug's commercial potential significantly.
Blockbuster drugs currently approved to treat RA include Johnson & Johnson's JNJ Remicade and Amgen, Inc.'s AMGN Enbrel that Pfizer markets outside the U.S. and Canada.
Pfizer 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. | Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. 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 Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. The European Commission has approved Xeljanz (5 mg taken twice daily) to be used in combination with methotrexate (MTX) for the treatment of moderate-to-severely active RA in adult patients who have had an inadequate response to or cannot tolerate one or more disease-modifying antirheumatic drugs (DMARDs). | 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 Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. | 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 Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. The European Commission has approved Xeljanz (5 mg taken twice daily) to be used in combination with methotrexate (MTX) for the treatment of moderate-to-severely active RA in adult patients who have had an inadequate response to or cannot tolerate one or more disease-modifying antirheumatic drugs (DMARDs). | 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 Amgen Inc. (AMGN): Free Stock Analysis Report To read this article on Zacks.com click here. Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. |
26212.0 | 2017-03-27 00:00:00 UTC | Amgen's Humira Biosimilar Approved in Europe | ABBV | https://www.nasdaq.com/articles/amgens-humira-biosimilar-approved-europe-2017-03-27 | nan | nan | Amgen Inc. ( AMGN ) announced in a news release published on its website that Amgevita, the company's biosimilar to AbbVie Inc. 's ( ABBV ) Humira (adalimumab), has been approved by the European Commission.
The medication received approval from the U.S. Food and Drug Administration during the third quarter of 2016.
Sean E. Harper, the company's executive vice president of research and development, said that "the approval of our first biosimilar by the European Commission is a major milestone not just for Amgen as a company, but for the millions of patients with chronic inflammatory diseases who need alternative treatment options. In addition, Amgevita holds the potential to offer patients with chronic inflammatory diseases an additional treatment option. This milestone exemplifies our ongoing dedication to the development of high-quality biologic medicines."
The global biopharmaceutical company's biosimilar is now competing against Humira in two markets. This will create apprehension among AbbVie's shareholders as it may reduce Humira's market share in U.S. and Europe. They have no reason to fear, however, since Amgevita is a biosimilar to Humira and not an interchangeable product.
Last Friday, Amgen closed at $165.74, down 30 cents or -0.18% from the previous trading day, with a volume of 2,521,587 shares traded on the Nasdaq.
The company closed fiscal year 2016 with total revenue of $22.99 billion, a 6.1% increase compared to 2015. Earnings per share for the year were $11.65 and the price-earnings ratio (ttm) is 16.19.
The company is trading at 5.31 times its sales and 4.1 times its book value. The forward P/E ratio is 13.01. For 2017, analysts forecast adjusted EPS of $12.31, a 5.7% increase compared to 2016 EPS. As a reseult, Amgen seems to be slightly overvalued based on the most recent share prices. Analysts assign an average target price of $185.79 per share, which represents a 12% upside from the current share price, and the recommendation rating is 2.3. The recommendation rating ranges between 1.0 (Strong Buy) and 5.0 (Sell).
In 2016, Amgen had $38.09 billion in cash and securities, $6.7 billion higher compared to 2015. In contrast, the total debt amounts to approximately $34.6 billion, a 10% increase on a year-over-year basis, of which $4.403 billion is due by the end of 2017.
The company generated approximately $10.354 billion from operations in 2016. Using $837 million as capital expenditure, it was left with free cash flow of $9.52 billion. Part of this was used to refund the portion of short-term obligations of $2.25 billion and distribute $2.9 billion in dividends to the shareholders.
Amgen currently distributes an annual dividend of $4.60 per share through quarterly payments of $1.15, for a dividend yield of 2.78%.
AbbVie is trading around $65.62 per share with a price-sales ratio of 4.08 and a price-book ratio of 22.54. The forward P/E ratio is 10.13. For 2017, analysts forecast AbbVie will generate EPS of $5.5, a 14.1% increase compared to 2016. AbbVie also looks overvalued when analysts' expectations on 2017 EPS and the forward P/E ratio are taken into consideration. The analysts' average target price per share is $70.11.
Disclosure: I have no positions in any stock mentioned in this article.
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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. | Amgen Inc. ( AMGN ) announced in a news release published on its website that Amgevita, the company's biosimilar to AbbVie Inc. 's ( ABBV ) Humira (adalimumab), has been approved by the European Commission. This will create apprehension among AbbVie's shareholders as it may reduce Humira's market share in U.S. and Europe. AbbVie is trading around $65.62 per share with a price-sales ratio of 4.08 and a price-book ratio of 22.54. | For 2017, analysts forecast AbbVie will generate EPS of $5.5, a 14.1% increase compared to 2016. Amgen Inc. ( AMGN ) announced in a news release published on its website that Amgevita, the company's biosimilar to AbbVie Inc. 's ( ABBV ) Humira (adalimumab), has been approved by the European Commission. This will create apprehension among AbbVie's shareholders as it may reduce Humira's market share in U.S. and Europe. | Amgen Inc. ( AMGN ) announced in a news release published on its website that Amgevita, the company's biosimilar to AbbVie Inc. 's ( ABBV ) Humira (adalimumab), has been approved by the European Commission. This will create apprehension among AbbVie's shareholders as it may reduce Humira's market share in U.S. and Europe. AbbVie is trading around $65.62 per share with a price-sales ratio of 4.08 and a price-book ratio of 22.54. | AbbVie is trading around $65.62 per share with a price-sales ratio of 4.08 and a price-book ratio of 22.54. Amgen Inc. ( AMGN ) announced in a news release published on its website that Amgevita, the company's biosimilar to AbbVie Inc. 's ( ABBV ) Humira (adalimumab), has been approved by the European Commission. This will create apprehension among AbbVie's shareholders as it may reduce Humira's market share in U.S. and Europe. |
26213.0 | 2017-03-26 00:00:00 UTC | 3 Great Stocks to Buy in a Market Pullback | ABBV | https://www.nasdaq.com/articles/3-great-stocks-buy-market-pullback-2017-03-26 | nan | nan | Is a stock market pullback on the way? Maybe. And even if not now, it's inevitable that the market will take a breather at some point in the future.
Smart investors will be ready to take advantage of a market pullback, whenever it comes and offers discount prices on great stocks. Three drug stocks appear to be excellent choices to buy on a dip: AbbVie (NYSE: ABBV) , Allergan (NYSE: AGN) , and Celgene (NASDAQ: CELG) . Here's why.
AbbVie: A dividend hunter's dream
AbbVie is already inexpensive, with shares trading at only 10 times expected earnings. If the overall market drops and pulls the biotech stock down with it, AbbVie will be an even more attractive buy.
One nice benefit of scooping up AbbVie stock at a discount is that you can lock in at a really juicy dividend yield. The current dividend yield of 3.9% would move higher as the biotech's share price goes down.
The company's product line-up and pipeline potential should also ensure that AbbVie enjoys a strong rebound when the market pullback is over. Top-selling autoimmune disease drug Humira continues to generate impressive revenue. Sales for cancer drug Imbruvica are soaring. Another cancer drug, Venclexta, could be yet another blockbuster for AbbVie.
More winners could be on the way. AbbVie's pipeline includes 16 late-stage clinical programs. Elagolix, which targets treatment of endometriosis and uterine fibroids and experimental cancer drug Veliparib stand out as especially strong candidates.
Allergan: Billionaires' favorite drugmaker
Steven Cohen, Carl Icahn, Paul Tudor Jones, George Soros, and David Tepper all have at least two things in common. They're all billionaire investors. And they all own shares of Allergan.
Even if you're not a billionaire, Allergan could be a good addition to your investing portfolio in a market pullback. The stock is attractively valued at only 13 times expected earnings.
Allergan claims a couple of blockbuster franchises with Botox and Restasis. The most compelling reason to like the drugmaker, though, is its pipeline. Allergan has over 70 programs in clinical development across multiple therapeutic categories.
Several of those pipeline candidates could potentially generate annual sales of $1 billion or more. However, it will take a few years to get there. Allergan hopes to launch at least five possible blockbuster drugs by 2022, including experimental non-alcoholic steatohepatitis (NASH) treatment cenicriviroc.
Celgene: Past, present, and future growth
Like AbbVie and Allergan, Celgene's stock is relatively inexpensive now and would be an even bigger bargain if the market declines. The biotech's shares trade at 14 times expected earnings. Factoring in Celgene's growth prospects makes the stock valuation look even more attractive.
Celgene achieved tremendous growth in the past primarily from its blood cancer drug Revlimid. Over the past five years, the biotech's revenue increased by an annual average of 20%, and its adjusted earnings per share increased by an annual average of 25%.
The company's current growth continues to be fueled in part by Revlimid, but other drugs are coming on strong. Sales for Otezla, which treats psoriasis and psoriatic arthritis, more than doubled in 2016 compared to the prior year. Revenue from multiple myeloma drug Pomalyst increased 33% year-over-year.
Celgene's future looks bright also. The biotech expects to grow adjusted earnings per share by an average annual rate of 22% through 2020. This growth should be boosted by launches for several new products, notably including ozanimod, which targets treatment of multiple sclerosis and autoimmune diseases.
Best pullback pick?
Which of these stocks would be the best market pullback pick? It's a tough decision, but I think the nod goes to Celgene.
There's not much to dislike about the company or the stock. Celgene boasts one of the strongest product line-ups and pipelines in the biopharmaceutical industry. The company's management has made several really smart acquisitions, especially the Receptos buyout that landed ozanimod.
Warren Buffett recently wrote that he likes to "make hay while the sun sets , knowing that it will surely rise again." That's a great idea that investors should apply when the market pulls back. AbbVie, Allergan, and particularly Celgene, appear to qualify as solid hay-makers.
10 stocks we like better than Celgene
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Celgene 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 February 6, 2017
Keith Speights owns shares of AbbVie 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. | Three drug stocks appear to be excellent choices to buy on a dip: AbbVie (NYSE: ABBV) , Allergan (NYSE: AGN) , and Celgene (NASDAQ: CELG) . AbbVie: A dividend hunter's dream AbbVie is already inexpensive, with shares trading at only 10 times expected earnings. If the overall market drops and pulls the biotech stock down with it, AbbVie will be an even more attractive buy. | Celgene: Past, present, and future growth Like AbbVie and Allergan, Celgene's stock is relatively inexpensive now and would be an even bigger bargain if the market declines. Three drug stocks appear to be excellent choices to buy on a dip: AbbVie (NYSE: ABBV) , Allergan (NYSE: AGN) , and Celgene (NASDAQ: CELG) . AbbVie: A dividend hunter's dream AbbVie is already inexpensive, with shares trading at only 10 times expected earnings. | Three drug stocks appear to be excellent choices to buy on a dip: AbbVie (NYSE: ABBV) , Allergan (NYSE: AGN) , and Celgene (NASDAQ: CELG) . Celgene: Past, present, and future growth Like AbbVie and Allergan, Celgene's stock is relatively inexpensive now and would be an even bigger bargain if the market declines. *Stock Advisor returns as of February 6, 2017 Keith Speights owns shares of AbbVie and Celgene. | Celgene: Past, present, and future growth Like AbbVie and Allergan, Celgene's stock is relatively inexpensive now and would be an even bigger bargain if the market declines. Three drug stocks appear to be excellent choices to buy on a dip: AbbVie (NYSE: ABBV) , Allergan (NYSE: AGN) , and Celgene (NASDAQ: CELG) . AbbVie: A dividend hunter's dream AbbVie is already inexpensive, with shares trading at only 10 times expected earnings. |
26214.0 | 2017-03-25 00:00:00 UTC | Can You Guess Which Drugmaker Has the Most Debt? (Hint: It's Not Valeant) | ABBV | https://www.nasdaq.com/articles/can-you-guess-which-drugmaker-has-most-debt-hint-its-not-valeant-2017-03-25 | nan | nan | Which drugmaker do you think has the most debt?
Some might think the correct answer is Valeant Pharmaceuticals (NYSE: VRX) . After all, the company is shedding assets to try to reduce its massive debt load. However, Valeant doesn't have the highest debt among pharmaceutical companies. That dubious honor goes to Pfizer (NYSE: PFE) , with AbbVie (NYSE: ABBV) trailing not too far behind.
You probably haven't heard much (if any) discussion about Pfizer's or AbbVie's debt, though, while Valeant's debt struggles have received plenty of attention. Here's why.
It's all relative
Pfizer's total debt stands at $42 billion. AbbVie has a debt load of nearly $37 billion. Those figures might make Valeant's total debt of just under $30 billion not look too bad. So why does Valeant's debt come under scrutiny while Pfizer's and AbbVie's don't? It's not the size of the debt that's important. It's how well each company can manage its debt that matters most.
One key way to determine if a company can manage its debt load effectively is to look at total debt in comparison with net income. If net income is large enough, even a high level of debt shouldn't be a problem for a company.
This chart shows why Valeant's debt is so problematic. The company has a large debt load but is losing money. While Pfizer's and AbbVie's debt loads are even higher, both drugmakers are generating plenty of profits that allow them to operate without feeling tremendous pressure.
The credit ratings for each company reflect this. Valeant's credit rating with Moody's Investors Services is B3, which is deemed to be speculative and a high credit risk. Pfizer, on the other hand, has a Moody's credit rating of A1, which indicates a very low risk of default. Moody's has assigned AbbVie's credit rating as Baa2, which reflects a moderate credit risk.
The short and long of it
So far, we've only talked about total debt. But there are two kinds of debt that companies report on their financial statements -- long-term debt and short-term borrowings.
Long-term debt includes all financial obligations that extend beyond a 12-month period or the current business year, such as bonds and leases. Short-term borrowings are due within the next 12 months or current business year and include items such as short-term bank loans, accounts payable, and wages due to employees.
Nearly all of AbbVie's and Valeant's debt is of the long-term variety. However, $10.7 billion of Pfizer's total debt is short-term borrowings (including the current portion of the company's long-term debt).
Is one kind of debt better or worse than the other? Not necessarily. Short-term borrowings tend to have higher interest rates than long-term debt, but that doesn't mean that taking on short-term debt is always a bad move for a company.
In Pfizer's case, the big drugmaker keeps a significant portion of its cash outside of the U.S. As a result, Pfizer sometimes will borrow money on a short-term basis to cover some operational costs in the U.S. That's actually a smart decision, though, because the tax costs of bringing the cash into the U.S. from overseas exceed the interest costs of the short-term borrowings.
When to worry
Valeant isn't profitable and interest expenses made up nearly 19% of its total revenue last year. That's definitely concerning.
When should investors really worry about a company's debt? If total debt exceeds total assets, worry. Really worry. Valeant hasn't hit that point and probably won't. The company is selling off some of its assets, but it's using the proceeds to pay down debt. That's a good strategy considering the predicament that Valeant is in.
AbbVie's condition isn't nearly as bad as Valeant's because of the biotech's strong cash flow and earnings growth. However, especially after the acquisition of StemCentrx last year, it probably wouldn't be smart for AbbVie to take on much more debt.
What about the drugmaker with the highest debt of all? Pfizer shareholders have nothing to be alarmed about. The company can easily manage its debt. Its total assets are more than four times larger than its total debt. And Pfizer's cash flow is solid, with its bottom line improving. No worries.
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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. | While Pfizer's and AbbVie's debt loads are even higher, both drugmakers are generating plenty of profits that allow them to operate without feeling tremendous pressure. AbbVie's condition isn't nearly as bad as Valeant's because of the biotech's strong cash flow and earnings growth. That dubious honor goes to Pfizer (NYSE: PFE) , with AbbVie (NYSE: ABBV) trailing not too far behind. | While Pfizer's and AbbVie's debt loads are even higher, both drugmakers are generating plenty of profits that allow them to operate without feeling tremendous pressure. That dubious honor goes to Pfizer (NYSE: PFE) , with AbbVie (NYSE: ABBV) trailing not too far behind. You probably haven't heard much (if any) discussion about Pfizer's or AbbVie's debt, though, while Valeant's debt struggles have received plenty of attention. | You probably haven't heard much (if any) discussion about Pfizer's or AbbVie's debt, though, while Valeant's debt struggles have received plenty of attention. That dubious honor goes to Pfizer (NYSE: PFE) , with AbbVie (NYSE: ABBV) trailing not too far behind. AbbVie has a debt load of nearly $37 billion. | That dubious honor goes to Pfizer (NYSE: PFE) , with AbbVie (NYSE: ABBV) trailing not too far behind. You probably haven't heard much (if any) discussion about Pfizer's or AbbVie's debt, though, while Valeant's debt struggles have received plenty of attention. AbbVie has a debt load of nearly $37 billion. |
26215.0 | 2017-03-24 00:00:00 UTC | Columbia Pacific Advisors, LLC Buys Globalstar, Brookdale Senior Living, SPDR S&P Oil & ... | ABBV | https://www.nasdaq.com/articles/columbia-pacific-advisors-llc-buys-globalstar-brookdale-senior-living-spdr-sp-oil-2017-03 | nan | nan | Columbia Pacific Advisors, LLC
New Purchases: XOP , BBG , FLIR , WTI, EMKR, CSU, CB, AKAO, HD, VSH,
Added Positions:GSAT, BKD, MDSY, HK, GEN, EPE, JONE, COHR,
Reduced Positions:RLH, MRO, GOOGL, BREW, SM, AMZN, IWM, LPI, CLR, DVN,
Sold Out:SPY, FB, VG, NOMD, ECR, FNSR,
For the details of Columbia Pacific Advisors, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Columbia+Pacific+Advisors%2C+LLC
These are the top 5 holdings of Columbia Pacific Advisors, LLC
AbbVie Inc ( ABBV ) - 374,552 shares, 15.65% of the total portfolio.
Genesis Healthcare Inc ( GEN ) - 3,819,311 shares, 10.83% of the total portfolio. Shares added by 3.64%
Red Lion Hotels Corp ( RLH ) - 1,810,105 shares, 10.09% of the total portfolio. Shares reduced by 27.89%
Globalstar Inc ( GSAT ) - 8,924,900 shares, 9.41% of the total portfolio. Shares added by 257.00%
Brookdale Senior Living Inc ( BKD ) - 870,000 shares, 7.21% of the total portfolio. Shares added by 117.50%
New Purchase: SPDR S&P Oil & Gas Explor & Product (XOP)
Columbia Pacific Advisors, LLC initiated holdings in SPDR S&P Oil & Gas Explor & Product. The purchase prices were between $34.73 and $43.42, with an estimated average price of $39.28. The stock is now traded at around $35.17. The impact to the portfolio due to this purchase was 2.07%. The holdings were 75,002 shares as of 2016-12-31.
New Purchase: Bill Barrett Corporation (BBG)
Columbia Pacific Advisors, LLC initiated holdings in Bill Barrett Corporation. The purchase prices were between $4.84 and $8.01, with an estimated average price of $6.39. The stock is now traded at around $4.29. The impact to the portfolio due to this purchase was 1.65%. The holdings were 353,550 shares as of 2016-12-31.
New Purchase: FLIR Systems Inc (FLIR)
Columbia Pacific Advisors, LLC initiated holdings in FLIR Systems Inc. The purchase prices were between $28.97 and $36.77, with an estimated average price of $33.66. The stock is now traded at around $36.30. The impact to the portfolio due to this purchase was 0.62%. The holdings were 25,716 shares as of 2016-12-31.
New Purchase: W&T Offshore Inc (WTI)
Columbia Pacific Advisors, LLC initiated holdings in W&T Offshore Inc. The purchase prices were between $1.35 and $3.03, with an estimated average price of $1.86. The stock is now traded at around $2.84. The impact to the portfolio due to this purchase was 0.6%. The holdings were 324,100 shares as of 2016-12-31.
New Purchase: EMCORE Corp (EMKR)
Columbia Pacific Advisors, LLC initiated holdings in EMCORE Corp. The purchase prices were between $5.25 and $8.95, with an estimated average price of $6.88. The stock is now traded at around $8.80. The impact to the portfolio due to this purchase was 0.58%. The holdings were 100,000 shares as of 2016-12-31.
New Purchase: Capital Senior Living Corp (CSU)
Columbia Pacific Advisors, LLC initiated holdings in Capital Senior Living Corp. The purchase prices were between $12.87 and $17.38, with an estimated average price of $15.78. The stock is now traded at around $13.38. The impact to the portfolio due to this purchase was 0.54%. The holdings were 50,000 shares as of 2016-12-31.
Added: Globalstar Inc ( GSAT )
Columbia Pacific Advisors, LLC added to the holdings in Globalstar Inc by 257.00%. The purchase prices were between $0.77 and $1.84, with an estimated average price of $1.04. The stock is now traded at around $1.62. The impact to the portfolio due to this purchase was 6.77%. The holdings were 8,924,900 shares as of 2016-12-31.
Added: Brookdale Senior Living Inc ( BKD )
Columbia Pacific Advisors, LLC added to the holdings in Brookdale Senior Living Inc by 117.50%. The purchase prices were between $11.27 and $17.59, with an estimated average price of $13.42. The stock is now traded at around $12.03. The impact to the portfolio due to this purchase was 3.9%. The holdings were 870,000 shares as of 2016-12-31.
Added: ModSys International Ltd (MDSY)
Columbia Pacific Advisors, LLC added to the holdings in ModSys International Ltd by 30.36%. The purchase prices were between $0.73 and $1.36, with an estimated average price of $1.16. The stock is now traded at around $0.80. The impact to the portfolio due to this purchase was 0.97%. The holdings were 6,966,578 shares as of 2016-12-31.
Added: Halcon Resources Corp (HK)
Columbia Pacific Advisors, LLC added to the holdings in Halcon Resources Corp by 42.95%. The purchase prices were between $8.19 and $11.13, with an estimated average price of $9.41. The stock is now traded at around $6.45. The impact to the portfolio due to this purchase was 0.79%. The holdings were 424,055 shares as of 2016-12-31.
Added: Jones Energy Inc (JONE)
Columbia Pacific Advisors, LLC added to the holdings in Jones Energy Inc by 24.27%. The purchase prices were between $3.17 and $4.78, with an estimated average price of $4.05. The stock is now traded at around $2.40. The impact to the portfolio due to this purchase was 0.3%. The holdings were 501,333 shares as of 2016-12-31.
Sold Out: SPDR S&P 500 (SPY)
Columbia Pacific Advisors, LLC sold out the holdings in SPDR S&P 500. The sale prices were between $208.55 and $227.76, with an estimated average price of $218.6.
Sold Out: Facebook Inc (FB)
Columbia Pacific Advisors, LLC sold out the holdings in Facebook Inc. The sale prices were between $115.05 and $133.28, with an estimated average price of $122.81.
Sold Out: Vonage Holdings Corp (VG)
Columbia Pacific Advisors, LLC sold out the holdings in Vonage Holdings Corp. The sale prices were between $6.13 and $7.17, with an estimated average price of $6.62.
Sold Out: Nomad Foods Ltd (NOMD)
Columbia Pacific Advisors, LLC sold out the holdings in Nomad Foods Ltd. The sale prices were between $9.06 and $12.79, with an estimated average price of $10.92.
Sold Out: Eclipse Resources Corp (ECR)
Columbia Pacific Advisors, LLC sold out the holdings in Eclipse Resources Corp. The sale prices were between $2.41 and $3.56, with an estimated average price of $2.97.
Sold Out: Finisar Corp (FNSR)
Columbia Pacific Advisors, LLC sold out the holdings in Finisar Corp. The sale prices were between $27.35 and $34.13, with an estimated average price of $30.71.
Reduced: Red Lion Hotels Corp ( RLH )
Columbia Pacific Advisors, LLC reduced to the holdings in Red Lion Hotels Corp by 27.89%. The sale prices were between $8.05 and $9.4, with an estimated average price of $8.62. The stock is now traded at around $6.90. The impact to the portfolio due to this sale was -4.75%. Columbia Pacific Advisors, LLC still held 1,810,105 shares as of 2016-12-31.
Reduced: Marathon Oil Corp (MRO)
Columbia Pacific Advisors, LLC reduced to the holdings in Marathon Oil Corp by 59.88%. The sale prices were between $12.78 and $18.8, with an estimated average price of $16.06. The stock is now traded at around $14.68. The impact to the portfolio due to this sale was -0.86%. Columbia Pacific Advisors, LLC still held 44,889 shares as of 2016-12-31.
Reduced: Alphabet Inc (GOOGL)
Columbia Pacific Advisors, LLC reduced to the holdings in Alphabet Inc by 29.9%. The sale prices were between $753.22 and $835.74, with an estimated average price of $799.67. The stock is now traded at around $839.65. The impact to the portfolio due to this sale was -0.33%. Columbia Pacific Advisors, LLC still held 1,177 shares as of 2016-12-31.
Reduced: Craft Brew Alliance Inc (BREW)
Columbia Pacific Advisors, LLC reduced to the holdings in Craft Brew Alliance Inc by 20.82%. The sale prices were between $13.6 and $18.52, with an estimated average price of $16.48. The stock is now traded at around $13.20. The impact to the portfolio due to this sale was -0.28%. Columbia Pacific Advisors, LLC still held 70,000 shares as of 2016-12-31.
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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. | Columbia Pacific Advisors, LLC New Purchases: XOP , BBG , FLIR , WTI, EMKR, CSU, CB, AKAO, HD, VSH, Added Positions:GSAT, BKD, MDSY, HK, GEN, EPE, JONE, COHR, Reduced Positions:RLH, MRO, GOOGL, BREW, SM, AMZN, IWM, LPI, CLR, DVN, Sold Out:SPY, FB, VG, NOMD, ECR, FNSR, For the details of Columbia Pacific Advisors, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Columbia+Pacific+Advisors%2C+LLC These are the top 5 holdings of Columbia Pacific Advisors, LLC AbbVie Inc ( ABBV ) - 374,552 shares, 15.65% of the total portfolio. Shares added by 117.50% New Purchase: SPDR S&P Oil & Gas Explor & Product (XOP) Columbia Pacific Advisors, LLC initiated holdings in SPDR S&P Oil & Gas Explor & Product. Reduced: Red Lion Hotels Corp ( RLH ) Columbia Pacific Advisors, LLC reduced to the holdings in Red Lion Hotels Corp by 27.89%. | Columbia Pacific Advisors, LLC New Purchases: XOP , BBG , FLIR , WTI, EMKR, CSU, CB, AKAO, HD, VSH, Added Positions:GSAT, BKD, MDSY, HK, GEN, EPE, JONE, COHR, Reduced Positions:RLH, MRO, GOOGL, BREW, SM, AMZN, IWM, LPI, CLR, DVN, Sold Out:SPY, FB, VG, NOMD, ECR, FNSR, For the details of Columbia Pacific Advisors, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Columbia+Pacific+Advisors%2C+LLC These are the top 5 holdings of Columbia Pacific Advisors, LLC AbbVie Inc ( ABBV ) - 374,552 shares, 15.65% of the total portfolio. Shares added by 117.50% New Purchase: SPDR S&P Oil & Gas Explor & Product (XOP) Columbia Pacific Advisors, LLC initiated holdings in SPDR S&P Oil & Gas Explor & Product. New Purchase: Capital Senior Living Corp (CSU) Columbia Pacific Advisors, LLC initiated holdings in Capital Senior Living Corp. | Columbia Pacific Advisors, LLC New Purchases: XOP , BBG , FLIR , WTI, EMKR, CSU, CB, AKAO, HD, VSH, Added Positions:GSAT, BKD, MDSY, HK, GEN, EPE, JONE, COHR, Reduced Positions:RLH, MRO, GOOGL, BREW, SM, AMZN, IWM, LPI, CLR, DVN, Sold Out:SPY, FB, VG, NOMD, ECR, FNSR, For the details of Columbia Pacific Advisors, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Columbia+Pacific+Advisors%2C+LLC These are the top 5 holdings of Columbia Pacific Advisors, LLC AbbVie Inc ( ABBV ) - 374,552 shares, 15.65% of the total portfolio. Shares added by 117.50% New Purchase: SPDR S&P Oil & Gas Explor & Product (XOP) Columbia Pacific Advisors, LLC initiated holdings in SPDR S&P Oil & Gas Explor & Product. Sold Out: Vonage Holdings Corp (VG) Columbia Pacific Advisors, LLC sold out the holdings in Vonage Holdings Corp. | Columbia Pacific Advisors, LLC New Purchases: XOP , BBG , FLIR , WTI, EMKR, CSU, CB, AKAO, HD, VSH, Added Positions:GSAT, BKD, MDSY, HK, GEN, EPE, JONE, COHR, Reduced Positions:RLH, MRO, GOOGL, BREW, SM, AMZN, IWM, LPI, CLR, DVN, Sold Out:SPY, FB, VG, NOMD, ECR, FNSR, For the details of Columbia Pacific Advisors, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Columbia+Pacific+Advisors%2C+LLC These are the top 5 holdings of Columbia Pacific Advisors, LLC AbbVie Inc ( ABBV ) - 374,552 shares, 15.65% of the total portfolio. Columbia Pacific Advisors, LLC still held 1,810,105 shares as of 2016-12-31. Columbia Pacific Advisors, LLC still held 44,889 shares as of 2016-12-31. |
26216.0 | 2017-03-22 00:00:00 UTC | Notable ETF Inflow Detected - VV, ORCL, ABBV, USB | ABBV | https://www.nasdaq.com/articles/notable-etf-inflow-detected-vv-orcl-abbv-usb-2017-03-22 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Vanguard Large-Cap ETF (Symbol: VV) where we have detected an approximate $131.9 million dollar inflow -- that's a 1.5% increase week over week in outstanding units (from 83,229,899 to 84,455,240). Among the largest underlying components of VV, in trading today Oracle Corp (Symbol: ORCL) is off about 0.1%, AbbVie Inc (Symbol: ABBV) is down about 0.1%, and US Bancorp (Symbol: USB) is lower by about 0.3%. For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average:
Looking at the chart above, VV's low point in its 52 week range is $90.89 per share, with $110.19 as the 52 week high point - that compares with a last trade of $107.44. 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 VV, in trading today Oracle Corp (Symbol: ORCL) is off about 0.1%, AbbVie Inc (Symbol: ABBV) is down about 0.1%, and US Bancorp (Symbol: USB) is lower by about 0.3%. For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $90.89 per share, with $110.19 as the 52 week high point - that compares with a last trade of $107.44. 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 VV, in trading today Oracle Corp (Symbol: ORCL) is off about 0.1%, AbbVie Inc (Symbol: ABBV) is down about 0.1%, and US Bancorp (Symbol: USB) is lower by about 0.3%. For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $90.89 per share, with $110.19 as the 52 week high point - that compares with a last trade of $107.44. 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 VV, in trading today Oracle Corp (Symbol: ORCL) is off about 0.1%, AbbVie Inc (Symbol: ABBV) is down about 0.1%, and US Bancorp (Symbol: USB) 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 Vanguard Large-Cap ETF (Symbol: VV) where we have detected an approximate $131.9 million dollar inflow -- that's a 1.5% increase week over week in outstanding units (from 83,229,899 to 84,455,240). For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $90.89 per share, with $110.19 as the 52 week high point - that compares with a last trade of $107.44. | Among the largest underlying components of VV, in trading today Oracle Corp (Symbol: ORCL) is off about 0.1%, AbbVie Inc (Symbol: ABBV) is down about 0.1%, and US Bancorp (Symbol: USB) 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 Vanguard Large-Cap ETF (Symbol: VV) where we have detected an approximate $131.9 million dollar inflow -- that's a 1.5% increase week over week in outstanding units (from 83,229,899 to 84,455,240). For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $90.89 per share, with $110.19 as the 52 week high point - that compares with a last trade of $107.44. |
26217.0 | 2017-03-22 00:00:00 UTC | Galapagos Begins Cystis Fibrosis Treatment Study | ABBV | https://www.nasdaq.com/articles/galapagos-begins-cystis-fibrosis-treatment-study-2017-03-22 | nan | nan | Galapagos NV ( GLPG ), the Belgian clinical stage biotechnology company that collaborated with AbbVie Inc. ( ABBV ) on a treatment for cystic fibrosis, announced March 22 the phase 1 study to assess GLPG3067's safety, tolerability and pharmacokinetics began.
With 48 healthy volunteers, the study is divided into three parts. In the first two parts, GLPG3067 will be assessed alone through single and multiple ascending doses administered to the volunteers. In the third part of the study, GLPG3067 will be assessed in combination with the corrector GLPG222.
The results of the study will be presented at a future medical conference.
The Belgian company says it will receive a milestone payment of $7.5 million from AbbVie for this study. The payment is part of a larger agreement the two companies made in September 2013.
GLPG3067 is a new potentiator that is being developed to treat the basic defect in some genetic forms of the disease. The basic defect originates from a particular mutation of the Cystic Fibrosis Transmembrane Regulator so that the CFTR protein, which is encoded by the CFTR gene, does not regulate the chlorine movement well, followed by the water movement from the inside toward the outside of the epithelial cells of the mucous glands.
A child born with cystic fibrosis inherited the mutation from both parents and the disease causes a broad range of gastrointestinal and respiratory problems. The latter can cause progressive damage to the lung tissue and is a major cause of morbidity among cystic fibrosis patients.
The carrier frequency of these genes in the Western Hemisphere is one out of 25 people.
Galapagos and AbbVie are closely working together to advance a combination therapy that will employ three complementary components for the treatment of most of patients with cystic fibrosis. The two companies are currently testing healthy volunteers with potentiator GLPG2451 and corrector GLPG2222 and plan to create a triple combination adding the corrector GLPG2737.
Galapagos is currently trading around $82.49 per share, up $2.5 or 3.13% from the previous close. The company has a market capitalization of $3.81 billion with 46.17 million shares outstanding.
The company closed fiscal 2016 with revenue of 151.6 million euros ($163.7 million), an operating loss of 11.5 million euros, net earnings of 54 million euros and 980.9 million euros in cash on hand.
AbbVie is trading around $65.26 per share, down nine cents or -0.14% from the previous trading day.
Disclosure: I have no positions in any stock mentioned in this article.
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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. | Galapagos NV ( GLPG ), the Belgian clinical stage biotechnology company that collaborated with AbbVie Inc. ( ABBV ) on a treatment for cystic fibrosis, announced March 22 the phase 1 study to assess GLPG3067's safety, tolerability and pharmacokinetics began. Galapagos and AbbVie are closely working together to advance a combination therapy that will employ three complementary components for the treatment of most of patients with cystic fibrosis. The Belgian company says it will receive a milestone payment of $7.5 million from AbbVie for this study. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Galapagos NV ( GLPG ), the Belgian clinical stage biotechnology company that collaborated with AbbVie Inc. ( ABBV ) on a treatment for cystic fibrosis, announced March 22 the phase 1 study to assess GLPG3067's safety, tolerability and pharmacokinetics began. The Belgian company says it will receive a milestone payment of $7.5 million from AbbVie for this study. | Galapagos NV ( GLPG ), the Belgian clinical stage biotechnology company that collaborated with AbbVie Inc. ( ABBV ) on a treatment for cystic fibrosis, announced March 22 the phase 1 study to assess GLPG3067's safety, tolerability and pharmacokinetics began. The Belgian company says it will receive a milestone payment of $7.5 million from AbbVie for this study. Galapagos and AbbVie are closely working together to advance a combination therapy that will employ three complementary components for the treatment of most of patients with cystic fibrosis. | Galapagos and AbbVie are closely working together to advance a combination therapy that will employ three complementary components for the treatment of most of patients with cystic fibrosis. Galapagos NV ( GLPG ), the Belgian clinical stage biotechnology company that collaborated with AbbVie Inc. ( ABBV ) on a treatment for cystic fibrosis, announced March 22 the phase 1 study to assess GLPG3067's safety, tolerability and pharmacokinetics began. The Belgian company says it will receive a milestone payment of $7.5 million from AbbVie for this study. |
26218.0 | 2017-03-22 00:00:00 UTC | Health Care Sector Update for 03/22/2017: GLPG,ABBV,MBRX,VTL | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-03222017-glpgabbvmbrxvtl-2017-03-22 | nan | nan | Top Health Care Stocks
JNJ -0.59%
PFE +0.31%
MRK -0.28%
ABT -0.91%
AMGN -0.06%
Health care stocks were slightly higher today, with the NYSE Health Care Index adding about 0.1% in value in recent trade while shares of health care companies in the S&P 500 have reversed course, falling about 0.1% as a group this afternoon.
In company news, Galapagos NV ( GLPG ) raced to an all-time high on Wednesday after the Belgian biotech company today began an early-stage study of its GLPH3067 product candidate, triggering a $7.5 million milestone payment from AbbVie ( ABBV ), its partner in developing the prospective treatment for cystic fibrosis.
Galapagos expects to eventually enroll at least 48 healthy volunteers for the double-blind and placebo-controlled Phase I trial evaluating GLPH3067's safety, tolerability and pharmacokinetics.
During the first part of the study, researchers will administer single, ascending doses of GLPG3067, followed by multiple, ascending doses every day for two weeks. The final part of the study - expected by mid-year - will combine GLPH3067 with another potentiator, GLPH2451, along with a GLPH2222 corrector, to evaluate their safety and tolerability. Topline results from the trial should be released at an upcoming medical conference, the company said.
GLPG shares were up almost 2% at $82.25 each this afternoon, earlier topping out today at a best-ever $82.67 a share. ABBV shares were little changed in recent trading at $65.31 apiece, falling about 0.1, after previously slipping to a session low of $65.10 a share.
In other sector news,
(+) MBRX, (+35.5%) Wins orphan-drug designation from the U.S. Food and Drug Administration for its liposomal annamycin chemotherapy for the treatment of acute myeloid leukemia.
(-) VTL, (-8.8%) Prices $35 mln public offering of 8.75 mln shares at $4 each, a 5.9% discount to Tuesday's closing price.
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 company news, Galapagos NV ( GLPG ) raced to an all-time high on Wednesday after the Belgian biotech company today began an early-stage study of its GLPH3067 product candidate, triggering a $7.5 million milestone payment from AbbVie ( ABBV ), its partner in developing the prospective treatment for cystic fibrosis. ABBV shares were little changed in recent trading at $65.31 apiece, falling about 0.1, after previously slipping to a session low of $65.10 a share. Galapagos expects to eventually enroll at least 48 healthy volunteers for the double-blind and placebo-controlled Phase I trial evaluating GLPH3067's safety, tolerability and pharmacokinetics. | In company news, Galapagos NV ( GLPG ) raced to an all-time high on Wednesday after the Belgian biotech company today began an early-stage study of its GLPH3067 product candidate, triggering a $7.5 million milestone payment from AbbVie ( ABBV ), its partner in developing the prospective treatment for cystic fibrosis. ABBV shares were little changed in recent trading at $65.31 apiece, falling about 0.1, after previously slipping to a session low of $65.10 a share. Top Health Care Stocks | In company news, Galapagos NV ( GLPG ) raced to an all-time high on Wednesday after the Belgian biotech company today began an early-stage study of its GLPH3067 product candidate, triggering a $7.5 million milestone payment from AbbVie ( ABBV ), its partner in developing the prospective treatment for cystic fibrosis. ABBV shares were little changed in recent trading at $65.31 apiece, falling about 0.1, after previously slipping to a session low of $65.10 a share. Health care stocks were slightly higher today, with the NYSE Health Care Index adding about 0.1% in value in recent trade while shares of health care companies in the S&P 500 have reversed course, falling about 0.1% as a group this afternoon. | In company news, Galapagos NV ( GLPG ) raced to an all-time high on Wednesday after the Belgian biotech company today began an early-stage study of its GLPH3067 product candidate, triggering a $7.5 million milestone payment from AbbVie ( ABBV ), its partner in developing the prospective treatment for cystic fibrosis. ABBV shares were little changed in recent trading at $65.31 apiece, falling about 0.1, after previously slipping to a session low of $65.10 a share. Health care stocks were slightly higher today, with the NYSE Health Care Index adding about 0.1% in value in recent trade while shares of health care companies in the S&P 500 have reversed course, falling about 0.1% as a group this afternoon. |
26219.0 | 2017-03-21 00:00:00 UTC | Is Valeant Pharmaceuticals Intl Inc (VRX) Stock Worth the Risk? | ABBV | https://www.nasdaq.com/articles/is-valeant-pharmaceuticals-intl-inc-vrx-stock-worth-the-risk-2017-03-21 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The dust is still settling from this week's announcement that Pershing Square Capital Management LP (billionaire and activist investor Bill Ackman's investment firm) has eliminated its remaining holding in embattled pharmaceutical firm Valeant Pharmaceuticals Intl Inc (NYSE: VRX ). Once the dust does settle, there is a valid argument to be made that VRX stock has been knocked down far enough to be worth a gamble as a value play.
Source: Wikimedia (Modified)
The Valeant Pharmaceuticals story is about as depressing as you are likely to find.
In less than two years, VRX stock has literally plummeted from a high near $260 to a current $10.7. That's a loss of some 96% for investors unfortunate enough to have purchased the shares at its all-time highs in July 2015. But if things improve from here on out, Valeant Pharmaceuticals stock could rise five-fold from current levels.
Will Valeant Survive Without Bill?
VRX has certainly faced a laundry list of problems lately. These include allegations about excessive pricing on its drugs, how it defines earnings, late financial filings and excessive debt that was intended to fund an aggressive acquisition program. Bill Ackman had seen enough, as have most investors.
Given the rapid and precipitous stock price decline, it is clear there are concerns over whether Valeant Pharmaceuticals is going to stay in business. Falling sales and a hefty debt load are key concerns right now, as is how Valeant defines EBITDA, or earnings before interest, taxes, depreciation and amortization.
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The level of EBTIDA is an important determinant of if VRX remains in compliance with the debt covenants on its debt. If EBITDA falls too low, the company can fall into default under the terms of its debt. Valeant Pharmaceuticals was already technically in default for filing its 2015 10-K late, but received a waiver and so far is in compliance with its covenants (such as leverage and interest coverage ratios).
During its most recent earnings conference call, management said it expects to remain in compliance with its debt covenants. A question came up regarding how the company defines EBITDA and management relayed that it is being careful with how it is calculated given it is divesting certain businesses, which affects reported profitability. Large asset sales include Dendreon Corporation (OTCMKTS: DNDNQ ) to Sanpower and skincare brands to L'Oreal SA (ADR) (OTCMKTS: LRLCY ).
It's difficult to say for certain how the year goes, but it is fair to say that there is a rather low likelihood Valeant defaults on its debt. It is fast restructuring, refinancing and plans to pay down $5 billion in debt within 18 months. It has sold off more than $2 billion in assets and plans to be in restructuring mode through 2018. There is also a fair amount of cash being generated by the existing businesses.
Moody's Informed Opinion on Valeant
Debt rating firm Moody's recently offered the following debt rating rational, which accurately summarizes the issues VRX stock is facing. It said the company has "very high financial leverage with gross debt/EBITDA above 7.0 times, and significant challenges in restoring organic growth. Valeant faces significant revenue erosion in the year ahead stemming from patent expirations, and other business lines face continuing pricing pressure and weak volume growth. Valeant also faces considerable uncertainty related to government investigations and other legal matters. High financial leverage creates refinancing risk, although Valeant does not face large maturities until 2020."
Cash Flow Looking Good
Valeant expects to report sales of $9 billion for all of 2017 and EBITDA of at least $3.55 billion. It considers that its best measure of profitability, but the cash flow statement is an even better measure. It didn't give any guidance on that, but based off the last few years there has been plenty of cash flow generation.
Last year, Valeant generated about $1.8 billion in free cash flow, or more than $5 per share. This suggests there is ample liquidity to continue to pay down debt of nearly $30 billion as of year-end (back in 2015 the company really levered up by issuing nearly $18 billion in debt).
Appealing Businesses
Looking at Valeant's operations, it really has some appealing products. Its Bausch & Lomb segment sells eye care drugs and products throughout the world. Its branded drug division sells dermatology, oncology and dentistry products, and it also sells branded and generic drugs in the United States (its third major division). Bausch & Lomb should grow 4% to 6% this year and branded drugs 8% to 10%. The last division could show a sales decline of up to 10%.
Valeant Pharmaceuticals has more than two dozen drugs that generate at least $80 million in annual sales. In fact, its drug portfolio is pretty diversified and not concentrated in a few key drugs. For example, AbbVie Inc (NYSE: ABV ) is highly dependent on Humira and Gilead Sciences, Inc. (NASDAQ: GILD ) is dependent on its Hepatitis C drugs.
VRX's drug development pipeline also looks decent. In a recent earnings presentation it said it has 135 active R&D programs and should launch 50 new products this year.
Bottom Line on VRX Stock
Valeant ended its earnings conference call remarks with the following thoughts on when it ends the current restructuring campaign: "Looking to 2018 and beyond, our focus will be transforming the company by innovating for the future, leading in our categories, launching more new products, and balancing organic growth with inorganic growth as appropriate."
To me, that wasn't a very specific, or encouraging outlook. It demonstrates the company has too many moving parts and is overly focused on surviving the next couple of years. Its last strategy to raise debt and buy rivals with an inflated stock price is gone for good.
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Instead, the company will have to return focus to managing its existing business. If it remains in compliance with all of its debt covenants and can keep sales steady, then it should recover to a relatively stable pharmaceutical company.
If it does, a $50 stock price doesn't seem out of the question. That is only 10 times the current free cash flow production. It is still a far cry from where VRX stock traded just over a year ago, but it is nearly five times from where it trades currently.
Many investors have probably decided to avoid Valeant Pharmaceuticals stock completely. There is a lot of risk and there are probably too many moving parts to reasonably keep track of. But there is also opportunity in uncertainty, and if management can navigate the next 18 months well, it could help sow the seeds for a significant stock run from current levels.
For more risk-averse investors, more stodgy pharma stocks including Pfizer Inc. (NYSE: PFE ) and Merck & Co., Inc. (NYSE: MRK ), offer a steadier mix of reasonable valuation, dividend yield and earnings growth.
As of this writing, Ryan Fuhrmann 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. | For example, AbbVie Inc (NYSE: ABV ) is highly dependent on Humira and Gilead Sciences, Inc. (NASDAQ: GILD ) is dependent on its Hepatitis C drugs. InvestorPlace - Stock Market News, Stock Advice & Trading Tips The dust is still settling from this week's announcement that Pershing Square Capital Management LP (billionaire and activist investor Bill Ackman's investment firm) has eliminated its remaining holding in embattled pharmaceutical firm Valeant Pharmaceuticals Intl Inc (NYSE: VRX ). Falling sales and a hefty debt load are key concerns right now, as is how Valeant defines EBITDA, or earnings before interest, taxes, depreciation and amortization. | For example, AbbVie Inc (NYSE: ABV ) is highly dependent on Humira and Gilead Sciences, Inc. (NASDAQ: GILD ) is dependent on its Hepatitis C drugs. InvestorPlace - Stock Market News, Stock Advice & Trading Tips The dust is still settling from this week's announcement that Pershing Square Capital Management LP (billionaire and activist investor Bill Ackman's investment firm) has eliminated its remaining holding in embattled pharmaceutical firm Valeant Pharmaceuticals Intl Inc (NYSE: VRX ). These include allegations about excessive pricing on its drugs, how it defines earnings, late financial filings and excessive debt that was intended to fund an aggressive acquisition program. | For example, AbbVie Inc (NYSE: ABV ) is highly dependent on Humira and Gilead Sciences, Inc. (NASDAQ: GILD ) is dependent on its Hepatitis C drugs. InvestorPlace - Stock Market News, Stock Advice & Trading Tips The dust is still settling from this week's announcement that Pershing Square Capital Management LP (billionaire and activist investor Bill Ackman's investment firm) has eliminated its remaining holding in embattled pharmaceutical firm Valeant Pharmaceuticals Intl Inc (NYSE: VRX ). Moody's Informed Opinion on Valeant Debt rating firm Moody's recently offered the following debt rating rational, which accurately summarizes the issues VRX stock is facing. | For example, AbbVie Inc (NYSE: ABV ) is highly dependent on Humira and Gilead Sciences, Inc. (NASDAQ: GILD ) is dependent on its Hepatitis C drugs. InvestorPlace - Stock Market News, Stock Advice & Trading Tips The dust is still settling from this week's announcement that Pershing Square Capital Management LP (billionaire and activist investor Bill Ackman's investment firm) has eliminated its remaining holding in embattled pharmaceutical firm Valeant Pharmaceuticals Intl Inc (NYSE: VRX ). Cash Flow Looking Good Valeant expects to report sales of $9 billion for all of 2017 and EBITDA of at least $3.55 billion. |
26220.0 | 2017-03-20 00:00:00 UTC | 5 Dividend Aristocrats Where Analysts See Capital Gains | ABBV | https://www.nasdaq.com/articles/5-dividend-aristocrats-where-analysts-see-capital-gains-2017-03-20 | nan | nan | To become a "Dividend Aristocrat," a dividend paying company must accomplish an incredible feat: consistently increase shareholder dividends every year for at least 20 consecutive years. Companies with this kind of track record tend to attract a lot of investor attention - and furthermore, "tracking" funds that follow the Dividend Aristocrats Index must own them. With all of this demand for shares, dividend growth stocks can sometimes become "fully priced," where there isn't much upside to analyst targets.
But we here at ETF Channel have looked through the underlying holdings of the SPDR S&P Dividend ETF (which tracks the S&P High Yield Dividend Aristocrats Index), and found these five dividend growth stocks that actually still have fairly substantial upside to the average analyst target price 12 months out. Which means, if the analysts are correct, these are five dividend growth stocks that could produce capital gains in addition to their growing dividend payments.
In the first table below, we present the five stocks. The recent share price, average analyst 12-month target price, and percentage upside to reach the analyst target are presented.
The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period - so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. To ballpark that total return potential, we have added the current yield to the analyst target price upside, in order to arrive at the 12-month total return potential:
Another consideration with dividend growth stocks is just how much the dividend is growing . We looked up the trailing twelve months worth of dividends shareholders of each of the above five companies have collected, and then also looked up the same number for the prior trailing twelve months. This gives us a rough yardstick to see how much the dividend has grown, from one trailing twelve month period to another.
These five stocks are part of our full Dividend Aristocrats List . The average analyst target price data upon which this article was based, is courtesy of data provided by Zacks Investment Research via Quandl.com .
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Dividend Growth Stocks: 25 Aristocrats »
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 all of this demand for shares, dividend growth stocks can sometimes become "fully priced," where there isn't much upside to analyst targets. To ballpark that total return potential, we have added the current yield to the analyst target price upside, in order to arrive at the 12-month total return potential: Another consideration with dividend growth stocks is just how much the dividend is growing . Get the latest Zacks research report on PPG - FREE Get the latest Zacks research report on ABT - FREE Dividend Growth Stocks: 25 Aristocrats » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The recent share price, average analyst 12-month target price, and percentage upside to reach the analyst target are presented. The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period - so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Get the latest Zacks research report on PPG - FREE Get the latest Zacks research report on ABT - FREE Dividend Growth Stocks: 25 Aristocrats » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | But we here at ETF Channel have looked through the underlying holdings of the SPDR S&P Dividend ETF (which tracks the S&P High Yield Dividend Aristocrats Index), and found these five dividend growth stocks that actually still have fairly substantial upside to the average analyst target price 12 months out. The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period - so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. To ballpark that total return potential, we have added the current yield to the analyst target price upside, in order to arrive at the 12-month total return potential: Another consideration with dividend growth stocks is just how much the dividend is growing . | But we here at ETF Channel have looked through the underlying holdings of the SPDR S&P Dividend ETF (which tracks the S&P High Yield Dividend Aristocrats Index), and found these five dividend growth stocks that actually still have fairly substantial upside to the average analyst target price 12 months out. The recent share price, average analyst 12-month target price, and percentage upside to reach the analyst target are presented. Get the latest Zacks research report on PPG - FREE Get the latest Zacks research report on ABT - FREE Dividend Growth Stocks: 25 Aristocrats » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
26221.0 | 2017-03-16 00:00:00 UTC | Pfizer's Arthritis Drug Xeljanz Gets Marketing Nod in China | ABBV | https://www.nasdaq.com/articles/pfizers-arthritis-drug-xeljanz-gets-marketing-nod-in-china-2017-03-16 | nan | nan | Pfizer, Inc. 's PFE rheumatoid arthritis (RA) drug, Xeljanz (5 mg taken twice daily) has received marketing approval in China to be used in combination with methotrexate (MTX) or other non-biologic disease-modifying antirheumatic drugs (DMARDs).
Xeljanz (5 mg twice daily), a JAK inhibitor, is presently approved in the U.S. as a second-line treatment for moderate-to-severely active RA in patients who have had an inadequate response to or cannot tolerate methotrexate. In Feb 2016, the FDA approved a once-daily extended-release (XR) formulation of Xeljanz (11 mg) tablets.
Pfizer's shares are up 6.6% so far this year, almost in line with the Zacks classified Large-Cap Pharma industry's return of 6.5%.
Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira.
The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. The study demonstrated non-inferiority of Xeljanz plus MTX versus Humira plus MTX, thereby meeting the primary endpoint. However, Xeljanz monotherapy did not demonstrate non-inferiority versus Humira plus MTX, thereby failing to meet the primary endpoint.
Xeljanz is also being studied for the treatment of active psoriatic arthritis (PsA) and ulcerative colitis. Label and geographical expansion will boost the drug's commercial potential significantly.
Blockbuster drugs currently approved to treat RA include Johnson & Johnson's JNJ Remicade and Amgen, Inc.'s AMGN Enbrel that Pfizer markets outside the U.S. and Canada.
Pfizer 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. | Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Xeljanz (5 mg twice daily), a JAK inhibitor, is presently approved in the U.S. as a second-line treatment for moderate-to-severely active RA in patients who have had an inadequate response to or cannot tolerate methotrexate. | Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. | Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. Pfizer, Inc. 's PFE rheumatoid arthritis (RA) drug, Xeljanz (5 mg taken twice daily) has received marketing approval in China to be used in combination with methotrexate (MTX) or other non-biologic disease-modifying antirheumatic drugs (DMARDs). | Last month, Pfizer announced top-line results from a head-to-head study comparing Xeljanz with AbbVie, Inc.'s ABBV Humira. Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Pfizer, Inc. 's PFE rheumatoid arthritis (RA) drug, Xeljanz (5 mg taken twice daily) has received marketing approval in China to be used in combination with methotrexate (MTX) or other non-biologic disease-modifying antirheumatic drugs (DMARDs). |
26222.0 | 2017-03-15 00:00:00 UTC | 3 Stocks to Add to Your Social Security Income | ABBV | https://www.nasdaq.com/articles/3-stocks-add-your-social-security-income-2017-03-15 | nan | nan | If you are looking for ways to generate more income during your golden years, owning a few high-quality dividend-paying stocks can make a lot of sense. AbbVie (NYSE: ABBV) , Enbridge (NYSE: ENB) , and Pebblebrook Hotel Trust (NYSE: PEB) are all rock-solid dividend payers that offer above-average yields and promise long-term growth. Here's why I think they could be terrific choices for any investor who wants more spending money.
This biotech giant is built for growth
While biotech giant AbbVie has been trading on the markets for only a few years, it actually boasts a long and storied past. AbbVie was spun off from the Dividend Aristocrat Abbott Laboratories in 2013, and it has turned into a great long-term investment. Shares have climbed more than 87% since the split, which is a return that beats both the S&P 500 and its former parent.
AbbVie's success can be traced to its top-selling autoimmune disease drug, Humira. This megablockbuster product grew by nearly 15% last year to ring up more than $16 billion in total sales. When adding the gains of the company's other drugs such as cancer hit Imbruvica, total revenue and earnings per share (EPS) grew by 13% and 12%, respectively, in 2016.
While looming biosimilar competition for Humira is a cause for concern, AbbVie continues to appear poised for growth. The company has 12 late-stage clinical trials currently underway and another 21 drugs in the mid-stage development. I'm particularly excited about the cancer drug Rova-T, the leukemia drug Venclexta, and the autoimmune disease drug risankizumab since some analysts believe they each hold billion-dollar blockbuster potential. If that's true, they could go a long way toward offsetting any future weakness from Humira.
In total, Wall Street expects AbbVie's EPS to grow by more than 14% annually over the next five years. Despite the double-digit growth potential, shares are currently trading for about 10 times forward earnings. Those are attractive figures for a company that throws off a dividend yield of 3.9%.
A pipeline to prosperity
While the recent energy downturn provided many investors with a wake-up call, I still find plenty of reasons to warm up to companies that are focused on energy transportation. One of my favorites from the industry is Enbridge, a Canadian pipeline operator that primarily transports petroleum-based products.
While Enbridge has been around for decades and has grown into an industry giant, the company recently took a significant leap forward thanks to its acquisition of Spectra Energy. The markets loved this deal in part because Spectra Energy is primarily focused on natural gas. That provides the combined company with a broader mix of products, which should provide an extra layer of diversification. The acquisition also transformed the company into the largest energy infrastructure company in North America.
With the deal now completed, Enbridge looks built for growth. The company has more than 26 billion Candian dollars' ($19 billion) worth of projects under development and another CA$48 billion of future projects lined up. As these projects come online, Enbridge's bottom line should swell. The company plans on sharing its extra profits with investors in the form of an ever-growing dividend payment. The plan is to boost the dividend by 15% this year and by double digits annually through 2024. Since 96% of the company's cash flow is supported by long-term fee-based contracts, I think these estimates are reasonably secure. With shares offering up a dividend yield of over 4%, there are plenty of reasons for income investors to give this company a closer look.
A high-end hotel flipper
Pebblebrook Hotel Trust is a real estate investment trust, or REIT , that is focused on hotels. However, Pebblebrook operates a slightly different playbook than other hotel REITs. The company's business model is to buy high-end hotels that have been poorly managed and then renovate them to increase their profits. Once a project is completed, the company finds a buyer who is willing to pay a premium for the upgraded hotel. The company then banks a healthy profit for its efforts and searches for its next target.
This strategy has worked like a charm. Over the past five years, Pebblebrook's adjusted funds from operations (AFFO) -- which is a REIT's proxy for earnings -- have grown by 22% annually. Management has returned that growing cash stream to investors in the form of a fast-growing dividend.
PEB Dividend data by YCharts .
And yet, despite the stock's history of success, shares have sold off the last two years. That could be owed to declining growth of AFFO as management continues to shed assets in order to repay debt and redeem preferred shares. In fact, when adding in some recent weakness in the business travel market, the company is guiding for AFFO to be negative over the next year .
While the next few years could be slow, I think that an investment today still makes sense. Management believes that the company's net asset value (NAV) currently lies between $36 and $40 per share. Meanwhile, shares are currently trading hands for about $28. That means that investors can buy into this high-quality REIT at a 20% discount to the low end of management's NAV range. Add in a dividend yield of 5.5%, a winning business model, and a management team that has proven its chops, and I think income-seeking investors have good reasons to buy this stock right now.
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Brian Feroldi owns shares of Enbridge. The Motley Fool owns shares of and recommends Enbridge. The Motley Fool recommends Pebblebrook Hotel Trust. 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) , Enbridge (NYSE: ENB) , and Pebblebrook Hotel Trust (NYSE: PEB) are all rock-solid dividend payers that offer above-average yields and promise long-term growth. This biotech giant is built for growth While biotech giant AbbVie has been trading on the markets for only a few years, it actually boasts a long and storied past. AbbVie was spun off from the Dividend Aristocrat Abbott Laboratories in 2013, and it has turned into a great long-term investment. | AbbVie (NYSE: ABBV) , Enbridge (NYSE: ENB) , and Pebblebrook Hotel Trust (NYSE: PEB) are all rock-solid dividend payers that offer above-average yields and promise long-term growth. This biotech giant is built for growth While biotech giant AbbVie has been trading on the markets for only a few years, it actually boasts a long and storied past. AbbVie was spun off from the Dividend Aristocrat Abbott Laboratories in 2013, and it has turned into a great long-term investment. | AbbVie (NYSE: ABBV) , Enbridge (NYSE: ENB) , and Pebblebrook Hotel Trust (NYSE: PEB) are all rock-solid dividend payers that offer above-average yields and promise long-term growth. This biotech giant is built for growth While biotech giant AbbVie has been trading on the markets for only a few years, it actually boasts a long and storied past. AbbVie was spun off from the Dividend Aristocrat Abbott Laboratories in 2013, and it has turned into a great long-term investment. | AbbVie (NYSE: ABBV) , Enbridge (NYSE: ENB) , and Pebblebrook Hotel Trust (NYSE: PEB) are all rock-solid dividend payers that offer above-average yields and promise long-term growth. This biotech giant is built for growth While biotech giant AbbVie has been trading on the markets for only a few years, it actually boasts a long and storied past. AbbVie was spun off from the Dividend Aristocrat Abbott Laboratories in 2013, and it has turned into a great long-term investment. |
26223.0 | 2017-03-14 00:00:00 UTC | 3 High-Yield Investments in Healthcare | ABBV | https://www.nasdaq.com/articles/3-high-yield-investments-healthcare-2017-03-14 | nan | nan | Are you looking for great high-yield investment alternatives? We asked three of our top healthcare contributors to weigh in on which dividend stocks were solid picks in the sector.
Their responses included a biotech ( AbbVie (NYSE: ABBV) ), a real estate investment trust (REIT) -- ( Omega Healthcare Investors (NYSE: OHI) ), and a generic/specialty-drug maker ( Teva Pharmaceutical Industries (NYSE: TEVA) ). Here's why you might want to check out these high-yield healthcare stocks.
Best biotech dividend stock around
Keith Speights (AbbVie): With apologies to Sir Mix-A-Lot, I like big checks and I cannot lie. My favorite high-yield biotech dividend stock is AbbVie. This big biotech sports a dividend yield of 3.9%. And there's plenty more to like.
For one thing, AbbVie has increased its dividend every year of the company's existence. Since the biotech was spun off by parent Abbott Laboratories , AbbVie has grown its dividend by 60%.
There doesn't appear to be much risk that the dividend will be cut any time in the foreseeable future, either. AbbVie uses just over 60% of its earnings to fund the dividend program. That leaves plenty of wiggle room for future increases.
Even better, the company's earnings should increase solidly over the next few years. AbbVie continues to see nice growth with its top-selling drug, Humira. The biotech also claims fast-rising cancer drug Imbruvica on its roster.
Several pipeline candidates should help fuel growth as well. Rova-T could supplement Imbruvica and Venclexta in AbbVie's oncology lineup. Experimental autoimmune disease drugs risankizumab and ABT-494 appear to be on track to join Humira in 2019. AbbVie plans to file for regulatory approval for elagolix in treating endometriosis this year, with results from a late-stage study of the drug in treating uterine fibroids on the way by 2018.
High yield, reasonable payout ratio, and strong earnings growth potential. It's hard to beat AbbVie.
A quarterly crowd pleaser
Cory Renauer (Omega Healthcare Investors): Would you be interested in a stock with an 8% yield? How about one that raises its payout every quarter? Well, this healthcare REIT offers both.
For 18 straight quarters, Omega has raised its payout, from $0.40 in October 2011 to $0.62 this February, and it's got plenty of runway to continue giving its shareholders something to look forward to every 90 days. Last year, funds from operations ( FFO ) rose 29.8% over the previous year, to $3.27 per share, and management expects between $3.38 and $3.42 this year. The latest payment annualized works out to about 73% of the lower end of this year's FFO per share guidance.
Looking further ahead, Omega Healthcare looks well positioned to benefit from America's fastest-growing demographic. Longer life spans and scores of baby boomers entering their twilight years should continue raising demand for skilled-nursing and long-term care facilities for many years to come.
Although I might not recommend investing in individual operators of such facilities, Omega merely collects rent and mortgage payments. In other words, its customers don't necessarily need to thrive for the company to grow -- they just need to pay their bills. That makes this a high-yield dividend stock that's easy to hang on to for the long haul.
This isn't your "generic" income stock
Sean Williams(Teva Pharmaceutical Industries): When I think of superior-yielding healthcare stocks, I'm instantly drawn (and clearly biased) toward Teva Pharmaceutical, a holding in my personal portfolio.
Teva, a hybrid drugmaker of branded and generic therapeutics, has had a rough go over the trailing year. Shares of the company have lost nearly half of their value based on a confluence of factors. This includes Copaxone, the company's lead branded therapy for multiple sclerosis (MS), expecting to face generic competition in the months that lie ahead, as well as the admission of bribery in select overseas markets. Teva also recently underwent a CEO change. In many ways, Teva's stock downtrend has been merited.
However, it's my contention that Teva and its 4% dividend yield may be ripe for the picking. For instance, Teva managed to reformulate Copaxone from a once-daily injection to a thrice-weekly injection, which is more convenient for MS patients. Though the patent battle over this reformulation is ongoing, Teva should be able to adequately shield a significant portion of its sales from generic competition. Plus, Teva has years of rapport built with patients and physicians that could keep them loyal to the Copaxone brand. This isn't to say Teva will be able to retain all of its Copaxone sales, but the rate at which Copaxone sales will deteriorate may be overstated by Wall Street analysts.
More importantly, Teva recently acquired generic-drug unit Actavis from Allergan for $40.5 billion in a cash-and-stock deal. This deal makes Teva the largest generic-drug maker in the world. Although the acquisition boosted the company's debt load, that's far from an issue. The combined entity should be able to squeeze out $1.4 billion in annual cost synergies as early as 2019, and as a result it'll likely have better pricing power based on its size. Not to mention, as branded therapies grow more expensive, global governments and insurers will frequently push for greater generic-drug usage. Teva can win the battle from both angles.
While its dividend is somewhat of a hodgepodge that's based on profitability, Teva has consistently been paying $0.289 per quarter over the past eight quarters. At 4%, Teva's yield is roughly double that of the S&P 500 . With strong profits and a single-digit forward P/E expected, Teva is an income stock I believe you can trust.
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Cory Renauer has no position in any stocks mentioned. Keith Speights owns shares of AbbVie. Sean Williams owns shares of Teva Pharmaceutical Industries. The Motley Fool recommends Teva Pharmaceutical Industries. 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. | Their responses included a biotech ( AbbVie (NYSE: ABBV) ), a real estate investment trust (REIT) -- ( Omega Healthcare Investors (NYSE: OHI) ), and a generic/specialty-drug maker ( Teva Pharmaceutical Industries (NYSE: TEVA) ). Best biotech dividend stock around Keith Speights (AbbVie): With apologies to Sir Mix-A-Lot, I like big checks and I cannot lie. My favorite high-yield biotech dividend stock is AbbVie. | Their responses included a biotech ( AbbVie (NYSE: ABBV) ), a real estate investment trust (REIT) -- ( Omega Healthcare Investors (NYSE: OHI) ), and a generic/specialty-drug maker ( Teva Pharmaceutical Industries (NYSE: TEVA) ). Best biotech dividend stock around Keith Speights (AbbVie): With apologies to Sir Mix-A-Lot, I like big checks and I cannot lie. My favorite high-yield biotech dividend stock is AbbVie. | Their responses included a biotech ( AbbVie (NYSE: ABBV) ), a real estate investment trust (REIT) -- ( Omega Healthcare Investors (NYSE: OHI) ), and a generic/specialty-drug maker ( Teva Pharmaceutical Industries (NYSE: TEVA) ). Best biotech dividend stock around Keith Speights (AbbVie): With apologies to Sir Mix-A-Lot, I like big checks and I cannot lie. My favorite high-yield biotech dividend stock is AbbVie. | Their responses included a biotech ( AbbVie (NYSE: ABBV) ), a real estate investment trust (REIT) -- ( Omega Healthcare Investors (NYSE: OHI) ), and a generic/specialty-drug maker ( Teva Pharmaceutical Industries (NYSE: TEVA) ). Best biotech dividend stock around Keith Speights (AbbVie): With apologies to Sir Mix-A-Lot, I like big checks and I cannot lie. My favorite high-yield biotech dividend stock is AbbVie. |
26224.0 | 2017-03-13 00:00:00 UTC | Noteworthy ETF Inflows: XLV, AMGN, MDT, ABBV | ABBV | https://www.nasdaq.com/articles/noteworthy-etf-inflows-xlv-amgn-mdt-abbv-2017-03-13 | 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 $353.3 million dollar inflow -- that's a 2.2% increase week over week in outstanding units (from 214,815,324 to 219,465,324). Among the largest underlying components of XLV, in trading today Amgen Inc (Symbol: AMGN) is down about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.6%, and AbbVie Inc (Symbol: ABBV) is lower by about 0.7%. 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 $65.66 per share, with $76.09 as the 52 week high point - that compares with a last trade of $75.69. 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 Amgen Inc (Symbol: AMGN) is down about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.6%, and AbbVie Inc (Symbol: ABBV) is lower by about 0.7%. 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 $353.3 million dollar inflow -- that's a 2.2% increase week over week in outstanding units (from 214,815,324 to 219,465,324). 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 Amgen Inc (Symbol: AMGN) is down about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.6%, and AbbVie Inc (Symbol: ABBV) is lower by about 0.7%. 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 $65.66 per share, with $76.09 as the 52 week high point - that compares with a last trade of $75.69. 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 Amgen Inc (Symbol: AMGN) is down about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.6%, and AbbVie Inc (Symbol: ABBV) is lower by about 0.7%. 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 $353.3 million dollar inflow -- that's a 2.2% increase week over week in outstanding units (from 214,815,324 to 219,465,324). 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 $65.66 per share, with $76.09 as the 52 week high point - that compares with a last trade of $75.69. | Among the largest underlying components of XLV, in trading today Amgen Inc (Symbol: AMGN) is down about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.6%, and AbbVie Inc (Symbol: ABBV) is lower by about 0.7%. 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 $353.3 million dollar inflow -- that's a 2.2% increase week over week in outstanding units (from 214,815,324 to 219,465,324). 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 $65.66 per share, with $76.09 as the 52 week high point - that compares with a last trade of $75.69. |
26225.0 | 2017-03-13 00:00:00 UTC | Why AbbVie Inc Was a Named Top Dividend Stock (ABBV) | ABBV | https://www.nasdaq.com/articles/why-abbvie-inc-was-a-named-top-dividend-stock-abbv-2017-03-13 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
AbbVie Inc ( ABBV ) has been named to the Dividend Channel "S.A.F.E. 25" list, signifying a stock with above-average "DividendRank" statistics including a strong 3.9% yield, as well as a superb track record of at least two decades of dividend growth, according to the most recent "DividendRank" report.
According to the ETF Finder at ETF Channel , AbbVie is a member of the iShares S&P 1500 Index ETF ( ITOT ), and is also an underlying holding representing 1.77% of the SPDR S&P Dividend ETF ( SDY ), which holds $272,268,804 worth of ABBV shares.
AbbVie Inc made the "Dividend Channel S.A.F.E. 25" list because of these qualities: S . Solid return - hefty yield and strong DividendRank characteristics; A. Accelerating amount - consistent dividend increases over time; F . Flawless history - never a missed or lowered dividend; E. Enduring - at least two decades of dividend payments.
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Top 25 S.A.F.E. Dividend Stocks Increasing Payments For Decades »
The annualized dividend paid by AbbVie is $2.56 per share, currently paid in quarterly installments, and its most recent dividend ex-date was on 04/11/2017.
10 Monthly Dividend Stocks to Buy to Pay the Bills
Below is a long-term dividend history chart for ABBV, which the report stressed as being of key importance.
ABBV operates in the Drugs & Pharmaceuticals sector, among companies like Johnson & Johnson ( JNJ ), and Pfizer Inc. ( PFE ).
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The post Why AbbVie Inc Was a Named Top Dividend Stock (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. | 10 Monthly Dividend Stocks to Buy to Pay the Bills Below is a long-term dividend history chart for ABBV, which the report stressed as being of key importance. InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie Inc ( ABBV ) has been named to the Dividend Channel "S.A.F.E. According to the ETF Finder at ETF Channel , AbbVie is a member of the iShares S&P 1500 Index ETF ( ITOT ), and is also an underlying holding representing 1.77% of the SPDR S&P Dividend ETF ( SDY ), which holds $272,268,804 worth of ABBV shares. | Dividend Stocks Increasing Payments For Decades » The annualized dividend paid by AbbVie is $2.56 per share, currently paid in quarterly installments, and its most recent dividend ex-date was on 04/11/2017. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie Inc ( ABBV ) has been named to the Dividend Channel "S.A.F.E. | Dividend Stocks Increasing Payments For Decades » The annualized dividend paid by AbbVie is $2.56 per share, currently paid in quarterly installments, and its most recent dividend ex-date was on 04/11/2017. More From InvestorPlace 7 Cheap Dividend Stocks to Buy Now The 7 Best ETFs for Retirement Investors 7 Blue-Chip Stocks That Are Flush With Cash The post Why AbbVie Inc Was a Named Top Dividend Stock (ABBV) appeared first on InvestorPlace . InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie Inc ( ABBV ) has been named to the Dividend Channel "S.A.F.E. | Dividend Stocks Increasing Payments For Decades » The annualized dividend paid by AbbVie is $2.56 per share, currently paid in quarterly installments, and its most recent dividend ex-date was on 04/11/2017. More From InvestorPlace 7 Cheap Dividend Stocks to Buy Now The 7 Best ETFs for Retirement Investors 7 Blue-Chip Stocks That Are Flush With Cash The post Why AbbVie Inc Was a Named Top Dividend Stock (ABBV) appeared first on InvestorPlace . InvestorPlace - Stock Market News, Stock Advice & Trading Tips AbbVie Inc ( ABBV ) has been named to the Dividend Channel "S.A.F.E. |
26226.0 | 2017-03-13 00:00:00 UTC | The 19 Best-Selling Prescription Drugs of All-Time | ABBV | https://www.nasdaq.com/articles/19-best-selling-prescription-drugs-all-time-2017-03-13 | nan | nan | If you've picked up a prescription at your pharmacy anytime recently, or have been administered prescription medicines in your doctor's office or at a hospital, you probably don't need me telling you that they're exceptionally pricey (and growing pricier by the year).
Yet, on the other side of the coin, brand-name prescription drugs are what keep the lights on for drugmakers. Pharmaceutical and biotech companies rely heavily on the pricing power of their approved therapies in order to stay ahead of inflation, as well as fuel the cash flow that's needed to power additional innovation and possible business development (e.g., mergers and acquisitions).
Among the bounty of approved Food and Drug Administration drugs is the crème de la crème: blockbusters. A blockbuster drug is one that generates $1 billion or more in annual sales. The more blockbuster drugs in a drugmakers' pipeline, the more profitable it probably is, and the more cash flow it should be generating.
The best-selling prescription drugs of all-time
However, some drugs are literally in a class of their own. I'm talking about drugs that are or were generating $5 billion or more in annual sales regularly for years, if not longer than a decade. These upper echelon drugs are often what keep pharmaceutical and biotech companies relevant to investors and are what keep their growth engines churning.
Of course, as is the case with all brand-name drugs, patent expirations eventually allow generic competitors to enter the market, dramatically slowing legacy sales. Nonetheless, some brand-name prescription drugs have racked up some exceptional all-time sales figures. Utilizing the lifetime sales of over one-dozen top-selling branded drugs provided by Forbes between 1996 and 2012 and company reported sales data between 2013 and 2016, here are the 19 best-selling prescription drugs of all-time.
Data source: Forbes (1996 through 2012) and company-reported data from 2013-2016. Table by author. All data in millions of U.S. dollars. Exchange rates on March 8, 2017 used to calculate sales figures for companies reporting in GBP, EUR, or CHF.
Some intriguing observations
One number that probably jumps out and grabs you is Lipitor's lifetime sales. Pfizer (NYSE: PFE) , the drug giant behind Lipitor, milked its cholesterol-lowering drug for every last drop of revenue prior to its patent expiration earlier this decade. However, Lipitor still lives on for Pfizer as a blockbuster drug, with most of its sales coming from China and overseas markets. Lipitor still generated $1.76 billion in sales for Pfizer in 2016, pushing its lifetime sales to $148.7 billion!
Another lifetime sales figure that should really stand out is AbbVie 's(NYSE: ABBV) anti-inflammatory drug Humira, which is currently in second place with $95.6 billion in lifetime sales. This $53 billion gap between Humira and Lipitor might appear insurmountable, but it's possible that Humira could pass Lipitor by as early as 2020 for the title of most lifetime sales. Humira is approved in 10 indications, and it generated more than $16 billion in sales for AbbVie last year alone (the single-best year for a prescription drug on record). The big question mark is whether AbbVie can keep biosimilar competition on the sidelines. If it can, Humira has a path to become the best-selling drug ever.
In terms of trends, you might note that many of these brand-name drugs treat specialized diseases. In other words, they treat cancer, an autoimmune disease, or some other specialized ailment. Specialized drug prices have been growing in leaps and bounds in recent years, which means that volume may not necessarily be driving sales of these therapies higher so much as price hikes. A good example would be Amgen 's(NASDAQ: AMGN) anti-inflammatory drug Enbrel, which grew revenue by 14% in 2016, but actually had units sold of the drug fall by 6% year-over-year. This means price increases drove its 14% total growth.
Finally, it's worth pointing out that some of these drugs are still chugging along with huge annual sales figures, while others have all but disappeared from the spectrum. Aside from Humira's $16 billion in sales in 2016, Merck 's Januvia, Sanofi 's Lantus, and Roche 's Avastin, Herceptin, and Rituxan/MabThera, all generated north of $6 billion in sales in 2016. On the other hand, Bristol-Myers Squibb 's Abilify, Eli Lilly 's Zyprexa, AstraZeneca 's Seroquel, and Merck's Singulair all totaled less than $1 billion in sales last year.
The Trump factor
Perhaps the biggest question mark for these best-selling drugs is what their future might hold with Donald Trump as president. In years past, Congress more or less swept pricing issues under the rug. Trump has considered taking a more proactive approach, having noted on multiple occasions that he would lower prescription drug prices while president.
One of the biggest obstacles for Trump is that he probably can't tackle prescription drug pricing reform until he's resolved a number of other issues on his plate. This includes taking care of the passage of his healthcare plan, as well as tax and trade reform. It's unlikely that Trump will be serious about reforming prescription drug prices until these other issues are dealt with.
It also remains to be seen if Trump's ideas are even feasible. Trump has previously opined that he would substantially deregulate the Food and Drug Administration, as well as allow consumers to purchase prescription drugs in foreign markets. It's no secret that drugmakers subsidize their sales in foreign markets by pricing their drugs high in the U.S., which is why Trump wants to allow consumers the opportunity to buy brand-name drugs from foreign markets. The concern with Trump's plan is that FDA reform may not be possible to the extent he desires. The FDA has certain checks and balances in place to preserve the manufacturing safety of drugs sold. By importing drugs, it would completely circumvent these safety protocols.
It's pretty clear that Trump doesn't want to sweep prescription drug reform under the rug during his presidency, but it's unlikely that we'll see many of these best-selling drugs struggling to thrive while he's in the Oval Office.
10 stocks we like better than AbbVie
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Sean Williams has no position in any stocks 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. | Another lifetime sales figure that should really stand out is AbbVie 's(NYSE: ABBV) anti-inflammatory drug Humira, which is currently in second place with $95.6 billion in lifetime sales. Humira is approved in 10 indications, and it generated more than $16 billion in sales for AbbVie last year alone (the single-best year for a prescription drug on record). The big question mark is whether AbbVie can keep biosimilar competition on the sidelines. | Another lifetime sales figure that should really stand out is AbbVie 's(NYSE: ABBV) anti-inflammatory drug Humira, which is currently in second place with $95.6 billion in lifetime sales. Humira is approved in 10 indications, and it generated more than $16 billion in sales for AbbVie last year alone (the single-best year for a prescription drug on record). The big question mark is whether AbbVie can keep biosimilar competition on the sidelines. | Another lifetime sales figure that should really stand out is AbbVie 's(NYSE: ABBV) anti-inflammatory drug Humira, which is currently in second place with $95.6 billion in lifetime sales. Humira is approved in 10 indications, and it generated more than $16 billion in sales for AbbVie last year alone (the single-best year for a prescription drug on record). The big question mark is whether AbbVie can keep biosimilar competition on the sidelines. | Another lifetime sales figure that should really stand out is AbbVie 's(NYSE: ABBV) anti-inflammatory drug Humira, which is currently in second place with $95.6 billion in lifetime sales. Humira is approved in 10 indications, and it generated more than $16 billion in sales for AbbVie last year alone (the single-best year for a prescription drug on record). The big question mark is whether AbbVie can keep biosimilar competition on the sidelines. |
26227.0 | 2017-03-11 00:00:00 UTC | Which Biotech Is the Best Dividend Stock? | ABBV | https://www.nasdaq.com/articles/which-biotech-best-dividend-stock-2017-03-11 | nan | nan | Dividends are few and far between for biotech stocks. Most biotechs either don't have the money to pay out dividends or choose to reinvest profits to fund more growth.
However, there are a handful of biotechs that do pay dividends. Three claim dividend yields of 2% or greater: AbbVie (NYSE: ABBV) , Amgen (NASDAQ: AMGN) , and Gilead Sciences (NASDAQ: GILD) . Which of these biotechs is the best dividend stock?
Yield
Dividend yield is the amount of dividends paid as a percentage of the current stock price. How do these three biotech stocks compare on dividend yield?
AbbVie claims the top spot for dividend yield, but all three biotech stocks boast nice yields that many investors would find attractive.
Yield isn't the most important metric to look at in evaluating dividend stocks , however. A company that pays a high dividend today could be forced to slash its dividend tomorrow. That's why the next two criteria we'll review are even more critical.
Dividend history
The dividend history of a company provides clues about how important the dividend is to the company's management. The chart below shows the dividends paid by each of the three biotechs over the past five years.
ABBV Dividend data by YCharts .
Gilead Sciences didn't initiate a dividend program until 2015, so the biotech doesn't have much of a track record yet. AbbVie's history is actually better than the chart shows. The biotech was spun off from Abbott Laboratories in 2013. When its parent company's dividend history is factored in, AbbVie has consistently increased its dividend for 44 consecutive years.
Amgen hasn't been paying dividends nearly that long. However, the biotech has a solid record of increasing its dividends and has grown its dividend more quickly than any of the others.
Payout ratio
The dividend payout ratio is the amount of dividends returned to shareholders as a percentage of total earnings. A lower payout ratio indicates that a company is probably in better position to continue paying dividends and perhaps even increase dividends in the future.
Gilead Sciences appears to be in best position to keep its dividend flowing based on payout ratio. All three biotechs seems to be in good shape, however. Even though AbbVie is using nearly 63% of earnings to fund its dividend program, that's not a bad level and definitely isn't cause for concern.
Growth
There is a catch with payout ratios, however. The metric is a snapshot in time based on current dividend payments and current earnings. But what if earnings decline a lot? That's why it's also important to look at earnings growth prospects.
Wall Street analysts spend a lot of time to create models of earnings growth for companies. Here's how the three biotech stocks stack up in terms of projected earnings growth.
Based on these projections, AbbVie will grow earnings the most over the next few years. Analysts' estimates can sometimes be far off of what really happens. For example, if AbbVie can't fend off biosimilar competition for Humira, the company's earnings will likely suffer greatly. At the opposite end of the ranking, Gilead Sciences could make a big acquisition that totally changes its earnings outlook.
Best overall
Which is the best biotech dividend stock? I think the clear winner is AbbVie.
AbbVie ranked No. 1 in dividend yield and projected earnings growth. Even though Amgen has increased its dividend the most in recent years, I'd argue that AbbVie's overall track record is the most impressive. Also, although AbbVie's dividend payout ratio is the worst of the three, it's still pretty good.
In my view, AbbVie will likely keep its top spot for a while to come. The company should be able to use legal tactics to hold off Humira biosimilars for at least a few years. I think AbbVie's mouthwatering dividends will keep on flowing in the meantime.
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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. | *Stock Advisor returns as of February 6, 2017 Keith Speights owns shares of AbbVie and Gilead Sciences. Three claim dividend yields of 2% or greater: AbbVie (NYSE: ABBV) , Amgen (NASDAQ: AMGN) , and Gilead Sciences (NASDAQ: GILD) . AbbVie claims the top spot for dividend yield, but all three biotech stocks boast nice yields that many investors would find attractive. | Three claim dividend yields of 2% or greater: AbbVie (NYSE: ABBV) , Amgen (NASDAQ: AMGN) , and Gilead Sciences (NASDAQ: GILD) . AbbVie claims the top spot for dividend yield, but all three biotech stocks boast nice yields that many investors would find attractive. ABBV Dividend data by YCharts . | When its parent company's dividend history is factored in, AbbVie has consistently increased its dividend for 44 consecutive years. Three claim dividend yields of 2% or greater: AbbVie (NYSE: ABBV) , Amgen (NASDAQ: AMGN) , and Gilead Sciences (NASDAQ: GILD) . AbbVie claims the top spot for dividend yield, but all three biotech stocks boast nice yields that many investors would find attractive. | Three claim dividend yields of 2% or greater: AbbVie (NYSE: ABBV) , Amgen (NASDAQ: AMGN) , and Gilead Sciences (NASDAQ: GILD) . AbbVie claims the top spot for dividend yield, but all three biotech stocks boast nice yields that many investors would find attractive. ABBV Dividend data by YCharts . |
26228.0 | 2017-03-10 00:00:00 UTC | These 2 Dividend Aristocrats Are Ridiculously Cheap | ABBV | https://www.nasdaq.com/articles/these-2-dividend-aristocrats-are-ridiculously-cheap-2017-03-10 | nan | nan | The evidence speaks for itself: Investing in winning dividend growth stocks is a well-worn path to long-term investment success. It's for precisely this reason that investors often place dividend aristocrats -- companies that have grown their payouts for 25 consecutive years -- at the heart of their income investing goals.
Given their popularity, though, dividend aristocrat stocks often, but not always, trade at a premium to the broader market. In this article, we will explore the reasons that make Target (NYSE: TGT) and Abbvie (NYSE: ABBV) two of the cheapest dividend aristocrats on the market today.
Target: P/E of 10
On the face of it, Target appears patently undervalued, trading at a price-to-earnings ratio of just 10. This also serves as a useful reminder that such isolated statistics are only so useful in forming investment decisions. In fact, Target shares have sagged dramatically over the last 12 months thanks to the company's faulty strategy in the face of increased adoption of e-commerce.
TGT data by YCharts .
Target signaled that it finally plans to prioritize e-commerce going forward after incorrectly emphasizing smaller stores in urban areas in recent years. However, the transition will be marked with potential pitfalls. Amazon.com 's e-commerce empire has never been stronger, and larger retail rivals like Wal-Mart have already made significant investments on their own online sales channels. By contrast, Target said it expects non-GAAP earnings per share to fall by as much as 24% in the coming year.
Target has raised its dividend annually for the past 49 years, and its relatively healthy capital structure and cash flow characteristics should enable this trend to remain intact in the near term. However, Target finds itself in a fight to its future today. Depending on your view of its ability to successfully manage that transition, Target's rock-bottom valuation should be viewed as a sign of the current dire straits in which it finds itself today.
Abbvie: P/E of 17
If investors are intrigued by Abbvie's P/E ratio of 17, its forward P/E of a mere 10 should have investors salivating. Its 4% dividend yield certainly doesn't hurt either, particularly considering the company's vaunted history of dividend growth. Abbvie and its predecessors collectively increased the company's cash payouts for 44 consecutive years. And unlike Target, whose current business struggles explain its cheap valuation, Abbvie's steep discount to the market strikes me as a legitimate opportunity for investors today.
The company's compelling portfolio of current medications should provide a tailwind for Abbvie sales for year to come. Among them, the company controls Humira, the world's best-selling drug. The drug continues to demonstrate impressive growth, with 2016 sales rising 16% to eclipse $16 billion. Better still, the company's flagship medication should enjoy at least several more years of insulation from potential competitors; analysts see sales declines beginning somewhere between 2018 and 2020, though estimates vary by analysts.
Better still, Abbvie enjoys a strong pipeline to fill the void if, or when, current blockbusters like Humira suffer from generic competition. The company says it has 12 late-stage clinical trials currently under way, with another 21 drugs in the mid-stage of development. Analysts see significant commercial potential among at least a few candidates in its current pipeline.
Turning to its financials, increased interest and income tax expenses weighed on Abbvie's financial performance in its most recently reported quarter. Barring that one, fairly minor operational hiccup, the outlook for the company remains undeniably bright in the years to come. Analysts see Abbvie sales increasing 8.6% this year, and 9.2% next year. Its own adjusted EPS projections suggest its bottom-line profits will rise 13.9% at their mid-point next year. So, nearly anyway you slice it, Abbvie seems like an attractive buy for dividend growth investors interested in big pharma 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. | And unlike Target, whose current business struggles explain its cheap valuation, Abbvie's steep discount to the market strikes me as a legitimate opportunity for investors today. In this article, we will explore the reasons that make Target (NYSE: TGT) and Abbvie (NYSE: ABBV) two of the cheapest dividend aristocrats on the market today. Abbvie: P/E of 17 If investors are intrigued by Abbvie's P/E ratio of 17, its forward P/E of a mere 10 should have investors salivating. | In this article, we will explore the reasons that make Target (NYSE: TGT) and Abbvie (NYSE: ABBV) two of the cheapest dividend aristocrats on the market today. Abbvie and its predecessors collectively increased the company's cash payouts for 44 consecutive years. Abbvie: P/E of 17 If investors are intrigued by Abbvie's P/E ratio of 17, its forward P/E of a mere 10 should have investors salivating. | In this article, we will explore the reasons that make Target (NYSE: TGT) and Abbvie (NYSE: ABBV) two of the cheapest dividend aristocrats on the market today. Analysts see Abbvie sales increasing 8.6% this year, and 9.2% next year. Abbvie: P/E of 17 If investors are intrigued by Abbvie's P/E ratio of 17, its forward P/E of a mere 10 should have investors salivating. | Analysts see Abbvie sales increasing 8.6% this year, and 9.2% next year. In this article, we will explore the reasons that make Target (NYSE: TGT) and Abbvie (NYSE: ABBV) two of the cheapest dividend aristocrats on the market today. Abbvie: P/E of 17 If investors are intrigued by Abbvie's P/E ratio of 17, its forward P/E of a mere 10 should have investors salivating. |
26229.0 | 2017-03-09 00:00:00 UTC | AbbVie at the Cowen Healthcare Conference: 4 Things You'll Want to Know | ABBV | https://www.nasdaq.com/articles/abbvie-cowen-healthcare-conference-4-things-youll-want-know-2017-03-09 | nan | nan | AbbVie (NYSE: ABBV) is arguably one of the strongest biotech stocks around. But investors have plenty of questions about the company's future.
Some of those questions were answered by AbbVie's executives this week at the Cowen healthcare conference in Boston. Here are three things you'll want to know about what they said.
1. How will Trump administration changes impact AbbVie?
AbbVie CFO Bill Chase said that there's a lot of guessing going on right now about what changes the Trump administration will make. However, he noted that two specific potential changes could impact the company.
Chase said that the possible repeal and replacement of Obamacare shouldn't have a huge impact for AbbVie. He noted that around 80% of the company's dollar volume in the U.S. comes from non-government channels.
However, Chase stated that AbbVie is very excited about the prospects for tax reforms. He said that AbbVie "would love to see" lower corporate tax rates, but the company isn't incorporate lower rates into any of its models yet.
He also said that AbbVie is "very enthusiastic" about the potential for tax reform that would allow the company to bring money parked overseas back into the U.S. at lower tax rates. Chase stated that this could be the "best shot we've seen for meaningful tax reform in that area for a very long time."
2. What happens if Humira's patents aren't upheld?
Perhaps the most worrisome issue for AbbVie investors is that a key patent for the company's top-selling drug Humira expired in 2016. What might happen if AbbVie doesn't prevail in protecting its intellectual property rights for the drug?
Chase pointed to the ongoing battle with Amgen (NASDAQ: AMGN) . AbbVie plans to assert its rights to 61 different patents to hold back Amgen from entering the U.S. market with its biosimilar to Humira. AbbVie has over 100 patents for the drug that cover multiple areas.
Although AbbVie hopes to prevail up front in patent challenges, Chase admitted that challengers to intellectual property rights win more often than not. However, he underscored the company's strategy to drag things out in the court system if AbbVie doesn't immediately fend off rivals. The Amgen case, for example, won't go to trial until November 2019.
AbbVie's management team knows that more companies will follow in Amgen's footsteps in trying to dethrone Humira. Chase doesn't think his company's defense will hinge on just one patent and said that the scenario unfolding with Amgen is likely to be the model for other challenges.
3. Is Imbruvica still on track for $5 billion in sales by 2020?
AbbVie has stated in the past that cancer drug Imbruvica will generate $5 billion in sales by 2020 and even more beyond then. The company still stands behind that prediction.
Maximizing currently approved indications should account for roughly 65% of Imbruvica's growth. Clinical studies are underway for the drug as a first-line treatment of mantle cell lymphoma (MCL) and as a combination first-line treatment for chronic lymphocytic leukemia (CLL). Chase said that AbbVie's strategy on this front is on track.
Around 20% of projected growth should come from other blood cancers. While it's still early, Chase stated that AbbVie feels confident this growth will be achieved. He pointed to the recent approval of Imbruvica as a second-line treatment for marginal zone lymphoma (MZL) as an example of progress.
The remaining growth should stem from solid tumor and other indications. One particularly promising opportunity for Imbruvica is in treating graft-versus-host disease (GVHD).
4. What's the outlook for key pipeline candidates?
Chase, along with AbbVie's vice president of corporate strategy, Scott Brun, had a lot to say about the company's pipeline. Clinical studies of Venclexta in combination with other drugs in treating several types of cancer are promising. Rova-T is another cancer drug in AbbVie's pipeline with significant potential.
Outside of oncology, the AbbVie executives highlighted autoimmune drug risankizumab. The company thinks that the candidate has tremendous potential in treating psoriasis. While risankizumab and other pipeline assets such as ABT-494 won't take Humira's place quickly, AbbVie believes that it will have a strong autoimmune franchise for a long time to come.
The company also has high expectations for elagolix in treating endometriosis and uterine fibroids. Although AbbVie already markets Lupron for these indications, the drug has some adverse side effects. AbbVie is submitting elagolix for approval for treating endometriosis this year and expects to have data from a late-stage study targeting uterine fibroids in 2018.
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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. | AbbVie plans to assert its rights to 61 different patents to hold back Amgen from entering the U.S. market with its biosimilar to Humira. While risankizumab and other pipeline assets such as ABT-494 won't take Humira's place quickly, AbbVie believes that it will have a strong autoimmune franchise for a long time to come. AbbVie is submitting elagolix for approval for treating endometriosis this year and expects to have data from a late-stage study targeting uterine fibroids in 2018. | He said that AbbVie "would love to see" lower corporate tax rates, but the company isn't incorporate lower rates into any of its models yet. Although AbbVie hopes to prevail up front in patent challenges, Chase admitted that challengers to intellectual property rights win more often than not. Outside of oncology, the AbbVie executives highlighted autoimmune drug risankizumab. | He said that AbbVie "would love to see" lower corporate tax rates, but the company isn't incorporate lower rates into any of its models yet. Perhaps the most worrisome issue for AbbVie investors is that a key patent for the company's top-selling drug Humira expired in 2016. Chase, along with AbbVie's vice president of corporate strategy, Scott Brun, had a lot to say about the company's pipeline. | Perhaps the most worrisome issue for AbbVie investors is that a key patent for the company's top-selling drug Humira expired in 2016. AbbVie (NYSE: ABBV) is arguably one of the strongest biotech stocks around. Some of those questions were answered by AbbVie's executives this week at the Cowen healthcare conference in Boston. |
26230.0 | 2017-03-08 00:00:00 UTC | Results of Johnson & Johnson's Psoriasis Clinical Trials Impressive | ABBV | https://www.nasdaq.com/articles/results-johnson-johnsons-psoriasis-clinical-trials-impressive-2017-03-08 | nan | nan | Janssen Research & Development LLC, part of Johnson & Johnson ( JNJ ) Pharmaceutical Research and Development, reported last March 3 through the PRNewswire the results from two Phase 3 clinical trials, VOYAGE 2 and NAVIGATE.
During the studies the pharmaceutical company assessed its guselkumab for the treatment of adult patients affected by severe plaque psoriasis.
The patients treated with Janssen Research & Development's guselkumab achieved meaningful improvement in terms of skin clearance and other disease activity's measures versus the placebo and AbbVie 's ( ABBV ) Humira (adalimumab).
At the end of the VOYAGE 2 clinical trial, in 84.1% of patients affected with severe plaque psoriasis and treated with Janssen Research & Development's guselkumab, a clear or minimal disease at week 16 was observed versus 8.5% of patients under placebo and versus 67.7% of patients taking Humira.
During the NAVIGATE clinical trial, the patients experienced a significantly greater improvement in skin clearance. These patients failed to respond adequately to an IL-12/23 monoclonal antibody (Stelara) and switched to guselkumab.
Results from VOYAGE 2 and NAVIGATE trials were presented at the 2017 American Academy of Dermatology Annual Meeting in Orlando, Florida, from March 3 to March 7.
The company says that "guselkumab is a human monoclonal antibody with a novel mechanism of action that specifically targets the protein interleukin (IL)-23 and is currently under review by health authorities in the U.S. and in Europe as a subcutaneously administered therapy for the treatment of adults living with moderate to severe plaque psoriasis."
Johnson & Johnson was trading at $123.61 per share Wednesday, down 22 cents or 0.19% from the previous trading day.
The 52-week range is between $106.07 and $126.07. The forward price-earnings (P/E) ratio is 16.79, and the stock is trading at 4.69 times its sales computed over the 12 trailing months period, at 4.64 times the book value and 13.01 times the EBITDA.
The stock is less volatile than the stock market with a beta of 0.68. It is uptrending and gained 7.48%.
As of Dec. 31, 2016, the company has $41.91 billion in cash on hand and securities and the total debt amounts to $27.13 billion, of which 82.6% is the portion of long-term debt.
The total debt to equity ratio is 38.52 versus an industry average of 11.52. The company is more indebted than its peers, but the interest coverage ratio is 50.53. This means that the company can easily pay interest expenses on the outstanding debt.
Over the 12 trailing months time frame the company generated cash flow of $18.77 billion from its operations.
The free cash flow was $15.54 billion and part of this has been used to distribute dividends to the shareholders. Johnson & Johnson pays a quarterly dividend of 80 cents per share that leads to an annual dividend of $3.20 for a dividend yield of 2.59%.
The company has approximately 2.71 billion shares outstanding of which 0.02% is held by insiders and 67.30% by institutions.
Among the top institutional holders, the Vanguard Group Inc. stands out with 191,188,744 shares of Johnson & Johnson, or 7.03% of the company's total shares outstanding, valued $22.03 billion at Dec. 31, 2016.
AbbVie is trading at $64.12 per share, up 43 cents or plus 0.68% from the previous trading day.
Disclosure: I have no positions in any stock mentioned in this article.
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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 patients treated with Janssen Research & Development's guselkumab achieved meaningful improvement in terms of skin clearance and other disease activity's measures versus the placebo and AbbVie 's ( ABBV ) Humira (adalimumab). AbbVie is trading at $64.12 per share, up 43 cents or plus 0.68% from the previous trading day. During the studies the pharmaceutical company assessed its guselkumab for the treatment of adult patients affected by severe plaque psoriasis. | The patients treated with Janssen Research & Development's guselkumab achieved meaningful improvement in terms of skin clearance and other disease activity's measures versus the placebo and AbbVie 's ( ABBV ) Humira (adalimumab). AbbVie is trading at $64.12 per share, up 43 cents or plus 0.68% from the previous trading day. Janssen Research & Development LLC, part of Johnson & Johnson ( JNJ ) Pharmaceutical Research and Development, reported last March 3 through the PRNewswire the results from two Phase 3 clinical trials, VOYAGE 2 and NAVIGATE. | The patients treated with Janssen Research & Development's guselkumab achieved meaningful improvement in terms of skin clearance and other disease activity's measures versus the placebo and AbbVie 's ( ABBV ) Humira (adalimumab). AbbVie is trading at $64.12 per share, up 43 cents or plus 0.68% from the previous trading day. Janssen Research & Development LLC, part of Johnson & Johnson ( JNJ ) Pharmaceutical Research and Development, reported last March 3 through the PRNewswire the results from two Phase 3 clinical trials, VOYAGE 2 and NAVIGATE. | The patients treated with Janssen Research & Development's guselkumab achieved meaningful improvement in terms of skin clearance and other disease activity's measures versus the placebo and AbbVie 's ( ABBV ) Humira (adalimumab). AbbVie is trading at $64.12 per share, up 43 cents or plus 0.68% from the previous trading day. Janssen Research & Development LLC, part of Johnson & Johnson ( JNJ ) Pharmaceutical Research and Development, reported last March 3 through the PRNewswire the results from two Phase 3 clinical trials, VOYAGE 2 and NAVIGATE. |
26231.0 | 2017-03-08 00:00:00 UTC | Billionaire Investor Is Concentrating on Small-Caps and Pharma | ABBV | https://www.nasdaq.com/articles/billionaire-investor-concentrating-small-caps-and-pharma-2017-03-08 | nan | nan | Stanley Druckenmiller ( Trades , Portfolio ) is one of the world's most famous hedge fund managers. His moves are scrutinized by the market for any signs of overly bullish or bearish activity thanks to his history and past performance.
Druckenmiller is the former chairman and president of Duquesne Capital, which he founded in 1981. From 1988 to 2000, he managed money for George Soros (Trades, Portfolio) as the lead portfolio manager of the Quantum Fund. This education from arguably the world's best trader is highly valuable and means Druckenmiller's view of the markets is thought of as being more influential than others.
Considering Druckenmiller's background, it is always worth keeping an eye on his positions to see how he is planning to play the market in the years and weeks ahead. At the beginning of last year, for example, he was extremely bearish on the markets, advising everyone who would listen to sell equities and rotate into gold, advice which he followed himself.
After Donald Trump won the presidential election in November of last year, however, Druckenmiller reversed course and rotated out of gold and back into equities. He still holds some gold positions, but nowhere near as much as he did at this time last year.
It is interesting to see what stocks Druckenmiller has picked to profit from the market's gains since Trump's election. Rather than the traditional hedge fund approach of picking stocks he believes have the best chance of outperforming, he has decided to follow some advice from Warren Buffett (Trades, Portfolio) by buying a tracker fund. Buying the index.
According to the latest 13F SEC filing, Druckenmiller's largest equity holding, coming in at around 13% of his equity portfolio (13Fs do not include cash and other non-tradable instruments) is the iShares Russell 2000 Index ( IWM ). This trust, which is up 15.1% since the beginning of November and is outperforming the S&P 500 by around 4.3%, tracks the price of the Russell 2000.
With such a broad range of well-diversified holdings, this is possibly the most bullish bet anyone could make on small-caps.
Increased chance of profit
Small-caps are more likely to benefit from Trump's presidency than their large-cap peers. Most of these companies operate within the U.S., so are unlikely to be hit by any border taxes, will benefit from economic stimulus plans and will see profitability improve if Trump's plan to slash corporate taxes comes to fruition. Even though the index has rallied substantially since the beginning of November, there could be further upside to come if these actions are carried out and companies can reap the benefits over several years.
As well as small-caps, it would appear Druckenmiller also likes pharma stocks as his second-largest position (7.5%) is Abbvie Inc. ( ABBV ).
A contrarian position
Abbvie Inc. seems to be somewhat of a contrarian position. There are only a few other notable hedge fund managers that own the stock. Lee Ainslie (Trades, Portfolio)'s Maverick Capital and Tom Russo (Trades, Portfolio)'s Gardner Russo & Gardner own shares, but the Abbvie holdings only constitute around 0.05% of the combined portfolios, hardly enough to move the needle. Shares in the pharma company have underperformed the S&P 500 by 20% excluding dividends since the end of 2014, which is unusual for a pharma company. Maybe Druckenmiller sees something in this business that others do not.
The bottom line
It is never sensible to blindly follow a guru into a position without first conducting your own detailed research. Still, these holdings from Druckenmiller's portfolio might help you make your own investment decisions. Owning tracker funds to track wider market trends is always a sensible decision, and Abbvie is an attractive opportunity considering its underperformance over the past few years. These are two positions to keep an eye on as the number of opportunities in the markets continue to shrink.
Disclosure: The author owns no shares mentioned.
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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. | Owning tracker funds to track wider market trends is always a sensible decision, and Abbvie is an attractive opportunity considering its underperformance over the past few years. As well as small-caps, it would appear Druckenmiller also likes pharma stocks as his second-largest position (7.5%) is Abbvie Inc. ( ABBV ). A contrarian position Abbvie Inc. seems to be somewhat of a contrarian position. | Lee Ainslie (Trades, Portfolio)'s Maverick Capital and Tom Russo (Trades, Portfolio)'s Gardner Russo & Gardner own shares, but the Abbvie holdings only constitute around 0.05% of the combined portfolios, hardly enough to move the needle. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. As well as small-caps, it would appear Druckenmiller also likes pharma stocks as his second-largest position (7.5%) is Abbvie Inc. ( ABBV ). | Lee Ainslie (Trades, Portfolio)'s Maverick Capital and Tom Russo (Trades, Portfolio)'s Gardner Russo & Gardner own shares, but the Abbvie holdings only constitute around 0.05% of the combined portfolios, hardly enough to move the needle. As well as small-caps, it would appear Druckenmiller also likes pharma stocks as his second-largest position (7.5%) is Abbvie Inc. ( ABBV ). A contrarian position Abbvie Inc. seems to be somewhat of a contrarian position. | Owning tracker funds to track wider market trends is always a sensible decision, and Abbvie is an attractive opportunity considering its underperformance over the past few years. As well as small-caps, it would appear Druckenmiller also likes pharma stocks as his second-largest position (7.5%) is Abbvie Inc. ( ABBV ). A contrarian position Abbvie Inc. seems to be somewhat of a contrarian position. |
26232.0 | 2017-03-07 00:00:00 UTC | Novartis (NVS) Reports Positive Data on Biosimilar Humira | ABBV | https://www.nasdaq.com/articles/novartis-nvs-reports-positive-data-on-biosimilar-humira-2017-03-07 | nan | nan | Novartis AGNVS announced encouraging data for its proposed biosimilar verison of AbbVie's ABBV Humira (adalimumab) namely GP2017 from a phase III study.
A look at Novartis' share price movement over the past one year shows that the stock has underperformed the Zacks classified Large Cap Pharma industry. Specifically, Novartis' stock gained 4.7% during this period, while the industry gained 7.2%.
The confirmatory efficacy, safety and immunogenicity study met its primary endpoint as the results show that GP2017 has an equivalent efficacy to the reference drug, Humira.
We remind investors that Humira is approved for rheumatoid arthritis, psoriatic arthritis, ankylosing spondylitis, adult Crohn's disease, ulcerative colitis among others.
The results from the study revealed equivalent efficacy by demonstrating Psoriasis Area and Severity Index (PASI) 75 response rates of 67% for GP2017 and 65% for the reference drug in patients with moderate to severe, chronic plaque psoriasis.
We note that Sandoz, Novartis's generic arm, has a leading biosimilar pipeline. The division plans to file GP2017 with the EMA and the FDA in 2017.
The company also plans to launch five biosimilars of major oncology and immunology biologics across key geographies by 2020.
Sandoz currently markets three biosimilars - Omnitrope, a human growth hormone; Binocrit, an erythropoiesis-stimulating agent and Zarxio - in the U.S. In addition, Sandoz has a strong pipeline of biosimilars. In 2016, the Sandoz Division generated net sales of $10.1 billion, accounting for 21% of the total net sales.
The FDA also approved a biosimilar version of Amgen's AMGN Enbrel (etanercept-szzs) to treat multiple inflammatory diseases. However, the launch is pending due to ongoing litigation with Amgen.
Hence, a potential approval of a biosimilar of Humira will further boost Sandoz's portfolio.
Novartis has a strong oncology portfolio of drugs like Afinitor, Exjade, Jakavi, Zykadia, Tasigna, Jadenu. Novartis is currently mulling strategic options for ophthalmic division Alcon which includes retaining the business or separation via a capital markets transaction such as a spin-off or an initial public offering.
Novartis AG Price and Consensus
Novartis AG Price and Consensus | Novartis AG Quote
Zacks Rank & Key Picks
Novartis currently carries a Zacks Rank #3 (Hold).
A better-ranked stock in the healthcare sector is GlaxoSmithKline plc GSK which currently carries a Zacks Rank #2 (Buy).
GlaxoSmithKline's earnings estimates increased from $2.66 to $2.76 for 2017 and from $2.80 to $2.85 for 2018 over the last 30 days. The company posted a positive earnings surprise in three of the four trailing quarters with an average beat of 11.03%.
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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. | Novartis AGNVS announced encouraging data for its proposed biosimilar verison of AbbVie's ABBV Humira (adalimumab) namely GP2017 from a phase III study. Click to get this free report Novartis AG (NVS): Free Stock Analysis Report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. A look at Novartis' share price movement over the past one year shows that the stock has underperformed the Zacks classified Large Cap Pharma industry. | Click to get this free report Novartis AG (NVS): Free Stock Analysis Report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Novartis AGNVS announced encouraging data for its proposed biosimilar verison of AbbVie's ABBV Humira (adalimumab) namely GP2017 from a phase III study. Novartis AG Price and Consensus Novartis AG Price and Consensus | Novartis AG Quote Zacks Rank & Key Picks Novartis currently carries a Zacks Rank #3 (Hold). | Click to get this free report Novartis AG (NVS): Free Stock Analysis Report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Novartis AGNVS announced encouraging data for its proposed biosimilar verison of AbbVie's ABBV Humira (adalimumab) namely GP2017 from a phase III study. Novartis AG Price and Consensus Novartis AG Price and Consensus | Novartis AG Quote Zacks Rank & Key Picks Novartis currently carries a Zacks Rank #3 (Hold). | Novartis AGNVS announced encouraging data for its proposed biosimilar verison of AbbVie's ABBV Humira (adalimumab) namely GP2017 from a phase III study. Click to get this free report Novartis AG (NVS): Free Stock Analysis Report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. In addition, Sandoz has a strong pipeline of biosimilars. |
26233.0 | 2017-03-07 00:00:00 UTC | Noteworthy Tuesday Option Activity: HUM, ABBV, UAA | ABBV | https://www.nasdaq.com/articles/noteworthy-tuesday-option-activity-hum-abbv-uaa-2017-03-07 | nan | nan | Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in Humana Inc. (Symbol: HUM), where a total of 7,776 contracts have traded so far, representing approximately 777,600 underlying shares. That amounts to about 44.9% of HUM's average daily trading volume over the past month of 1.7 million shares. Especially high volume was seen for the $215 strike call option expiring August 18, 2017 , with 4,478 contracts trading so far today, representing approximately 447,800 underlying shares of HUM. Below is a chart showing HUM's trailing twelve month trading history, with the $215 strike highlighted in orange:
AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,778 contracts thus far today. That number of contracts represents approximately 3.1 million underlying shares, working out to a sizeable 44.6% of ABBV's average daily trading volume over the past month, of 6.9 million shares. Especially high volume was seen for the $70 strike call option expiring April 21, 2017 , with 6,540 contracts trading so far today, representing approximately 654,000 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $70 strike highlighted in orange:
And Under Armour Inc (Symbol: UAA) saw options trading volume of 23,041 contracts, representing approximately 2.3 million underlying shares or approximately 44.1% of UAA's average daily trading volume over the past month, of 5.2 million shares. Particularly high volume was seen for the $19.50 strike call option expiring March 10, 2017 , with 4,639 contracts trading so far today, representing approximately 463,900 underlying shares of UAA. Below is a chart showing UAA's trailing twelve month trading history, with the $19.50 strike highlighted in orange:
For the various different available expirations for HUM options , ABBV options , or UAA 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 $70 strike call option expiring April 21, 2017 , with 6,540 contracts trading so far today, representing approximately 654,000 underlying shares of ABBV. Below is a chart showing HUM's trailing twelve month trading history, with the $215 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,778 contracts thus far today. That number of contracts represents approximately 3.1 million underlying shares, working out to a sizeable 44.6% of ABBV's average daily trading volume over the past month, of 6.9 million shares. | Below is a chart showing HUM's trailing twelve month trading history, with the $215 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,778 contracts thus far today. Below is a chart showing ABBV's trailing twelve month trading history, with the $70 strike highlighted in orange: And Under Armour Inc (Symbol: UAA) saw options trading volume of 23,041 contracts, representing approximately 2.3 million underlying shares or approximately 44.1% of UAA's average daily trading volume over the past month, of 5.2 million shares. Below is a chart showing UAA's trailing twelve month trading history, with the $19.50 strike highlighted in orange: For the various different available expirations for HUM options , ABBV options , or UAA options , visit StockOptionsChannel.com. | Below is a chart showing ABBV's trailing twelve month trading history, with the $70 strike highlighted in orange: And Under Armour Inc (Symbol: UAA) saw options trading volume of 23,041 contracts, representing approximately 2.3 million underlying shares or approximately 44.1% of UAA's average daily trading volume over the past month, of 5.2 million shares. Below is a chart showing HUM's trailing twelve month trading history, with the $215 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,778 contracts thus far today. That number of contracts represents approximately 3.1 million underlying shares, working out to a sizeable 44.6% of ABBV's average daily trading volume over the past month, of 6.9 million shares. | Especially high volume was seen for the $70 strike call option expiring April 21, 2017 , with 6,540 contracts trading so far today, representing approximately 654,000 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $70 strike highlighted in orange: And Under Armour Inc (Symbol: UAA) saw options trading volume of 23,041 contracts, representing approximately 2.3 million underlying shares or approximately 44.1% of UAA's average daily trading volume over the past month, of 5.2 million shares. Below is a chart showing UAA's trailing twelve month trading history, with the $19.50 strike highlighted in orange: For the various different available expirations for HUM options , ABBV options , or UAA options , visit StockOptionsChannel.com. |
26234.0 | 2017-03-06 00:00:00 UTC | Inovio (INO): What's in the Cards this Earnings Season? | ABBV | https://www.nasdaq.com/articles/inovio-ino%3A-whats-in-the-cards-this-earnings-season-2017-03-06 | nan | nan | Inovio Pharmaceuticals, Inc.INO is expected to report fourth-quarter 2016 results this month. The company incurred wider-than-expected loss in the last quarter.
In the last one year, Inovio's shares have underperformed the Zacks classified Medical-Biomed/Genetics industry. Specifically, the company's stock lost 8.1% during the period, while the industry recorded a decrease of 2.6%.
Inovio's performance has been mixed so far. The company beat expectations in one of the last four quarters, posted in-line results in one and missed estimates in the other quarter. The average positive earnings surprise for the last four quarters is 3.23%.
Inovio Pharmaceuticals, Inc. Price and EPS Surprise
Inovio Pharmaceuticals, Inc. Price and EPS Surprise | Inovio Pharmaceuticals, Inc. Quote
Let's see how things are shaping up for this announcement.
Factors to Consider
Given that Inovio does not have any revenue-generating product in its portfolio yet, investor focus will remain on pipeline and regulatory updates.
VGX-3100 is the most advanced candidate in the company's pipeline. In Oct 2016, Inovio suffered a setback with the FDA placing a clinical hold on its late-stage program for VGX-3100. The company was looking to move VGX-3100 into phase III development in the fourth quarter. However, with the clinical hold in place, it now expects the program to be delayed until the first half of 2017, pending resolution of the FDA's requests.
At the third-quarter earnings update, Inovio had said that it is looking to evaluate VGX-3100 for the treatment of HPV-16/18-related high grade cervical dysplasia. The FDA has asked the company to provide additional data to support the shelf-life of the newly designed and manufactured disposable parts of the Cellectra 5PSP immunotherapy delivery device.
Apart from VGX-3100, Inovio has several other candidates in its pipeline in early- to mid-stage development. Meanwhile, the company is working on the development of Ebola, Zika and Middle East respiratory syndrome virus vaccines. In August, Inovio announced that it has initiated the second study on Zika vaccine, GLS-5700, in Puerto Rico. In Dec 2016, the company announced positive results from the study which demonstrated Zika antigen-specific antibody responses after one or two vaccinations. The vaccine was well tolerated with no significant safety concerns noted at week 14. This will allow Inovio to meet regulators in 2017 to determine the path forward for the Zika vaccine.
Inovio has collaborations with several companies and institutes for the development of its pipeline candidates. With no approved product in its portfolio, Inovio depends largely on collaborations, grants and other payments for revenues as well as for the development of its pipeline candidates. Therefore, the top line of the company varies on a quarterly basis depending on the timing of such events.
Investor focus should remain on pipeline updates as many such events are lined up along with the company's plans related to the development of its Ebola and Zika vaccines.
Earnings Whispers
Our proven model does not conclusively show that Inovio is likely to beat the Zacks Consensus Estimate 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) for this to happen. That is not the case here, as you will see below.
Zacks ESP: The Earnings ESP is 0.00% as both the Most Accurate estimate and the Zacks Consensus Estimate are pegged at a loss of 29 cents. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Inovio'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 That Warrant a Look
Here are a couple of health care stocks that you may want to consider, as our model shows that this have the right combination of elements to post an earnings beat in the upcoming quarter.
AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here .
BioMarin Pharmaceutical Inc. BMRN has an Earnings ESP of +3.13% and a Zacks Rank #3.
Biogen Inc. BIIB has an Earnings ESP of +0.60% and a Zacks Rank #3.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017?
Who wouldn't? Last year's market-beating Top 10 portfolio produced 5 double-digit winners. For example, oil and natural gas giant Pioneer Natural Resources and First Republic Bank racked up stellar gains of +44.9% and +44.3% respectively. Now a brand-new list for 2017 has been hand-picked from 4,400 companies covered by the Zacks Rank. See the 2017 Top 10 right now>>
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BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report
Biogen Inc. (BIIB): Free Stock Analysis Report
Inovio Pharmaceuticals, Inc. (INO): 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. | AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report Inovio Pharmaceuticals, Inc. (INO): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The FDA has asked the company to provide additional data to support the shelf-life of the newly designed and manufactured disposable parts of the Cellectra 5PSP immunotherapy delivery device. | Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report Inovio Pharmaceuticals, Inc. (INO): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Inovio Pharmaceuticals, Inc. Price and EPS Surprise Inovio Pharmaceuticals, Inc. Price and EPS Surprise | Inovio Pharmaceuticals, Inc. Quote Let's see how things are shaping up for this announcement. | Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report Inovio Pharmaceuticals, Inc. (INO): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Inovio Pharmaceuticals, Inc. Price and EPS Surprise Inovio Pharmaceuticals, Inc. Price and EPS Surprise | Inovio Pharmaceuticals, Inc. Quote Let's see how things are shaping up for this announcement. | AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report Inovio Pharmaceuticals, Inc. (INO): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The company beat expectations in one of the last four quarters, posted in-line results in one and missed estimates in the other quarter. |
26235.0 | 2017-03-06 00:00:00 UTC | BioDelivery (BDSI): What's in Store this Earnings Season? | ABBV | https://www.nasdaq.com/articles/biodelivery-bdsi%3A-whats-in-store-this-earnings-season-2017-03-06 | nan | nan | BioDelivery Sciences International, Inc.BDSI is expected to report fourth-quarter 2016 results on Mar 17, before the opening bell. Last quarter, the company's loss was wider than expected.
Year to date, BioDelivery's shares have outperformed the Zacks classified Medical-Biomed/Genetics industry. Specifically, the stock gained 17.1% during the period, while the industry recorded an increase of 10.3%.
BioDelivery's recent performance has been disappointing as it missed expectations in two of the last four quarters and met in the other two. The average negative earnings surprise for the last four quarters is 19.76%.
Let's see how things are shaping up for this announcement.
Factors to Consider
BioDelivery's key products include Belbuca (chronic pain) and Bunavail (opioid-dependence).
Bunavail's sales performance have been lackluster so far. BioDelivery reduced spending on the drug. BioDelivery therefore cut the size of its sales force. It has reduced the number of sales territories and is focusing on the most growth-oriented territories. In the third quarter, BioDelivery completed the sales force restructuring. Current sales force now covers 85% of the overall market.
Nonetheless, BioDelivery is working on improving Bunavail's performance. Apart from restructuring Bunavail's sales territories, the company is working on securing new or improved positioning on other managed care contracts either on an exclusive or preferred status. BioDelivery is also running a highly targeted Bunavail-focused, direct-to-patient digital advertising campaign in four cities. With a reduced cost structure combined with growth opportunities, BioDelivery expects Bunavail to reach profitability by the end of 2017.
Meanwhile Belbuca's start has been slower than expected due to pain market pressures. The company launched Belbuca in U.S. in Feb 2016.
Meanwhile, in the quarter, BioDelivery announced that its phase IIb clinical study assessing the efficacy and safety of Clonidine Topical Gel for the management of painful diabetic neuropathy failed to show a statistically significant difference in pain relief between clonidine topical gel and placebo. As a result, is BioDelivery discontinued further development of the product. We expect the company to shed light on the issue at the conference call.
Earnings Whispers
Our proven model does not conclusively show that BioDelivery is likely to beat on 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) for this to happen. That is not the case here, as you will see below.
Zacks ESP: The Earnings ESP is -3.70% as the Most Accurate estimate and the Zacks Consensus Estimate is pegged at a loss of 28 cents and 27 cents, respectively. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Although BioDelivery's Zacks Rank #3 increases the predictive power of ESP, its negative ESP makes surprise prediction difficult.
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 revisions.
Stocks That Warrant a Look
Here are a couple of health care stocks that you may want to consider, as our model shows that this have the right combination of elements to post an earnings beat in the upcoming quarter.
AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here .
BioMarin Pharmaceutical Inc. BMRN has an Earnings ESP of +3.13% and a Zacks Rank #3.
Biogen Inc. BIIB has an Earnings ESP of +0.60% and a Zacks Rank #3.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017?
Who wouldn't? Last year's market-beating Top 10 portfolio produced 5 double-digit winners. For example, oil and natural gas giant Pioneer Natural Resources and First Republic Bank racked up stellar gains of +44.9% and +44.3% respectively. Now a brand-new list for 2017 has been hand-picked from 4,400 companies covered by the Zacks Rank. See the 2017 Top 10 right now>>
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
BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report
Biogen Inc. (BIIB): Free Stock Analysis Report
BioDelivery Sciences International, Inc. (BDSI): 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. | AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report BioDelivery Sciences International, Inc. (BDSI): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Apart from restructuring Bunavail's sales territories, the company is working on securing new or improved positioning on other managed care contracts either on an exclusive or preferred status. | Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report BioDelivery Sciences International, Inc. (BDSI): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Zacks Rank: Although BioDelivery's Zacks Rank #3 increases the predictive power of ESP, its negative ESP makes surprise prediction difficult. | Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report BioDelivery Sciences International, Inc. (BDSI): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Zacks Rank: Although BioDelivery's Zacks Rank #3 increases the predictive power of ESP, its negative ESP makes surprise prediction difficult. | AbbVie Inc. ABBV has an Earnings ESP of +0.79% and a Zacks Rank #3. Click to get this free report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report BioDelivery Sciences International, Inc. (BDSI): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Last quarter, the company's loss was wider than expected. |
26236.0 | 2017-03-06 00:00:00 UTC | Why TG Therapeutics Stock Exploded Higher Today | ABBV | https://www.nasdaq.com/articles/why-tg-therapeutics-stock-exploded-higher-today-2017-03-06 | nan | nan | What happened
Shares of clinical-stage biotech TG Therapeutics (NASDAQ: TGTX) soared on Monday after the company announced that its experimental leukemia drug TG-1101 (ublituximab) hit the mark in a late-stage trial when used as part of a combination therapy that included AbbVie 's(NYSE: ABBV) Imbruvica. As of 12:22 p.m. EST, the stock had gained 87%.
Perhaps most impressively, the combo's overall response rate was a whopping 80% in high-risk chronic lymphocytic leukemia patients, compared to 47% in patients receiving only Imbruvica.
So what
The Street obviously wasn't a big believer in TG Therapeutics' lead drug candidate, given the company's small market cap of less than $300 million prior to today's news. Nonetheless, these late-stage results appear to be not only strong enough to warrant a regulatory approval, but perhaps make it a go-to therapy for this rare form of blood cancer in later line settings.
Now what
According to the press release, TG Therapeutics is planning on presenting the trial's full data set at an upcoming scientific conference, and discussing the possibility of an accelerated regulatory filing with the Food and Drug Administration as soon as possible.
Before either of these events take place, however, investors shouldn't be too surprised if TG is gobbled up by a larger pharma. In fact, AbbVie may come calling in order to protect and bolster its emerging hematology franchise. Cancer drugs, after all, are highly sought-after products in the pharma industry, especially ones with unusually strong efficacy profiles like ublituximab.
Having said that, TG's last stated cash position of around $60 million leaves much to be desired -- which suggests the company will probably use this spike in its share price to raise funds. So, investors that missed this monstrous liftoff may be able to buy a piece of this intriguing growth story at a reduced price within the next few days -- that is, after a largish secondary offering. Until then, it may be wise to simply sit back and wait for a better entry point.
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George Budwell has no position in any stocks 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. | What happened Shares of clinical-stage biotech TG Therapeutics (NASDAQ: TGTX) soared on Monday after the company announced that its experimental leukemia drug TG-1101 (ublituximab) hit the mark in a late-stage trial when used as part of a combination therapy that included AbbVie 's(NYSE: ABBV) Imbruvica. In fact, AbbVie may come calling in order to protect and bolster its emerging hematology franchise. So what The Street obviously wasn't a big believer in TG Therapeutics' lead drug candidate, given the company's small market cap of less than $300 million prior to today's news. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. What happened Shares of clinical-stage biotech TG Therapeutics (NASDAQ: TGTX) soared on Monday after the company announced that its experimental leukemia drug TG-1101 (ublituximab) hit the mark in a late-stage trial when used as part of a combination therapy that included AbbVie 's(NYSE: ABBV) Imbruvica. In fact, AbbVie may come calling in order to protect and bolster its emerging hematology franchise. | What happened Shares of clinical-stage biotech TG Therapeutics (NASDAQ: TGTX) soared on Monday after the company announced that its experimental leukemia drug TG-1101 (ublituximab) hit the mark in a late-stage trial when used as part of a combination therapy that included AbbVie 's(NYSE: ABBV) Imbruvica. In fact, AbbVie may come calling in order to protect and bolster its emerging hematology franchise. 10 stocks we like better than TG Therapeutics When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. | What happened Shares of clinical-stage biotech TG Therapeutics (NASDAQ: TGTX) soared on Monday after the company announced that its experimental leukemia drug TG-1101 (ublituximab) hit the mark in a late-stage trial when used as part of a combination therapy that included AbbVie 's(NYSE: ABBV) Imbruvica. In fact, AbbVie may come calling in order to protect and bolster its emerging hematology franchise. * David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and TG Therapeutics wasn't one of them! |
26237.0 | 2017-03-05 00:00:00 UTC | 5 Dividend Stocks to Buy in March | ABBV | https://www.nasdaq.com/articles/5-dividend-stocks-buy-march-2017-03-05 | nan | nan | Worried that the market might be getting a bit frothy? Good dividend stocks will keep making you money even if a correction comes. And smart dividend picks can be found in nearly every sector.
Healthcare? There's AbbVie (NYSE: ABBV) . Energy? Try BP (NYSE: BP) . Utlities? Consider Eversource Energy (NYSE: ES) . Industrials? Look at Ford (NYSE: F) . Real estate? Check out Welltower (NYSE: HCN) . Here's why these dividend stocks from across the spectrum should be good ones to buy in March.
AbbVie: A big biotech with lots of growth potential
AbbVie stands out as one of the best healthcare dividend stocks around. The biotech has grown its dividend by a whopping 60% since being spun off by Abbott Laboratories in 2013. AbbVie's yield currently stands at 4.07%.
You don't have to worry about the dividend evaporating anytime soon. AbbVie only uses 63% of its earnings to fund its dividend. And those earnings should grow by double-digit percentages over the next few years.
Sales for AbbVie's top drug, Humira, continue to increase. The biotech's cancer drug Imbruvica is sizzling hot. Revenue from the drug could more than double by 2020. AbbVie also has a solid pipeline with several candidates that could generate annual sales topping $1 billion.
BP: Making smart moves for the future
Oil and gas stocks are known for paying nice dividends. BP is no exception. The big oil company's dividend yield of 6.95% stands out as one of the highest in the industry.
A cursory glance at BP's latest quarterly results might make you think the company is headed in the wrong direction. But don't let the lower earnings fool you. When one-time gains from the past are factored out, BP is performing quite well and continues to generate strong cash flow.
BP is also making smart moves that should position the company to succeed in the future even if oil prices fall. The company has cut costs significantly and plans to keep its cost discipline intact. BP thinks that it will be able to balance its books by 2021 at crude prices as low as $35 to $40 per barrel.
Eversource Energy: Lower leverage than most utilities
Eversource Energy's dividend yield of 3.24% might not be as mouth-watering as AbbVie's or BP's yields. However, this utility stock is still a good pick for long-term investors.
Many utilities load up with so much debt that an increase in interest rates causes plenty of pain. Eversource Energy, however, isn't nearly as leveraged as some of its peers. The company's debt-to-equity ratio is a respectable 0.9.
While utility stocks aren't going to generate growth like stocks in other industries do, Eversource Energy should increase earnings at a solid pace. Wall Street analysts project average annual earnings growth of 6% for the company over the next five years.
Ford: A great pickup for your portfolio
Ford continues to claim one of the most attractive dividends among automakers. The company's dividend yield is currently 4.73%. Ford uses only a little over half of its earnings to fund the dividend program.
There have been some signs recently that demand for buying new cars could be weakening a bit. Ford and other automakers have increased their incentive payments to spur sales. This could hint at headwinds later this year.
However, the future for Ford still looks bright. The company remains at the top of the pickup truck market. Ford is also investing heavily in developing driverless cars. And with the stock trading at a little over seven times projected forward earnings, Ford appears be priced at a discount.
Welltower: The granddaddy of healthcare REITs
Welltower has been in business since 1970, making it the oldest healthcare real estate investment trust (REIT) around. As a REIT, paying dividends is a must for Welltower. Its dividend yield currently stands at 4.94%.
The company should reap rewards from a strategic decision announced in November. Welltower is reducing its focus on long-term and post-acute care (LTPAC) properties and shifting more to private-pay senior housing. That's a smart move that should allow the company to increase profitability.
Buying Welltower stock should prove to be a good way to benefit from aging demographics in the U.S. The number of Americans aged 85 and over is expected to double in the next 20 years. Welltower's large presence in the senior housing market, including memory care, assisted living, and independent living, should allow the company to grow significantly.
10 stocks we like better than Wal-Mart
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The author(s) may have a position in any stocks mentioned.
Keith Speights owns shares of AbbVie. The Motley Fool owns shares of and recommends Ford. The Motley Fool recommends Welltower. 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. | There's AbbVie (NYSE: ABBV) . AbbVie: A big biotech with lots of growth potential AbbVie stands out as one of the best healthcare dividend stocks around. AbbVie's yield currently stands at 4.07%. | Eversource Energy: Lower leverage than most utilities Eversource Energy's dividend yield of 3.24% might not be as mouth-watering as AbbVie's or BP's yields. There's AbbVie (NYSE: ABBV) . AbbVie: A big biotech with lots of growth potential AbbVie stands out as one of the best healthcare dividend stocks around. | AbbVie: A big biotech with lots of growth potential AbbVie stands out as one of the best healthcare dividend stocks around. Eversource Energy: Lower leverage than most utilities Eversource Energy's dividend yield of 3.24% might not be as mouth-watering as AbbVie's or BP's yields. There's AbbVie (NYSE: ABBV) . | AbbVie: A big biotech with lots of growth potential AbbVie stands out as one of the best healthcare dividend stocks around. There's AbbVie (NYSE: ABBV) . AbbVie's yield currently stands at 4.07%. |
26238.0 | 2017-03-03 00:00:00 UTC | XLV, AMGN, MDT, ABBV: ETF Inflow Alert | ABBV | https://www.nasdaq.com/articles/xlv-amgn-mdt-abbv-etf-inflow-alert-2017-03-03 | 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 $128.4 million dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 213,115,324 to 214,815,324). Among the largest underlying components of XLV, in trading today Amgen Inc (Symbol: AMGN) is up about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.5%, and AbbVie Inc (Symbol: ABBV) is lower 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 $65.66 per share, with $76.00 as the 52 week high point - that compares with a last trade of $75.51. 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 Amgen Inc (Symbol: AMGN) is up about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.5%, and AbbVie Inc (Symbol: ABBV) is lower 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 $128.4 million dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 213,115,324 to 214,815,324). 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 Amgen Inc (Symbol: AMGN) is up about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.5%, and AbbVie Inc (Symbol: ABBV) is lower 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 $65.66 per share, with $76.00 as the 52 week high point - that compares with a last trade of $75.51. 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 Amgen Inc (Symbol: AMGN) is up about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.5%, and AbbVie Inc (Symbol: ABBV) is lower 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 $128.4 million dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 213,115,324 to 214,815,324). 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 $65.66 per share, with $76.00 as the 52 week high point - that compares with a last trade of $75.51. | Among the largest underlying components of XLV, in trading today Amgen Inc (Symbol: AMGN) is up about 0.2%, Medtronic PLC (Symbol: MDT) is down about 0.5%, and AbbVie Inc (Symbol: ABBV) is lower 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 $128.4 million dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 213,115,324 to 214,815,324). 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 $65.66 per share, with $76.00 as the 52 week high point - that compares with a last trade of $75.51. |
26239.0 | 2017-03-02 00:00:00 UTC | Health Care Sector Update for 03/02/2017: CHRS | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-03022017-chrs-2017-03-02 | nan | nan | Top Health-care stocks:
JNJ: -0.3%
PFE: +0.4%
ABT: -1.5%
MRK: +0.1%
AMGN: -0.02%
Health-care shares were mixed in pre-market trade on Thursday.
In health-care stocks news, Coherus BioSciences ( CHRS ) was higher in pre-bell trade Thursday after CHS-1420, its proposed biosimilar of AbbVie's ( ABBV ) adalimumab (Humira), met the primary endpoint in a clinical pharmacokinetic bioequivalence study that compared CHS-1420 to Humira in healthy subjects.
Shares in the company were 1.6% higher at $25.30 pre-bell. The stock has traded between $14 and $31.98 over the past 52 weeks.
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 health-care stocks news, Coherus BioSciences ( CHRS ) was higher in pre-bell trade Thursday after CHS-1420, its proposed biosimilar of AbbVie's ( ABBV ) adalimumab (Humira), met the primary endpoint in a clinical pharmacokinetic bioequivalence study that compared CHS-1420 to Humira in healthy subjects. Health-care shares were mixed in pre-market trade on Thursday. The stock has traded between $14 and $31.98 over the past 52 weeks. | In health-care stocks news, Coherus BioSciences ( CHRS ) was higher in pre-bell trade Thursday after CHS-1420, its proposed biosimilar of AbbVie's ( ABBV ) adalimumab (Humira), met the primary endpoint in a clinical pharmacokinetic bioequivalence study that compared CHS-1420 to Humira in healthy subjects. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In health-care stocks news, Coherus BioSciences ( CHRS ) was higher in pre-bell trade Thursday after CHS-1420, its proposed biosimilar of AbbVie's ( ABBV ) adalimumab (Humira), met the primary endpoint in a clinical pharmacokinetic bioequivalence study that compared CHS-1420 to Humira in healthy subjects. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In health-care stocks news, Coherus BioSciences ( CHRS ) was higher in pre-bell trade Thursday after CHS-1420, its proposed biosimilar of AbbVie's ( ABBV ) adalimumab (Humira), met the primary endpoint in a clinical pharmacokinetic bioequivalence study that compared CHS-1420 to Humira in healthy subjects. Health-care shares were mixed in pre-market trade on Thursday. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
26240.0 | 2017-03-02 00:00:00 UTC | These 3 Big Pharma Stocks Are Exceptionally Cheap | ABBV | https://www.nasdaq.com/articles/these-3-big-pharma-stocks-are-exceptionally-cheap-2017-03-02 | nan | nan | For retirees and income-seeking investors, there are few industries that offer more promise than big pharma.
There's a lot to like about investing in some of the steadiest drug innovators. Their portfolios are often dozens of products deep, which provides the diversification investors would like to see when investing in a drug company. They also tend to have substantial pipelines and numerous development partnerships, meaning there are always new channels of revenue potential on the horizon. And most importantly, they tend to be very profitable, with most big pharma stocks yielding 2% or more.
One thing big pharma stocks typically aren't, however, is cheap. There's often a premium to be paid for companies that possess exceptional pricing power and juicy margins. This can mean paying 15 to 20 times forward earnings for a company only expected to grow at 5% per year (or less).
In other words, big pharma companies usually have PEG ratios (price-to-earnings-to-growth) that would make fundamental and value investors head in the other direction. A PEG of around 1 is usually considered attractively cheap, while a PEG that's closer to 2 would symbolize a company that's fairly valued. Some industry stalwarts, such as Johnson & Johnson and Novartis , have PEGs of roughly 3 right now.
These big pharma stocks are genuinely cheap
However, out of the 13 stocks that currently qualify as big pharma ($50 billion market cap, or larger), three have PEG ratios that are right around (or even below) 1! That's right...it means there are big pharma stocks that are genuinely cheap. Could these big pharma stocks be worth a look by value investors?
GlaxoSmithKline: PEG ratio of 1.09
If you're wondering why on Earth GlaxoSmithKline (NYSE: GSK) , a company synonymous with respiratory innovation, is so cheap, look no further than blockbuster drug Advair. Even though no generic version of Advair has hit pharmacy shelves, the pricing power of Advair has been adversely impacted since the COPD and asthma treatment lost patent protection. In 2016, constant currency sales of Advair fell by 15% to $4.33 billion. Mind you, Advair at one time was producing in the neighborhood of $8 billion in annual sales.
Now, here's the good news: GlaxoSmithKline has next-generation, long-lasting COPD and asthma therapies at the ready. Unfortunately, uptake of these products hasn't been without some speed bumps. Insurer coverage of these more expensive next-gen products was slow to take hold. Additionally, it wasn't easy to convince physicians and consumers to switch away from older products. Glaxo is finally beginning to see the results of its marketing efforts taking hold, especially with Breo Ellipta and Anoro Ellipta.
Based on GlaxoSmithKline's full-year report released three weeks ago, Breo sales shot up to $770 million in 2016, while Anoro improved to $250 million. More importantly, the losses in revenue Glaxo is dealing with from the expected introduction of generic Advair are now being dwarfed by the growth from its next-gen COPD and asthma products, as well as its HIV drugs Tivicay and Triumeq. All told, new respiratory products accounted for $1.28 billion in sales, while the aforementioned two HIV drugs generated $3.34 billion in sales.
GlaxoSmithKline also reorganized its business via a major asset swap with Novartis, as well as improved its margins by reorganizing its supply chain. These billions in cost savings, along with its rapid growth expectation for growth in respiratory and HIV, could carry Glaxo to a higher valuation.
Shire PLC: PEG ratio of 1.04
The reason for Ireland-based Shire (NASDAQ: SHPG) being so relatively inexpensive compared to its peers isn't enitely clear. Shire completed the acquisition of Baxalta during 2016, which made it a bit tougher for investors to make transparent apples-to-apples comparisons. Shire has also moved off of the acquisition radar after acquiring Baxalta, and following changes to U.S. tax inversion regulations.
However, Shire has had little issue growing its top line, which is what should put it back on the radars of value investors.
First and foremost, Shire is a leading provider of rare-disease medications. Even though there are rumblings in the U.S. Congress of reforming prescription medicine pricing, this would be extremely unlikely for the rare diseases that Shire targets. In other words, it's likely that Shire will see steady sales growth and exceptionally strong pricing power from its genetic medicines drug portfolio. In 2016, sales of its genetic disease drugs rose by 14% on an adjusted constant currency basis to nearly $2.7 billion.
A relatively new growth driver for Shire that investors should also be watching is its hematology operations, which were acquired through its Baxalta acquisition. According to Grand View Research, the global hemophilia market was valued at $9.3 billion in 2015, and is expected to climb to north of $15 billion by 2024. Shire could choose to use its cash flow to further bolster its hemophilia market share via mergers and acquisitions, or it could always consider selling its high-growth asset for a premium should a suitor come calling.
Let's not forget that Shire's merger with Baxalta is expected to result in at least $500 million in annual cost synergies, as well as double-digit sales growth through 2020. This rare-disease big pharma stock is definitely worth a look for both growth and value investors.
AbbVie: PEG ratio of 0.79
But the cheapest big pharma stock of them all is AbbVie (NYSE: ABBV) , with a PEG ratio of just 0.79.
Why no love for AbbVie? To begin with, AbbVie is heavily reliant on anti-inflammatory drug Humira, which is currently approved in 10 indications. At some point in the years to come, Humira is expected to face biosimilar and generic competition. With Humira accounting for 63% of AbbVie's sales, there's clear concern about where the company could be headed in the intermediate term.
The other issue for AbbVie is that its hepatitis C virus (HCV) drug Viekira Pak has been a major disappointment relative to Gilead Sciences ' Harvoni. Viekira was introduced to the market with most HCV patients needing to take multiple drugs per day, which made it far less convenient than Harvoni. Even with a once-daily version of Viekira introduced, sales have languished. Viekira sales totaled just $1.5 billion in 2016, down 6.4% on an operating basis.
However, investors could be overlooking the incredible pricing power and diversity of Humira, as well as AbbVie's growing oncology pipeline. Humira wound up generating more than $16 billion in sales last year and shows little signs of slowing in 2017, with the drug maintaining its strong pricing power in the United States. As long as Congress has its hands tied with a number of major policy issues, drug pricing reform will continue to take a backseat.
Additionally, sales of blood cancer drug Imbruvica soared to $1.83 billion. Imbruvica was acquired when AbbVie purchased Pharmacyclics for $21 billion. Sales of Imbruvica have a real shot of eclipsing the $7 billion per year mark for AbbVie, which, when combined with its growing oncology pipeline, could get AbbVie and its shareholders over the bump when Humira does begin facing biosimilar and generic competition.
With a 4.1% yield, AbbVie is just as attractive to income investors as it is to value investors.
10 stocks we like better than Shire
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Shire 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 February 6, 2017
Sean Williams has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Gilead Sciences and Johnson and 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. | AbbVie: PEG ratio of 0.79 But the cheapest big pharma stock of them all is AbbVie (NYSE: ABBV) , with a PEG ratio of just 0.79. Why no love for AbbVie? To begin with, AbbVie is heavily reliant on anti-inflammatory drug Humira, which is currently approved in 10 indications. | AbbVie: PEG ratio of 0.79 But the cheapest big pharma stock of them all is AbbVie (NYSE: ABBV) , with a PEG ratio of just 0.79. Why no love for AbbVie? To begin with, AbbVie is heavily reliant on anti-inflammatory drug Humira, which is currently approved in 10 indications. | AbbVie: PEG ratio of 0.79 But the cheapest big pharma stock of them all is AbbVie (NYSE: ABBV) , with a PEG ratio of just 0.79. Why no love for AbbVie? To begin with, AbbVie is heavily reliant on anti-inflammatory drug Humira, which is currently approved in 10 indications. | Sales of Imbruvica have a real shot of eclipsing the $7 billion per year mark for AbbVie, which, when combined with its growing oncology pipeline, could get AbbVie and its shareholders over the bump when Humira does begin facing biosimilar and generic competition. AbbVie: PEG ratio of 0.79 But the cheapest big pharma stock of them all is AbbVie (NYSE: ABBV) , with a PEG ratio of just 0.79. Why no love for AbbVie? |
26241.0 | 2017-03-01 00:00:00 UTC | Better Buy: Johnson & Johnson vs. AbbVie | ABBV | https://www.nasdaq.com/articles/better-buy-johnson-johnson-vs-abbvie-2017-03-01 | nan | nan | Dividend Aristocrats. Biopharmaceutical leaders. Great stock picks.
All three of these descriptions apply to both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) . The performance of the two drug stocks was nearly exactly the same over the last five years. But which is the better choice now? Here's how Johnson & Johnson and AbbVie compare.
Dividends
Both Johnson & Johnson and AbbVie have solid dividends. J&J has increased its dividend for an impressive 54 consecutive years. AbbVie has increased its dividend for "only" 44 years in a row, if you include the track record of the company's parent, Abbott Laboratories .
AbbVie clearly wins on dividend yield. The biotech's yield currently stands at 4.12%. J&J's dividend yield is 2.61%. This isn't just a temporary advantage for AbbVie, either. For most of the company's existence since being spun off by Abbott Laboratories, AbbVie's dividend yield has been superior to J&J's.
Johnson & Johnson, however, claims the lower dividend payout ratio . The healthcare giant uses only 54% of its earnings to fund its dividend program. AbbVie uses nearly 63% of earnings to cover its dividend. That's not bad at all, but it is somewhat higher than J&J's payout ratio.
Growth
Over the last five years AbbVie has grown earnings by an average annual rate of 17.1%. That record trounced the 6.4% average annual growth for Johnson & Johnson. But that's the past. What about the future?
Wall Street analysts expect AbbVie to grow earnings over the next five years by an average annual rate of 14.4%. J&J's earnings are expected to increase by 5.9% annually. It's not too difficult to figure out why AbbVie is the clear winner.
Humira is by far AbbVie's biggest moneymaker, generating 63% of the company's total revenue last year. The good news for AbbVie is that sales for the autoimmune disease drug continue to grow. Even better news for AbbVie is that it has several other drugs that either already are or should be huge winners.
Imbruvica is the most important in this group. AbbVie thinks the cancer drug will reach annual sales of $5 billion by 2020. Several other candidates could be blockbusters, including endometriosis drug Elagolix and cancer drug Rova-T.
Johnson & Johnson isn't getting much growth from two of its business segments -- consumer and medical devices. These segments weigh down J&J's overall growth prospects.
The company's primary growth driver is its pharmaceuticals business. Several of J&J's current products are performing very well, including autoimmune disease drugs Stelara and Simponi, antipsychotic drug Invega Sustenna, and Imbruvica (which the company co-markets with AbbVie).
While J&J could face headwinds with the potential loss of patent protection for top-selling Remicade, the company's pipeline should produce several new stars. The company awaits regulatory approval for two autoimmune disease candidates, sirukumab and guselkumab. J&J also expects to submit nine drugs for regulatory approval over the next three years.
Valuation
Johnson & Johnson stock currently trades at less than 17 times forward earnings. That's not an unattractive valuation for J&J compared to its historical earnings multiples.
AbbVie, though, clearly appears to be the less expensive stock right now. The biotech's shares trade at less than 10 times forward earnings. When AbbVie's solid growth prospects are considered, the stock looks even more attractively valued.
Better buy
My pick as the better buy is AbbVie. Although Johnson & Johnson has an edge on increasing dividends and a lower dividend payout ratio, it's hard to beat AbbVie's yield.
AbbVie also beats J&J on growth prospects and on valuation. The biggest risk for AbbVie is competition for Humira. However, I think any serious threats to Humira are still a few years away. Johnson & Johnson isn't a bad pick, but I think AbbVie will be the better stock to own for a while to come.
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 tripled 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 February 6, 2017
Keith Speights owns shares of AbbVie. The Motley Fool owns shares of and recommends Johnson and 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. | AbbVie has increased its dividend for "only" 44 years in a row, if you include the track record of the company's parent, Abbott Laboratories . Wall Street analysts expect AbbVie to grow earnings over the next five years by an average annual rate of 14.4%. All three of these descriptions apply to both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) . | For most of the company's existence since being spun off by Abbott Laboratories, AbbVie's dividend yield has been superior to J&J's. Although Johnson & Johnson has an edge on increasing dividends and a lower dividend payout ratio, it's hard to beat AbbVie's yield. All three of these descriptions apply to both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) . | Dividends Both Johnson & Johnson and AbbVie have solid dividends. Although Johnson & Johnson has an edge on increasing dividends and a lower dividend payout ratio, it's hard to beat AbbVie's yield. Johnson & Johnson isn't a bad pick, but I think AbbVie will be the better stock to own for a while to come. | Dividends Both Johnson & Johnson and AbbVie have solid dividends. Although Johnson & Johnson has an edge on increasing dividends and a lower dividend payout ratio, it's hard to beat AbbVie's yield. Johnson & Johnson isn't a bad pick, but I think AbbVie will be the better stock to own for a while to come. |
26242.0 | 2017-02-28 00:00:00 UTC | Get Paid While You Wait: 3 Top Dividend Stocks in Big Pharma | ABBV | https://www.nasdaq.com/articles/get-paid-while-you-wait-3-top-dividend-stocks-big-pharma-2017-02-28 | nan | nan | Sit back and let the money roll in.
That's what stocks that pay great dividends allow investors to do. Three big pharma stocks boast especially attractive dividends: AbbVie (NYSE: ABBV) , Pfizer (NYSE: PFE) , and Novo Nordisk (NYSE: NVO) . These drugmakers should reward investors with solid share appreciation over the long run as well.
Here's why AbbVie, Pfizer, and Novo Nordisk rank among the top dividend stocks -- and how they can pay you to wait while earnings grow.
AbbVie: Checking off all the boxes
AbbVie claims an exceptionally strong dividend yield of 4.12%. The company's dividend has grown a whopping 60% since AbbVie was spun off from parent Abbott Laboratories in 2013. If you count the period when AbbVie was still under Abbott's wing, the company has hiked its dividend for 44 consecutive years.
There shouldn't be any problems for AbbVie in keeping the streak going. The company currently uses less than 63% of its earnings to fund its dividend payments. Those earnings are also expected to grow by more than 14% annually on average over the next several years.
AbbVie's current products will generate much of that anticipated earnings growth. Top-selling autoimmune disease drug Humira continues to chug along, generating more than $16 billion in 2016 -- a year-over-year increase of nearly 15%. Cancer drug Imbruvica made $1.8 billion last year. AbbVie projects peak annual sales for Imbruvica to reach $5 billion by 2020.
Several candidates from AbbVie's pipeline could also help fund future dividend payments. Cancer drug Rova-T, autoimmune disease drug risankizumab, and leukemia drug Venclexta all have the potential to generate billions of dollars in annual revenue.
Pfizer: Acquisitions helping drive growth
Pfizer isn't too far behind AbbVie. The big drugmaker's dividend yield currently stands at 3.74%. Pfizer's management has clearly expressed a commitment to paying dividends, with CFO Frank D'Amelio recently stating that the "dividend is an important part to our investing thesis."
At first glance, you might think Pfizer's dividend could be in trouble. The company currently spends more on dividend payments than it's making in earnings. Don't worry, though. Pfizer's cash flow is strong enough to easily continue funding its dividend. The company's earnings are also poised to grow at a solid pace.
Ibrance will be key to driving earnings higher. The cancer drug generated $2.1 billion in revenue last year. Analysts think that Ibrance could reach peak annual sales between $3 billion and $5 billion.
Pfizer's acquisition strategy should also pay off. The two big buyouts last year of Medivation and Anacor allowed Pfizer to pick up prostate cancer drug Xtandi and eczema drug Eucrisa. Each of these acquired drugs could bring in annual revenue of $2 billion or more.
Novo Nordisk: Expanding leadership into new areas
Novo Nordisk's dividend yield of 3.14% also looks quite attractive. The Denmark-based drugmaker uses only 63% of its earnings to fund its dividend program, so future dividend hikes seem likely.
Like AbbVie and Pfizer, Novo Nordisk can expect earnings to increase solidly in the coming years. The company already has a leadership role with its diabetes franchise, with a market share of 27% in the overall diabetes care market. That position should be in good shape with products such as Tresiba and Xultophy. Both insulin products could reach peak annual sales of $3 billion.
Novo Nordisk is also looking to become a leader in new therapeutic categories. The company awaits regulatory approval for hemophilia drug N9-GP. Another pipeline candidate for treating hemophilia, N8-GP, is currently in late-stage clinical testing. In addition, Novo Nordisk's obesity drug Saxenda won FDA approval in late 2014. The drugmaker also is evaluating semaglutide in weight management for obese patients in a mid-stage clinical study.
Another target area for growth is with growth -- growth disorders, that is. Novo Nordisk's Norditropin growth hormone treatment has been on the market for several years. And the company has a late-stage study in progress for experimental long-acting human growth hormone somapacitan.
Best of the best
Which of these top big pharma dividend stocks is the best? My pick is AbbVie.
As long as AbbVie can avoid significant competition for Humira, everything should go well for its stock and its dividend. The company thinks it can hold off biosimilar rivals for a few more years using the legal system. In the meantime, AbbVie will pay investors nicely to wait for its newer products to lessen dependence on Humira. Just sit back and let the dividends roll in.
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Keith Speights owns shares of AbbVie and Pfizer. 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. | Here's why AbbVie, Pfizer, and Novo Nordisk rank among the top dividend stocks -- and how they can pay you to wait while earnings grow. In the meantime, AbbVie will pay investors nicely to wait for its newer products to lessen dependence on Humira. Three big pharma stocks boast especially attractive dividends: AbbVie (NYSE: ABBV) , Pfizer (NYSE: PFE) , and Novo Nordisk (NYSE: NVO) . | Three big pharma stocks boast especially attractive dividends: AbbVie (NYSE: ABBV) , Pfizer (NYSE: PFE) , and Novo Nordisk (NYSE: NVO) . Like AbbVie and Pfizer, Novo Nordisk can expect earnings to increase solidly in the coming years. Here's why AbbVie, Pfizer, and Novo Nordisk rank among the top dividend stocks -- and how they can pay you to wait while earnings grow. | Three big pharma stocks boast especially attractive dividends: AbbVie (NYSE: ABBV) , Pfizer (NYSE: PFE) , and Novo Nordisk (NYSE: NVO) . Here's why AbbVie, Pfizer, and Novo Nordisk rank among the top dividend stocks -- and how they can pay you to wait while earnings grow. Like AbbVie and Pfizer, Novo Nordisk can expect earnings to increase solidly in the coming years. | Here's why AbbVie, Pfizer, and Novo Nordisk rank among the top dividend stocks -- and how they can pay you to wait while earnings grow. Pfizer: Acquisitions helping drive growth Pfizer isn't too far behind AbbVie. Three big pharma stocks boast especially attractive dividends: AbbVie (NYSE: ABBV) , Pfizer (NYSE: PFE) , and Novo Nordisk (NYSE: NVO) . |
26243.0 | 2017-02-23 00:00:00 UTC | These 3 Dividend Stocks Are Ridiculously Cheap | ABBV | https://www.nasdaq.com/articles/these-3-dividend-stocks-are-ridiculously-cheap-2017-02-23 | nan | nan | With the Dow Jones Industrial Average soaring past the 20,000 mark, there isn't a lot of value to be found in today's market. However, even during times of market euphoria, there are still a handful of stocks on the market trading at dirt-cheap valuations.
Let's take a closer look at three ridiculously cheap stocks that also pay dividends -- Pitney Bowes (NYSE: PBI) , Western Union (NYSE: WU) , and AbbVie (NYSE: ABBV) -- to see if any could be worth buying today.
A company in transition
Once upon a time, Pitney Bowes was a red-hot growth stock. The company held a dominant market position in the business mailing industry, which helped drive decades of revenue and profit growth.
New technologies, however, such as the fax machine, emails, and text messages have slowly eroded the demand for Pitney Bowes' products. When adding in competitive pressures from companies such as Stamps.com , it's easy to understand why the company's top and bottom lines have been steadily declining for years. In turn, long-term shareholders have been dealt a lot of pain.
PBI Revenue (TTM) data by YCharts
But now Pitney-Bowes' management team believes it has a realistic plan to regain the company's former glory. The company has been investing heavily in building out its software offerings in an effort to better compete in the digital age. Given the company's size and relationships, management is hopeful that businesses will sign up and that the company will soon return to growth mode.
Changing business models is never easy, so it's understandable that Wall Street is skeptical. As a result, the company's shares are currently trading for just 7 times forward earnings, and its dividend yield has soared to 5.6%. However, given the company's history of failing revenue and profit, I have a hard time feeling bullish about this stock.
An eroding competitive advantage
If you've ever sent money to a friend or family member over a long distance, there's a good chance you dealt with Western Union. This century-old business had an enormous worldwide network of money-transfer locations that made it the go-to place for millions of consumers for decades. With immigration on the rise and the world becoming increasingly more connected, Western Union appeared to be well positioned for growth.
Still, the thesis for owning Western Union's stock hasn't panned out. While demand for money-transfer services continues to rise, consumers are increasingly turning to low-cost internet providers, such as PayPal 's Xoom, in lieu of visiting a Western Union. To retain its market share, Western Union has been forced to give in on pricing. That necessity has caused the company's net income to plunge at a far faster rate than revenue.
WU Revenue (TTM) data by YCharts
The company's dwindling competitive position has caused market watchers to turn quite bearish on the stock. Shares are currently trading for only 11 times forward earnings, which is quite cheap for a company that's debt free, cranking out cash flow, and paying a meaty 3.6% dividend.
Still, it's hard to see how the company can get its bottom line moving in the right direction again, given the increasingly competitive landscape. This stock could be a value trap and probably one to avoid.
Revenue concentration issues
Standing in stark contrast to Pitney Bowes and Western Union, pharma giant AbbVie hasn't seen its revenue and profit stagnate over the past few years. In fact, AbbVie's revenue and earnings have both been growing at double-digit rates for years. Better yet, AbbVie's management team recently stuck its neck out and projected that the double-digit growth rates would continue annually between now and 2020. Believe it or not, Wall Street agrees with this forecast and is predicting earnings growth of more than 14% annually over the next five years.
So why is AbbVie trading for less than 10 times forward earnings? While I'm sure the political rhetoric surrounding drug prices and the repeal of the Affordable Care Act is weighing on the stock, I think the markets are far more concerned about the long-term future of AbbVie's best-selling drug, Humira.
To call Humira important to AbbVie's future would be a huge understatement. While AbbVie generated more than $25 billion in global sales last year, a full $16 billion of that amount -- or nearly two-thirds of the total -- was derived from Humira. That means a great deal of AbbVie's value is directly tied to the future success of this anti-inflammatory drug, so if Humira were to stumble, so, too, would AbbVie's stock.
Many other big pharma stocks want a part of that Humira revenue, which is why there are a few biosimilar drug candidates in development. While AbbVie has so far been able to fend off the potential competition by using the legal system, that situation can't go on forever.
AbbVie knows that to be the case, why is why it's investing in other drugs, including Imbruvica, Ceron, and Venclexta, in an effort to help diversify the company's revenue stream. However, that diversification will probably take a long time, given Humira's dominance, so it's understandable why this fast-growing stock is trading so cheaply.
Are any worth buying?
While all three stocks offer investors reasons to be cautious, I can't help feeling that only AbbVie might be worth buying today. Humira looks protected for the next few years, allowing the company to probably remain in growth mode. Add in a 4% dividend yield and a cheap valuation, and it's hard to blame value investors for being attracted to this stock.
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Brian Feroldi has no position in any stocks mentioned. The Motley Fool owns shares of and recommends PayPal Holdings. The Motley Fool recommends Stamps.com. 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. | Let's take a closer look at three ridiculously cheap stocks that also pay dividends -- Pitney Bowes (NYSE: PBI) , Western Union (NYSE: WU) , and AbbVie (NYSE: ABBV) -- to see if any could be worth buying today. Revenue concentration issues Standing in stark contrast to Pitney Bowes and Western Union, pharma giant AbbVie hasn't seen its revenue and profit stagnate over the past few years. In fact, AbbVie's revenue and earnings have both been growing at double-digit rates for years. | Let's take a closer look at three ridiculously cheap stocks that also pay dividends -- Pitney Bowes (NYSE: PBI) , Western Union (NYSE: WU) , and AbbVie (NYSE: ABBV) -- to see if any could be worth buying today. Revenue concentration issues Standing in stark contrast to Pitney Bowes and Western Union, pharma giant AbbVie hasn't seen its revenue and profit stagnate over the past few years. In fact, AbbVie's revenue and earnings have both been growing at double-digit rates for years. | Let's take a closer look at three ridiculously cheap stocks that also pay dividends -- Pitney Bowes (NYSE: PBI) , Western Union (NYSE: WU) , and AbbVie (NYSE: ABBV) -- to see if any could be worth buying today. Revenue concentration issues Standing in stark contrast to Pitney Bowes and Western Union, pharma giant AbbVie hasn't seen its revenue and profit stagnate over the past few years. In fact, AbbVie's revenue and earnings have both been growing at double-digit rates for years. | While all three stocks offer investors reasons to be cautious, I can't help feeling that only AbbVie might be worth buying today. Let's take a closer look at three ridiculously cheap stocks that also pay dividends -- Pitney Bowes (NYSE: PBI) , Western Union (NYSE: WU) , and AbbVie (NYSE: ABBV) -- to see if any could be worth buying today. Revenue concentration issues Standing in stark contrast to Pitney Bowes and Western Union, pharma giant AbbVie hasn't seen its revenue and profit stagnate over the past few years. |
26244.0 | 2017-02-23 00:00:00 UTC | Noteworthy Thursday Option Activity: GRA, BOX, ABBV | ABBV | https://www.nasdaq.com/articles/noteworthy-thursday-option-activity-gra-box-abbv-2017-02-23 | nan | nan | Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in Grace & Co (Symbol: GRA), where a total of 2,838 contracts have traded so far, representing approximately 283,800 underlying shares. That amounts to about 43.5% of GRA's average daily trading volume over the past month of 652,870 shares. Particularly high volume was seen for the $77.50 strike call option expiring March 17, 2017 , with 2,020 contracts trading so far today, representing approximately 202,000 underlying shares of GRA. Below is a chart showing GRA's trailing twelve month trading history, with the $77.50 strike highlighted in orange:
Box Inc (Symbol: BOX) saw options trading volume of 4,326 contracts, representing approximately 432,600 underlying shares or approximately 43.3% of BOX's average daily trading volume over the past month, of 999,475 shares. Particularly high volume was seen for the $10 strike put option expiring January 19, 2018 , with 3,490 contracts trading so far today, representing approximately 349,000 underlying shares of BOX. Below is a chart showing BOX's trailing twelve month trading history, with the $10 strike highlighted in orange:
And AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,320 contracts thus far today. That number of contracts represents approximately 3.0 million underlying shares, working out to a sizeable 41.5% of ABBV's average daily trading volume over the past month, of 7.3 million shares. Especially high volume was seen for the $65 strike call option expiring May 19, 2017 , with 10,727 contracts trading so far today, representing approximately 1.1 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $65 strike highlighted in orange:
For the various different available expirations for GRA options , BOX options , or ABBV 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 $65 strike call option expiring May 19, 2017 , with 10,727 contracts trading so far today, representing approximately 1.1 million underlying shares of ABBV. Below is a chart showing BOX's trailing twelve month trading history, with the $10 strike highlighted in orange: And AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,320 contracts thus far today. That number of contracts represents approximately 3.0 million underlying shares, working out to a sizeable 41.5% of ABBV's average daily trading volume over the past month, of 7.3 million shares. | Below is a chart showing BOX's trailing twelve month trading history, with the $10 strike highlighted in orange: And AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,320 contracts thus far today. Especially high volume was seen for the $65 strike call option expiring May 19, 2017 , with 10,727 contracts trading so far today, representing approximately 1.1 million underlying shares of ABBV. That number of contracts represents approximately 3.0 million underlying shares, working out to a sizeable 41.5% of ABBV's average daily trading volume over the past month, of 7.3 million shares. | Especially high volume was seen for the $65 strike call option expiring May 19, 2017 , with 10,727 contracts trading so far today, representing approximately 1.1 million underlying shares of ABBV. Below is a chart showing BOX's trailing twelve month trading history, with the $10 strike highlighted in orange: And AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,320 contracts thus far today. That number of contracts represents approximately 3.0 million underlying shares, working out to a sizeable 41.5% of ABBV's average daily trading volume over the past month, of 7.3 million shares. | Especially high volume was seen for the $65 strike call option expiring May 19, 2017 , with 10,727 contracts trading so far today, representing approximately 1.1 million underlying shares of ABBV. Below is a chart showing BOX's trailing twelve month trading history, with the $10 strike highlighted in orange: And AbbVie Inc (Symbol: ABBV) options are showing a volume of 30,320 contracts thus far today. That number of contracts represents approximately 3.0 million underlying shares, working out to a sizeable 41.5% of ABBV's average daily trading volume over the past month, of 7.3 million shares. |
26245.0 | 2017-02-22 00:00:00 UTC | Vanguard Large-Cap ETF Experiences Big Outflow | ABBV | https://www.nasdaq.com/articles/vanguard-large-cap-etf-experiences-big-outflow-2017-02-22 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Vanguard Large-Cap ETF (Symbol: VV) where we have detected an approximate $16.3 million dollar outflow -- that's a 0.2% decrease week over week (from 83,353,497 to 83,203,497). Among the largest underlying components of VV, in trading today Coca-Cola Co (Symbol: KO) is up about 0.2%, 3M Co (Symbol: MMM) is up about 0.8%, and AbbVie Inc. (Symbol: ABBV) is lower by about 0.2%. For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average:
Looking at the chart above, VV's low point in its 52 week range is $86.42 per share, with $108.5649 as the 52 week high point - that compares with a last trade of $108.41. 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 VV, in trading today Coca-Cola Co (Symbol: KO) is up about 0.2%, 3M Co (Symbol: MMM) is up about 0.8%, and AbbVie Inc. (Symbol: ABBV) is lower by about 0.2%. For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $86.42 per share, with $108.5649 as the 52 week high point - that compares with a last trade of $108.41. 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 VV, in trading today Coca-Cola Co (Symbol: KO) is up about 0.2%, 3M Co (Symbol: MMM) is up about 0.8%, and AbbVie Inc. (Symbol: ABBV) is lower by about 0.2%. For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $86.42 per share, with $108.5649 as the 52 week high point - that compares with a last trade of $108.41. 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 VV, in trading today Coca-Cola Co (Symbol: KO) is up about 0.2%, 3M Co (Symbol: MMM) is up about 0.8%, and AbbVie Inc. (Symbol: ABBV) is lower 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 Vanguard Large-Cap ETF (Symbol: VV) where we have detected an approximate $16.3 million dollar outflow -- that's a 0.2% decrease week over week (from 83,353,497 to 83,203,497). For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $86.42 per share, with $108.5649 as the 52 week high point - that compares with a last trade of $108.41. | Among the largest underlying components of VV, in trading today Coca-Cola Co (Symbol: KO) is up about 0.2%, 3M Co (Symbol: MMM) is up about 0.8%, and AbbVie Inc. (Symbol: ABBV) is lower by about 0.2%. For a complete list of holdings, visit the VV Holdings page » The chart below shows the one year price performance of VV, versus its 200 day moving average: Looking at the chart above, VV's low point in its 52 week range is $86.42 per share, with $108.5649 as the 52 week high point - that compares with a last trade of $108.41. 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). |
26246.0 | 2017-02-17 00:00:00 UTC | Pfizer's Xeljanz Combo Comparable to AbbVie's Humira | ABBV | https://www.nasdaq.com/articles/pfizers-xeljanz-combo-comparable-to-abbvies-humira-2017-02-17 | nan | nan | Pfizer, Inc.PFE announced top-line results from a head-to-head study comparing its rheumatoid arthritis (RA) drug Xeljanz with AbbVie, Inc.'s ABBV Humira.
Xeljanz (5 mg twice daily), a JAK inhibitor, is presently approved as a second-line treatment for the treatment of moderate-to-severely active RA in patients who have had an inadequate response to or cannot tolerate methotrexate. In Feb 2016, the FDA approved a once-daily extended-release (XR) formulation of Xeljanz (11 mg) tablets.
The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. The study demonstrated non-inferiority of Xeljanz plus MTX versus Humira plus MTX, thereby meeting the primary endpoint. However, Xeljanz monotherapy did not demonstrate non-inferiority versus Humira plus MTX, thereby failing to meet the primary endpoint.
Pfizer's shares are up 3.5% so far this year, in line with the Zacks classified Large-Cap Pharma industry.
Xeljanz sales in 2016 were $927 million, up 77% from the prior-year quarter. Xeljanz (5 mg, twice daily) is under regulatory review in the EU.
Xeljanz is being studied for the treatment of active psoriatic arthritis (PsA) and ulcerative colitis. Label and geographical expansion will boost the drug's commercial potential significantly.
Blockbuster drugs currently approved to treat RA include Johnson & Johnson's JNJ Remicade and Amgen, Inc.'s AMGN Enbrel that Pfizer markets outside the U.S. and Canada.
Pfizer 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. | Pfizer, Inc.PFE announced top-line results from a head-to-head study comparing its rheumatoid arthritis (RA) drug Xeljanz with AbbVie, Inc.'s ABBV Humira. Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. In Feb 2016, the FDA approved a once-daily extended-release (XR) formulation of Xeljanz (11 mg) tablets. | Pfizer, Inc.PFE announced top-line results from a head-to-head study comparing its rheumatoid arthritis (RA) drug Xeljanz with AbbVie, Inc.'s ABBV Humira. Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The study demonstrated non-inferiority of Xeljanz plus MTX versus Humira plus MTX, thereby meeting the primary endpoint. | Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Pfizer, Inc.PFE announced top-line results from a head-to-head study comparing its rheumatoid arthritis (RA) drug Xeljanz with AbbVie, Inc.'s ABBV Humira. The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. | Pfizer, Inc.PFE announced top-line results from a head-to-head study comparing its rheumatoid arthritis (RA) drug Xeljanz with AbbVie, Inc.'s ABBV Humira. Click to get this free report Pfizer, Inc. (PFE): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The phase IIIb/IV ORAL Strategy study (n=1,152) compared Xeljanz (5 mg twice daily) as a monotherapy or in combination with methotrexate (MTX) versus Humira plus MTX. |
26247.0 | 2017-02-16 00:00:00 UTC | Should You Buy Amgen, Inc. (AMGN) Stock? 3 Pros, 3 Cons | ABBV | https://www.nasdaq.com/articles/should-you-buy-amgen-inc.-amgn-stock-3-pros-3-cons-2017-02-16 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Amgen, Inc. (NASDAQ: AMGN ) has been one of the market's all-time big winners. Had you invested $10,000 in AMGN stock 30 years ago today, it'd now be worth $3.1 million dollars. It's fair to say that AMGN stock has changed many investors' lives. But as the ads always warn, past results aren't a guarantee of future success. So it's worth seeing how fundamentals are looking going forward.
Source: Richard Masoner via Flickr
To Amgen's credit, they have performed well in a difficult market. AMGN stock is sitting within 10% of its all-time high.
The SPDR S&P Biotech (ETF) (NYSEARCA: XBI ), by contrast, languishes at $68, way down from its $90 peak.
AMGN Stock Cons
Biosimilars: Amgen has involved itself heavily in biosimilars, thus making them perhaps a net positive to the company. However, there is real risk as well. Biosimilars are close replicas of drugs, made with living cells rather than exact chemical copies of existing drugs. Biosimilars, if widely adopted by doctors, could be a game changer for the pharma industry, offering huge profits to the biosimilar developer while crushing profits for those with the original chemical drug.
Both of Amgen's top drugs are targeted for biosimilars. Last year, the FDA approved Erelzi , a biosimilar competitor to Amgen's pivotal Enbrel. And multiple companies are going after Amgen's other blockbuster Neulasta, though the FDA hasn't approved any of the biosimilar competitors just yet. Still, it's probably only a matter of time. Amgen is attempting to defend its patents. But considering Amgen's own biosimilar portfolio elsewhere, overly vigorous defense against biosimilars might end up being counterproductive.
Cholesterol Drug Patent Uncertainty: On Jan. 4, Amgen appeared to win an important patent decision. On that day, a court ruled that a rival cholesterol drug, Praluent, infringed on Amgen's patents. That spiked AMGN stock, while sending Praluent owners Sanofi SA (ADR) (NYSE: SNY ) and Regeneron Pharmaceuticals Inc (NASDAQ: REGN ) lower.
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That effect threatens to reverse itself, to the detriment of AMGN stock. On Wednesday afternoon, an appellate court ruled in favor of Sanofi and Regeneron, staying the decision against Praluent. This will allow those companies to keep selling their rival drug for the time being. Amgen may well ultimately win this patent decision, but it will take longer to get there than investors previously assumed.
Revenue Concentration: Revenue concentration is a key risk factor for pharma companies. Given that drugs have limited patent life before expiry, companies need to replace revenues constantly to avoid patent cliffs. Amgen is far from the worst positioned within its industry as far as patent issues go, but it still has concerns. Its top two drugs, Enbrel and Neulasta make up half of Amgen's total worldwide sales. After those two blockbuster drugs, no other individual drug accounts for even 10% of Amgen's overall revenues. That's some fairly serious concentration risk. The situation comes with particular risk, since both drugs face biosimilar threats.
AMGN Stock Pros
Looking for a Big Deal: Up until recently, Amgen appeared to exclude itself from the big game M&A sweepstakes. Amgen had previously imposed a cap on potential deal size for the company's merger targets. With much of the pharma sector ailing, as of late, there are plenty of targets out there.
And now, Amgen is potentially ready to swing big. CEO Bob Bradway stated that:
"[W]e feel like we're in a place now where we can look externally for large and small opportunities to help grow the business. So I think the message is, we're confident in the outlook for our company. We're confident in the importance of innovation. And we've got a balance sheet that supports our ability to look at transactions large and small."
The company currently sports $38 billion in cash and marketable securities, allowing it almost complete free rein to buy whatever it chooses.
Biosimilars: Amgen has targeted AbbVie Inc (NYSE: ABBV ) in particular. Amgen has replicated AbbVie's blockbuster rheumatoid arthritis drug Humira. Amgen received FDA approval for its biosimilar version of the $15 billion-a-year selling drug. Obviously, taking even a modest portion of that huge market would be a big win for AMGN stock. However, lawsuits are flying. Amgen has stated that it is unlikely to launch its version this year due to legal uncertainty. Amgen has five other biosimilar programs in development in addition to the Humira program. It's a race for AMGN stock. Will shareholders benefit from Amgen's biosimilar programs sufficiently before other company's biosimilar offerings start to impact Amgen's Enbrel and and Neulasta?
Big Dividend: Currently, there are only two larger-cap biotechs that pay a dividend of 2% or greater. One of these is embattled Gilead Sciences, Inc. (NASDAQ: GILD ), whose yield continues to rise as the stock keeps dropping. Gilead is in fact the highest-yielding biotech out there, paying 2.9%. AMGN stock comes in right behind that, paying a 2.7% dividend currently. And Amgen's significant dividend comes off a low payout ratio, and is supported by rising revenues and earnings. Amgen isn't a household dividend growth stock yet, since the dividend only recently became a major feature. However, with a five-year compounded growth rate clocking in at 42%, AMGN stock is quickly becoming an exciting option for dividend-seekers.
The Verdict
Amgen has delivered good results recently. It's not surprising that AMGN stock has risen back to near all-time highs. Amgen deserves to trade ahead of the rest of the industry.
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And the company appears to have a strong biosimilar pipeline to offset the likely hits it will take as Enbrel and Neulasta revenues start to lose traction. For yield investors, the dividend is increasingly exciting as well. Just pay attention to the ongoing patent battles; Amgen's near-term direction is largely tied to how judges rule on various lawsuits.
At the time of this writing, Ian Bezek held GILD stock. He had no position in Amgen. You can reach him on Twitter at @irbezek.
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The post Should You Buy Amgen, Inc. (AMGN) Stock? 3 Pros, 3 Cons 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. | Biosimilars: Amgen has targeted AbbVie Inc (NYSE: ABBV ) in particular. Amgen has replicated AbbVie's blockbuster rheumatoid arthritis drug Humira. That spiked AMGN stock, while sending Praluent owners Sanofi SA (ADR) (NYSE: SNY ) and Regeneron Pharmaceuticals Inc (NASDAQ: REGN ) lower. | Biosimilars: Amgen has targeted AbbVie Inc (NYSE: ABBV ) in particular. Amgen has replicated AbbVie's blockbuster rheumatoid arthritis drug Humira. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Amgen, Inc. (NASDAQ: AMGN ) has been one of the market's all-time big winners. | Biosimilars: Amgen has targeted AbbVie Inc (NYSE: ABBV ) in particular. Amgen has replicated AbbVie's blockbuster rheumatoid arthritis drug Humira. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Amgen, Inc. (NASDAQ: AMGN ) has been one of the market's all-time big winners. | Biosimilars: Amgen has targeted AbbVie Inc (NYSE: ABBV ) in particular. Amgen has replicated AbbVie's blockbuster rheumatoid arthritis drug Humira. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Amgen, Inc. (NASDAQ: AMGN ) has been one of the market's all-time big winners. |
26248.0 | 2017-02-15 00:00:00 UTC | Why I Just Bought AbbVie Stock | ABBV | https://www.nasdaq.com/articles/why-i-just-bought-abbvie-stock-2017-02-15 | nan | nan | I recently bought shares of seven different companies. One of those companies was AbbVie (NYSE: ABBV) . I had different reasons for buying each of the stocks. Some were in sectors in which I didn't already have much exposure in my portfolio. That wasn't the case with AbbVie, though. I already owned quite a few healthcare stocks and exchange-traded funds (ETFs).
AbbVie was unique. There wasn't just one primary reason the stock caught my attention. Instead, multiple factors influenced my thinking. Here's why I bought AbbVie stock -- and why you might want to consider the biotech stock, too.
Compelling growth story
I like growth. Period. End of story.
What I really like about AbbVie was that it has grown revenue and earnings at a solid pace -- and it's not even close to the end of the story for the company's growth. AbbVie projects double-digit percentage annual adjusted earnings per share growth through 2020. Wall Street agrees, with the consensus estimate among analysts predicting average annual earnings growth of more than 14% over the next five years.
The question I had to ask before buying AbbVie, though, was this: Are those solid growth projections realistic? My conclusion was that they were.
AbbVie lays claim to Humira, the top-selling drug in the world. The autoimmune disease drug generated revenue of more than $16 billion last year, a year-over-year increase of nearly 15%. That growth rate seems likely to taper off, but I think Humira should still pull in over $18 billion in sales by 2020.
Humira won't be the real growth driver for AbbVie in the coming years, however. Cancer drug Imbruvica made $1.8 billion in 2016 and could reach sales of $5 billion by 2020. Another new cancer drug, Venclexta, should generate at least $1.5 billion in annual sales within the next few years.
I expect AbbVie to launch two drugs with huge potential in 2018. The company plans to file for approval for elagolix in treating endometriosis and for Rova-T as a third-line treatment for small cell lung cancer this year. Both drugs appear to have great chances for approval.
The company's autoimmune franchise could also be bolstered the following year if all goes well. ABT-494 is on track to hit the market in 2019 in treating rheumatoid arthritis. Risankizumab could be launched the same year as a treatment for psoriasis.
Ability to make more aquisitions
Many of AbbVie's promising drugs and pipeline candidates came from acquisitions. The company's 2015 buyout of Pharmacyclics allowed it to pick up Imbruvica. AbbVie's purchase last year of Stemcentrx brought Rova-T into the company's pipeline. I think the biotech is in good position to make even more acquisitions -- and fuel more growth.
AbbVie reported cash, cash equivalents, and marketable securities totaling just under $8 billion at the end of the third quarter. That amount by itself is enough to buy one of a number of smaller biotechs with experimental drugs that could become winners.
Even better, though, is that AbbVie is on track to generate annual operating cash flow topping $7 billion. The company could finance an even larger acquisition if it wanted to do so.
Sizzling dividend
What I really like about AbbVie's cash flow is how the company uses it to reward shareholders. AbbVie claims one of the strongest dividends around. Its dividend yield currently stands at 4.24%.
There's no doubt whatsoever that AbbVie places a high priority on keeping the dividends flowing. The company has grown its dividend by 60% since it was spun off by Abbott Laboratories in 2013.
AbbVie appears to be in great shape to continue that trend. The company uses around 60% of its earnings to fund dividend payouts now. With the likelihood of solid earnings growth over the next few years, AbbVie shouldn't have any problems keeping its streak of dividend hikes going.
Weaknesses and threats
Only looking at a company's strengths and opportunities before buying its stock can lead to bad decisions. I also reviewed AbbVie's weaknesses and potential threats before buying the biotech's shares.
The biggest weakness for AbbVie is directly related to its biggest threat. AbbVie relies on Humira to generate over three-fifths of its total revenue. Humira faces significant threats from biosimilars. While AbbVie is using the legal system to fend off these biosimilars from reaching the market, it's only a matter of time before the floodgate opens.
I bought AbbVie fully aware of the company's greatest weakness and threat. Why? I think it will be a few years before the problems hit in full force. In the meantime, AbbVie should continue to grow with great new drugs like Imbruvica and Venclexta. It should be in position to make even more acquisitions. And it should keep paying a very attractive dividend.
AbbVie might not be a stock to buy and hold forever. But it looks like a smart pick for the next few years. That's what I'm counting on.
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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. | With the likelihood of solid earnings growth over the next few years, AbbVie shouldn't have any problems keeping its streak of dividend hikes going. One of those companies was AbbVie (NYSE: ABBV) . That wasn't the case with AbbVie, though. | I also reviewed AbbVie's weaknesses and potential threats before buying the biotech's shares. One of those companies was AbbVie (NYSE: ABBV) . That wasn't the case with AbbVie, though. | Here's why I bought AbbVie stock -- and why you might want to consider the biotech stock, too. What I really like about AbbVie was that it has grown revenue and earnings at a solid pace -- and it's not even close to the end of the story for the company's growth. With the likelihood of solid earnings growth over the next few years, AbbVie shouldn't have any problems keeping its streak of dividend hikes going. | Here's why I bought AbbVie stock -- and why you might want to consider the biotech stock, too. I also reviewed AbbVie's weaknesses and potential threats before buying the biotech's shares. One of those companies was AbbVie (NYSE: ABBV) . |
26249.0 | 2017-02-15 00:00:00 UTC | No Joke: Johnson & Johnson Could Grow Sales by 5% (or More) Annually Over the Next Decade | ABBV | https://www.nasdaq.com/articles/no-joke-johnson-johnson-could-grow-sales-5-or-more-annually-over-next-decade-2017-02-15 | nan | nan | For many investors, Johnson & Johnson (NYSE: JNJ) is the quintessential set-it-and-forget-it investment in the healthcare arena. It's the largest publicly traded healthcare company by a mile, and its business structure -- J&J is comprised of more than 250 different subsidiaries -- allows the company to divest slower-growing assets and acquire new companies that complement higher-growth businesses with ease. It's no wonder that J&J has generated between $11.4 billion and $15.8 billion in free cash flow in each year over the past decade.
Additionally, Johnson & Johnson is riding a streak that thousands of other companies could only dream of. Assuming it announces another increase to its dividend in April, it'll mark the 55th consecutive year it's increased its payout, placing it among a truly elite class of Dividend Aristocrats (companies that have raised their dividend for at least 25 straight years). J&J is also one of two publicly traded companies to still possess Standard & Poor's highest credit rating, AAA. Mind you, this "AAA" rating is higher than the U.S. government, implying implicit confidence from Standard & Poor's that J&J can repay its debts.
1. Organic pharma growth
J&J will be relying on its organic pharma pipeline. In May 2015, J&J announced that it had plans to file new drug applications with the Food and Drug Administration for 10 drugs that it believed had more than $1 billion in sales potential by 2019. Mind you, between 2009 and mid-2014, J&J brought 14 novel medicines to market, and half of them wound up becoming blockbusters (those with $1 billion or more in annual sales).
The first of those 10 to gain approval was multiple myeloma drug Darzalex, which tallied $200 million in sales during the fourth quarter. That puts the drug on track for $800 million on an extrapolated basis, and perhaps on target for $1 billion in sales as early as this year.
Next in line could be guselkumab, a moderate-to-severe plaque psoriasis drug that mopped the floor with both the placebo and even AbbVie 's(NYSE: ABBV) Humira in phase 3 studies. As a reminder, Humira is the best-selling drug in the world. At the 16- and 48-week mark, guselkumab led to 73% and 81% near-complete skin clearance, respectively, compared to almost 50% and 55% skin clearance for Humira, respectively. Guselkumab would appear to have a good shot at gaining FDA approval.
With a host of blockbusters and label expansion opportunities lined up, J&J would appear to have a pathway to significant growth, even if Remicade struggles.
2. M&A activity (primarily in pharma) and collaborations
Expect Johnson & Johnson to continue to lean on merger and acquisition (M&A) activity to fuel pipeline and product portfolio expansion, especially within its faster-growing pharma segment.
Late last month, J&J announced that it was acquiring Swiss-based specialty drugmaker Actelion (NASDAQOTH: ALIOF) for $30 billion in order to get hold of its two key pulmonary arterial hypertension drugs, Opsumit and Uptravi, each of which are capable of an estimated $2 billion in peak annual sales. J&J has stated that the deal is expected to increase its long-term growth rate by between 1.5% and 2%. Additionally, J&J will get an initial 16% stake in Actelion's pipeline, which will be spun off into a separate entity before the deal closes.
Traditionally, J&J isn't known for making such large purchases. It's best known for acquiring early- and mid-stage assets and developing them.
J&J is also active on the collaboration front. Its partnership with Geron (NASDAQ: GERN) for imetelstat as a treatment for myelofibrosis and myelodysplastic syndromes is part of its aforementioned 10 blockbusters that it hopes to bring to market before the end of the decade. In early-stage studies, before J&J ponied up $35 million up front and $900 million in possible milestone payments, Geron announced that imetelstat had generated partial and complete responses in myelofibrosis patients, becoming the first drug to ever do so in clinical trials.
In other words, J&J has avenues where it can use its cash flow to increase its growth rate.
3. Medical devices respond to an aging America
Beginning in the latter half of the decade to come, I would anticipate that growth in medical devices will begin to pick up.
Medical device growth has been somewhat stagnant in recent years, a function of increased competition, and consumers and hospitals cutting back on their spending due to the numerous uncertainties associated with the Affordable Care Act.
However, as time presses on and America ages, the need for J&J's bread-and-butter devices (i.e., hip and knee replacements) should grow dramatically. According to the U.S. Census Bureau, the U.S. elderly population is expected to grow by more than 40 million between 2012 and 2050, which is a result of improved access to medical care increasing life expectancies. But, as life expectancies rise, the need for maintenance therapies, such as hip and knee replacements, would be expected to rise, too.
As one of the largest device makers in the world, J&J should be able to retain significant pricing power as demand begins to increase.
This isn't to say J&J is risk-free. Leaning so heavily on pharma means shareholders need to be willing to accept the sales hiccups that come with patent expirations. What's more, President Trump has pledged to cut drug prices during his presidency, which is a bit concerning for J&J now that it relies on its pharma segment for most of its growth. Nonetheless, I'd suggest that the building blocks are in place for J&J deliver a surprisingly healthy growth rate for at least the next decade.
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Sean Williams has no position in any stocks mentioned. The Motley Fool recommends Johnson and 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. | Next in line could be guselkumab, a moderate-to-severe plaque psoriasis drug that mopped the floor with both the placebo and even AbbVie 's(NYSE: ABBV) Humira in phase 3 studies. Its partnership with Geron (NASDAQ: GERN) for imetelstat as a treatment for myelofibrosis and myelodysplastic syndromes is part of its aforementioned 10 blockbusters that it hopes to bring to market before the end of the decade. Medical device growth has been somewhat stagnant in recent years, a function of increased competition, and consumers and hospitals cutting back on their spending due to the numerous uncertainties associated with the Affordable Care Act. | Next in line could be guselkumab, a moderate-to-severe plaque psoriasis drug that mopped the floor with both the placebo and even AbbVie 's(NYSE: ABBV) Humira in phase 3 studies. It's the largest publicly traded healthcare company by a mile, and its business structure -- J&J is comprised of more than 250 different subsidiaries -- allows the company to divest slower-growing assets and acquire new companies that complement higher-growth businesses with ease. J&J is also one of two publicly traded companies to still possess Standard & Poor's highest credit rating, AAA. | Next in line could be guselkumab, a moderate-to-severe plaque psoriasis drug that mopped the floor with both the placebo and even AbbVie 's(NYSE: ABBV) Humira in phase 3 studies. In May 2015, J&J announced that it had plans to file new drug applications with the Food and Drug Administration for 10 drugs that it believed had more than $1 billion in sales potential by 2019. M&A activity (primarily in pharma) and collaborations Expect Johnson & Johnson to continue to lean on merger and acquisition (M&A) activity to fuel pipeline and product portfolio expansion, especially within its faster-growing pharma segment. | Next in line could be guselkumab, a moderate-to-severe plaque psoriasis drug that mopped the floor with both the placebo and even AbbVie 's(NYSE: ABBV) Humira in phase 3 studies. M&A activity (primarily in pharma) and collaborations Expect Johnson & Johnson to continue to lean on merger and acquisition (M&A) activity to fuel pipeline and product portfolio expansion, especially within its faster-growing pharma segment. J&J has stated that the deal is expected to increase its long-term growth rate by between 1.5% and 2%. |
26250.0 | 2017-02-14 00:00:00 UTC | Gilead (GILD) Announces Data on Combination Therapy for HIV | ABBV | https://www.nasdaq.com/articles/gilead-gild-announces-data-on-combination-therapy-for-hiv-2017-02-14 | nan | nan | Gilead Sciences, Inc.GILD recently announced data from a phase II study. The study evaluated the efficacy, safety and tolerability of bictegravir (75 mg) (BIC) in combination of emtricitabine/tenofovir alafenamide (200/25 mg) (FTC/TAF) versus dolutegravir (50 mg) (DTG) and emtricitabine/tenofovir alafenamide (200/25 mg) (FTC/TAF) in treating naïve, HIV-1 infected adults.
We note that GlaxoSmithKline's GSK markets dolutegravir as Tivicay.
Shares of Gilead underperformed the Zacks classified Medical-Biomedical and Genetics industry in the last one year with the stock losing 24.6% during this period, compared with the industry's decline of 2.8%.
Coming back to the latest news, the results from the study showed that both the BIC+FTC/TAF and DTG+FTC/TAF regimens had high virologic response rates at week 24 and week 48.
The results of the study showed that 98 subjects were randomly selected in a 2:1 ratio to receive either BIC+FTC/TAF (n=65) or DTG+FTC/TAF (n=33). At week 24, 97% of patients taking BIC+FTC/TAF and 94%of patients taking DTG+FTC/TAF achieved HIV-1 RNA levels less than 50 copies/mL. The results show that bictegravir in combination with the FTC/TAF can be a new alternative treatment option for HIV patients.
The company has advanced the combination of bictegravir and FTC/TAF into four phase III clinical trials.Gilead Sciences expects to release additional data by the end of 2017.
Gilead Sciences also released data from a preclinical study evaluating HIV capsid inhibitors for potential use as a long-acting antiretroviral (ARV) treatment. This study identified novel HIV-1 capsid inhibitors with highly potent antiviral activity and a favorable resistance profile to existing ARVs in vitro.
We remind investors that Gilead is a dominant player in the HIV market with a strong portfolio. Gilead is currently looking to introduce drugs with improved long-term safety profiles in the HIV market. The newly launched TAF-based products - Genvoya, Odefsey and Descovy are performing well in both the U.S. and EU.
By the end of 2016, TAF-based regimens are expected to make up 37% of Gilead's HIV prescription volume in the treatment market. The company expects that the use of Truvada for pre-exposure prophylaxis (PrEP) will continue to boost sales of HIV franchise going forward, particularly in the U.S. At the end of 2016, approximately 110,000 people in the U.S. were using Truvada for this indication.
However, the company's HCV franchise continues to be under competitive and pricing pressure leading to a massive decline in Harvoni and Sovaldi sales. We note that Harvoni, Sovaldi and Epclusa, are facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others.
Gilead Sciences, Inc. Price and Consensus
Gilead Sciences, Inc. Price and Consensus | Gilead Sciences, Inc. Quote
Zacks Rank & Key Pick
Gilead currently carries Zacks Rank #5 (Strong Sell).
A better-ranked stock in the health care sector is Sucampo Pharmaceuticals SCMP which currently carries a Zacks Rank #2 (Buy).
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Sucampo's earnings estimates were stable at $1.22 for 2016 but have increased from $1.69 to $1.74 for 2017 over the last 60 days. The company posted a positive earnings surprise in all of the four trailing quarters with an average beat of 35.5%.
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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, are facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. Click to get this free report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The company has advanced the combination of bictegravir and FTC/TAF into four phase III clinical trials.Gilead Sciences expects to release additional data by the end of 2017. | Click to get this free report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa, are facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. The study evaluated the efficacy, safety and tolerability of bictegravir (75 mg) (BIC) in combination of emtricitabine/tenofovir alafenamide (200/25 mg) (FTC/TAF) versus dolutegravir (50 mg) (DTG) and emtricitabine/tenofovir alafenamide (200/25 mg) (FTC/TAF) in treating naïve, HIV-1 infected adults. | Click to get this free report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Harvoni, Sovaldi and Epclusa, are facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. Gilead Sciences, Inc. Price and Consensus Gilead Sciences, Inc. Price and Consensus | Gilead Sciences, Inc. Quote Zacks Rank & Key Pick Gilead currently carries Zacks Rank #5 (Strong Sell). | We note that Harvoni, Sovaldi and Epclusa, are facing competition from AbbVie's ABBV Viekira Pak and Viekira XR among others. Click to get this free report GlaxoSmithKline PLC (GSK): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Gilead Sciences also released data from a preclinical study evaluating HIV capsid inhibitors for potential use as a long-acting antiretroviral (ARV) treatment. |
26251.0 | 2017-02-14 00:00:00 UTC | Stanley Druckenmiller Buys iShares Russell 2000, Halliburton Co, SPDR Select Sector Fund - ... | ABBV | https://www.nasdaq.com/articles/stanley-druckenmiller-buys-ishares-russell-2000-halliburton-co-spdr-select-sector-fund | nan | nan | Stanley Druckenmiller
New Purchases: IWM , HAL , XLF , C, WFC, XLI, LYB, AA, JPM, YHOO,
Added Positions:PNC, BAC, EOG, PXD, NUE, WMB, ACIU,
Reduced Positions:FCX, PSTG, ABBV,
Sold Out:EEM, BABA, ABT, AVGO, ATVI, ABX, AMZN, AEM, HDB, ZTS,
For the details of Stanley Druckenmiller's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Stanley+Druckenmiller
These are the top 5 holdings of Stanley Druckenmiller
iShares Russell 2000 ( IWM ) - 991,900 shares, 13.04% of the total portfolio. New Position
AbbVie Inc ( ABBV ) - 1,221,723 shares, 7.46% of the total portfolio. Shares reduced by 7.79%
Bank of America Corporation ( BAC ) - 2,562,400 shares, 5.52% of the total portfolio. Shares added by 62.21%
Halliburton Co ( HAL ) - 1,041,300 shares, 5.49% of the total portfolio. New Position
SPDR Select Sector Fund - Financial ( XLF ) - 2,397,500 shares, 5.43% of the total portfolio. New Position
New Purchase: iShares Russell 2000 ( IWM )
Stanley Druckenmiller initiated holdings in iShares Russell 2000. The purchase prices were between $115 and $138.31, with an estimated average price of $128.01. The stock is now traded at around $138.49. The impact to the portfolio due to this purchase was 13.04%. The holdings were 991,900 shares as of 2016-12-31.
New Purchase: Halliburton Co ( HAL )
Stanley Druckenmiller initiated holdings in Halliburton Co. The purchase prices were between $44.59 and $55.07, with an estimated average price of $49.86. The stock is now traded at around $56.41. The impact to the portfolio due to this purchase was 5.49%. The holdings were 1,041,300 shares as of 2016-12-31.
New Purchase: SPDR Select Sector Fund - Financial ( XLF )
Stanley Druckenmiller initiated holdings in SPDR Select Sector Fund - Financial. The purchase prices were between $19.21 and $23.75, with an estimated average price of $21.5. The stock is now traded at around $24.31. The impact to the portfolio due to this purchase was 5.43%. The holdings were 2,397,500 shares as of 2016-12-31.
New Purchase: Citigroup Inc (C)
Stanley Druckenmiller initiated holdings in Citigroup Inc. The purchase prices were between $47.03 and $61.09, with an estimated average price of $53.95. The stock is now traded at around $59.96. The impact to the portfolio due to this purchase was 5.37%. The holdings were 927,100 shares as of 2016-12-31.
New Purchase: Wells Fargo & Co (WFC)
Stanley Druckenmiller initiated holdings in Wells Fargo & Co. The purchase prices were between $43.75 and $57.29, with an estimated average price of $50.28. The stock is now traded at around $57.89. The impact to the portfolio due to this purchase was 5.16%. The holdings were 960,400 shares as of 2016-12-31.
New Purchase: SPDR Select Sector Fund - Industrial (XLI)
Stanley Druckenmiller initiated holdings in SPDR Select Sector Fund - Industrial. The purchase prices were between $56.42 and $64.05, with an estimated average price of $60.32. The stock is now traded at around $65.30. The impact to the portfolio due to this purchase was 5.02%. The holdings were 827,100 shares as of 2016-12-31.
Added: PNC Financial Services Group Inc (PNC)
Stanley Druckenmiller added to the holdings in PNC Financial Services Group Inc by 570.50%. The purchase prices were between $87.94 and $118.31, with an estimated average price of $103.97. The stock is now traded at around $126.07. The impact to the portfolio due to this purchase was 4.52%. The holdings were 466,000 shares as of 2016-12-31.
Added: Bank of America Corporation ( BAC )
Stanley Druckenmiller added to the holdings in Bank of America Corporation by 62.21%. The purchase prices were between $15.63 and $23.16, with an estimated average price of $19.26. The stock is now traded at around $24.09. The impact to the portfolio due to this purchase was 2.12%. The holdings were 2,562,400 shares as of 2016-12-31.
Added: EOG Resources Inc (EOG)
Stanley Druckenmiller added to the holdings in EOG Resources Inc by 40.88%. The purchase prices were between $90.42 and $108.01, with an estimated average price of $97.35. The stock is now traded at around $100.60. The impact to the portfolio due to this purchase was 1.09%. The holdings were 380,800 shares as of 2016-12-31.
Added: Pioneer Natural Resources Co (PXD)
Stanley Druckenmiller added to the holdings in Pioneer Natural Resources Co by 106.43%. The purchase prices were between $171.11 and $193.24, with an estimated average price of $183.22. The stock is now traded at around $197.13. The impact to the portfolio due to this purchase was 1.02%. The holdings were 112,300 shares as of 2016-12-31.
Added: Nucor Corp (NUE)
Stanley Druckenmiller added to the holdings in Nucor Corp by 80.10%. The purchase prices were between $46.54 and $66.75, with an estimated average price of $55.91. The stock is now traded at around $62.75. The impact to the portfolio due to this purchase was 0.93%. The holdings were 362,000 shares as of 2016-12-31.
Sold Out: iShares MSCI Emerging Index Fund (EEM)
Stanley Druckenmiller sold out the holdings in iShares MSCI Emerging Index Fund. The sale prices were between $34.08 and $38.1, with an estimated average price of $36.03.
Sold Out: Alibaba Group Holding Ltd (BABA)
Stanley Druckenmiller sold out the holdings in Alibaba Group Holding Ltd. The sale prices were between $86.79 and $108.41, with an estimated average price of $96.28.
Sold Out: Abbott Laboratories (ABT)
Stanley Druckenmiller sold out the holdings in Abbott Laboratories. The sale prices were between $37.6 and $43.5, with an estimated average price of $39.65.
Sold Out: Broadcom Ltd (AVGO)
Stanley Druckenmiller sold out the holdings in Broadcom Ltd. The sale prices were between $162.79 and $182.31, with an estimated average price of $173.24.
Sold Out: Activision Blizzard Inc (ATVI)
Stanley Druckenmiller sold out the holdings in Activision Blizzard Inc. The sale prices were between $35.58 and $45.47, with an estimated average price of $39.98.
Sold Out: Barrick Gold Corp (ABX)
Stanley Druckenmiller sold out the holdings in Barrick Gold Corp. The sale prices were between $14 and $18.41, with an estimated average price of $15.86.
Warning! GuruFocus has detected 4 Warning Sign with PNC. Click here to check it out.
PNC 15-Year Financial Data
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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. | Stanley Druckenmiller New Purchases: IWM , HAL , XLF , C, WFC, XLI, LYB, AA, JPM, YHOO, Added Positions:PNC, BAC, EOG, PXD, NUE, WMB, ACIU, Reduced Positions:FCX, PSTG, ABBV, Sold Out:EEM, BABA, ABT, AVGO, ATVI, ABX, AMZN, AEM, HDB, ZTS, For the details of Stanley Druckenmiller's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Stanley+Druckenmiller These are the top 5 holdings of Stanley Druckenmiller iShares Russell 2000 ( IWM ) - 991,900 shares, 13.04% of the total portfolio. New Position AbbVie Inc ( ABBV ) - 1,221,723 shares, 7.46% of the total portfolio. New Position SPDR Select Sector Fund - Financial ( XLF ) - 2,397,500 shares, 5.43% of the total portfolio. | Stanley Druckenmiller New Purchases: IWM , HAL , XLF , C, WFC, XLI, LYB, AA, JPM, YHOO, Added Positions:PNC, BAC, EOG, PXD, NUE, WMB, ACIU, Reduced Positions:FCX, PSTG, ABBV, Sold Out:EEM, BABA, ABT, AVGO, ATVI, ABX, AMZN, AEM, HDB, ZTS, For the details of Stanley Druckenmiller's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Stanley+Druckenmiller These are the top 5 holdings of Stanley Druckenmiller iShares Russell 2000 ( IWM ) - 991,900 shares, 13.04% of the total portfolio. New Position AbbVie Inc ( ABBV ) - 1,221,723 shares, 7.46% of the total portfolio. New Purchase: SPDR Select Sector Fund - Financial ( XLF ) Stanley Druckenmiller initiated holdings in SPDR Select Sector Fund - Financial. | Stanley Druckenmiller New Purchases: IWM , HAL , XLF , C, WFC, XLI, LYB, AA, JPM, YHOO, Added Positions:PNC, BAC, EOG, PXD, NUE, WMB, ACIU, Reduced Positions:FCX, PSTG, ABBV, Sold Out:EEM, BABA, ABT, AVGO, ATVI, ABX, AMZN, AEM, HDB, ZTS, For the details of Stanley Druckenmiller's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Stanley+Druckenmiller These are the top 5 holdings of Stanley Druckenmiller iShares Russell 2000 ( IWM ) - 991,900 shares, 13.04% of the total portfolio. New Position AbbVie Inc ( ABBV ) - 1,221,723 shares, 7.46% of the total portfolio. Added: PNC Financial Services Group Inc (PNC) Stanley Druckenmiller added to the holdings in PNC Financial Services Group Inc by 570.50%. | Stanley Druckenmiller New Purchases: IWM , HAL , XLF , C, WFC, XLI, LYB, AA, JPM, YHOO, Added Positions:PNC, BAC, EOG, PXD, NUE, WMB, ACIU, Reduced Positions:FCX, PSTG, ABBV, Sold Out:EEM, BABA, ABT, AVGO, ATVI, ABX, AMZN, AEM, HDB, ZTS, For the details of Stanley Druckenmiller's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Stanley+Druckenmiller These are the top 5 holdings of Stanley Druckenmiller iShares Russell 2000 ( IWM ) - 991,900 shares, 13.04% of the total portfolio. New Position AbbVie Inc ( ABBV ) - 1,221,723 shares, 7.46% of the total portfolio. Shares added by 62.21% Halliburton Co ( HAL ) - 1,041,300 shares, 5.49% of the total portfolio. |
26252.0 | 2017-02-13 00:00:00 UTC | Donaldson Capital Management, Llc Buys Honeywell International, The Home Depot, US Bancorp, ... | ABBV | https://www.nasdaq.com/articles/donaldson-capital-management-llc-buys-honeywell-international-home-depot-us-bancorp-2017 | nan | nan | Donaldson Capital Management, Llc
New Purchases: USB , SWKS , FDX , HUBB, IVV, XLI, WYN, IWM, INBK, IJJ,
Added Positions:HON, HD, BA, IBM, JPM, ACN, D, WBA, APD, DIS,
Reduced Positions:LOW, PAG, VFC, CVS, AMGN, WPPGY, ROP, ABC, UNP, XLY,
Sold Out:MMP, XLU, MJN, MMC, VOT,
For the details of DONALDSON CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=DONALDSON+CAPITAL+MANAGEMENT%2C+LLC
These are the top 5 holdings of DONALDSON CAPITAL MANAGEMENT, LLC
Microsoft Corp ( MSFT ) - 520,188 shares, 4.01% of the total portfolio. Shares added by 2.72%
Johnson & Johnson ( JNJ ) - 270,754 shares, 3.87% of the total portfolio. Shares added by 1.74%
Automatic Data Processing Inc ( ADP ) - 286,197 shares, 3.65% of the total portfolio. Shares added by 5.13%
AbbVie Inc ( ABBV ) - 436,430 shares, 3.39% of the total portfolio. Shares added by 0.04%
Walt Disney Co ( DIS ) - 260,495 shares, 3.37% of the total portfolio. Shares added by 5.75%
New Purchase: US Bancorp (USB)
Donaldson Capital Management, Llc initiated holdings in US Bancorp. The purchase prices were between $42.66 and $52.54, with an estimated average price of $47.55. The stock is now traded at around $54.14. The impact to the portfolio due to this purchase was 1.85%. The holdings were 289,958 shares as of 2016-12-31.
New Purchase: Skyworks Solutions Inc (SWKS)
Donaldson Capital Management, Llc initiated holdings in Skyworks Solutions Inc. The purchase prices were between $71.78 and $80.15, with an estimated average price of $76.99. The stock is now traded at around $92.34. The impact to the portfolio due to this purchase was 0.19%. The holdings were 20,319 shares as of 2016-12-31.
New Purchase: FedEx Corp (FDX)
Donaldson Capital Management, Llc initiated holdings in FedEx Corp. The purchase prices were between $169.7 and $201.02, with an estimated average price of $183.52. The stock is now traded at around $192.67. The impact to the portfolio due to this purchase was 0.18%. The holdings were 7,952 shares as of 2016-12-31.
New Purchase: Hubbell Inc (HUBB)
Donaldson Capital Management, Llc initiated holdings in Hubbell Inc. The purchase prices were between $101.55 and $118.54, with an estimated average price of $109.9. The stock is now traded at around $123.51. The impact to the portfolio due to this purchase was 0.14%. The holdings were 9,830 shares as of 2016-12-31.
New Purchase: iShares Core S&P 500 (IVV)
Donaldson Capital Management, Llc initiated holdings in iShares Core S&P 500. The purchase prices were between $209.67 and $229.05, with an estimated average price of $219.92. The stock is now traded at around $233.81. The impact to the portfolio due to this purchase was 0.12%. The holdings were 4,177 shares as of 2016-12-31.
New Purchase: SPDR Select Sector Fund - Industrial (XLI)
Donaldson Capital Management, Llc initiated holdings in SPDR Select Sector Fund - Industrial. The purchase prices were between $56.42 and $64.05, with an estimated average price of $60.32. The stock is now traded at around $65.35. The impact to the portfolio due to this purchase was 0.1%. The holdings were 12,961 shares as of 2016-12-31.
Added: Honeywell International Inc (HON)
Donaldson Capital Management, Llc added to the holdings in Honeywell International Inc by 2781.62%. The purchase prices were between $105.78 and $118.09, with an estimated average price of $112.57. The stock is now traded at around $122.36. The impact to the portfolio due to this purchase was 2.33%. The holdings were 167,710 shares as of 2016-12-31.
Added: The Home Depot Inc (HD)
Donaldson Capital Management, Llc added to the holdings in The Home Depot Inc by 5590.04%. The purchase prices were between $119.89 and $137.11, with an estimated average price of $128.9. The stock is now traded at around $139.78. The impact to the portfolio due to this purchase was 2.2%. The holdings were 134,854 shares as of 2016-12-31.
Added: Boeing Co (BA)
Donaldson Capital Management, Llc added to the holdings in Boeing Co by 22.56%. The purchase prices were between $132.25 and $157.81, with an estimated average price of $146.04. The stock is now traded at around $167.85. The impact to the portfolio due to this purchase was 0.6%. The holdings were 168,704 shares as of 2016-12-31.
Added: Walgreens Boots Alliance Inc (WBA)
Donaldson Capital Management, Llc added to the holdings in Walgreens Boots Alliance Inc by 628.36%. The purchase prices were between $77.18 and $87.73, with an estimated average price of $82.69. The stock is now traded at around $82.94. The impact to the portfolio due to this purchase was 0.19%. The holdings were 21,035 shares as of 2016-12-31.
Added: SPDR Select Sector Fund - Health Care (XLV)
Donaldson Capital Management, Llc added to the holdings in SPDR Select Sector Fund - Health Care by 170.26%. The purchase prices were between $66.02 and $72.2, with an estimated average price of $69.42. The stock is now traded at around $72.04. The impact to the portfolio due to this purchase was 0.16%. The holdings were 29,237 shares as of 2016-12-31.
Added: iShares U.S. Regional Banks (IAT)
Donaldson Capital Management, Llc added to the holdings in iShares U.S. Regional Banks by 200.50%. The purchase prices were between $34.81 and $46.11, with an estimated average price of $40.59. The stock is now traded at around $47.02. The impact to the portfolio due to this purchase was 0.15%. The holdings were 39,972 shares as of 2016-12-31.
Sold Out: Magellan Midstream Partners LP (MMP)
Donaldson Capital Management, Llc sold out the holdings in Magellan Midstream Partners LP. The sale prices were between $65.17 and $75.79, with an estimated average price of $70.03.
Sold Out: SPDR Select Sector Fund - Utilities (XLU)
Donaldson Capital Management, Llc sold out the holdings in SPDR Select Sector Fund - Utilities. The sale prices were between $46 and $49.43, with an estimated average price of $47.75.
Sold Out: Mead Johnson Nutrition Co (MJN)
Donaldson Capital Management, Llc sold out the holdings in Mead Johnson Nutrition Co. The sale prices were between $70.69 and $80.96, with an estimated average price of $74.53.
Sold Out: Marsh & McLennan Companies Inc (MMC)
Donaldson Capital Management, Llc sold out the holdings in Marsh & McLennan Companies Inc. The sale prices were between $62.7 and $69.77, with an estimated average price of $67.04.
Sold Out: Vanguard Mid-Cap Growth ETF - DNQ (VOT)
Donaldson Capital Management, Llc sold out the holdings in Vanguard Mid-Cap Growth ETF - DNQ. The sale prices were between $99.94 and $108.06, with an estimated average price of $104.96.
HON 15-Year Financial Data
The intrinsic value of HON
Peter Lynch Chart of HON
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This article first appeared on GuruFocus .
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. | Shares added by 5.13% AbbVie Inc ( ABBV ) - 436,430 shares, 3.39% of the total portfolio. Donaldson Capital Management, Llc New Purchases: USB , SWKS , FDX , HUBB, IVV, XLI, WYN, IWM, INBK, IJJ, Added Positions:HON, HD, BA, IBM, JPM, ACN, D, WBA, APD, DIS, Reduced Positions:LOW, PAG, VFC, CVS, AMGN, WPPGY, ROP, ABC, UNP, XLY, Sold Out:MMP, XLU, MJN, MMC, VOT, For the details of DONALDSON CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=DONALDSON+CAPITAL+MANAGEMENT%2C+LLC These are the top 5 holdings of DONALDSON CAPITAL MANAGEMENT, LLC Microsoft Corp ( MSFT ) - 520,188 shares, 4.01% of the total portfolio. Added: SPDR Select Sector Fund - Health Care (XLV) Donaldson Capital Management, Llc added to the holdings in SPDR Select Sector Fund - Health Care by 170.26%. | Shares added by 5.13% AbbVie Inc ( ABBV ) - 436,430 shares, 3.39% of the total portfolio. New Purchase: SPDR Select Sector Fund - Industrial (XLI) Donaldson Capital Management, Llc initiated holdings in SPDR Select Sector Fund - Industrial. Added: SPDR Select Sector Fund - Health Care (XLV) Donaldson Capital Management, Llc added to the holdings in SPDR Select Sector Fund - Health Care by 170.26%. | Shares added by 5.13% AbbVie Inc ( ABBV ) - 436,430 shares, 3.39% of the total portfolio. Donaldson Capital Management, Llc New Purchases: USB , SWKS , FDX , HUBB, IVV, XLI, WYN, IWM, INBK, IJJ, Added Positions:HON, HD, BA, IBM, JPM, ACN, D, WBA, APD, DIS, Reduced Positions:LOW, PAG, VFC, CVS, AMGN, WPPGY, ROP, ABC, UNP, XLY, Sold Out:MMP, XLU, MJN, MMC, VOT, For the details of DONALDSON CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=DONALDSON+CAPITAL+MANAGEMENT%2C+LLC These are the top 5 holdings of DONALDSON CAPITAL MANAGEMENT, LLC Microsoft Corp ( MSFT ) - 520,188 shares, 4.01% of the total portfolio. Shares added by 5.75% New Purchase: US Bancorp (USB) Donaldson Capital Management, Llc initiated holdings in US Bancorp. | Shares added by 5.13% AbbVie Inc ( ABBV ) - 436,430 shares, 3.39% of the total portfolio. Donaldson Capital Management, Llc New Purchases: USB , SWKS , FDX , HUBB, IVV, XLI, WYN, IWM, INBK, IJJ, Added Positions:HON, HD, BA, IBM, JPM, ACN, D, WBA, APD, DIS, Reduced Positions:LOW, PAG, VFC, CVS, AMGN, WPPGY, ROP, ABC, UNP, XLY, Sold Out:MMP, XLU, MJN, MMC, VOT, For the details of DONALDSON CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=DONALDSON+CAPITAL+MANAGEMENT%2C+LLC These are the top 5 holdings of DONALDSON CAPITAL MANAGEMENT, LLC Microsoft Corp ( MSFT ) - 520,188 shares, 4.01% of the total portfolio. Shares added by 5.75% New Purchase: US Bancorp (USB) Donaldson Capital Management, Llc initiated holdings in US Bancorp. |
26253.0 | 2017-02-13 00:00:00 UTC | United Fire Group Inc Buys Welltower, Southwest Airlines Co | ABBV | https://www.nasdaq.com/articles/united-fire-group-inc-buys-welltower-southwest-airlines-co-2017-02-13 | nan | nan | United Fire Group Inc
New Purchases: HCNPRI , LUV ,
For the details of UNITED FIRE GROUP INC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=UNITED+FIRE+GROUP+INC
These are the top 5 holdings of UNITED FIRE GROUP INC
US Bancorp ( USB ) - 624,259 shares, 11.83% of the total portfolio.
Cincinnati Financial Corp ( CINF ) - 320,276 shares, 8.95% of the total portfolio.
Wintrust Financial Corp ( WTFC ) - 230,523 shares, 6.17% of the total portfolio.
AbbVie Inc ( ABBV ) - 225,000 shares, 5.2% of the total portfolio.
Wells Fargo & Co ( WFC ) - 255,086 shares, 5.19% of the total portfolio.
New Purchase: Welltower Inc (HCNPRI)
United Fire Group Inc initiated holdings in Welltower Inc. The purchase prices were between $57.4 and $66.05, with an estimated average price of $60.55. The stock is now traded at around $60.20. The impact to the portfolio due to this purchase was 0.26%. The holdings were 11,500 shares as of 2016-12-31.
New Purchase: Southwest Airlines Co (LUV)
United Fire Group Inc initiated holdings in Southwest Airlines Co. The purchase prices were between $38.4 and $50.89, with an estimated average price of $44.83. The stock is now traded at around $55.61. The impact to the portfolio due to this purchase was 0.15%. The holdings were 8,177 shares as of 2016-12-31.
Warning! GuruFocus has detected 6 Warning Signs with HCNPRI. Click here to check it out.
HCNPRI 15-Year Financial Data
The intrinsic value of HCNPRI
Peter Lynch Chart of HCNPRI
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This article first appeared on GuruFocus .
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 ) - 225,000 shares, 5.2% of the total portfolio. United Fire Group Inc New Purchases: HCNPRI , LUV , For the details of UNITED FIRE GROUP INC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=UNITED+FIRE+GROUP+INC These are the top 5 holdings of UNITED FIRE GROUP INC US Bancorp ( USB ) - 624,259 shares, 11.83% of the total portfolio. Cincinnati Financial Corp ( CINF ) - 320,276 shares, 8.95% of the total portfolio. | AbbVie Inc ( ABBV ) - 225,000 shares, 5.2% of the total portfolio. United Fire Group Inc New Purchases: HCNPRI , LUV , For the details of UNITED FIRE GROUP INC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=UNITED+FIRE+GROUP+INC These are the top 5 holdings of UNITED FIRE GROUP INC US Bancorp ( USB ) - 624,259 shares, 11.83% of the total portfolio. New Purchase: Welltower Inc (HCNPRI) United Fire Group Inc initiated holdings in Welltower Inc. | AbbVie Inc ( ABBV ) - 225,000 shares, 5.2% of the total portfolio. United Fire Group Inc New Purchases: HCNPRI , LUV , For the details of UNITED FIRE GROUP INC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=UNITED+FIRE+GROUP+INC These are the top 5 holdings of UNITED FIRE GROUP INC US Bancorp ( USB ) - 624,259 shares, 11.83% of the total portfolio. New Purchase: Welltower Inc (HCNPRI) United Fire Group Inc initiated holdings in Welltower Inc. | AbbVie Inc ( ABBV ) - 225,000 shares, 5.2% of the total portfolio. The holdings were 11,500 shares as of 2016-12-31. The holdings were 8,177 shares as of 2016-12-31. |
26254.0 | 2017-02-13 00:00:00 UTC | 3 Top Biotech Stocks to Buy on Sale | ABBV | https://www.nasdaq.com/articles/3-top-biotech-stocks-buy-sale-2017-02-13 | nan | nan | How can you know if a biotech stock is a bargain?
It's not an exact science, but one of the best ways to identify biotech bargains is to evaluate companies' growth prospects compared with their current stock price and earnings. The price-to-earnings ratio can point out stocks that are relatively inexpensive now. Throwing expected earnings growth into the mix helps find the ones that are bargains based on what their earnings could be.
AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Jazz Pharmaceuticals (NASDAQ: JAZZ) come out looking quite attractive when these factors are considered. Here's why these are three top biotech stocks to buy on sale.
AbbVie: What's not to like?
AbbVie's stock currently trades at roughly 16 times trailing-12-month earnings. That's not bad on its own. But consider also that Wall Street analysts expect the biotech to grow earnings by more than 14% annually over the next five years. AbbVie is a deal for investors if analysts' projections are right.
There's little reason to think they're not at least close. AbbVie's lead drug, Humira, generated $16 billion in revenue last year -- and sales continue to grow at a solid pace. Imbruvica made over $1.8 billion in 2016, more than doubling sales in the previous year. AbbVie thinks the cancer drug can reach peak annual sales of $7 billion.
The biotech's pipeline also seems likely to produce more winners. AbbVie has 10 late-stage clinical studies in progress. Several of the candidates have blockbuster potential, including experimental endometriosis and uterine fibroids drug elagolix, autoimmune-disease drug risankizumab, and cancer drug veliparib.
In addition to its solid earnings growth prospects, AbbVie also offers one of the best dividends around. Its dividend yield currently stands at 4.22%. Over the past four years, the biotech has increased its dividend by 60%.
Celgene: Growth, growth, and more growth
Celgene has grown earnings by an average of 25% over the past five years. Much of that success has stemmed from its lead drug, Revlimid, which is currently approved for treating blood diseases myelodysplastic syndrome, multiple myeloma, and mantle-cell lymphoma.
The biotech expects to continue its strong growth into the future, with projected average annual earnings growth of 22%. That's right in line with what Wall Street thinks Celgene will achieve. While shares might look expensive right now based on its earnings multiple of 44, Celgene's growth makes the stock a bargain.
But can Celgene really grow earnings as much as it thinks it can? I think so. Sales for blood-cancer drugs Revlimid and Pomalyst are increasing. Autoimmune-disease treatment Otezla is Celgene's real rising star, with sales more than doubling in 2016 over the prior year.
Celgene's pipeline is also loaded. The biotech has 15 late-stage clinical studies in progress. Key candidates among these that could help drive more growth for Celgene include autoimmune-disease drugs GED-0301 and ozanimod, the latter of which is also being evaluated in a late-stage study for treating multiple sclerosis.
Jazz Pharmaceuticals: Catalysts on the way
Wall Street thinks Jazz Pharmaceuticals will grow earnings by an average of 17% over the next five years. Assuming the biotech can meet those expectations, the stock claims an inexpensive valuation despite its current price-to-earnings multiple of 22.
Several catalysts are on the way that should help show whether Jazz can grow its earnings as projected. The biotech expects to announce top-line results from two late-stage studies evaluating JZP-110 in excessive sleepiness in obstructive sleep apnea in the first quarter. Results from another late-stage study of the experimental drug in treating excessive sleepiness associated with narcolepsy should be reported in the second quarter of 2017.
Assuming the results from these studies are positive, Jazz expects to file for regulatory approval for JZP-110 later this year. The company also plans to submit for U.S. regulatory approval for Vyxeos in treating high-risk acute myeloid leukemia in the first quarter. Jazz intends to file for European approval for Vyxeos in the second half of the year.
In the meantime, Jazz continues to get great results from narcolepsy drug Xyrem. The drug appears to be on track to deliver 16% year-over-year sales growth for 2016.
Risks
All three of these biotech stocks look like strong picks that should perform well in the coming years. However, it should be noted that they all have some risks.
AbbVie, Celgene, and Jazz Pharmaceuticals face the possibility that clinical studies will flop or that regulatory approvals won't be obtained. All three currently depend largely on one drug to generate a large portion of revenue. That's an especially significant risk for Jazz, since the FDA recently approved a generic version of Xyrem. Jazz is fighting to keep the generic rival off the market.
Which has the best risk-versus-reward profile? I'd go with Celgene. Revlimid shouldn't have any serious competition in the near future. The company's current lineup is solid. Celgene's pipeline is among the best around, in my view. The biotech's growth potential makes it a great pick.
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Keith Speights owns shares of AbbVie 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. | AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Jazz Pharmaceuticals (NASDAQ: JAZZ) come out looking quite attractive when these factors are considered. AbbVie: What's not to like? AbbVie's stock currently trades at roughly 16 times trailing-12-month earnings. | AbbVie's lead drug, Humira, generated $16 billion in revenue last year -- and sales continue to grow at a solid pace. AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Jazz Pharmaceuticals (NASDAQ: JAZZ) come out looking quite attractive when these factors are considered. AbbVie: What's not to like? | AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Jazz Pharmaceuticals (NASDAQ: JAZZ) come out looking quite attractive when these factors are considered. AbbVie: What's not to like? AbbVie's stock currently trades at roughly 16 times trailing-12-month earnings. | AbbVie's lead drug, Humira, generated $16 billion in revenue last year -- and sales continue to grow at a solid pace. AbbVie (NYSE: ABBV) , Celgene (NASDAQ: CELG) , and Jazz Pharmaceuticals (NASDAQ: JAZZ) come out looking quite attractive when these factors are considered. AbbVie: What's not to like? |
26255.0 | 2017-02-13 00:00:00 UTC | 9 Top Pharmaceutical Stocks to Buy for the Dividends | ABBV | https://www.nasdaq.com/articles/9-top-pharmaceutical-stocks-to-buy-for-the-dividends-2017-02-13 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
When investors are on the hunt for income-driving dividend stocks, they often gravitate toward utilities or consumer staples names. And well they should. Those businesses are essentially recession-proof, so the income - in the form of dividends - they pass along to shareholders is quite reliable.
Source: Images Money via Flickr (Modified)
Conversely, pharmaceutical stocks are rarely seen as effective dividend stocks. Although drugs are also relatively non-cyclical, these stocks are often impacted by an ever-changing regulatory environment and the ever-changing strength or weakness of a drugmaker's portfolio and pipeline.
As it turns out, however, some of the best-known Big Pharma names are also very solid dividend providers. These drugmakers dole out income to shareholders by leveraging their size to constantly refresh their drug portfolios. In fact, the average dividend yield for all the major pharma stocks right now (and bear in mind there are some that pay nothing) is a healthy 2.35% . That's still less than the typical 4% payout utility stocks boast right now .
Given the potential for growth within the pharmaceutical sector versus very limited potential for capital appreciation among utility stocks, that's not a bad yield at all.
Of course, the stocks that we will focus on today have substantially larger payouts.
7 Dividend Stocks for the Retirement You Deserve
Here's a closer look at the top nine pharmaceutical stocks that income hunters should consider at the moment.
Pharmaceutical Stocks to Buy for the Dividends: AbbVie (ABBV)
ABBV Dividend Yield: 4.2%
A year-and-a-half ago, Gilead Sciences, Inc. (NASDAQ: GILD ) was sitting on top of the world. It had two of the best and most expensive hepatitis C treatments on the market . And it was pulling in money hand over fist.
Ironically though, Gilead arguably became a victim of its own success and its own greed, simultaneously ignoring the possibility that another competitor may come up with something better and/or more marketable.
It looks like that competitor is going to be AbbVie Inc (NYSE: ABBV ).
Earlier this month, the company announced the FDA had given in its Hep-C therapy glecaprevir (ABT-493)/pibrentasvir (ABT-530) a priority review . A priority review doesn't guarantee approval, but it does indicate the Food and Drug Administration acknowledges there's an urgent need for a strong solution to a problem. The hepatitis C market is undoubtedly significant.
Either way, with a yield of 4.2% and a strong history of increasing its payments, AbbVie rates as one of the top pharmaceutical dividend stocks out there.
Pharmaceutical Stocks to Buy for the Dividends: GlaxoSmithKline (GSK)
GSK Dividend Yield: 5%
Pharmaceutical company GlaxoSmithKline plc (ADR) (NYSE: GSK ) dished out its fourth-quarter numbers earlier this month. Earnings were better than expected, but the drugmaker cautioned shareholders that 2017 could be rough thanks to a growing amount of generic drug competition - particularly generic asthma drugs , which pose a risk to Glaxo's asthma drug Advair.
That weakness, however, may already be baked into the price of GSK, and then some.
This pharmaceutical stock was trading above $55 in early 2014. However, it has since moved back to a price of $40 on the concerns CEO Andrew Witty voiced. The end result of that ongoing pessimism is a stock that yields a very attractive 5%, backed by a company that continues to grow the bottom line despite all the naysaying.
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Aside from Advair, GlaxoSmithKline makes Augmentin, Zofran and Paxil, as well as Aquafresh toothpaste .
Pharmaceutical Stocks to Buy for the Dividends: Teva Pharmaceutical (TEVA)
TEVA Dividend Yield: 4%
Yes, Teva Pharmaceutical Industries Ltd (ADR) (NYSE: TEVA ) is the stock that plunged more than 6% on Tuesday following news that CEO Erez Vigodman was stepping down . After settling bribery charges for an amount in excess of $500 million following the unanswered loss of several patents (including breadwinner drug Copaxone), something had to change.
But don't all these headwinds paint a grim picture?
They did, but in many ways, the Vigodman news is also something of a catharsis - things can only get better from here. See, TEVA shares are down more than 50% since the middle of 2015, as all the possible worst-case scenarios were factored in.
From here, all you're left with is a company that's likely reached something of a bottom, and is paying out 4%. Recently reported top- and bottom-line beats for the fourth quarter are a promising development, too.
Pharmaceutical Stocks to Buy for the Dividends: Sanofi (SNY)
SNY Dividend Yield: 3.9%
Sanofi SA (ADR) (NYSE: SNY ) may be the most overlooked of the major pharmaceutical stocks.
That's possibly because it's based in France and doesn't get the same kind of media traction names like Merck & Co., Inc. (NYSE: MRK ) and Pfizer Inc. (NYSE: PFE ) get. Or perhaps it's just the fact that Sanofi doesn't have any show-stopping drugs, and rather focuses on what it knows it can sell.
Whatever the case, Sanofi yields a respectable 3.9%, and has been a reliable payer to boot.
One thing to watch if you do tiptoe in: The injunction that prevented Sanofi from selling cholesterol drug Praluent has been lifted, but only temporarily . It needs to prove in a courtroom that it did not violate a patent currently held by Amgen, Inc. (NASDAQ: AMGN ). Given that the court action has been all overridden in Sanofi's favor, however, bodes well.
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If nothing else, owning SNY offers geographical diversity, which is a worthwhile trait to chase if you hold several pharmaceutical stocks.
Pharmaceutical Stocks to Buy for the Dividends: AstraZeneca (AZN)
AZN Dividend Yield: 4.7%
AstraZeneca plc (ADR) (NYSE: AZN ) yields nearly 5%, and that's despite a deteriorating dividend payment since 2014.
What gives? The shrinking payment is more or less in step with shrinking revenue and shrinking profits. Things aren't apt to improve this year either, with the U.K.-based pharmaceutical company warning investors to look for another single-digit percentage dipped in revenue for 2017. The organization has simply been unable to recover from a string of patent expirations.
But AstraZeneca does have an ace in the hole.
The Big Pharma outfit's trial of a lung cancer immunotherapy is potentially game-changing. The so-called Mystic trial is reviewing the effectiveness of a combination of durvalumab and tremelimumab as a treatment for previously-untreated long cancer patients.
And it's no small matter. Trinity Delta analyst Mick Cooper recently explained of the trial, "Rarely has a single trial result been so crucial to a company the size of AstraZeneca."
If it turns out well, not only will that dividend remain healthy, but it should start to grow again.
Pharmaceutical Stocks to Buy for the Dividends: Pfizer (PFE)
PFE Dividend Yield: 3.9%
There's no specific reason in no particular catalyst that's earned Pfizer Inc . (NYSE: PFE ) a spot on the short list of pharmaceutical stocks to buy for the dividends they pay out.
The yield of nearly 4% is solid, though not a standout figure.
And yet, Pfizer is arguably the one name among any of the nine that could fit into almost anyone's portfolio for one simple reason: It has a ton of diversity built into it already. Yes, it has pharmaceuticals like Lipitor, Enbrel, Prevnar, Viagra, Lyrica and more. But PFE isn't just a drugmaker. Pfizer is the name behind ChapStick, Preparation H and Advil , and also is the maker of a variety of dietary supplements.
It has been a winning formula. Although Pfizer ebbs and flows like any other stock, this company has been a picture of consistency, particularly on the earnings front.
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Slow and steady wins the race.
Pharmaceutical Stocks to Buy for the Dividends: Gilead Sciences (GILD)
GILD Dividend Yield: 3.1%
It's tough to be a fan of Gilead Sciences, Inc. (NASDAQ: GILD ) these days.
As was mentioned already, two years ago the company was sitting on top of the world. Its then-new hepatitis C drugs Sovaldi and Harvoni cost a small fortune, but patients and insurers were willing to pay up because the treatments were practically a guaranteed cure.
A company can only charge extortion-like prices for so long, however, before shrinking goodwill and competition catch up.
GILD shares have been cut to almost half their value from mid-2015, as investors have increasingly come to grips with the fact that Sovaldi's and Harvoni's sky-high prices simply weren't sustainable. Indeed, Gilead shares were hit hard again on Wednesday after the company warned the market that sales of its hepatitis C drugs for 2017 would be roughly 30% less than expected by analysts .
Here's the thing: This bad news has been priced into the stock's value, and then some, for nearly two years. The sellers overshot.
While the yield of about 3% may not be stupendous, what Gilead lacks in payout compared to other pharma stocks, it makes up for in sheer value. The trailing price-to-earnings ratio is a ridiculous 6.1, and one can't help but wonder if shares are reached that point where things literally can only get better. GILD's pipeline and portfolio are still plenty potent.
Pharmaceutical Stocks to Buy for the Dividends: Novo Nordisk (NVO)
NVO Dividend Yield: 3.9%
Add Novo Nordisk A/S (ADR) (NYSE: NVO ) to your list of pharmaceutical stocks that also pay respectable dividends.
Denmark-based Novo Nordisk makes several - and several kinds of - products, although most consumers would struggle to even name just one drug it makes. NVO's claim to fame is its diabetes portfolio ; it's the name behind Victoza, as well as a couple of injection devices.
Being boring and remaining off the radar has paid off for Novo Nordisk, too. Revenue and earnings are growing steadily on a year-over-year basis, sometimes by double digits. Moreover, its competition doesn't seem to have noticed the kinds of profit margins the company is putting up - 34% over the course of the past four reported quarters. The rest of the industry is leaving Novo alone, uncontested.
Equally amazing is the fact that the company continues to split its growing earnings right down the middle, 50/50 with shareholders. So, while the current yield of 3.9% is solid on its own, Novo Nordisk may well boast the best dividend-growth rate among all of the pharma stocks under the microscope here.
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Plus (and like Sanofi), Novo Nordisk adds some geographic diversity to your income stream.
Pharmaceutical Stocks to Buy for the Dividends: PDL BioPharma (PDLI)
PDLI Dividend Yield: 9%*
Just so there's no confusion, PDL BioPharma Inc (NASDAQ: PDLI ) is easily the riskiest stock on this list of pharmaceutical stocks that pay dividends because … well, it's not currently paying a dividend.
The trailing dividend yield is technically 9%, but that calculation only takes into account the quarterly payout it delivered during the first two quarters of 2016.
So why, pray tell, should PDLI even be mentioned on a list of pharmaceutical stocks with big dividend potential?
Because it might reinstate the dividend again.
Long story short: PDL BioPharma was formed solely to convert low-level, easy-to-sell drugs into an income stream . It was a genius idea at the time because it could buy rights to good drugs on the cheap. As the patents on the portfolio's drugs expired, though - and as those drugs became tougher to market - replacement drugs have been difficult to find, and more expensive.
Thing is, the company seems to have figured out how to cost-effectively get back in the game. Per its Q3 wrapup posted last month , PDL "is attempting to revive itself by providing financing at favorable terms to smaller companies that are working on promising healthcare solutions."
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It's still a long shot, and certainly not the first of the dividend stocks in the industry you'd want to own. For the patient investor, though, this is an income-oriented idea at least worth putting on your long-term watchlist.
As of this writing, James Brumley did not hold a position in any of the aforementioned securities.
The post 9 Top Pharmaceutical Stocks to Buy for the Dividends 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. | Pharmaceutical Stocks to Buy for the Dividends: AbbVie (ABBV) ABBV Dividend Yield: 4.2% A year-and-a-half ago, Gilead Sciences, Inc. (NASDAQ: GILD ) was sitting on top of the world. It looks like that competitor is going to be AbbVie Inc (NYSE: ABBV ). Either way, with a yield of 4.2% and a strong history of increasing its payments, AbbVie rates as one of the top pharmaceutical dividend stocks out there. | Pharmaceutical Stocks to Buy for the Dividends: AbbVie (ABBV) ABBV Dividend Yield: 4.2% A year-and-a-half ago, Gilead Sciences, Inc. (NASDAQ: GILD ) was sitting on top of the world. It looks like that competitor is going to be AbbVie Inc (NYSE: ABBV ). Either way, with a yield of 4.2% and a strong history of increasing its payments, AbbVie rates as one of the top pharmaceutical dividend stocks out there. | Pharmaceutical Stocks to Buy for the Dividends: AbbVie (ABBV) ABBV Dividend Yield: 4.2% A year-and-a-half ago, Gilead Sciences, Inc. (NASDAQ: GILD ) was sitting on top of the world. It looks like that competitor is going to be AbbVie Inc (NYSE: ABBV ). Either way, with a yield of 4.2% and a strong history of increasing its payments, AbbVie rates as one of the top pharmaceutical dividend stocks out there. | Pharmaceutical Stocks to Buy for the Dividends: AbbVie (ABBV) ABBV Dividend Yield: 4.2% A year-and-a-half ago, Gilead Sciences, Inc. (NASDAQ: GILD ) was sitting on top of the world. It looks like that competitor is going to be AbbVie Inc (NYSE: ABBV ). Either way, with a yield of 4.2% and a strong history of increasing its payments, AbbVie rates as one of the top pharmaceutical dividend stocks out there. |
26256.0 | 2017-02-10 00:00:00 UTC | Better Buy: AbbVie Inc. vs. Eli Lilly | ABBV | https://www.nasdaq.com/articles/better-buy-abbvie-inc-vs-eli-lilly-2017-02-10 | nan | nan | At the beginning of 2016, AbbVie (NYSE: ABBV) and Eli Lilly (NYSE: LLY) were nearly exactly the same size in terms of market cap. However, AbbVie's stock outperformed Lilly throughout most of the year, making AbbVie the bigger company now.
Size doesn't matter much, though, when it comes to selecting the better stock for the future. The important things are each company's product lineup, pipeline potential, and financial condition. Here's how AbbVie and Eli Lilly compare on these key criteria.
The case for AbbVie
It's easy to make an argument in favor of AbbVie based on the current product lineup. After all, AbbVie has the top-selling drug in the world with Humira. The autoimmune disease drug raked in $16 billion last year. And Humira is still growing, with 2016 sales up nearly 15% over the prior year.
Then there's Imbruvica. AbbVie's cancer drug is red hot right now. Sales of Imbruvica soared to $1.8 billion last year, more than double the total from 2015. There's likely more good news to come. AbbVie thinks Imbruvica could eventually reach peak annual sales of $7 billion.
AbbVie's other blockbuster drug, Viekira, isn't doing as well, however. 2016 sales for the hepatitis C virus (HCV) drug dropped more than 7% year over year to $1.5 billion. This doesn't reflect poorly on AbbVie, though, since the dynamics in the HCV market are changing dramatically.
You won't have a hard time making a strong case for AbbVie based on its pipeline, either. The biotech claims a dozen late-stage clinical studies in progress and another 21 mid-stage studies. Several of these pipeline candidates hold the potential to become huge winners for AbbVie.
The company has two experimental drugs poised to follow in Humira's footsteps in the autoimmune disease market with ABT-494 and risankizumab. Veliparib could join Imbruvica as another blockbuster cancer drug in AbbVie's arsenal. Elagolix could generate substantial revenue in two indications if approved -- endometriosis and uterine fibroids.
As for financial shape, AbbVie continues to grow revenue and earnings by double-digit percentages. Although the company has $37 billion in long-term debt, it also has around $8 billion in cash (including cash, cash equivalents, and marketable securities). Its strong cash flow should allow AbbVie to easily service that debt load while continuing to pay out a nice dividend, which currently yields 4.22%.
The case for Eli Lilly
Eli Lilly's current product lineup has its positives and its negatives. On the positive side, the company has several newer drugs for which sales are quickly growing. On the negative side, sales for some of Lilly's older drugs are slipping.
One of the company's brightest rising stars is Trulicity. Sales for the diabetes drug topped $925 million last year, more than tripling the $249 million reported in 2015. Cancer drug Cyramza generated revenue of $614 million in 2016, a 60% year-over-year jump.
Lilly also continues to enjoy solid growth for some of its established products. Sales for osteoporosis drug climbed 11% year over year in 2016 to $1.5 billion. Cancer drug Erbitux generated 2016 sales of $687 million, a 42% increase from the prior year.
However, a few of Lilly's biggest moneymakers aren't doing so well. Sales for its top-selling insulin product, Humalog, fell last year. So did sales for Alimta, Cymbalta, and Zyprexa.
The drugmaker's pipeline could help Lilly continue to grow earnings despite lower sales for these older drugs. Lilly awaits regulatory approval for promising autoimmune disease drug baricitinib. The company has 14 late-stage clinical studies in progress (including one for a diagnostic product). Another 19 mid-stage studies are under way.
Several of these studies are for additional indications for currently approved drugs such as Cyramza. However, Lilly also has some new drugs in development, including experimental cancer treatment abemaciclib and pain drug tanezumab.
Eli Lilly has considerably less debt than AbbVie, with total long-term debt of $8.7 billion. However, it also has less cash on hand, with cash, cash equivalents, and short-term investments totaling $4.2 billion. Lilly's revenue and earnings are growing, but not as much as AbbVie's. The company also pays a dividend, with its yield currently standing at 2.67%.
Better buy
The choice between these two successful drugmakers seems to be an easy one. Although Lilly has several solid drugs in its current lineup and some strong pipeline candidates, AbbVie is the better buy in my view.
AbbVie is growing more quickly and pays a higher dividend. The biggest knock against the biotech is its dependence on Humira, but rising sales for Imbruvica and other drugs should help reduce its reliance on one drug over time.
At some point in the future, AbbVie will run into major headwinds with competition for Humira. For now, though, AbbVie appears to be a good pick for investors looking for both growth and income.
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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. | Its strong cash flow should allow AbbVie to easily service that debt load while continuing to pay out a nice dividend, which currently yields 4.22%. Although Lilly has several solid drugs in its current lineup and some strong pipeline candidates, AbbVie is the better buy in my view. At the beginning of 2016, AbbVie (NYSE: ABBV) and Eli Lilly (NYSE: LLY) were nearly exactly the same size in terms of market cap. | Although Lilly has several solid drugs in its current lineup and some strong pipeline candidates, AbbVie is the better buy in my view. At the beginning of 2016, AbbVie (NYSE: ABBV) and Eli Lilly (NYSE: LLY) were nearly exactly the same size in terms of market cap. However, AbbVie's stock outperformed Lilly throughout most of the year, making AbbVie the bigger company now. | However, AbbVie's stock outperformed Lilly throughout most of the year, making AbbVie the bigger company now. The case for AbbVie It's easy to make an argument in favor of AbbVie based on the current product lineup. Although Lilly has several solid drugs in its current lineup and some strong pipeline candidates, AbbVie is the better buy in my view. | Although Lilly has several solid drugs in its current lineup and some strong pipeline candidates, AbbVie is the better buy in my view. At the beginning of 2016, AbbVie (NYSE: ABBV) and Eli Lilly (NYSE: LLY) were nearly exactly the same size in terms of market cap. However, AbbVie's stock outperformed Lilly throughout most of the year, making AbbVie the bigger company now. |
26257.0 | 2017-02-09 00:00:00 UTC | Why OraSure Technologies, Inc. Leaped Higher Today | ABBV | https://www.nasdaq.com/articles/why-orasure-technologies-inc-leaped-higher-today-2017-02-09 | nan | nan | What happened
OraSure Technologies (NASDAQ: OSUR) stock is up 24% at 12:53 p.m. EST after the company announced solid fourth-quarter earnings yesterday after the closing bell. The test maker also announced guidance for the first quarter, which doesn't look too shabby.
So what
Revenue for the quarter was up 10% year over year, topping the whole-year growth of 7%. International sales are saving OraSure's revenue with international sales of OraQuick HIV products up 217% year over year in the fourth quarter and overseas sales of OraQuick HCV test up 123% year over year. U.S. sales of the OraQuick HIV and HCV tests fell year over year as did sales of the OraQuick Ebola test.
The international sales benefited from an $18 million contract with an unnamed foreign government, mainly for shipments of OraQuick HCV tests. The shipments started in the fourth quarter and will continue throughout 2017.
The overall revenue line benefited from recognition of revenue from OraSure's HCV co-promotion agreement with AbbVie (NYSE: ABBV) , which was terminated at the end of the year.
On the bottom line, OraSure Technologies made $0.13 per share, up 62.5% from the $0.08 per share in the year-ago quarter. The bottom line was able to grow faster than revenue thanks to lower operating expenses from a variety of sources, including lower costs from OraSure's part of the AbbVie agreement, lower commissions, a reduction in bad debt, and a benefit form a dispute settlement with a supplier of raw materials.
Now what
Management is guiding for revenue of $31 million to $31.5 million in the first quarter. While that includes the loss of the AbbVie revenue, it's a nice 21% to 23% increase over the year-ago quarter, thanks to the aforementioned international contract.
For earnings, management thinks the bottom line will come in between $0.17 to $0.18 per share, which includes a previously announced $12.5 million litigation settlement with AncestryDNA.
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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 overall revenue line benefited from recognition of revenue from OraSure's HCV co-promotion agreement with AbbVie (NYSE: ABBV) , which was terminated at the end of the year. The bottom line was able to grow faster than revenue thanks to lower operating expenses from a variety of sources, including lower costs from OraSure's part of the AbbVie agreement, lower commissions, a reduction in bad debt, and a benefit form a dispute settlement with a supplier of raw materials. While that includes the loss of the AbbVie revenue, it's a nice 21% to 23% increase over the year-ago quarter, thanks to the aforementioned international contract. | The overall revenue line benefited from recognition of revenue from OraSure's HCV co-promotion agreement with AbbVie (NYSE: ABBV) , which was terminated at the end of the year. The bottom line was able to grow faster than revenue thanks to lower operating expenses from a variety of sources, including lower costs from OraSure's part of the AbbVie agreement, lower commissions, a reduction in bad debt, and a benefit form a dispute settlement with a supplier of raw materials. While that includes the loss of the AbbVie revenue, it's a nice 21% to 23% increase over the year-ago quarter, thanks to the aforementioned international contract. | The bottom line was able to grow faster than revenue thanks to lower operating expenses from a variety of sources, including lower costs from OraSure's part of the AbbVie agreement, lower commissions, a reduction in bad debt, and a benefit form a dispute settlement with a supplier of raw materials. The overall revenue line benefited from recognition of revenue from OraSure's HCV co-promotion agreement with AbbVie (NYSE: ABBV) , which was terminated at the end of the year. While that includes the loss of the AbbVie revenue, it's a nice 21% to 23% increase over the year-ago quarter, thanks to the aforementioned international contract. | The overall revenue line benefited from recognition of revenue from OraSure's HCV co-promotion agreement with AbbVie (NYSE: ABBV) , which was terminated at the end of the year. The bottom line was able to grow faster than revenue thanks to lower operating expenses from a variety of sources, including lower costs from OraSure's part of the AbbVie agreement, lower commissions, a reduction in bad debt, and a benefit form a dispute settlement with a supplier of raw materials. While that includes the loss of the AbbVie revenue, it's a nice 21% to 23% increase over the year-ago quarter, thanks to the aforementioned international contract. |
26258.0 | 2017-02-09 00:00:00 UTC | 3 Trump-Proof Dividend Stocks to Buy Right Now | ABBV | https://www.nasdaq.com/articles/3-trump-proof-dividend-stocks-buy-right-now-2017-02-09 | nan | nan | Regardless of which side of the political divide you fall on, you'll probably agree that President Trump's unorthodox leadership style is almost certainly going to create a fair amount of volatility in the market moving forward.
Keeping this theme in mind, I think the Dividend AristocratsAbbVie (NYSE: ABBV) , Johnson & Johnson (NYSE: JNJ) , and Medtronic plc (NYSE: MDT) are three outstanding stocks to steady any portfolio during these uncertain times. Here's why.
As a prime example, J&J kicked off 2017 by plunking down a hefty $30 billion to acquire the Swiss-based drugmaker Actelion to bolster its pulmonary arterial hypertension portfolio and to presumably help diminish the impact of the loss of patent protection on its top-selling drug, Remicade. This sizable acquisition is noteworthy because it comes on top of the more than $9 billion the company spent on R&D just last year, and it also underscores the company's dedication to maintaining a top flight-pharma innovation engine.
The take-home message is that J&J is continuing to do all of the same things that made it one of the best-performing large-cap stocks over the past 20 years, and that's not going to change anytime soon.
So, barring a calamity of epic proportions, I feel comfortable buying this titan of the healthcare industry for its 2.8% yield, modest near-term growth prospects, outstanding balance sheet, and proven dedication to medical innovation.
This medical-device behemoth offers peace of mind
Medtronic's 39-year history of consecutive dividend increases is perhaps reason enough to take a good, hard look at this medical-device giant. However, I think Medtronic has even more attractive traits worth considering.
First off, the company has four core business groups -- cardiac and vascular, minimally invasive therapies, diabetes, and restorative therapies -- that give it a healthy mix of sustainable revenue sources. And, like J&J, Medtronic has been extremely aggressive on the M&A front, completing a whopping 14 deals during its fiscal 2016.
Perhaps the best part is that Medtronic has been particularly efficient in its M&A efforts and licensing deals over the past couple of years. Early last year, for example, the company signed a fairly small deal with Mazor Robotics to establish a footprint in the high-growth robotic surgery market.
While robotic surgery remains in its infancy for the most part -- with Intuitive Surgical 's da Vinci Surgical System being the only device that's been widely adopted around the world -- this market is forecast to grow at a respectable clip in the decades to come as surgeons become more comfortable with robotic systems and the technology matures. So Medtronic's robotics partnership with Mazor could end up producing unusually high returns over the long term, making it a key growth driver to watch moving forward.
The key point is that Medtronic has placed a heavy premium on being among the first to break into novel and high-growth medical device markets. As a further example, the company is currently striving to become a leader in the rapidly emerging area of continuous glucose monitoring that could be worth billions in sales down the road.
All told, Medtronic is a cutting-edge medical device maker with a proven track record of producing sustainable growth and handsomely rewarding its shareholders with regular dividend increases.
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George Budwell has no position in any stocks mentioned. The Motley Fool owns shares of Medtronic. The Motley Fool recommends Johnson and 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. | Keeping this theme in mind, I think the Dividend AristocratsAbbVie (NYSE: ABBV) , Johnson & Johnson (NYSE: JNJ) , and Medtronic plc (NYSE: MDT) are three outstanding stocks to steady any portfolio during these uncertain times. As a prime example, J&J kicked off 2017 by plunking down a hefty $30 billion to acquire the Swiss-based drugmaker Actelion to bolster its pulmonary arterial hypertension portfolio and to presumably help diminish the impact of the loss of patent protection on its top-selling drug, Remicade. So, barring a calamity of epic proportions, I feel comfortable buying this titan of the healthcare industry for its 2.8% yield, modest near-term growth prospects, outstanding balance sheet, and proven dedication to medical innovation. | Keeping this theme in mind, I think the Dividend AristocratsAbbVie (NYSE: ABBV) , Johnson & Johnson (NYSE: JNJ) , and Medtronic plc (NYSE: MDT) are three outstanding stocks to steady any portfolio during these uncertain times. Early last year, for example, the company signed a fairly small deal with Mazor Robotics to establish a footprint in the high-growth robotic surgery market. The key point is that Medtronic has placed a heavy premium on being among the first to break into novel and high-growth medical device markets. | Keeping this theme in mind, I think the Dividend AristocratsAbbVie (NYSE: ABBV) , Johnson & Johnson (NYSE: JNJ) , and Medtronic plc (NYSE: MDT) are three outstanding stocks to steady any portfolio during these uncertain times. Early last year, for example, the company signed a fairly small deal with Mazor Robotics to establish a footprint in the high-growth robotic surgery market. 10 stocks we like better than Johnson and Johnson When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. | Keeping this theme in mind, I think the Dividend AristocratsAbbVie (NYSE: ABBV) , Johnson & Johnson (NYSE: JNJ) , and Medtronic plc (NYSE: MDT) are three outstanding stocks to steady any portfolio during these uncertain times. Perhaps the best part is that Medtronic has been particularly efficient in its M&A efforts and licensing deals over the past couple of years. Early last year, for example, the company signed a fairly small deal with Mazor Robotics to establish a footprint in the high-growth robotic surgery market. |
26259.0 | 2017-02-09 00:00:00 UTC | Why AbbVie is a Top 25 Dividend Giant (ABBV) | ABBV | https://www.nasdaq.com/articles/why-abbvie-top-25-dividend-giant-abbv-2017-02-09 | nan | nan | AbbVie Inc. (Symbol: ABBV) has been named as a Top 25 ''Dividend Giant'' by ETF Channel , with a staggering $4.91B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 4.24% yield, according to the most recent Dividend Channel''DividendRank'' report. The report noted a strong quarterly dividend history at AbbVie Inc., and favorable long-term multi-year growth rates in key fundamental data points.
The annualized dividend paid by AbbVie Inc. is $2.56/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 01/11/2017. Below is a long-term dividend history chart for ABBV, which the report stressed as being of key importance. Indeed, studying a company's past dividend history can be of good help in judging whether the most recent dividend is likely to continue.
25 Dividend Giants Widely Held By ETFs »
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. (Symbol: ABBV) has been named as a Top 25 ''Dividend Giant'' by ETF Channel , with a staggering $4.91B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 4.24% yield, according to the most recent Dividend Channel''DividendRank'' report. The report noted a strong quarterly dividend history at AbbVie Inc., and favorable long-term multi-year growth rates in key fundamental data points. Below is a long-term dividend history chart for ABBV, which the report stressed as being of key importance. | AbbVie Inc. (Symbol: ABBV) has been named as a Top 25 ''Dividend Giant'' by ETF Channel , with a staggering $4.91B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 4.24% yield, according to the most recent Dividend Channel''DividendRank'' report. The report noted a strong quarterly dividend history at AbbVie Inc., and favorable long-term multi-year growth rates in key fundamental data points. The annualized dividend paid by AbbVie Inc. is $2.56/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 01/11/2017. | AbbVie Inc. (Symbol: ABBV) has been named as a Top 25 ''Dividend Giant'' by ETF Channel , with a staggering $4.91B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 4.24% yield, according to the most recent Dividend Channel''DividendRank'' report. The annualized dividend paid by AbbVie Inc. is $2.56/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 01/11/2017. The report noted a strong quarterly dividend history at AbbVie Inc., and favorable long-term multi-year growth rates in key fundamental data points. | The report noted a strong quarterly dividend history at AbbVie Inc., and favorable long-term multi-year growth rates in key fundamental data points. The annualized dividend paid by AbbVie Inc. is $2.56/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 01/11/2017. AbbVie Inc. (Symbol: ABBV) has been named as a Top 25 ''Dividend Giant'' by ETF Channel , with a staggering $4.91B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 4.24% yield, according to the most recent Dividend Channel''DividendRank'' report. |
26260.0 | 2017-02-08 00:00:00 UTC | The Zacks Analyst Blog Highlights: Apple, Visa and AbbVie | ABBV | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights%3A-apple-visa-and-abbvie-2017-02-08 | nan | nan | For Immediate Release
Chicago, IL - February 08, 2017 - 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 Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ).
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Tuesday's Analyst Blog:
Earnings No Longer a Headwind for Stocks
We feature the best research output of our analyst team in the Zacks Research Daily. In today's write-up, we are featuring analyst reports on 16 major stocks, including reports on Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). These stock research reports have been hand-picked from the 70 or so reports published by our analyst team today. You can see all of today's research reports here >>
In addition to these stock research reports, we are also giving you a real-time scorecard of the ongoing Q4 earnings season. We take pride in closely monitoring each and every earnings release and presenting our analysis of emerging trends in the weekly Earnings Trends and Earnings Preview reports. Our latest Earnings Preview report is: All-Time Record Earnings in Q4
Q4 Earnings Scorecard (as of Tuesday, February 7th)
We now have Q4 results from 302 S&P 500 members, or 60.3% of the index's total membership. Total earnings for the 302 index members that have reported results already are up +6.6% on +4.7% higher revenues, with 68.5% beating EPS estimates and 55% beating revenue estimates.
This is better earnings and revenue growth performance than we have seen from this group of 302 S&P 500 members in other recent periods, even after adjusting for the strong growth from the Finance sector (earnings growth would be +5.2% excluding the Finance sector on +4.7% higher revenues). The proportion of companies beating EPS and revenue estimates, however, is tracking below other recent periods. Only 41.1% of the index members are able to beat both EPS and revenue estimates, which compares to 50% in the preceding quarter for the same sample of 302 S&P 500 members (the 4-quarter average is 47.4% & the 12-quarter average is 45.7%).
Looking at Q4 as a whole, combining the actual results from the 302 index members with estimates from the still-to-come 198 companies, total earnings are expected to be up +7.1% from the same period last year on +3.9% higher revenues. This is the best earnings and revenue growth pace in two years. Importantly, the strong Q4 growth is not a function of easy comparisons, but rather a result of actual gains. The fact is total earnings for the S&P 500 index are on track to reach an all-time quarterly record, surpassing the level achieved in 2014 Q4.
Estimates for the current period (2017 Q1) are holding up fairly well; they are coming down, but not at the pace as would typically expected. Total earnings for the index are currently expected to be up +8% in Q1, which is down from +10.3% on January 4th.
Today's Featured Research Reports
Apple shares have gained +20.2% over the last six months and have outperformed the broader market with the S&P 500 gaining +4.7% over the same period. Apple reported impressive first-quarter fiscal 2017 results with both earnings and revenues exceeding expectations while registering decent year-over-year growth. The increase in iPhone demand caused by the launch of iPhone 7 and 7 Plus was the primary factor for such strong numbers. Also, "Services" revenues, which include App store, Apple Music and Apple Pay were impressive with App store sales in December alone topping $3 billion. The buzz surrounding iPhone 8, which is already labeled a super cycle, should allay investors fear about iPhone sales trajectory. However, macroeconomic headwinds in some key regions, most importantly in China along with increasing competition remain a concern. (You can read the full research report on Apple here >> )
Buy rated Visa 's shares have outperformed the Zacks Financial Transaction Services industry over the past six months, gaining +7.4% vs a +6.2%. The company's first-quarter fiscal 2017 earnings easily outpaced expectations. Results were aided by the acquisition of Visa Europe and solid growth in payments volume as well as processed transactions. The analyst likes the company's strategic acquisitions and alliances, technology upgrades and effective marketing efforts. (You can read the full research report on Visa here >> )
AbbVie shares have gained +14.7% over the last one year, outperforming the large cap pharma industry, which has gained +5% over the same period. AbbVie delivered mixed fourth-quarter results with earnings meeting estimates but sales missing the same. The analyst likes its key drug Humira's performance. Sales should continue to be driven by growing awareness, favorable clinical data, additional indications and expansion into new markets. Moreover, products like Viekira and Imbruvica have diversified AbbVie's revenue base. AbbVie has a deep and promising pipeline and is also working on expanding its portfolio though additional deals. On the flip side, the Zacks analyst points out that Viekira faces intense pricing pressure and competition in the HCV market. Additionally, quite a few companies are working on bringing Humira biosimilars to the market. (You can read the full research report on AbbVie here >> )
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest tickers for the entirety of 2017?
Who wouldn't? These 10 are painstakingly hand-picked from 4,400 companies covered by the Zacks Rank. They are our primary picks to buy and hold. Be among the very first to see them >>
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Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year. See these high-potential stocks 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 Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). In today's write-up, we are featuring analyst reports on 16 major stocks, including reports on Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). (You can read the full research report on Visa here >> ) AbbVie shares have gained +14.7% over the last one year, outperforming the large cap pharma industry, which has gained +5% over the same period. | Stocks recently featured in the blog include Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). In today's write-up, we are featuring analyst reports on 16 major stocks, including reports on Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). (You can read the full research report on Visa here >> ) AbbVie shares have gained +14.7% over the last one year, outperforming the large cap pharma industry, which has gained +5% over the same period. | Stocks recently featured in the blog include Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). In today's write-up, we are featuring analyst reports on 16 major stocks, including reports on Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). Get the full Report on AAPL - FREE Get the full Report on ABBV - FREE Get the full Report on V - FREE Follow us on Twitter: https://twitter.com/zacksresearch Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. | Stocks recently featured in the blog include Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). In today's write-up, we are featuring analyst reports on 16 major stocks, including reports on Apple (NASDAQ: AAPL - Free Report ), Visa (NYSE: V - Free Report ) and AbbVie (NYSE: ABBV - Free Report ). (You can read the full research report on Visa here >> ) AbbVie shares have gained +14.7% over the last one year, outperforming the large cap pharma industry, which has gained +5% over the same period. |
26261.0 | 2017-02-08 00:00:00 UTC | Health Care Sector Update for 02/08/2017: CHRS,APOP,GALE | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-02082017-chrsapopgale-2017-02-08 | nan | nan | Top Health Care Stocks
JNJ 0.00%
PFE +0.54%
MRK -0.99%
ABT +0.33%
AMGN +0.45%
Health care stocks were mixed Wednesday, with the NYSE Health Care Index gaining nearly 0.3% while shares of health care companies in the S&P 500 were down 0.3% as a group.
In company news, Coherus BioSciences ( CHRS ) slumped Wednesday after the early-stage biologics company today priced a $125 million public offering of more than 5.15 million shares of its common stock at $24.25 apiece, a 9% discount to Tuesday's closing price.
The company expects to use net proceeds from the offering to build out the sales and marketing infrastructure ahead of a potential commercial launch of its CHS-1701 pegfilgrastim biosimiliar that stimulates a patient's bone marrow to produce granulocytes and stem cells and then release them into the bloodstream.
A portion of the new funds also may be used to continue development for its CHS-0214 treatment for rheumatoid arthritis and CHS-1420, a biosimiliar of Abbvie's ( ABBV ) Humira medication.
CHRS shares were down nearly 13% at $23.30 each, earlier sinking to a session low of $22.90 a share.
In other sector news,
(+) APOP, (+18.0%) Treats the first blood cancer patient in phase I/II testing of its ApoGraft stem-cell technology. Company optimistic it will report more positive results from the trial of ApoGraph in healthy volunteers.
(-) GALE, (-40.7%) Prices $17 mln underwritten public offering of 17 mln units at $1 per unit, Each unit consists of one share of common stock and one five-year warrant exercisable at $1.10 a share.
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. | A portion of the new funds also may be used to continue development for its CHS-0214 treatment for rheumatoid arthritis and CHS-1420, a biosimiliar of Abbvie's ( ABBV ) Humira medication. The company expects to use net proceeds from the offering to build out the sales and marketing infrastructure ahead of a potential commercial launch of its CHS-1701 pegfilgrastim biosimiliar that stimulates a patient's bone marrow to produce granulocytes and stem cells and then release them into the bloodstream. In other sector news, (+) APOP, (+18.0%) Treats the first blood cancer patient in phase I/II testing of its ApoGraft stem-cell technology. | A portion of the new funds also may be used to continue development for its CHS-0214 treatment for rheumatoid arthritis and CHS-1420, a biosimiliar of Abbvie's ( ABBV ) Humira medication. In company news, Coherus BioSciences ( CHRS ) slumped Wednesday after the early-stage biologics company today priced a $125 million public offering of more than 5.15 million shares of its common stock at $24.25 apiece, a 9% discount to Tuesday's closing price. (-) GALE, (-40.7%) Prices $17 mln underwritten public offering of 17 mln units at $1 per unit, Each unit consists of one share of common stock and one five-year warrant exercisable at $1.10 a share. | A portion of the new funds also may be used to continue development for its CHS-0214 treatment for rheumatoid arthritis and CHS-1420, a biosimiliar of Abbvie's ( ABBV ) Humira medication. Health care stocks were mixed Wednesday, with the NYSE Health Care Index gaining nearly 0.3% while shares of health care companies in the S&P 500 were down 0.3% as a group. In company news, Coherus BioSciences ( CHRS ) slumped Wednesday after the early-stage biologics company today priced a $125 million public offering of more than 5.15 million shares of its common stock at $24.25 apiece, a 9% discount to Tuesday's closing price. | A portion of the new funds also may be used to continue development for its CHS-0214 treatment for rheumatoid arthritis and CHS-1420, a biosimiliar of Abbvie's ( ABBV ) Humira medication. Top Health Care Stocks Health care stocks were mixed Wednesday, with the NYSE Health Care Index gaining nearly 0.3% while shares of health care companies in the S&P 500 were down 0.3% as a group. |
26262.0 | 2017-02-08 00:00:00 UTC | Gilead (GILD) Beats Q4 Earnings & Sales, View Disappoints | ABBV | https://www.nasdaq.com/articles/gilead-gild-beats-q4-earnings-sales-view-disappoints-2017-02-08 | nan | nan | Gilead Sciences, Inc. 's GILD fourth-quarter 2016 earnings (including the impact of stock-based compensation expenses) of $2.64 per share beat the Zacks Consensus Estimate of $2.31. However, earnings were down from $3.27 in the year-ago quarter.
Moreover, total revenue in the reported quarter came in at $7.3 billion, down 13.9% year over year. Nevertheless, quarterly revenues marginally beat the Zacks Consensus Estimate of $7.2 billion.
Shares of Gilead have underperformed the Zacks classified Medical-Biomedical and Genetics industry in the last one year with the stock losing 19.9% during this period, compared with the industry's decline of 0.4%.
HCV Franchise Disappoints Again, HIV Impresses
Product sales came in at $7.2 billion, down 14.2% year over year. The decline was due to lower hepatitis C virus (HCV) sales, partially offset by higher sales across HIV and other therapeutic areas.
Antiviral product sales, which include Gilead's HIV and liver disease portfolios, came in at $6.6 billion in the fourth-quarter 2016, down 16.4%.
HCV product sales, which include Harvoni, Sovaldi and the recently launched Epclusa, were $3.2 billion, down 34.7%. The downside was mainly attributed to lower sales of Harvoni and Sovaldi, partially offset by sales of Epclusa (launched in 2016) across various locations.
Sales of Harvoni declined 51% year over year to $1.6 billion in the reported quarter. The decline was mainly due to lower sales in the U.S. (down 42.8% to 976 million) and Europe (down 38.2% to $363 million). Further, Sovaldi sales recorded a year-over-year decline of 65% to $541 million.
Epclusa garnered sales of $1.0 billion in the reported quarter, significantly higher than $640 million reported in the prior quarter. We note that Epclusa was launched in the U.S. and Europe in June and July, respectively.
Meanwhile, HIV and other antiviral product sales came in at $3.4 billion, up 13.3% year over year. The increase was primarily driven by continuous strong uptake of tenofovir alafenamide (TAF)-based products such as Genvoya, which generated sales of $563 million, up from $461 million in the prior quarter; Descovy, which recorded sales of $149 million, up from $88 million in the third quarter of 2016; and Odefsey, which registered sales of $155 million, up from $105 million in the year-ago period.
HIV treatments like Stribild and Complera/Eviplera declined while Viread was up 6% to $297 million). However, Atripla sales tanked 24% to $607 million, while Truvada sales fell 7% to $868 million.
Other products like Letairis, Ranexa, AmBisome and Zydelig recorded sales of $226 million (up 18%), $210 million (up 24%), $94 million (up 27%) and $39 million (down 3%), respectively.
Research & development (R&D) expenses were up 59.5% to $1.2 billion. The increase was primarily due to overall development of the company's clinical studies. Selling, general and administrative (SG&A) expenses were down 6.9% to $992 million.
Adjusted product gross margin was 88.1%, down from 89.8% in the year-ago period.
2016 Results
Revenues came in $30.4 billion, down from $32.6 billion in 2015. Earnings per share came in at $11.37, down from $12.44 in 2015 but beat the Zacks Consensus Estimate of $11.00.
2017 Guidance
Gilead expects net product sales in the range of $22.5-$24.5 billion. Non-HCV product sales are projected between $15 billion and $15.5 billion. HCV product sales are projected between $7.5 billion and $9.0 billion.
Adjusted R&D expenses and adjusted SG&A expenses are projected in the range of $3.1-$3.4 billion and $3.1-$3.4 billion, respectively.
Adjusted product gross margin is estimated in the range of 86-88%.
Dividend and Share Repurchase
Concurrently, Gilead declared an increase of 10% in the quarterly cash dividend from $0.47 per share to $0.52 per share, beginning in the first-quarter 2017. The dividend is payable on Mar 30 to stockholders of record at the close of business on Mar 16. In 2016, the company repurchased 123 million shares worth $11 billion. Gilead currently has $9 billion under its 2016 share repurchase authorization.
Gilead Sciences, Inc. Price and EPS Surprise
Gilead Sciences, Inc. Price and EPS Surprise | Gilead Sciences, Inc. Quote
Our Take
Although the fourth quarter results beat on both earnings and sales, the guidance for 2017 was quite disappointing. 2016 was a challenging year for the company. The HCV franchise continues to be under competitive and pricing pressure leading to a massive decline in Harvoni and Sovaldi sales. Higher discounts and payer mix continue to impact sales adversely. Total HCV treatment starts in the U.S. were an estimated 231,000 in 2016, approximately 25,000 less than 2015. The company expects a further decline in patients starts in 2017. We note that Harvoni, Sovaldi and Epclusa, face competition from AbbVie's ABBV Viekira Pak and Viekira XR and Bristol-Myers' BMY Daklinza among others.
On a positive note, Epclusa's uptake has been encouraging while the HIV franchise maintains momentum driven by the rapid adoption of TAF-based regimens. By the end of 2016, the TAF-based regimens made up 37% of Gilead's HIV prescription volume in the treatment market. Strong uptake for Truvada for use in the pre-exposure prophylaxis setting should also boost sales. However, Gilead will lose exclusivity for Viread in 2017 in some countries outside the U.S. which should impact sales.
Zacks Rank & Key Pick
Gilead carries a Zacks Rank #3 (Hold) stock.
A better-ranked stock in the health care sector is Sucampo Pharmaceuticals SCMP which currently sports a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Sucampo's earnings estimates were stable at $1.22 for 2016 but have increased from $1.58 to $1.74 for 2017 over the last 60 days. The company posted a positive earnings surprise in all of the four trailing quarters with an average beat of 35.5%.
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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 Viekira XR and Bristol-Myers' BMY Daklinza among others. Click to get this free report Bristol-Myers Squibb Company (BMY): Get Free Report Gilead Sciences, Inc. (GILD): Get Free Report Sucampo Pharmaceuticals, Inc. (SCMP): Get Free Report AbbVie Inc. (ABBV): Get Free Report To read this article on Zacks.com click here. Gilead Sciences, Inc. 's GILD fourth-quarter 2016 earnings (including the impact of stock-based compensation expenses) of $2.64 per share beat the Zacks Consensus Estimate of $2.31. | Click to get this free report Bristol-Myers Squibb Company (BMY): Get Free Report Gilead Sciences, Inc. (GILD): Get Free Report Sucampo Pharmaceuticals, Inc. (SCMP): Get Free Report AbbVie Inc. (ABBV): Get Free 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 Viekira XR and Bristol-Myers' BMY Daklinza among others. Gilead Sciences, Inc. 's GILD fourth-quarter 2016 earnings (including the impact of stock-based compensation expenses) of $2.64 per share beat the Zacks Consensus Estimate of $2.31. | We note that Harvoni, Sovaldi and Epclusa, face competition from AbbVie's ABBV Viekira Pak and Viekira XR and Bristol-Myers' BMY Daklinza among others. Click to get this free report Bristol-Myers Squibb Company (BMY): Get Free Report Gilead Sciences, Inc. (GILD): Get Free Report Sucampo Pharmaceuticals, Inc. (SCMP): Get Free Report AbbVie Inc. (ABBV): Get Free Report To read this article on Zacks.com click here. Epclusa garnered sales of $1.0 billion in the reported quarter, significantly higher than $640 million reported in the prior quarter. | We note that Harvoni, Sovaldi and Epclusa, face competition from AbbVie's ABBV Viekira Pak and Viekira XR and Bristol-Myers' BMY Daklinza among others. Click to get this free report Bristol-Myers Squibb Company (BMY): Get Free Report Gilead Sciences, Inc. (GILD): Get Free Report Sucampo Pharmaceuticals, Inc. (SCMP): Get Free Report AbbVie Inc. (ABBV): Get Free Report To read this article on Zacks.com click here. Gilead Sciences, Inc. 's GILD fourth-quarter 2016 earnings (including the impact of stock-based compensation expenses) of $2.64 per share beat the Zacks Consensus Estimate of $2.31. |
26263.0 | 2017-02-08 00:00:00 UTC | Gilead Sciences Just Shocked Investors, And It Wasn't Good | ABBV | https://www.nasdaq.com/articles/gilead-sciences-just-shocked-investors-and-it-wasnt-good-2017-02-08 | nan | nan | Gilead Sciences '(NASDAQ: GILD) shares have been in a free fall since 2015, and guidance released alongside its fourth quarter financials this afternoon suggests that sales and profit won't help its shares rebound anytime soon.
Deeply disappointing
Gilead Sciences is the globe's top maker of medicine used to treat HIV, but investors really cheered the company when it tackled hepatitis C, a common liver disease affecting hundreds of millions globally.
Prior to its launching new hepatitis C therapies that deliver functional cure rates in over 90% of patients in as little as 8-weeks, treatment could consist of a side-affect laden cocktail with coin-flip cure rates and treatment duration of up to 48-weeks.
Gilead Sciences Sovaldi and Harvoni marked a major advance in treatment and rapid adoption of their use resulted in roughly $20 billion in combined sales during their first full year on the market.
The meteoric rise in revenue, however, ended last year as the number of advanced cases dropped, and thus, new patient starts fell. Last year, 231,000 patients began treatment for their hepatitis C, down from 256,000 patients in 2015. The launching of competing hepatitis C drugs is also weighing on the company's results, because it's causing a drop in net prices for Gilead Sciences' drugs.
Based on the company's 2017 outlook, there's no telling where sales will finally find a floor.
Management expects just 150,000 to 175,000 patients will start treatment in 2017, and that drop, plus pricing pressure, has management predicting hepatitis C sales will fall to between $7.5 billion and $9 billion from $14.8 billion in 2016 and $19.1 billion in 2015.
The steep drop in hepatitis C revenue has management expecting to deliver total product sales of between $22.5 billion and $24.5 billion this year, down from $30 billion in 2016 and $32.2 billion in 2015.
Can it get worse?
It's anyone's guess what the hepatitis C market will look like over the coming years, but there's a tremendous amount of research going on in the indication, and that innovation could cause more of Gilead Sciences market share to slip away.
In the short-term, AbbVie (NYSE: ABBV) is expecting a FDA decision on its second-generation hepatitis C therapy soon, and if approved, it could close the gap with Gilead Sciences in terms of market share. In trials, AbbVie's once-daily, pan-genotype, combination therapy delivered robust efficacy over as little as 8-weeks. Depending on it's prescribing label, an approval could pull it neck and neck with Gilead Sciences.
Further out, Johnson & Johnson (NYSE: JNJ) is working with Achillion Pharmaceuticals (NASDAQ: ACHN) on hepatitis C solutions that could improve patient adherence and outcomes by reducing treatment duration to as little as six weeks.
It's not all bad, is it?
HIV drugs were a bright spot in Gilead Sciences 2016 performance. New formulations of the company's multi-drug cocktails that are safer are being used in more patients, and as a result, sales of Gilead Sciences' HIV medicines increased by double-digits last year.
Gilead Sciences' revamped product line generated sales of $3.4 billion in Q4, up from $3 billion a year ago, and $12.9 billion in 2016, up from $11.1 billion in 2015. Because of these new HIV therapies, Gilead Sciences forecasts that non-hepatitis C revenue will be between $15 billion and $15.5 billion this year.
However, HIV sales growth will be more than offset by the decline in hepatitis C sales, and that means that Gilead Sciences shares will be driven higher or lower by its pipeline. Gilead Sciences spent $3.7 billion on R&D last year, and investors are eager to see that spending pan out in the form of new products.
Unfortunately, Gilead Sciences isn't expected to report a lot of phase 3 data this year that investors can cheer. It does expect to announce late-stage interim data for GS-5745 in gastric cancer in Q3, but investors will have to wait until 2018 to see data on filgotinib, which is potentially the company's most intriguing pipeline prospect. Filgotinib is being evaluated in ulcerative colitis and rheumatoid arthritis, two high value indications that could move the needle for the company.
Overall, an argument can be made that the company's shares are cheap, but ultimately, that will only proven to be true if the company can return to growth, and right now, it's not evident how, or when, that will happen.
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Todd Campbell owns shares of Gilead Sciences.His clients may have positions in the companies mentioned.The Motley Fool owns shares of and recommends Gilead Sciences. The Motley Fool recommends Johnson and 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. | In the short-term, AbbVie (NYSE: ABBV) is expecting a FDA decision on its second-generation hepatitis C therapy soon, and if approved, it could close the gap with Gilead Sciences in terms of market share. In trials, AbbVie's once-daily, pan-genotype, combination therapy delivered robust efficacy over as little as 8-weeks. Deeply disappointing Gilead Sciences is the globe's top maker of medicine used to treat HIV, but investors really cheered the company when it tackled hepatitis C, a common liver disease affecting hundreds of millions globally. | In the short-term, AbbVie (NYSE: ABBV) is expecting a FDA decision on its second-generation hepatitis C therapy soon, and if approved, it could close the gap with Gilead Sciences in terms of market share. In trials, AbbVie's once-daily, pan-genotype, combination therapy delivered robust efficacy over as little as 8-weeks. Management expects just 150,000 to 175,000 patients will start treatment in 2017, and that drop, plus pricing pressure, has management predicting hepatitis C sales will fall to between $7.5 billion and $9 billion from $14.8 billion in 2016 and $19.1 billion in 2015. | In the short-term, AbbVie (NYSE: ABBV) is expecting a FDA decision on its second-generation hepatitis C therapy soon, and if approved, it could close the gap with Gilead Sciences in terms of market share. In trials, AbbVie's once-daily, pan-genotype, combination therapy delivered robust efficacy over as little as 8-weeks. Management expects just 150,000 to 175,000 patients will start treatment in 2017, and that drop, plus pricing pressure, has management predicting hepatitis C sales will fall to between $7.5 billion and $9 billion from $14.8 billion in 2016 and $19.1 billion in 2015. | In the short-term, AbbVie (NYSE: ABBV) is expecting a FDA decision on its second-generation hepatitis C therapy soon, and if approved, it could close the gap with Gilead Sciences in terms of market share. In trials, AbbVie's once-daily, pan-genotype, combination therapy delivered robust efficacy over as little as 8-weeks. New formulations of the company's multi-drug cocktails that are safer are being used in more patients, and as a result, sales of Gilead Sciences' HIV medicines increased by double-digits last year. |
26264.0 | 2017-02-06 00:00:00 UTC | VUG, AMGN, MMM, ABBV: Large Inflows Detected at ETF | ABBV | https://www.nasdaq.com/articles/vug-amgn-mmm-abbv-large-inflows-detected-etf-2017-02-06 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Vanguard Growth ETF (Symbol: VUG) where we have detected an approximate $116.6 million dollar inflow -- that's a 0.5% increase week over week in outstanding units (from 200,141,826 to 201,141,826). Among the largest underlying components of VUG, in trading today Amgen Inc (Symbol: AMGN) is off about 0.8%, 3M Co (Symbol: MMM) is up about 0.5%, and AbbVie Inc. (Symbol: ABBV) is relatively unchanged. For a complete list of holdings, visit the VUG Holdings page » The chart below shows the one year price performance of VUG, versus its 200 day moving average:
Looking at the chart above, VUG's low point in its 52 week range is $92.47 per share, with $116.74 as the 52 week high point - that compares with a last trade of $116.45. 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 VUG, in trading today Amgen Inc (Symbol: AMGN) is off about 0.8%, 3M Co (Symbol: MMM) is up about 0.5%, and AbbVie Inc. (Symbol: ABBV) is relatively unchanged. For a complete list of holdings, visit the VUG Holdings page » The chart below shows the one year price performance of VUG, versus its 200 day moving average: Looking at the chart above, VUG's low point in its 52 week range is $92.47 per share, with $116.74 as the 52 week high point - that compares with a last trade of $116.45. 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 VUG, in trading today Amgen Inc (Symbol: AMGN) is off about 0.8%, 3M Co (Symbol: MMM) is up about 0.5%, and AbbVie Inc. (Symbol: ABBV) is relatively unchanged. For a complete list of holdings, visit the VUG Holdings page » The chart below shows the one year price performance of VUG, versus its 200 day moving average: Looking at the chart above, VUG's low point in its 52 week range is $92.47 per share, with $116.74 as the 52 week high point - that compares with a last trade of $116.45. 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 VUG, in trading today Amgen Inc (Symbol: AMGN) is off about 0.8%, 3M Co (Symbol: MMM) is up about 0.5%, and AbbVie Inc. (Symbol: ABBV) is relatively unchanged. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Vanguard Growth ETF (Symbol: VUG) where we have detected an approximate $116.6 million dollar inflow -- that's a 0.5% increase week over week in outstanding units (from 200,141,826 to 201,141,826). For a complete list of holdings, visit the VUG Holdings page » The chart below shows the one year price performance of VUG, versus its 200 day moving average: Looking at the chart above, VUG's low point in its 52 week range is $92.47 per share, with $116.74 as the 52 week high point - that compares with a last trade of $116.45. | Among the largest underlying components of VUG, in trading today Amgen Inc (Symbol: AMGN) is off about 0.8%, 3M Co (Symbol: MMM) is up about 0.5%, and AbbVie Inc. (Symbol: ABBV) is relatively unchanged. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Vanguard Growth ETF (Symbol: VUG) where we have detected an approximate $116.6 million dollar inflow -- that's a 0.5% increase week over week in outstanding units (from 200,141,826 to 201,141,826). For a complete list of holdings, visit the VUG Holdings page » The chart below shows the one year price performance of VUG, versus its 200 day moving average: Looking at the chart above, VUG's low point in its 52 week range is $92.47 per share, with $116.74 as the 52 week high point - that compares with a last trade of $116.45. |
26265.0 | 2017-02-03 00:00:00 UTC | Merck's Sneak Peek Into Its Drug Pricing May Not Be Enough to Satisfy Skeptics | ABBV | https://www.nasdaq.com/articles/mercks-sneak-peek-its-drug-pricing-may-not-be-enough-satisfy-skeptics-2017-02-03 | nan | nan | Welcome to 2017, where price transparency has become a top priority for drug developers following the targeting of Valeant Pharmaceuticals (NYSE: VRX) and Mylan (NASDAQ: MYL) for their pricing practices last year.
For those who may not recall, embattled drug developer Valeant Pharmaceuticals was raked over the coals by Congress after it was determined that the company had acquired two mature cardiovascular products, Nitropress and Isuprel, in February 2015 and promptly increased the list price of these drugs by 525% and 212%, respectively. Moreover, nothing was changed in the formulation of either drug or in the manufacturing process. Now-former CEO J. Michael Pearson admitted that he and his team made "mistakes" when pricing Nitropress and Isuprel.
Not too long after, Mylan found itself in hot water over its pricing for a pack of EpiPen, the injectable drug designed to treat patients having a severe allergic reaction. In 2007, EpiPen cost a little over $100 for a pack of two. By 2016, the price had risen to $609 for the same pack of two EpiPens. Between 2013 and 2016, the price of the product more than doubled. In an interview with CNBC's Squawk Box , CEO Heather Bresch said, "The system incentivizes higher prices on the brand, and if you don't play in the system, in the system that's broken today, your products aren't going to get to patients." In October, Mylan agreed to a $465 million settlement with the Justice Department for overcharging the Medicare and Medicaid programs.
Put simply, no company wants to be the next one put on display, especially with President Donald Trump suggesting that he'll target drug pricing during his tenure in the Oval Office.
Merck provides a sneak peek into its drug-pricing practices
Recently, three large drugmakers -- Johnson & Johnson (NYSE: JNJ) , AbbVie (NYSE: ABBV) , and Merck (NYSE: MRK) -- announced that they would be providing more transparency to consumers, regulators, and investors as to how and why they price their drugs the way they do. Johnson & Johnson is slated to release its price increase information in mid-February, while AbbVie has pledged to keep its drug prices increases below the 10% threshold. Merck, however, beat everyone to the punch.
Last week, Merck released its drug-pricing data , including its list price increases, average discounting and rebates, and net price increase, for every year between 2010 and 2016. In Merck's own words:
Here's the provided snapshot of Merck's list price changes, net price changes, and average discounts between 2010 and 2016:
As you can see, the superficial list price increases do appear pretty large. These predominantly 9.2% to 10.5% list price increases are what the public often gravitates to when hearing about price increases from drugmakers. However, Merck's willingness to disclose the net increase in its prices following discounts, rebates, and returns adds a new dimension. With the exception of 2012, Merck's price increases were all below 6%, which does seem fairly reasonable, albeit still substantially higher than the national rate of inflation and wage growth.
This may not be enough to satisfy skeptics
Merck's pricing practice disclosure might seem like a genuinely proactive response to consumers' concerns (and it very well could be). However, Merck may have also been coerced to disclose its pricing practices following an announcement last year that it had received a civil investigative demand from the U.S. Attorney's office in Eastern Pennsylvania seeking information about Merck's contracting and pricing of Dulera aerosol inhalant. Even though Merck is cooperating with the investigation, it clearly put the company in an unwanted spotlight.
Perhaps the bigger issue is that Merck's pricing disclosure may not satisfy regulators or consumers. For example, while Merck's disclosure does cover its aggregate pricing practices, it doesn't offer a deeper breakdown on an individual drug basis. In other words, regulators and consumers are still left guessing when it comes to the pricing power Merck has when it comes to its oncology portfolio or with its top-selling drugs. We also aren't able to examine how Merck is handling the pricing practices of mature therapies, which seem to be at the heart of the current pricing debate.
Another factor that's difficult to measure, but which Merck has left out of its pricing disclosure, is how it initially prices its new therapies. Most consumers don't realize that initial drug-pricing practices are just as problematic, if not more of an issue, than the rising prices of mature drugs.
There's also a real concern that Merck's disclosure could put even more pressure on the company's near-term pricing practices. With transparency comes the likelihood of more watchful eyeballs on the company's pricing practices, which could potentially constrain its margins.
Don't get me wrong: Transparency from drugmakers is a good thing, and Merck took a good first step in disclosing its price increases between 2010 and 2016. But it's possible that Merck's disclosure may not be enough to satisfy concerned consumers and regulators.
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Sean Williams has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Valeant Pharmaceuticals. It also recommends Johnson and Johnson 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. | Merck provides a sneak peek into its drug-pricing practices Recently, three large drugmakers -- Johnson & Johnson (NYSE: JNJ) , AbbVie (NYSE: ABBV) , and Merck (NYSE: MRK) -- announced that they would be providing more transparency to consumers, regulators, and investors as to how and why they price their drugs the way they do. Johnson & Johnson is slated to release its price increase information in mid-February, while AbbVie has pledged to keep its drug prices increases below the 10% threshold. Not too long after, Mylan found itself in hot water over its pricing for a pack of EpiPen, the injectable drug designed to treat patients having a severe allergic reaction. | Merck provides a sneak peek into its drug-pricing practices Recently, three large drugmakers -- Johnson & Johnson (NYSE: JNJ) , AbbVie (NYSE: ABBV) , and Merck (NYSE: MRK) -- announced that they would be providing more transparency to consumers, regulators, and investors as to how and why they price their drugs the way they do. Johnson & Johnson is slated to release its price increase information in mid-February, while AbbVie has pledged to keep its drug prices increases below the 10% threshold. Welcome to 2017, where price transparency has become a top priority for drug developers following the targeting of Valeant Pharmaceuticals (NYSE: VRX) and Mylan (NASDAQ: MYL) for their pricing practices last year. | Merck provides a sneak peek into its drug-pricing practices Recently, three large drugmakers -- Johnson & Johnson (NYSE: JNJ) , AbbVie (NYSE: ABBV) , and Merck (NYSE: MRK) -- announced that they would be providing more transparency to consumers, regulators, and investors as to how and why they price their drugs the way they do. Johnson & Johnson is slated to release its price increase information in mid-February, while AbbVie has pledged to keep its drug prices increases below the 10% threshold. In Merck's own words: Here's the provided snapshot of Merck's list price changes, net price changes, and average discounts between 2010 and 2016: As you can see, the superficial list price increases do appear pretty large. | Merck provides a sneak peek into its drug-pricing practices Recently, three large drugmakers -- Johnson & Johnson (NYSE: JNJ) , AbbVie (NYSE: ABBV) , and Merck (NYSE: MRK) -- announced that they would be providing more transparency to consumers, regulators, and investors as to how and why they price their drugs the way they do. Johnson & Johnson is slated to release its price increase information in mid-February, while AbbVie has pledged to keep its drug prices increases below the 10% threshold. For those who may not recall, embattled drug developer Valeant Pharmaceuticals was raked over the coals by Congress after it was determined that the company had acquired two mature cardiovascular products, Nitropress and Isuprel, in February 2015 and promptly increased the list price of these drugs by 525% and 212%, respectively. |
26266.0 | 2017-02-03 00:00:00 UTC | Palouse Capital Management, Inc. Buys MetLife, Mattel, Nucor, Sells JPMorgan Chase, Regions ... | ABBV | https://www.nasdaq.com/articles/palouse-capital-management-inc-buys-metlife-mattel-nucor-sells-jpmorgan-chase-regions-2017 | nan | nan | Palouse Capital Management, Inc.
New Purchases: MET , MAT , NUE , HCN, DOW, ZBH, PPG, AMN, OCLR, APOG,
Added Positions:ANTM, WFC, SPY, T, MO, AJG, GM, UFS, HPT, INTC,
Reduced Positions:UMPQ, BAC, GILD, AMGN, F, DLPH, PRU, FDX, CBS, UNH,
Sold Out:JPM, RF, KEY, KSS, RLJ, FSLR, ADNT, WAL, GNTX, PFBC,
For the details of Palouse Capital Management, Inc.'s stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Palouse+Capital+Management%2C+Inc.
These are the top 5 holdings of Palouse Capital Management, Inc.
Prudential Financial Inc ( PRU ) - 82,663 shares, 3.52% of the total portfolio. Shares reduced by 4.84%
Boeing Co ( BA ) - 53,895 shares, 3.44% of the total portfolio. Shares reduced by 2.78%
Pfizer Inc ( PFE ) - 239,465 shares, 3.19% of the total portfolio. Shares reduced by 0.89%
Wells Fargo & Co ( WFC ) - 141,485 shares, 3.19% of the total portfolio. Shares added by 29.17%
AbbVie Inc ( ABBV ) - 112,523 shares, 2.89% of the total portfolio. Shares reduced by 1.77%
New Purchase: MetLife Inc (MET)
Palouse Capital Management, Inc. initiated holdings in MetLife Inc. The purchase prices were between $44.37 and $57.39, with an estimated average price of $51.46. The stock is now traded at around $51.77. The impact to the portfolio due to this purchase was 2.62%. The holdings were 118,670 shares as of 2016-12-31.
New Purchase: Mattel Inc (MAT)
Palouse Capital Management, Inc. initiated holdings in Mattel Inc. The purchase prices were between $27.55 and $33.09, with an estimated average price of $30.41. The stock is now traded at around $25.82. The impact to the portfolio due to this purchase was 2.29%. The holdings were 202,471 shares as of 2016-12-31.
New Purchase: Nucor Corp (NUE)
Palouse Capital Management, Inc. initiated holdings in Nucor Corp. The purchase prices were between $46.54 and $66.75, with an estimated average price of $55.91. The stock is now traded at around $57.35. The impact to the portfolio due to this purchase was 1.61%. The holdings were 66,069 shares as of 2016-12-31.
New Purchase: Welltower Inc (HCN)
Palouse Capital Management, Inc. initiated holdings in Welltower Inc. The purchase prices were between $61.01 and $73.79, with an estimated average price of $66.24. The stock is now traded at around $65.43. The impact to the portfolio due to this purchase was 1.59%. The holdings were 57,927 shares as of 2016-12-31.
New Purchase: Dow Chemical Co (DOW)
Palouse Capital Management, Inc. initiated holdings in Dow Chemical Co. The purchase prices were between $51.86 and $59.08, with an estimated average price of $54.99. The stock is now traded at around $60.21. The impact to the portfolio due to this purchase was 1.47%. The holdings were 62,710 shares as of 2016-12-31.
New Purchase: Zimmer Biomet Holdings Inc (ZBH)
Palouse Capital Management, Inc. initiated holdings in Zimmer Biomet Holdings Inc. The purchase prices were between $97.99 and $132.74, with an estimated average price of $110.4. The stock is now traded at around $118.14. The impact to the portfolio due to this purchase was 0.83%. The holdings were 19,657 shares as of 2016-12-31.
Added: Anthem Inc (ANTM)
Palouse Capital Management, Inc. added to the holdings in Anthem Inc by 84.78%. The purchase prices were between $117.42 and $147.66, with an estimated average price of $133.9. The stock is now traded at around $159.08. The impact to the portfolio due to this purchase was 0.78%. The holdings were 28,965 shares as of 2016-12-31.
Added: Wells Fargo & Co ( WFC )
Palouse Capital Management, Inc. added to the holdings in Wells Fargo & Co by 29.17%. The purchase prices were between $43.75 and $57.29, with an estimated average price of $50.28. The stock is now traded at around $57.27. The impact to the portfolio due to this purchase was 0.72%. The holdings were 141,485 shares as of 2016-12-31.
Added: SPDR S&P 500 (SPY)
Palouse Capital Management, Inc. added to the holdings in SPDR S&P 500 by 35.93%. The purchase prices were between $208.55 and $227.76, with an estimated average price of $218.6. The stock is now traded at around $229.34. The impact to the portfolio due to this purchase was 0.13%. The holdings were 5,255 shares as of 2016-12-31.
Sold Out: JPMorgan Chase & Co (JPM)
Palouse Capital Management, Inc. sold out the holdings in JPMorgan Chase & Co. The sale prices were between $66.51 and $87.13, with an estimated average price of $76.26.
Sold Out: Regions Financial Corp (RF)
Palouse Capital Management, Inc. sold out the holdings in Regions Financial Corp. The sale prices were between $9.92 and $14.64, with an estimated average price of $12.36.
Sold Out: KeyCorp (KEY)
Palouse Capital Management, Inc. sold out the holdings in KeyCorp. The sale prices were between $12.15 and $18.54, with an estimated average price of $15.77.
Sold Out: Kohl's Corp (KSS)
Palouse Capital Management, Inc. sold out the holdings in Kohl's Corp. The sale prices were between $42.69 and $59.43, with an estimated average price of $49.49.
Sold Out: RLJ Lodging Trust (RLJ)
Palouse Capital Management, Inc. sold out the holdings in RLJ Lodging Trust. The sale prices were between $19.15 and $24.75, with an estimated average price of $22.04.
Sold Out: First Solar Inc (FSLR)
Palouse Capital Management, Inc. sold out the holdings in First Solar Inc. The sale prices were between $29.21 and $42.25, with an estimated average price of $35.1.
Reduced: Umpqua Holdings Corp (UMPQ)
Palouse Capital Management, Inc. reduced to the holdings in Umpqua Holdings Corp by 43.32%. The sale prices were between $14.82 and $19.24, with an estimated average price of $17.03. The stock is now traded at around $18.42. The impact to the portfolio due to this sale was -0.78%. Palouse Capital Management, Inc. still held 160,127 shares as of 2016-12-31.
Reduced: Bank of America Corporation (BAC)
Palouse Capital Management, Inc. reduced to the holdings in Bank of America Corporation by 58.16%. The sale prices were between $15.63 and $23.16, with an estimated average price of $19.26. The stock is now traded at around $23.29. The impact to the portfolio due to this sale was -0.67%. Palouse Capital Management, Inc. still held 72,722 shares as of 2016-12-31.
Reduced: Customers Bancorp Inc (CUBI)
Palouse Capital Management, Inc. reduced to the holdings in Customers Bancorp Inc by 44.83%. The sale prices were between $24.49 and $36.68, with an estimated average price of $29.54. The stock is now traded at around $34.28. The impact to the portfolio due to this sale was -0.06%. Palouse Capital Management, Inc. still held 7,327 shares as of 2016-12-31.
Reduced: Lakeland Bancorp Inc (LBAI)
Palouse Capital Management, Inc. reduced to the holdings in Lakeland Bancorp Inc by 42.37%. The sale prices were between $13.2 and $19.75, with an estimated average price of $16.26. The stock is now traded at around $19.05. The impact to the portfolio due to this sale was -0.05%. Palouse Capital Management, Inc. still held 11,458 shares as of 2016-12-31.
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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. | Shares added by 29.17% AbbVie Inc ( ABBV ) - 112,523 shares, 2.89% of the total portfolio. Palouse Capital Management, Inc. New Purchases: MET , MAT , NUE , HCN, DOW, ZBH, PPG, AMN, OCLR, APOG, Added Positions:ANTM, WFC, SPY, T, MO, AJG, GM, UFS, HPT, INTC, Reduced Positions:UMPQ, BAC, GILD, AMGN, F, DLPH, PRU, FDX, CBS, UNH, Sold Out:JPM, RF, KEY, KSS, RLJ, FSLR, ADNT, WAL, GNTX, PFBC, For the details of Palouse Capital Management, Inc.'s stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Palouse+Capital+Management%2C+Inc. These are the top 5 holdings of Palouse Capital Management, Inc. Prudential Financial Inc ( PRU ) - 82,663 shares, 3.52% of the total portfolio. | Shares added by 29.17% AbbVie Inc ( ABBV ) - 112,523 shares, 2.89% of the total portfolio. New Purchase: Nucor Corp (NUE) Palouse Capital Management, Inc. initiated holdings in Nucor Corp. New Purchase: Zimmer Biomet Holdings Inc (ZBH) Palouse Capital Management, Inc. initiated holdings in Zimmer Biomet Holdings Inc. | Shares added by 29.17% AbbVie Inc ( ABBV ) - 112,523 shares, 2.89% of the total portfolio. Palouse Capital Management, Inc. New Purchases: MET , MAT , NUE , HCN, DOW, ZBH, PPG, AMN, OCLR, APOG, Added Positions:ANTM, WFC, SPY, T, MO, AJG, GM, UFS, HPT, INTC, Reduced Positions:UMPQ, BAC, GILD, AMGN, F, DLPH, PRU, FDX, CBS, UNH, Sold Out:JPM, RF, KEY, KSS, RLJ, FSLR, ADNT, WAL, GNTX, PFBC, For the details of Palouse Capital Management, Inc.'s stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Palouse+Capital+Management%2C+Inc. New Purchase: Zimmer Biomet Holdings Inc (ZBH) Palouse Capital Management, Inc. initiated holdings in Zimmer Biomet Holdings Inc. | Shares added by 29.17% AbbVie Inc ( ABBV ) - 112,523 shares, 2.89% of the total portfolio. Shares reduced by 1.77% New Purchase: MetLife Inc (MET) Palouse Capital Management, Inc. initiated holdings in MetLife Inc. Palouse Capital Management, Inc. still held 160,127 shares as of 2016-12-31. |
26267.0 | 2017-02-02 00:00:00 UTC | 3 Stocks to Buy With Dividends Yielding More Than 3% | ABBV | https://www.nasdaq.com/articles/3-stocks-buy-dividends-yielding-more-3-2017-02-02 | nan | nan | Dividend stocks have become a favored source of income in today's low-interest-rate environment. However, not all dividend stocks are created equally, which it why it's important for investors to be picky about which income stocks they choose to buy. Let's consider three dividends stocks -- AbbVie (NYSE: ABBV) , Anheuser-Busch InBev (NYSE: BUD) , and General Electric (NYSE: GE) -- that all offer up dividend yields of 3% or more and promise growth in the years ahead. Read on to learn more about each company and judge for yourself if any of them is deserving of a place in your portfolio.
This big pharma is built for growth
Healthcare companies like AbbVie benefit from selling products that remain in demand no matter what's going on in the economy. Boasting a strong portfolio of top-selling drugs, AbbVie has been cranking out strong growth in revenue and profits for years.
Included in AbbVie's portfolio is Humira, a true cash-cow drug. Humira is used to treat a range of autoimmune diseases such as rheumatoid arthritis, Crohn's disease, plaque psoriasis, and more. Total Humira sales came in at $16 billion in 2016, which, impressively, was up by 16% year over year. When adding in stellar sales growth rates in other drugs, such as the cancer drug Imbruvica and the digestive aid Ceron, AbbVie's top and bottom lines each rose by more than 12%.
Given the strong growth rates, you might be surprised to see that AbbVie is trading for only 9 times forward earnings. That's because the markets are concerned that AbbVie is far too reliant on Humira. That makes sense, as the drug comprised roughly 63% of total sales. If something bad were to happen to Humira, AbbVie's investors would be in for a world of hurt.
While that's a risk to watch, analysts project that AbbVie's earnings will grow by more than 15% annually for the next five years. That's a compelling growth rate for a company that's trading so cheaply. Add in a dividend yield of 4.3%, and AbbVie offers up a solid combination of income, value, and growth.
The undisputed king of beer
If you're a beer drinker, the odds are good that you're a regular customer of Anheuser-Busch InBev, even if you don't know it. Beyond the obvious brands such as Budweiser and Busch, AB InBev owns dozens of other top-selling brands that you're probably familiar with, such as Corona, Hoegaarden, Stella Artois, Foster's, and many more.
Yet as big as this company already is, it recently became a whole lot bigger. AB InBev just completed its $100 billion megamerger with SABMiller, creating the world's largest brewing company. This industry giant is expected ring up more than $57 billion in annual sales next year and utterly dominate the global beer industry.
Image source: AB InBev.
Despite its extremely strong market position and big potential for synergies, the markets haven't been kind to shares of AB InBev lately. The company's stock is currently more than 22% off its recent high after it reported weak third-quarter earnings that showed declining volume in the United States. The fall has pushed AB InBev's dividend yield above 3.2%, which is a number that should grab any income investor's attention.
While the craft-beer renaissance should continue to put pressure on volumes in North America, AB InBev should be able to offset that weakness with growing sales in emerging markets. When combined with price increases, market watchers are expecting profit growth in excess of 6% annually over the next five years. That gives shareholders a decent shot at earning double-digit total returns, which makes this a great stock to consider buying while it's on sale.
The "digital industrial company"
Not all that long ago, General Electric was a megaconglomerate that had its hands in a wide variety of businesses. Not anymore. GE has since sold or spun off a number of businesses and has returned to its industrial roots -- but with a twist. Instead of just being a traditional manufacturer, GE wants to be known as a "digital industrial company" that combines its software and manufacturing expertise to truly create next-generation products.
What kind of products is GE working on? Think gas turbines, jet engines, light bulbs, locomotives, and other industrial products that connect to the internet. When combined with a subscription to GE's Predix software, these new products will be able to run more efficiently and communicate potential maintenance issues, both of which promise to greatly lower operating costs. That should allow GE to steadily steal market share and substantially grow revenue from its high-margin software division. If true, then GE's bottom line looks well positioned for growth in the years ahead.
Market watchers believe that GE's bottom line will grow by more than 12% annually over the next five years. That's fast growth for a company that's trading for only 16 times forward earnings. Throw in a dividend yield of 3.2%, and GE looks like a stock that any income investor can learn to love.
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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. | This big pharma is built for growth Healthcare companies like AbbVie benefit from selling products that remain in demand no matter what's going on in the economy. Let's consider three dividends stocks -- AbbVie (NYSE: ABBV) , Anheuser-Busch InBev (NYSE: BUD) , and General Electric (NYSE: GE) -- that all offer up dividend yields of 3% or more and promise growth in the years ahead. Boasting a strong portfolio of top-selling drugs, AbbVie has been cranking out strong growth in revenue and profits for years. | Let's consider three dividends stocks -- AbbVie (NYSE: ABBV) , Anheuser-Busch InBev (NYSE: BUD) , and General Electric (NYSE: GE) -- that all offer up dividend yields of 3% or more and promise growth in the years ahead. This big pharma is built for growth Healthcare companies like AbbVie benefit from selling products that remain in demand no matter what's going on in the economy. Boasting a strong portfolio of top-selling drugs, AbbVie has been cranking out strong growth in revenue and profits for years. | Let's consider three dividends stocks -- AbbVie (NYSE: ABBV) , Anheuser-Busch InBev (NYSE: BUD) , and General Electric (NYSE: GE) -- that all offer up dividend yields of 3% or more and promise growth in the years ahead. This big pharma is built for growth Healthcare companies like AbbVie benefit from selling products that remain in demand no matter what's going on in the economy. Boasting a strong portfolio of top-selling drugs, AbbVie has been cranking out strong growth in revenue and profits for years. | Let's consider three dividends stocks -- AbbVie (NYSE: ABBV) , Anheuser-Busch InBev (NYSE: BUD) , and General Electric (NYSE: GE) -- that all offer up dividend yields of 3% or more and promise growth in the years ahead. This big pharma is built for growth Healthcare companies like AbbVie benefit from selling products that remain in demand no matter what's going on in the economy. Boasting a strong portfolio of top-selling drugs, AbbVie has been cranking out strong growth in revenue and profits for years. |
26268.0 | 2017-02-02 00:00:00 UTC | AbbVie (ABBV) HCV Regimen Gets Priority Review in Canada | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-hcv-regimen-gets-priority-review-in-canada-2017-02-02 | nan | nan | AbbVie Inc.ABBV announced that its New Drug Submission (NDS) for an investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P) received priority review in Canada for the treatment of all major chronic hepatitis C virus (HCV) genotypes (genotypes 1-6). On a successful approval, the G/P regimen would provide patients with a shorter-duration treatment option.
Glecaprevir (GLE) is a potent protease inhibitor, while pibrentasvir (PIB) is a new NS5A inhibitor.
We remind investors that earlier this month, the European Medicines Agency (EMA) validated AbbBie's Marketing Authorisation Application for G/P. The combination is now under accelerated assessment for the treatment of all major chronic HCV genotypes.
Note that AbbVie submitted an New Drug Application for G/P in the U.S. in Dec 2016. The company is also on track to submit a regulatory application for the combination regimen in Japan this quarter.
Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last three months. The stock gained 8.9% during the period, while the industry increased 3.1%.
GLE was discovered under a collaboration agreement between AbbVie and Enanta Pharmaceuticals ENTA for HCV protease inhibitors.
Coming back to the latest news, the NDS in Canada was backed by data from eight registration studies in AbbVie's G/P clinical development program. These clinical studies were conducted on more than 2,300 patients across major HCV genotypes as well as on special populations across 27 countries, including 174 patients in Canada. Data from the studies showed that eight weeks of treatment with G/P achieved high SVR12 rates across all major genotypes of chronic HCV.
We note that in Sep 2016, the FDA granted Breakthrough Therapy designation to G/P for the treatment of HCV in patients who failed previous therapy with direct-acting antivirals (DAAs) in genotype 1 (GT1), including treatment with an NS5A inhibitor and/or protease inhibitor. Breakthrough Therapy status for the pan-genotypic regimen was granted on the basis of positive results from the phase II MAGELLAN-1 clinical study.
Note that AbbVie has a deep pipeline comprising several interesting late-stage candidates. Some of these candidates include elagolix (endometriosis and uterine fibroids), atrasentan (chronic kidney disease), veliparib (indications including triple-negative breast cancer and previously treated squamous non-small cell lung cancer (NSCLC)) and ABT-494 (rheumatoid arthritis, Crohn's disease and ulcerative colitis).
AbbVie Inc. Price
AbbVie Inc. Price | AbbVie Inc. Quote
Zacks Rank & Key Picks
AbbVie currently carries a Zacks Rank #3 (Hold). A couple of better-ranked stocks in the health care sector include Anika Therapeutics, Inc. ANIK and Enzo Biochem, Inc. ENZ . Both the stocks carry a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Anika's earnings estimates increased from $2.06 to $2.14 for 2016 and from $2.09 to $2.10 for 2017 over the last 60 days. The company posted a positive surprise in all of the four trailing quarters with an average beat of 33.14%. Its share price increased 2.2% year to date.
Enzo Biochem's loss estimates narrowed from 17 cents to 16 cents for 2017 over the last 60 days. The company posted a positive earnings surprise in three of the four trailing quarters with an average beat of 22.50%.
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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 New Drug Submission (NDS) for an investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P) received priority review in Canada for the treatment of all major chronic hepatitis C virus (HCV) genotypes (genotypes 1-6). Note that AbbVie submitted an New Drug Application for G/P in the U.S. in Dec 2016. Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last three months. | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Zacks Rank & Key Picks AbbVie currently carries a Zacks Rank #3 (Hold). Click to get this free report Enzo Biochem, Inc. (ENZ): Free Stock Analysis Report Anika Therapeutics Inc. (ANIK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Enanta Pharmaceuticals, Inc. (ENTA): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV announced that its New Drug Submission (NDS) for an investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P) received priority review in Canada for the treatment of all major chronic hepatitis C virus (HCV) genotypes (genotypes 1-6). | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Zacks Rank & Key Picks AbbVie currently carries a Zacks Rank #3 (Hold). Click to get this free report Enzo Biochem, Inc. (ENZ): Free Stock Analysis Report Anika Therapeutics Inc. (ANIK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Enanta Pharmaceuticals, Inc. (ENTA): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV announced that its New Drug Submission (NDS) for an investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P) received priority review in Canada for the treatment of all major chronic hepatitis C virus (HCV) genotypes (genotypes 1-6). | AbbVie Inc.ABBV announced that its New Drug Submission (NDS) for an investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P) received priority review in Canada for the treatment of all major chronic hepatitis C virus (HCV) genotypes (genotypes 1-6). Note that AbbVie submitted an New Drug Application for G/P in the U.S. in Dec 2016. Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last three months. |
26269.0 | 2017-02-02 00:00:00 UTC | Roche (RHHBY) Beats on Earnings in 2016, Misses on Sales | ABBV | https://www.nasdaq.com/articles/roche-rhhby-beats-on-earnings-in-2016-misses-on-sales-2017-02-02 | nan | nan | Roche Holding AG'sRHHBY core earnings came in at $1.84 per American Depositary Receipt (ADR) in 2016 beating the Zacks Consensus Estimate of $1.66.
Shares of Roche have underperformed the Zacks classified Large Cap Pharmaceuticals industry in the last year. In fact, the stock lost 5.1% over this time frame, compared with a gain of 0.1% for the industry.
The company reports results under two divisions: Pharmaceuticals and Diagnostics. All growth rates mentioned below are on a year-over-year basis and at constant exchange rates.
Sales at the Pharmaceuticals division increased 3% driven by the performance of breast cancer drugs like Perjeta and Herceptin and rheumatoid arthritis drug Actemra/RoActemra.
Diagnostics division sales climbed 7% primarily on the back of strong immunodiagnostic business.
2016 in Detail
While Herceptin sales improved 4% due to rising demand in the U.S. and Europe, and expanded reimbursement in additional provinces in China, Perjeta sales grew 26% due to the uptake in demand for use before surgery in the early stages of breast cancer. Sales of Kadcyla (+7%) were driven by increasing demand in the international markets due to expanded access in countries in which the drug was newly launched.
Meanwhile, sales of Avastin were strong in the international region (+18%), especially China where sales were driven by improved access in the lung cancer setting. However, sales in the U.S. dropped 5% due to the increased use of new immunotherapy agents in the lung cancer setting.
Sales of Rituxan/MabThera (3%) contributed to the top line despite competitive pressure due to increasing demand in China, the U.S. and Europe. Growth in Gazyva/Gazyvaro (+52%) was seen in the U.S. and Europe despite increasing competition in chronic lymphocytic leukemia.
Recently launched drugs, Tecentriq for bladder cancer and Alecensa for lung cancer are off for an encouraging start. Initial uptake in the U.S. has been strong. Cotellic plus Zelboraf for BRAF-mutated metastatic melanoma also showed good sales uptake, especially in major markets such as France and the U.S.
Performance of the immunology franchise was driven by increased sales of Actemra/RoActemra (16%), and strong uptake of Esbriet (34%) and Xolair (15%). Increasing use of Actemra/RoActemra as a single agent and in the subcutaneous formulation were the key growth drivers globally.
However, sales of eye drug Lucentis and cancer drugs Avastin and Tarceva declined due to growing use of other therapeutic options. Sales of Valcyte/Cymevene (-17%) and Xeloda (-3%) continue to be hit by generic competition.
Revenues at the Diagnostics division climbed 7% on the back of solid performance of the Centralised and Point of Care Solutions (9%) unit, which was in turn, propelled by Immunodiagnostics (13%). Tissue Diagnostics (14%) and Molecular Diagnostics (7%) also performed impressively. We note that the division added nine key instruments and tests to its portfolio in 2016 - cobas e 801 immunoassay module, the CoaguChek INRange system to monitor vitamin K antagonist therapy, and the Accu-Chek Guide, a next-generation blood glucose monitoring system. However, Diabetes Care sales declined 4% due to continued pricing pressure in the U.S. Sales continue to be impacted by challenging market conditions, particularly in North America.
2017 Outlook
Roche continues to expect sales to grow in the low-to-mid single digits. The company expects core earnings to grow in tandem with sales. The company intends to further increase its dividend in 2017 in local currency.
Pipeline Progress
2016 saw the launch of four new drugs by Roche namely - Cotellic (advanced melanoma), Alecensa (lung cancer), Venclexta (chronic lymphocytic leukemia) in collaboration with AbbVie, Inc. ABBV and cancer immunotherapy drug Tecentriq (bladder and lung cancer). The FDA further approved a label expansion of Tecentriq for the indication of previously treated metastatic non-small cell lung cancer (NSCLC).
Roche is also evaluating Tecentriq in combination with chemotherapy for first line lung cancer with and without Avastin. Meanwhile, studies showed that Roche's Ocrevus (ocrelizumab) increased disease control in both relapsing and primary progressive multiple sclerosis (RMS and PPMS). Roche is seeking regulatory approval for this candidate in RMS and PPMS in the U.S and the EU. A decision by the FDA is now expected by Mar 28. Roche has earlier expected a response by Dec 28.
Roche also presented positive results on emicizumab in patients suffering from haemophilia A. The company provided encouraging data on Actemra from the largest clinical trial ever conducted in giant cell arteritis (GCA). The data showed that the drug when combined with a steroid regimen more effectively sustained remission compared to a steroid-only regimen in people with newly diagnosed and relapsing GCA.
However, Gazyva/Gazyvaro did not reach its primary endpoint in the Goya trial in patients with in diffuse large B-cell lymphoma even though the drug showed positive results in a major clinical trial (Gallium) in follicular lymphoma.
Our Take
Roche beat on earnings but missed on sales in 2016 due to decline in sales of Lucentis, Pegasys, Avastin and Tarceva. Generic competition for Xeloda and Valcyte also continue to hurt sales.
Moreover, diabetes care sales continue to plunge. There were rumors that Roche is evaluating a potential sale of the business but the company did not confirm so yet. Hence, the business will continue to be a laggard for the company.
We note that competition from biosimilars loom large on Roche's key drugs like Herceptin, Avastin and Rituxan (expected in the second half of 2017 in Europe). An impending entry of biosimilars in 2017 will adversely impact sales. Tamiflu also faces generic competition in the U.S while competition on persists for Avastin and Tarceva.
On the other hand, new drug launches, such as Tecentriq, Cotellic and Alecensa boosted sales and should continue to do so in the upcoming quarters. However, Roche is facing stiff competition from the likes of Merck's MRK Keytruda and Bristol-Myers Squibb's BMY Opdivo in the immuno-oncology space. With several read-outs lined up for 2017, investors should keep an eye for new drug approvals and label existing of existing ones.
Roche Holding AG Price and Consensus
Roche Holding AG Price and Consensus | Roche Holding AG Quote
Zacks Rank
Roche currently carries a Zacks Rank #5 (Strong Sell). You can see the complete list of today's Zacks #1 (Strong Sell) 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. | Pipeline Progress 2016 saw the launch of four new drugs by Roche namely - Cotellic (advanced melanoma), Alecensa (lung cancer), Venclexta (chronic lymphocytic leukemia) in collaboration with AbbVie, Inc. ABBV and cancer immunotherapy drug Tecentriq (bladder and lung cancer). Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Company, Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Revenues at the Diagnostics division climbed 7% on the back of solid performance of the Centralised and Point of Care Solutions (9%) unit, which was in turn, propelled by Immunodiagnostics (13%). | Pipeline Progress 2016 saw the launch of four new drugs by Roche namely - Cotellic (advanced melanoma), Alecensa (lung cancer), Venclexta (chronic lymphocytic leukemia) in collaboration with AbbVie, Inc. ABBV and cancer immunotherapy drug Tecentriq (bladder and lung cancer). Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Company, Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Roche Holding AG Price and Consensus Roche Holding AG Price and Consensus | Roche Holding AG Quote Zacks Rank Roche currently carries a Zacks Rank #5 (Strong Sell). | Pipeline Progress 2016 saw the launch of four new drugs by Roche namely - Cotellic (advanced melanoma), Alecensa (lung cancer), Venclexta (chronic lymphocytic leukemia) in collaboration with AbbVie, Inc. ABBV and cancer immunotherapy drug Tecentriq (bladder and lung cancer). Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Company, Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Roche Holding AG Price and Consensus Roche Holding AG Price and Consensus | Roche Holding AG Quote Zacks Rank Roche currently carries a Zacks Rank #5 (Strong Sell). | Pipeline Progress 2016 saw the launch of four new drugs by Roche namely - Cotellic (advanced melanoma), Alecensa (lung cancer), Venclexta (chronic lymphocytic leukemia) in collaboration with AbbVie, Inc. ABBV and cancer immunotherapy drug Tecentriq (bladder and lung cancer). Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Merck & Company, Inc. (MRK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. The company reports results under two divisions: Pharmaceuticals and Diagnostics. |
26270.0 | 2017-02-01 00:00:00 UTC | 3 Pharmaceutical Stocks With Bigger Dividends Than Johnson & Johnson | ABBV | https://www.nasdaq.com/articles/3-pharmaceutical-stocks-bigger-dividends-johnson-johnson-2017-02-01 | nan | nan | If there were such a thing as the dividend stock hall of fame, Johnson & Johnson (NYSE: JNJ) would be in it. After all, the company increased its dividend for a whopping 54 years in a row. But if you're looking for high dividend yields, there are better options. Here are three pharmaceutical stocks -- AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) -- that have bigger dividends than J&J does.
AbbVie: Faster, better, cheaper
There's an old maxim that says when it comes to being faster, better, and cheaper, you can only achieve two of the three. AbbVie's dividend seems to disprove the old saying, at least in comparison with Johnson & Johnson.
AbbVie has grown its dividend at a dramatically faster pace than J&J has. Since the company was spun off from Abbott Laboratories in 2013, AbbVie's dividend has increased by 60%. That's nearly twice as much as Johnson & Johnson's dividend increased.
Is AbbVie's dividend better than Johnson & Johnson's? Its yield of 4.27% is certainly higher than J&J's 2.82% yield. AbbVie does spend a little more of its earnings to cover its dividend than J&J does -- but not much more. And if you count the time that AbbVie was part of Abbott Labs, the company is pretty close to J&J's track record of dividend hikes with 45 years of consecutive dividend increases.
As for cheaper, AbbVie's stock looks more attractively valued than J&J's does on pretty much any metric used. While the stock's valuation isn't directly tied to the dividend, it could mean that AbbVie's shares have more upward potential than J&J's stock price does.
Bristol-Myers Squibb: Higher yield, better growth opportunities
Bristol-Myers Squibb can't check off all the boxes like AbbVie does. However, its yield of 3.27% handily beats Johnson & Johson's yield. Perhaps the more important factor for investors, however, is BMS' ability to grow its dividend in the future.
If you looked at the past five years, Johnson & Johnson has trounced Bristol-Myers Squibb's performance in increasing its dividend payments. I suspect that the tables might be turned in the future, though.
Wall Street analysts project that J&J will grow earnings by a little under 6% annually over the next five years. The healthcare giant's consumer and medical devices business segments appear likely to be a drag on overall earnings growth. By comparison, analysts expect Bristol-Myers Squibb to grow annual earnings by more than 14% over the next five years, thanks in large part to the potential for cancer drug Opdivo.
Even if the analysts' projections are off somewhat, Bristol-Myers Squibb seems likely to increase its earnings much more than J&J will. That earnings growth should allow the pharmaceutical company to increase dividends at a higher rate than it has in the past.
Pfizer: More than meets the eye
At first glance, you might think that Pfizer's relatively high dividend yield of 4.07% might be in jeopardy. The company is spending more on covering its dividend than its making on the bottom line. And Pfizer's anemic earnings growth over the last five years of less than 2% annually doesn't look great, either.
What that first glance misses, however, is Pfizer's strong cash flow and its much-improved growth prospects for the future. Pfizer's operating cash flow should allow it to easily cover its dividend payouts at current levels. The company would be able to do so even if its earnings only grew at recent historical levels.
But Pfizer's growth is likely to be much higher in the years to come. Sales for cancer drug Ibrance are soaring. The company has also bought growth through acquisitions. Pfizer landed another fast-growing cancer drug, Xtandi, from its 2016 buyout of Medivation and promising atopic dermatitis drug Eucrisa with its acquisition of Anacor.
Pfizer's dividend yield has beaten J&J's for nearly all of the last 10 years -- a period when the company's earnings performance wasn't as strong as J&J's. With Pfizer in position to post higher earnings growth than Johnson & Johnson over the next several years, it seems likely that the company's dividend yield advantage will be sustained.
But don't count Johnson & Johnson out
AbbVie, Bristol-Myers Squibb, and Pfizer have higher dividend yields than Johnson & Johnson does. That probably won't change anytime soon. However, I wouldn't count J&J out as a solid dividend pick.
J&J isn't as dependent on one drug as AbbVie is with Humira (or Bristol-Myers Squibb is becoming with Opdivo). It has a lot more cash than Pfizer does and could always spend that cash to buy more growth as Pfizer has done. The other companies might beat J&J on yield, but there's probably no pharmaceutical company on the market that will beat it on reliability.
10 stocks we like better than Johnson and Johnson
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Keith Speights has no position in any stocks mentioned. The Motley Fool recommends Johnson and 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 three pharmaceutical stocks -- AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) -- that have bigger dividends than J&J does. AbbVie: Faster, better, cheaper There's an old maxim that says when it comes to being faster, better, and cheaper, you can only achieve two of the three. AbbVie's dividend seems to disprove the old saying, at least in comparison with Johnson & Johnson. | Here are three pharmaceutical stocks -- AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) -- that have bigger dividends than J&J does. Bristol-Myers Squibb: Higher yield, better growth opportunities Bristol-Myers Squibb can't check off all the boxes like AbbVie does. But don't count Johnson & Johnson out AbbVie, Bristol-Myers Squibb, and Pfizer have higher dividend yields than Johnson & Johnson does. | Is AbbVie's dividend better than Johnson & Johnson's? But don't count Johnson & Johnson out AbbVie, Bristol-Myers Squibb, and Pfizer have higher dividend yields than Johnson & Johnson does. Here are three pharmaceutical stocks -- AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) -- that have bigger dividends than J&J does. | But don't count Johnson & Johnson out AbbVie, Bristol-Myers Squibb, and Pfizer have higher dividend yields than Johnson & Johnson does. Here are three pharmaceutical stocks -- AbbVie (NYSE: ABBV) , Bristol-Myers Squibb (NYSE: BMY) , and Pfizer (NYSE: PFE) -- that have bigger dividends than J&J does. AbbVie: Faster, better, cheaper There's an old maxim that says when it comes to being faster, better, and cheaper, you can only achieve two of the three. |
26271.0 | 2017-01-30 00:00:00 UTC | Key Takeaways from AbbVie's Q4 Call: Humira and the Pipeline | ABBV | https://www.nasdaq.com/articles/key-takeaways-abbvies-q4-call-humira-and-pipeline-2017-01-30 | nan | nan | AbbVie Inc.'sABBV shares were down 2.1% following the release of fourth quarter and full year 2016 results on Friday. Although earnings were in line with expectations, revenues fell short mainly due to Imbruvica and Viekira sales (Read more: AbbVie Q4 Earnings Meet Estimates, Revenues Lag ).
Here's a look at what management had to say on the fourth quarter call.
Why Did Imbruvica and Viekira Sales Lag? Viekira's performance fell short of the company's original expectations with sales just about crossing $1.5 billion in the year. The company said that it experienced market share loss and price erosion due to competitive dynamics within the hepatitis C virus (HCV) market. Competition is intense given the presence of companies like Gilead Sciences Inc. GILD and Merck & Co., Inc. MRK . Viekira sales are expected to decline to $1 billion in 2017.
Cancer treatment, Imbruvica's sales in the U.S. were down slightly on a sequential basis. On the conference call, AbbVie said that IMS prescription growth was up 6% sequentially while lower revenues were mainly due to some inventory issues.
Going forward, AbbVie expects to record Imbruvica global revenues of more than $2.4 billion with sales in the U.S. expected to cross $2 billion. Imbruvica sales are expected to grow in the high-single digits sequentially in the first quarter. The chronic lymphocytic leukemia (CLL) segment represents the largest revenue contributor for Imbruvica's growth while expansion into non-Hodgkin's lymphoma (NHL) and other indications will be major growth drivers for Imbruvica.
Humira Continues to Show Strength: Humira is AbbVie's flagship product and key growth driver. The product continued to perform well across the rheumatology, dermatology and gastrointestinal markets despite increasing competition given the presence of new classes of drugs as well as indirect biosimilar competition in international markets. Humira should continue to be driven by its overall level of efficacy and safety, long physician experience and continued biologic penetration across disease categories.
Pipeline Catalysts Ahead: The company has several late-stage assets in its pipeline that represent multibillion dollar peak year sales and represent an opportunity for meaningful revenue growth in the next few years. AbbVie has a significant number of regulatory and clinical milestones lined up for 2017. Key assets in the hematologic oncology segment include Imbruvica and Venclexta. AbbVie expects interim data on Imbruvica in front-line mantle cell lymphoma later this year as well as additional potential interim analysis in other forms of NHL while a regulatory application for the use of Imbruvica in patients with chronic graft versus host disease who failed prior systemic therapy is slated for later this quarter in the U.S.
Data from the MURANO study on Venclexta is expected later this year - positive data would support a broader label in relapsed/refractory CLL.
Within the solid tumors segment, data from the TRINITY study on Rova-T is scheduled for the second half of the year with regulatory submission expected soon thereafter. The latter part of the year could also see the company presenting initial data on Rova-T for several neuroendocrine tumors. Moreover, data from three late-stage studies on PARP inhibitor, veliparib, should be out this year while data on ABT-414, an antibody drug conjugate, for second line glioblastoma multiforme (the most common and most aggressive type of malignant primary brain tumor) should be out in the second half of 2017.
Risankizumab (anti-IL 23 monoclonal antibody) and ABT-494 (selective JAK-1 inhibitor), the key assets in AbbVie's immunology program, are tracking ahead of the company's initial development timelines. Data from pivotal studies on risankizumab for psoriasis are expected later this year with commercialization expected in 2019. Mid-stage data on Crohn's disease and psoriatic arthritis should also be out this year while a mid-stage study in ulcerative colitis is scheduled to commence in the second half of the year.
Meanwhile, late-stage data on ABT-494 from the rheumatoid arthritis (RA) program should also start coming out later this year with mid-stage data on Crohn's disease expected in the first half of the year.
Within virology , AbbVie is currently seeking approval for its once-daily oral combination of two antivirals - the company expects to launch this new regimen in both the U.S. and EU later in the year.
The third quarter of 2017 could also see AbbVie seeking approval for Elagolix for endometriosis. Elagolix, a part of the women's health segment, is in late-stage studies for uterine fibroids, with data expected towards year-end.
Bottom Line
Although Humira continues to do well, investors remain concerned about the product's long-term growth prospects considering the prospect of biosimilar competition. In this scenario, it makes sense for AbbVie to focus on its pipeline -- 2017 will be a year of significant R&D investment for AbbVie as well as several late-stage readouts which will give an insight into the company's long term growth prospects. AbbVie is a Zacks Rank #3 (Hold) stock. Over the last one year, AbbVie has outperformed the Zacks-categorized Large Cap Pharmaceuticals industry with the company gaining 10.3% compared to the industry decline of 2.4%.
Eli Lilly and Company LLY is a better-ranked stock in the pharma sector with the company carrying a Zacks Rank #2 (Buy). Lilly, which will be reporting fourth quarter results tomorrow before the market opens, has a positive Earnings ESP of 1.01%. 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. | Risankizumab (anti-IL 23 monoclonal antibody) and ABT-494 (selective JAK-1 inhibitor), the key assets in AbbVie's immunology program, are tracking ahead of the company's initial development timelines. Within virology , AbbVie is currently seeking approval for its once-daily oral combination of two antivirals - the company expects to launch this new regimen in both the U.S. and EU later in the year. AbbVie Inc.'sABBV shares were down 2.1% following the release of fourth quarter and full year 2016 results on Friday. | Although earnings were in line with expectations, revenues fell short mainly due to Imbruvica and Viekira sales (Read more: AbbVie Q4 Earnings Meet Estimates, Revenues Lag ). Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Merck & Company, Inc. (MRK): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.'sABBV shares were down 2.1% following the release of fourth quarter and full year 2016 results on Friday. | AbbVie expects interim data on Imbruvica in front-line mantle cell lymphoma later this year as well as additional potential interim analysis in other forms of NHL while a regulatory application for the use of Imbruvica in patients with chronic graft versus host disease who failed prior systemic therapy is slated for later this quarter in the U.S. Data from the MURANO study on Venclexta is expected later this year - positive data would support a broader label in relapsed/refractory CLL. In this scenario, it makes sense for AbbVie to focus on its pipeline -- 2017 will be a year of significant R&D investment for AbbVie as well as several late-stage readouts which will give an insight into the company's long term growth prospects. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Merck & Company, Inc. (MRK): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. | AbbVie is a Zacks Rank #3 (Hold) stock. AbbVie Inc.'sABBV shares were down 2.1% following the release of fourth quarter and full year 2016 results on Friday. Although earnings were in line with expectations, revenues fell short mainly due to Imbruvica and Viekira sales (Read more: AbbVie Q4 Earnings Meet Estimates, Revenues Lag ). |
26272.0 | 2017-01-30 00:00:00 UTC | Better Buy: AbbVie Inc. vs. Pfizer | ABBV | https://www.nasdaq.com/articles/better-buy-abbvie-inc-vs-pfizer-2017-01-30 | nan | nan | AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) have a lot in common. Both big drugmakers have a cancer drug with soaring sales. Both pay great dividends. And both stocks have turned in nearly identical performances over the past 12 months. But which is the better buy now? Here's how AbbVie and Pfizer compare.
The case for AbbVie
What would be the characteristics of the ideal biopharmaceutical stock? Here are some of the most important ones: growing sales of existing products on the market, strong pipeline, and a high dividend yield. AbbVie checks off all these boxes.
AbbVie's biggest product by far continues to be Humira. The autoimmune disease drug generated sales of over $16 billion last year. That's nearly 15% higher than the prior year. The increase would have been even higher adjusting for currency fluctuations.
Sales for Imbruvica are growing at a frantic pace. The cancer drug, which AbbVie co-markets with Johnson & Johnson , brought in revenue of $1.8 billion in 2016 -- more than doubling prior-year sales.
The only blockbuster product in AbbVie's lineup that isn't doing very well is hepatitis C drug Viekira. Although the drug made over $1.5 billion last year, sales slipped 7% from 2015. AbbVie also has eight other drugs with combined sales of nearly $5 billion in 2016, slightly below results in the prior year.
AbbVie's pipeline includes around 50 clinical programs. Twelve of those are in late-stage development. Several of those late-stage candidates have the potential to become blockbusters, including elagolix, veliparib, and Venclexta.
Few biopharmaceutical stocks can claim a better dividend than AbbVie. Its dividend yield currently stands at 4.18%. There's no doubt about the company's commitment to paying dividends, either. Since the company was spun off from parent Abbott Laboratories in 2013, AbbVie's dividend has grown by 60%. Counting the time that it was part of Abbott Labs, AbbVie has increased its dividend annually for more than 25 consecutive years.
The case for Pfizer
How does Pfizer stack up using those same criteria? It's something of a mixed bag when it comes to growth for current products, but Pfizer scores well in the other two categories.
The big drugmaker can boast of strong growth for several products in its lineup. Put cancer drug Ibrance at the top of the list. Sales are also soaring for autoimmune disease drug Xeljanz. In addition, Pfizer is seeing solid revenue growth for other drugs, including Chantix, Lyrica, and Xalkori.
However, Pfizer's legacy drugs business isn't performing as well. Revenue is slipping, in large part due to sliding sales for cholesterol drug Lipitor.
New products should help Pfizer's overall results improve. The company bought Medivation last year, picking up fast-growing prostate cancer drug Xtandi. Pfizer's 2016 acquisition of Anacor should also begin to pay off now that atopic dermatitis drug Eucrisa won U.S. regulatory approval.
Few drugmakers have as large of a pipeline as Pfizer does. The company counts over 90 clinical programs in its pipeline. More than 40 of those are drugs either awaiting approval or in late-stage studies.
Pfizer hopes to gain additional indications for some currently approved drugs, including Xeljanz and Lyrica. However, the company also has some new candidates that could be big winners, including experimental cancer drug avelumab and tafamidis meglumine, which targets treatment of rare genetic disease transthyretin familial amyloid polyneuropathy.
Pfizer's dividend yield currently is 4.09% -- just below AbbVie's, but still very attractive. Pfizer can't claim the long track record of consecutive dividend increases that AbbVie can. However, the company appears to be committed to paying a dividend, with its CFO recently underscoring how important the dividend is to the "investing thesis" for Pfizer's stock.
Better buy
My view is that either of these stocks is a good choice for long-term investors. If I could only pick one, though, my pick would be AbbVie.
AbbVie should have stronger growth over the next few years than Pfizer will. That, in turn, should allow AbbVie to increase its dividend at a faster rate than Pfizer. The biggest challenge for the company will be when Humira's sales begin to taper off due to competition. I think that's still a few years away, however. In the meantime, AbbVie should deliver a solid total return for investors.
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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. | Pfizer can't claim the long track record of consecutive dividend increases that AbbVie can. AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) have a lot in common. Here's how AbbVie and Pfizer compare. | AbbVie's pipeline includes around 50 clinical programs. AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) have a lot in common. Here's how AbbVie and Pfizer compare. | The cancer drug, which AbbVie co-markets with Johnson & Johnson , brought in revenue of $1.8 billion in 2016 -- more than doubling prior-year sales. AbbVie also has eight other drugs with combined sales of nearly $5 billion in 2016, slightly below results in the prior year. AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) have a lot in common. | AbbVie should have stronger growth over the next few years than Pfizer will. AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) have a lot in common. Here's how AbbVie and Pfizer compare. |
26273.0 | 2017-01-30 00:00:00 UTC | Pfizer (PFE) Gets Positive CHMP Opinion for Arthritis Drug | ABBV | https://www.nasdaq.com/articles/pfizer-pfe-gets-positive-chmp-opinion-for-arthritis-drug-2017-01-30 | nan | nan | Pfizer Inc.PFE announced that the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) has rendered a positive opinion for the company's marketing authorisation application (MAA) for its rheumatoid arthritis (RA) drug, Xeljanz (tofacitinib citrate; 5 mg twice daily).
Pfizer is looking to get Xeljanz, in combination with methotrexate (MTX), approved in the EU for the treatment of moderate-to-severely active RA in adult patients who have responded inadequately to, or who are intolerant to, one or more disease-modifying antirheumatic drugs (DMARDs).
Xeljanz is already approved as a second-line treatment for this indication. The drug may also be used as monotherapy or in combination with methotrexate or other non-biologic DMARDs. A once-daily formulation of Xeljanz was approved by the FDA in Feb 2016.
Shares of Pfizer have outperformed the Zacks classified Large Cap Pharma industry in the last one year. The stock gained 4.1% during the period, while the industry registered a decline of 2.4%.
The MAA was supported by data from the Oral Rheumatoid Arthritis phase III Trials (ORAL) global development program. The program consisted of six clinical trials and two open-label long-term extension (LTE) studies. The ORAL development program had collected more than 19,000 patient-years of drug exposure in over 6,100 patients with follow-up observations of up to eight years in one of the LTE studies.
Presently, Xeljanz is being evaluated in phase III studies for the treatment of ulcerative colitis.
We remind investors that in Jul 2013, the CHMP had recommended against the approval of Xeljanz for the treatment of adults with moderate-to-severely active RA. The committee was of the opinion that the drug had failed to demonstrate a favorable benefit-risk profile. It had also revealed underlying concerns related to safety as well as serious infections.
Xeljanz has been generating strong sales in the U.S. In the first nine months of 2016, it garnered revenues of $649 million, up an impressive 85% year over year.
According to information provided by the company, approximately 17.6 million individuals in the world and 2.9 million individuals in Europe are affected by RA. Hence, approval of the drug will provide the company access to a huge patient population affected by the disease.
Note that on the same day, the CHMP granted a positive opinion to Amgen, Inc.'s AMGN biosimilar version of AbbVie, Inc. ABBV Humira for the treatment of RA. Other drugs approved for this indication include Roche Holding AG's RHHBY Actemra and Bristol-Myers Squibb's Orencia.
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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. | Note that on the same day, the CHMP granted a positive opinion to Amgen, Inc.'s AMGN biosimilar version of AbbVie, Inc. ABBV Humira for the treatment of RA. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Pfizer, Inc. (PFE): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Pfizer is looking to get Xeljanz, in combination with methotrexate (MTX), approved in the EU for the treatment of moderate-to-severely active RA in adult patients who have responded inadequately to, or who are intolerant to, one or more disease-modifying antirheumatic drugs (DMARDs). | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Pfizer, Inc. (PFE): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Note that on the same day, the CHMP granted a positive opinion to Amgen, Inc.'s AMGN biosimilar version of AbbVie, Inc. ABBV Humira for the treatment of RA. The MAA was supported by data from the Oral Rheumatoid Arthritis phase III Trials (ORAL) global development program. | Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Pfizer, Inc. (PFE): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Note that on the same day, the CHMP granted a positive opinion to Amgen, Inc.'s AMGN biosimilar version of AbbVie, Inc. ABBV Humira for the treatment of RA. Pfizer Inc.PFE announced that the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) has rendered a positive opinion for the company's marketing authorisation application (MAA) for its rheumatoid arthritis (RA) drug, Xeljanz (tofacitinib citrate; 5 mg twice daily). | Note that on the same day, the CHMP granted a positive opinion to Amgen, Inc.'s AMGN biosimilar version of AbbVie, Inc. ABBV Humira for the treatment of RA. Click to get this free report Roche Holding AG (RHHBY): Free Stock Analysis Report Pfizer, Inc. (PFE): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Pfizer is looking to get Xeljanz, in combination with methotrexate (MTX), approved in the EU for the treatment of moderate-to-severely active RA in adult patients who have responded inadequately to, or who are intolerant to, one or more disease-modifying antirheumatic drugs (DMARDs). |
26274.0 | 2017-01-30 00:00:00 UTC | Amgen Wins Favorable CHMP Opinion for Humira Biosimilar | ABBV | https://www.nasdaq.com/articles/amgen-wins-favorable-chmp-opinion-for-humira-biosimilar-2017-01-30 | nan | nan | Amgen Inc.AMGN announced that the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) has rendered a positive opinion on the company's marketing authorization application (MAA) for ABP 501, a biosimilar version of AbbVie Inc.'s ABBV best-selling drug, Humira (adalimumab). This marks the first time that an adalimumab biosimilar has received a CHMP recommendation.
Amgen's share price movement shows that the stock has outperformed the Zacks classified Medical-Biomed/Genetics industry year to date. Specifically, the company gained 7.5%, while the industry increased 2.1%.
ABP 501 was approved in the U.S. in Sep 2016 under the brand name Amjevita. It is approved for all indications of Humira, including rheumatoid arthritis (RA), juvenile idiopathic arthritis (JIA), psoriatic arthritis (PsA), ankylosing spondylitis(AS), Crohn's disease (CD) in adults, ulcerative colitis (UC), plaque psoriasis (PsO) - all in specific patient populations. Amjevita was the first biosimilar version of Humira approved by the FDA and Amgen's first approved biosimilar. However, Amjevita has not been launched yet due to the ongoing litigation with AbbVie.
The MAA submission for ABP 501 was supported by comprehensive analytical, pharmacokinetic and clinical data. The filing also includes results from two phase III studies on moderate-to-severe PsO and moderate-to-severe RA. Both the studies met the primary endpoint, demonstrating no clinically meaningful difference with Humira. Safety and immunogenicity of ABP 501 was also comparable to the reference product.
Currently, Amgen has nine biosimilar candidates in its portfolio, representing annual revenues of more than $3 billion. The company is working on developing biosimilar versions of drugs like Avastin, Herceptin, Remicade, Rituxan and Erbitux. Amgen has collaborated with Allergan plc AGN for the worldwide development and commercialization of four oncology antibody biosimilars.
However, Amgen is facing biosimilar competition in the U.S. Zarxio, the first FDA-approved biosimilar, was launched by Novartis AG's NVS generic arm, Sandoz, in Sep 2015. Zarxio is the biosimilar version of Amgen's blockbuster drug, Neupogen. A couple of key drugs from Amgen's portfolio - Neulasta and Enbrel - could also start facing biosimilar competition soon. Sandoz received approval for a biosimilar version of Enbrel, Erelzi, in Aug 2016. However, Erelzi is yet to be launched in the U.S.
Since the biosimilar market is highly lucrative, competition is intensifying with numerous pharmaceutical and biotech companies eyeing to foray into the space.
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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. | Amgen Inc.AMGN announced that the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) has rendered a positive opinion on the company's marketing authorization application (MAA) for ABP 501, a biosimilar version of AbbVie Inc.'s ABBV best-selling drug, Humira (adalimumab). However, Amjevita has not been launched yet due to the ongoing litigation with AbbVie. (AGN): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. | Amgen Inc.AMGN announced that the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) has rendered a positive opinion on the company's marketing authorization application (MAA) for ABP 501, a biosimilar version of AbbVie Inc.'s ABBV best-selling drug, Humira (adalimumab). (AGN): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. However, Amjevita has not been launched yet due to the ongoing litigation with AbbVie. | Amgen Inc.AMGN announced that the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) has rendered a positive opinion on the company's marketing authorization application (MAA) for ABP 501, a biosimilar version of AbbVie Inc.'s ABBV best-selling drug, Humira (adalimumab). (AGN): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. However, Amjevita has not been launched yet due to the ongoing litigation with AbbVie. | Amgen Inc.AMGN announced that the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) has rendered a positive opinion on the company's marketing authorization application (MAA) for ABP 501, a biosimilar version of AbbVie Inc.'s ABBV best-selling drug, Humira (adalimumab). However, Amjevita has not been launched yet due to the ongoing litigation with AbbVie. (AGN): Free Stock Analysis Report Novartis AG (NVS): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. |
26275.0 | 2017-01-29 00:00:00 UTC | AbbVie to Start Study on Alzheimer's Treatment | ABBV | https://www.nasdaq.com/articles/abbvie-start-study-alzheimers-treatment-2017-01-29 | nan | nan | AbbVie Inc. ( ABBV ) announced on Jan. 25 the beginning of two studies to assess 8E12's efficacy and safety in people with early-onset Alzheimer's disease and PSP patients.
AbbVie's 8E12 is an antibody against the tau protein, which is under investigation in clinical studies.
The anti-tau are antibodies of recent discovery in mice. These antibodies against the tau proteins may severely reduce the accumulation of tau proteins through a special mechanism which prevents the absorption of the aggregates of tau proteins by the neuro cells.
The accumulation of tau proteins has been associated with the worsening of cognitive functions in degenerative diseases such as frontotemporal dementia and Alzheimer's disease.
In particular, the first of these two Phase 2 studies will evaluate the efficacy and the safety of 8E12 in 400 patients with early-onset Alzheimer's disease, and the second Phase 2 study will evaluate the efficacy and the safety of AbbVie's antibody against the tau protein, 8E12, in 180 PSP's adult patients.
The efficacy of AbbVie's 8E12 will be assessed in terms of delay in the progression of early-onset Alzheimer's disease and in terms of slow in the progression of progressive supranuclear palsy ( PSP ).
The early-onset Alzheimer's disease is a rare form of Alzheimer, which accounts for only 5% to 10% of all cases of Alzheimer.
The progressive supranuclear palsy, or PSP, is a degenerative disease that involves the progressive deterioration and death of specific brain parts.
The company says that "in recognition of the lack of treatment options available to patients with PSP, the U.S. Food and Drug Administration (FDA) granted Fast Track Designation to ABBV-8E12" and together with the European Medicines Agency (EMA), they "also granted Orphan Drug Designations to ABBV-8E12 for PSP."
On Jan. 27, AbbVie closed at $60.00 per share, down $1.27 from the previous close with a PB ratio of 15.07 and a PS ratio of 3.86.
Yesterday, a volume of 14,151,233 shares were traded on the New York Stock Exchange versus an average volume of 8.46 million traded over the last three months.
The stock is up since the beginning of the new year and gained 2.50%.
Disclosure: I have no positions in AbbVie 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. | AbbVie Inc. ( ABBV ) announced on Jan. 25 the beginning of two studies to assess 8E12's efficacy and safety in people with early-onset Alzheimer's disease and PSP patients. The company says that "in recognition of the lack of treatment options available to patients with PSP, the U.S. Food and Drug Administration (FDA) granted Fast Track Designation to ABBV-8E12" and together with the European Medicines Agency (EMA), they "also granted Orphan Drug Designations to ABBV-8E12 for PSP." Disclosure: I have no positions in AbbVie Inc. Start a free seven-day trial of Premium Membership to GuruFocus. | AbbVie Inc. ( ABBV ) announced on Jan. 25 the beginning of two studies to assess 8E12's efficacy and safety in people with early-onset Alzheimer's disease and PSP patients. In particular, the first of these two Phase 2 studies will evaluate the efficacy and the safety of 8E12 in 400 patients with early-onset Alzheimer's disease, and the second Phase 2 study will evaluate the efficacy and the safety of AbbVie's antibody against the tau protein, 8E12, in 180 PSP's adult patients. The efficacy of AbbVie's 8E12 will be assessed in terms of delay in the progression of early-onset Alzheimer's disease and in terms of slow in the progression of progressive supranuclear palsy ( PSP ). | AbbVie Inc. ( ABBV ) announced on Jan. 25 the beginning of two studies to assess 8E12's efficacy and safety in people with early-onset Alzheimer's disease and PSP patients. In particular, the first of these two Phase 2 studies will evaluate the efficacy and the safety of 8E12 in 400 patients with early-onset Alzheimer's disease, and the second Phase 2 study will evaluate the efficacy and the safety of AbbVie's antibody against the tau protein, 8E12, in 180 PSP's adult patients. The efficacy of AbbVie's 8E12 will be assessed in terms of delay in the progression of early-onset Alzheimer's disease and in terms of slow in the progression of progressive supranuclear palsy ( PSP ). | AbbVie Inc. ( ABBV ) announced on Jan. 25 the beginning of two studies to assess 8E12's efficacy and safety in people with early-onset Alzheimer's disease and PSP patients. In particular, the first of these two Phase 2 studies will evaluate the efficacy and the safety of 8E12 in 400 patients with early-onset Alzheimer's disease, and the second Phase 2 study will evaluate the efficacy and the safety of AbbVie's antibody against the tau protein, 8E12, in 180 PSP's adult patients. AbbVie's 8E12 is an antibody against the tau protein, which is under investigation in clinical studies. |
26276.0 | 2017-01-28 00:00:00 UTC | Better Buy: Johnson & Johnson vs. AbbVie | ABBV | https://www.nasdaq.com/articles/better-buy-johnson-johnson-vs-abbvie-2017-01-28 | nan | nan | One company has been in business for 130 years. The other got its start as a stand-alone entity in 2013. But both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) have rewarded shareholders with solid gains and nice dividends in the past few years. Which is the better pick for investors now?
The case for Johnson & Johnson
Let's first play devil's advocate and discuss why not to buy Johnson & Johnson's stock. Probably the biggest negative for J&J is that growth has been less than inspiring. The company recently announced its fourth-quarter and full-year 2016 results. Sales grew only 2.6% in 2016 from the prior year. Adjusted earnings increased 7.6% year over year.
Two of Johnson & Johnson's business segments -- consumer and medical devices -- saw sales decline in 2016 compared to the prior year. J&J's pharmaceuticals segment grew revenue, but only by 6.5%.
Now that we have that out of the way, let's look at the reasons why Johnson & Johnson remains a good long-term pick. I'd put cash flow at the top of the list. J&J generated operating cash flow of well over $15 billion last year. There aren't many companies producing that much cash, especially in the healthcare industry.
That gives Johnson & Johnson a lot of flexibility to do the kinds of things that drive the stock higher. Increasing dividends is one of those things. J&J has raised its dividend 54 years in a row. Buying back shares is another. J&J also has plenty of money to use in making acquisitions.
Perhaps most importantly, the company's steady cash flow provides a level of comfort to investors. Even though J&J's growth wasn't stellar last year, the stock still went up nearly 15%. The reality is that Johnson & Johnson doesn't have to produce high growth rates to attract investors. That's a really good reason to like this stock.
The case for AbbVie
Probably the biggest knock against AbbVie is that the company continues to be highly dependent on one product. Autoimmune disease drug Humira generated over three-fifths of AbbVie's total revenue last year.
The good news is that Humira's sales keep on growing. That shouldn't change anytime soon. Although the U.S. Food and Drug Administration (FDA) approved a biosimilar to Humira last year, AbbVie should be able to push the threat back several years through litigation.
Even better news is that AbbVie has other products that are rapidly growing sales. Cancer drug Imbruvica is really taking off. (This momentum also helps J&J, which markets the drug outside of the U.S. and co-markets Imbruvica with AbbVie in the U.S.)
AbbVie also claims a robust pipeline. The company could submit for approval of another indication for Venclexta as a first-line treatment of relapsed/refractory chronic lymphocytic leukemia (CLL) this year pending good results from a late-stage study. AbbVie hopes to launch its next-generation hepatitis C virus (HCV) combo treatment later this year if the FDA gives a thumbs-up. Other promising candidates include experimental endometriosis drug elagolix and lung cancer drug Rova-T.
On top of its tremendous growth potential, AbbVie also pays one of the best dividends in the healthcare industry. Its dividend yield currently stands at 4.19%.
Better buy
I have liked Johnson & Johnson for quite a while. It's a well-run company with a long track record of success. I think buying J&J's stock and holding on to it will pay off nicely for investors. However, AbbVie is the better choice in my view.
AbbVie is growing faster than Johnson & Johnson and should continue to do so. It has a better dividend yield than J&J. Its dividend is growing faster than J&J's is. AbbVie's valuation also looks more attractive than J&J's does. The day will come sooner or later when Humira is knocked off its perch. Until then, AbbVie should continue to be a big winner for shareholders.
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Keith Speights has no position in any stocks mentioned. The Motley Fool recommends Johnson and 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. | Autoimmune disease drug Humira generated over three-fifths of AbbVie's total revenue last year. AbbVie hopes to launch its next-generation hepatitis C virus (HCV) combo treatment later this year if the FDA gives a thumbs-up. But both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) have rewarded shareholders with solid gains and nice dividends in the past few years. | But both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) have rewarded shareholders with solid gains and nice dividends in the past few years. The case for AbbVie Probably the biggest knock against AbbVie is that the company continues to be highly dependent on one product. Autoimmune disease drug Humira generated over three-fifths of AbbVie's total revenue last year. | But both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) have rewarded shareholders with solid gains and nice dividends in the past few years. AbbVie is growing faster than Johnson & Johnson and should continue to do so. The case for AbbVie Probably the biggest knock against AbbVie is that the company continues to be highly dependent on one product. | AbbVie is growing faster than Johnson & Johnson and should continue to do so. But both Johnson & Johnson (NYSE: JNJ) and AbbVie (NYSE: ABBV) have rewarded shareholders with solid gains and nice dividends in the past few years. The case for AbbVie Probably the biggest knock against AbbVie is that the company continues to be highly dependent on one product. |
26277.0 | 2017-01-27 00:00:00 UTC | AbbVie (ABBV) Reports In-Line Q4 Earnings, Revenues Miss | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-reports-in-line-q4-earnings-revenues-miss-2017-01-27 | nan | nan | North Chicago, IL-based AbbVie Inc.ABBV is best known for its autoimmune disease drug, Humira. Other key products include Imbruvica (cancer) and Viekira Pak (hepatitis C virus (HCV) treatment).
Humira, the company's flagship product which is approved for a wide range of indications, is a major contributor to AbbVie's top line. While Humira will remain the key growth driver at AbbVie, the coming quarters will see investor focus remaining primarily on Viekira's performance as well as pipeline updates.
Meanwhile, the Pharmacyclics acquisition has diversified AbbVie's product portfolio with the addition of Imbruvica.
AbbVie's performance has been mixed, with the pharmaceuticals company delivering positive surprises in the two of the past four quarter while recording in-line earnings in the other two. The average earnings beat over the last four quarters is 1.92%.
AbbVie Inc. Price
AbbVie Inc. Price | AbbVie Inc. Quote
Currently, AbbVie has a Zacks Rank #3 (Hold), but that could definitely change following the company's earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: AbbVie's fourth-quarter earnings came in at $1.20 per share, in-line with the Zacks Consensus Estimate.
Revenues: AbbVie posted revenues of $6.80 billion, missing the Zacks Consensus Estimate of $6.92 billion.
Key Stats: Humira sales came in at $4.3 billion. Fourth-quarter Imbruvica sales were $511 million. Viekira sales were $311 million in the fourth quarter.
2017 Outlook: AbbVie provided its outlook for 2017. The company expects adjusted EPS in the range of $5.44-$5.54. The Zacks Consensus Estimate is currently pegged at $5.48 per share.
Check back later for our full write up on this AbbVie earnings 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. | Humira, the company's flagship product which is approved for a wide range of indications, is a major contributor to AbbVie's top line. AbbVie's performance has been mixed, with the pharmaceuticals company delivering positive surprises in the two of the past four quarter while recording in-line earnings in the other two. North Chicago, IL-based AbbVie Inc.ABBV is best known for its autoimmune disease drug, Humira. | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Currently, AbbVie has a Zacks Rank #3 (Hold), but that could definitely change following the company's earnings report which was just released. Revenues: AbbVie posted revenues of $6.80 billion, missing the Zacks Consensus Estimate of $6.92 billion. North Chicago, IL-based AbbVie Inc.ABBV is best known for its autoimmune disease drug, Humira. | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Currently, AbbVie has a Zacks Rank #3 (Hold), but that could definitely change following the company's earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below: Earnings: AbbVie's fourth-quarter earnings came in at $1.20 per share, in-line with the Zacks Consensus Estimate. North Chicago, IL-based AbbVie Inc.ABBV is best known for its autoimmune disease drug, Humira. | We have highlighted some of the key stats from this just-revealed announcement below: Earnings: AbbVie's fourth-quarter earnings came in at $1.20 per share, in-line with the Zacks Consensus Estimate. North Chicago, IL-based AbbVie Inc.ABBV is best known for its autoimmune disease drug, Humira. Humira, the company's flagship product which is approved for a wide range of indications, is a major contributor to AbbVie's top line. |
26278.0 | 2017-01-27 00:00:00 UTC | Earnings Reaction History: AbbVie Inc., 27.3% Follow-Through Indicator, 2.8% Sensitive | ABBV | https://www.nasdaq.com/articles/earnings-reaction-history-abbvie-inc-273-follow-through-indicator-28-sensitive-2017-01-27 | nan | nan | Expected Earnings Release: 01/27/2017, Premarket
Avg. Extended-Hours Dollar Volume: $8,598,053
AbbVie Inc. ( ABBV ) is due to issue its quarterly earnings report in the upcoming extended-hours session. Given its history, traders can expect very active trading in the issue immediately following its quarterly earnings announcement. Historical earnings event related premarket and after-hours trading activity in ABBV indicates that the price change in the extended hours is likely to be of limited value in forecasting additional price movement by the following regular session close.
Last 12 Qtrs Positive Only Price Reactions
Percent of time added to extended-hours gains: 33.3%
Average next regular session additional gain: 3.2%
Over the prior three fiscal years (12 quarters), when shares of ABBV rose in the extended-hours session in reaction to its earnings announcement, history shows that 33.3% of the time (2 events) the stock posted additional gains in the following regular session by an average of 3.2%.
Last 12 Qtrs Negative Only Price Reactions
Percent of time added to extended-hours losses: 20%
Average next regular session additional loss: 0.3%
Over that same historical period, when shares of ABBV dropped in the extended-hours in reaction to its earnings announcement, history shows that 20.0% of the time (1 event) the stock dropped further, adding to the extended-hours losses by an average of 0.3% by the following regular session close.
Data provided by the MT Pro service at MTNewswires.com.
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. | Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 33.3% Average next regular session additional gain: 3.2% Over the prior three fiscal years (12 quarters), when shares of ABBV rose in the extended-hours session in reaction to its earnings announcement, history shows that 33.3% of the time (2 events) the stock posted additional gains in the following regular session by an average of 3.2%. Last 12 Qtrs Negative Only Price Reactions Percent of time added to extended-hours losses: 20% Average next regular session additional loss: 0.3% Over that same historical period, when shares of ABBV dropped in the extended-hours in reaction to its earnings announcement, history shows that 20.0% of the time (1 event) the stock dropped further, adding to the extended-hours losses by an average of 0.3% by the following regular session close. Extended-Hours Dollar Volume: $8,598,053 AbbVie Inc. ( ABBV ) is due to issue its quarterly earnings report in the upcoming extended-hours session. | Historical earnings event related premarket and after-hours trading activity in ABBV indicates that the price change in the extended hours is likely to be of limited value in forecasting additional price movement by the following regular session close. Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 33.3% Average next regular session additional gain: 3.2% Over the prior three fiscal years (12 quarters), when shares of ABBV rose in the extended-hours session in reaction to its earnings announcement, history shows that 33.3% of the time (2 events) the stock posted additional gains in the following regular session by an average of 3.2%. Last 12 Qtrs Negative Only Price Reactions Percent of time added to extended-hours losses: 20% Average next regular session additional loss: 0.3% Over that same historical period, when shares of ABBV dropped in the extended-hours in reaction to its earnings announcement, history shows that 20.0% of the time (1 event) the stock dropped further, adding to the extended-hours losses by an average of 0.3% by the following regular session close. | Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 33.3% Average next regular session additional gain: 3.2% Over the prior three fiscal years (12 quarters), when shares of ABBV rose in the extended-hours session in reaction to its earnings announcement, history shows that 33.3% of the time (2 events) the stock posted additional gains in the following regular session by an average of 3.2%. Last 12 Qtrs Negative Only Price Reactions Percent of time added to extended-hours losses: 20% Average next regular session additional loss: 0.3% Over that same historical period, when shares of ABBV dropped in the extended-hours in reaction to its earnings announcement, history shows that 20.0% of the time (1 event) the stock dropped further, adding to the extended-hours losses by an average of 0.3% by the following regular session close. Extended-Hours Dollar Volume: $8,598,053 AbbVie Inc. ( ABBV ) is due to issue its quarterly earnings report in the upcoming extended-hours session. | Extended-Hours Dollar Volume: $8,598,053 AbbVie Inc. ( ABBV ) is due to issue its quarterly earnings report in the upcoming extended-hours session. Historical earnings event related premarket and after-hours trading activity in ABBV indicates that the price change in the extended hours is likely to be of limited value in forecasting additional price movement by the following regular session close. Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 33.3% Average next regular session additional gain: 3.2% Over the prior three fiscal years (12 quarters), when shares of ABBV rose in the extended-hours session in reaction to its earnings announcement, history shows that 33.3% of the time (2 events) the stock posted additional gains in the following regular session by an average of 3.2%. |
26279.0 | 2017-01-27 00:00:00 UTC | AbbVie (ABBV) Q4 Earnings Meet Estimates, Revenues Lag | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-q4-earnings-meet-estimates-revenues-lag-2017-01-27 | nan | nan | AbbVie Inc.ABBV reported mixed fourth-quarter results, wherein earnings came in line with expectations but sales missed the same. Shares declined around 2% in pre-market trading .
In the past one year, AbbVie's share price was up 9.7%, while the Zacks classified Large-Cap Pharma industry witnessed a 1% decline.
Earnings Meet Estimates
The pharma giant reported fourth-quarter 2016 earnings of $1.20 per share, in line with the Zacks Consensus Estimate but up 6.2% from the year-ago quarter.
FindTheCompany | Graphiq
Revenues Miss
Revenues increased 6.2% to $6.80 billion in the fourth quarter but missed the Zacks Consensus Estimate of $6.92 billion.
The Quarter in Detail
Sales of AbbVie's key drug Humira surged 15.5% to $4.3 billion. Growth across all the three major market categories - rheumatology, dermatology and gastroenterology - drove the upside. Sales in the U.S. increased 23.5% ($2.8 billion), while that in the ex-U.S. market were up 4.1% to $1.4 billion.
Other products that put up an impressive performance include Duodopa ($78 million) and Creon ($213 million).
HCV product Viekira recorded sales of $311 million, down 27.9%. Sales were also down 17.2% sequentially.
AbbVie recorded Imbruvica U.S. sales of $77 million and $434 million of international profit sharing.
2017 Outlook
AbbVie provided its 2017 earnings per share outlook in the range of $5.44 to $5.54. The Zacks Consensus Estimate is currently pegged at $5.48.
AbbVie Inc. Price and EPS Surprise
AbbVie Inc. Price and EPS Surprise | AbbVie Inc. Quote
Our Take
AbbVie delivered mixed fourth-quarter results with in-line earnings and lower-than-expected revenues. Humira continued to perform well. Growing awareness, favorable clinical data, additional indications and expansion into new markets should help the product continue making significant contributions to the top line.
With several companies striving to bring Humira biosimilars to the market, AbbVie has been focusing on diversifying its revenue base and lowering its dependence on the product.
Zacks Rank & Key Picks
AbbVie currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector include Sucampo Pharmaceuticals SCMP , Anika Therapeutics ANIK and Sunesis Pharmaceuticals SNSS . While Sucampo and Sunesis sport a Zacks Rank #1 (Strong Buy), Anika carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Sunesis' loss estimates narrowed 5.06% and 8.80% for 2016 and 2017, respectively, over the past 60 days. The company recorded a positive earnings surprise in three of the last four quarters, the average being 0.54%.
Sucampo's earnings estimates were stable at $1.22 for 2016 but have increased from $1.58 to $1.74 for 2017 over the last 60 days. The company posted a positive earnings surprise in all of the four trailing quarters with an average beat of 35.5%.
Anika's earnings estimates for 2016 and 2017 were up 3.9% and 0.5%, respectively, over the last 60 days. The company recorded a positive earnings surprise in each of the last four quarters, the average being 33.1%. Its share price was up 37.2% in the past year.
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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 the past one year, AbbVie's share price was up 9.7%, while the Zacks classified Large-Cap Pharma industry witnessed a 1% decline. With several companies striving to bring Humira biosimilars to the market, AbbVie has been focusing on diversifying its revenue base and lowering its dependence on the product. AbbVie Inc.ABBV reported mixed fourth-quarter results, wherein earnings came in line with expectations but sales missed the same. | AbbVie Inc. Price and EPS Surprise AbbVie Inc. Price and EPS Surprise | AbbVie Inc. Quote Our Take AbbVie delivered mixed fourth-quarter results with in-line earnings and lower-than-expected revenues. Click to get this free report Anika Therapeutics Inc. (ANIK): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Sunesis Pharmaceuticals, Inc. (SNSS): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV reported mixed fourth-quarter results, wherein earnings came in line with expectations but sales missed the same. | AbbVie Inc. Price and EPS Surprise AbbVie Inc. Price and EPS Surprise | AbbVie Inc. Quote Our Take AbbVie delivered mixed fourth-quarter results with in-line earnings and lower-than-expected revenues. Click to get this free report Anika Therapeutics Inc. (ANIK): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Sunesis Pharmaceuticals, Inc. (SNSS): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV reported mixed fourth-quarter results, wherein earnings came in line with expectations but sales missed the same. | AbbVie Inc.ABBV reported mixed fourth-quarter results, wherein earnings came in line with expectations but sales missed the same. In the past one year, AbbVie's share price was up 9.7%, while the Zacks classified Large-Cap Pharma industry witnessed a 1% decline. The Quarter in Detail Sales of AbbVie's key drug Humira surged 15.5% to $4.3 billion. |
26280.0 | 2017-01-26 00:00:00 UTC | Johnson & Johnson's Most Exciting Opportunity | ABBV | https://www.nasdaq.com/articles/johnson-johnsons-most-exciting-opportunity-2017-01-26 | nan | nan | Johnson & Johnson 's(NYSE: JNJ) fourth-quarter financials this week suggest that cancer drugs will be the biggest driver of the company's success in 2017. Can cancer drug sales continue to soar? Here's why cancer drugs could be Johnson & Johnson's most exciting opportunity in 2017.
Making headway
Global spending on cancer drugs eclipsed $100 billion two years ago, and aging and longer-living populations worldwide have IMS Health projecting that global spending on cancer medicine could hit $150 billion in 2020.
Demand in the U.S. is expected to grow significantly due to aging baby boomers, and advancing technology that's providing greater insight into the relationship between our genes and the disease is allowing drugmakers like Johnson & Johnson to develop increasingly more useful and targeted therapies.
Thanks to its big commitment to cancer drug development in the past, Johnson & Johnson markets four top-selling cancer medicines, two of which are enjoying rapid demand growth.
After the FDA OK'd its use alongside Revlimid in second-line patients in November, sales of Johnson & Johnson's multiple myeloma drug Darzalex jumped to an $800 million annualized sales pace in the fourth quarter. That's impressive given the drug's only been on the market since late 2015.
The company's leukemia and lymphoma drug, Imbruvica, which it co-markets with AbbVie , Inc., is also seeing robust sales growth. Thanks to label expansions that boosted its addressable patient population, Imbruvica sales climbed 47.2% year over year to $346 million.
In addition to Darzalex and Imbruvica, the company also markets the billion-dollar blockbuster drugs Velcade, which is used to treat multiple myeloma, and Zytiga, which is a commonly used prostate cancer drug. In Q4, Velcade's and Zytiga's sales were $274 million and $519 million, respectively.
Overall, Johnson & Johnson's oncology sales grew 14.8% year over year to $1.46 billion last quarter. If momentum for Darzalex and Imbruvica carry over into 2017, then this company could end up producing over $6 billion in oncology revenue this year.
Expanding its position
Johnson & Johnson's got a number of intriguing studies under way that could expand the use of its existing cancer drugs and lead to new therapies.
For example, the company is conducting studies on Imbruvica that it thinks could lead to seven FDA filings for its use in new indications. Among those seven are four that Johnson & Johnson thinks could each be worth $500 million or more in annual sales.
The company's apalutamide (ARN-509) is one of the most intriguing cancer drugs in the company's research pipeline that could reach the market soon. If it does, it could shore up the company's leadership position in prostate cancer.
Currently, Johnson & Johnson's Zytiga battles for market share against Xtandi, a fast-growing competitor. Lately, Xtandi's sales have been growing more quickly than Zytiga, but Xtandi could lose some momentum if apalutamide trials pan out. That's because apalutamide is arguably a second-generation Xtandi developed by the same researchers who developed Xtandi.
Also, Johnson & Johnson could further strengthen its prostate cancer position if trials evaluating niraparib in the indication pan out. Johnson & Johnson licensed rights to develop niraparib for prostate cancer last April from Tesaro . A PARP inhibitor that can prevent repair to damaged cancer cells, Johnson & Johnson thinks nirparib's unique mechanism of action could differentiate it. As part of this deal, Johnson & Johnson also took an equity stake in Tesaro, which gives it back-door exposure to a potential approval of niraparib in breast cancer this year.
Looking forward
Johnson & Johnson is a global and diversified company with $33 billion in full-year pharmaceutical sales, and $72 billion in total global sales across all of its businesses. The company's size gives it big advantages over its peers, including the ability to spend heavily on research and invest in promising upstarts.
Investments like those will be increasingly important to Johnson & Johnson investors this year, because the company's multibillion-dollar rheumatoid arthritis drug, Remicade, began facing off against biosimilars in the U.S. in November. While Johnson & Johnson's oncology franchise might not overcome all of Remicade's headwinds, I think growth for the company's cancer drugs is one of the most exciting reasons to own this stock in 2017.
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Todd Campbell has no position in any stocks mentioned. His clients may have positions in the companies mentioned. The Motley Fool recommends Johnson and 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. | The company's leukemia and lymphoma drug, Imbruvica, which it co-markets with AbbVie , Inc., is also seeing robust sales growth. If momentum for Darzalex and Imbruvica carry over into 2017, then this company could end up producing over $6 billion in oncology revenue this year. The company's size gives it big advantages over its peers, including the ability to spend heavily on research and invest in promising upstarts. | The company's leukemia and lymphoma drug, Imbruvica, which it co-markets with AbbVie , Inc., is also seeing robust sales growth. Thanks to its big commitment to cancer drug development in the past, Johnson & Johnson markets four top-selling cancer medicines, two of which are enjoying rapid demand growth. After the FDA OK'd its use alongside Revlimid in second-line patients in November, sales of Johnson & Johnson's multiple myeloma drug Darzalex jumped to an $800 million annualized sales pace in the fourth quarter. | The company's leukemia and lymphoma drug, Imbruvica, which it co-markets with AbbVie , Inc., is also seeing robust sales growth. Thanks to its big commitment to cancer drug development in the past, Johnson & Johnson markets four top-selling cancer medicines, two of which are enjoying rapid demand growth. Looking forward Johnson & Johnson is a global and diversified company with $33 billion in full-year pharmaceutical sales, and $72 billion in total global sales across all of its businesses. | The company's leukemia and lymphoma drug, Imbruvica, which it co-markets with AbbVie , Inc., is also seeing robust sales growth. Here's why cancer drugs could be Johnson & Johnson's most exciting opportunity in 2017. Overall, Johnson & Johnson's oncology sales grew 14.8% year over year to $1.46 billion last quarter. |
26281.0 | 2017-01-26 00:00:00 UTC | Biogen (BIIB) Q4 Earnings Top Estimates; '17 Sales View Soft | ABBV | https://www.nasdaq.com/articles/biogen-biib-q4-earnings-top-estimates-17-sales-view-soft-2017-01-26 | nan | nan | Biogen Inc.BIIB , a well-known name in the multiple sclerosis (MS) market, reported mixed fourth-quarter 2016 results with the company surpassing earnings expectations while missing the same for sales. Moreover, the company's 2017 sales guidance fell short of expectations.
In the past one year, Biogen's shares declined 0.1%, comparing favourably with the Zacks classified Biomed-Genetics industry's decline of 9.5%.
Sales came in at $2.87 billion, up 1% from the year-ago period. Sales, however, missed the Zacks Consensus Estimate of $2.95 billion by 2.5%.
Quarter in Detail
Oral multiple sclerosis (MS) drug Tecfidera rose 1% from the year-ago period to $1.0 billion. However, the drug recorded a 3% sequential decline in revenues. This included U.S. sales of $799.7 million and ex-U.S. sales of $202.3 million.
Fourth-quarter Tysabri revenues declined 1% year over year and 8% sequentially to $474 million (U.S. $288.7 million, ex-U.S. $185.2 million).
Combined interferon revenues (Avonex and Plegridy) in the fourth quarter were $688 million (U.S. $488.1 million, ex-U.S. $200.1 million), down 7% from the year-ago period and 3% sequentially. Avonex revenues declined 12% from the year-ago period to $564 million.
Plegridy contributed $125 million to fourth-quarter 2016 revenues, up 21% year over year but down 3% sequentially.
Zinbryta, launched in collaboration with AbbVie Inc. ABBV in August last year, contributed $6 million to revenues in the quarter compared with $2 million in the third quarter.
Alprolix and Eloctate, Biogen's hemophilia treatments, recorded revenues of $93 million and $149 million, up 9% and 13%, respectively, year over year.
In the quarter, Biogen recorded biosimilar revenues of $53 million compared with $31 million in the third quarter. Biogen markets Flixabi, a biosimilar referencing Johnson & Johnson's JNJ blockbuster drug Remicade and Benepali, a biosimilar referencing Amgen Inc.'s AMGN Enbrel in Europe.
Revenues from Anti-CD20 therapeutic programs, which include Biogen's share of Rituxan and Gazyva operating profits, declined 5% from the year-ago period to $318 million in the fourth quarter.
In Dec 2016, Biogen and partner Ionis Pharmaceuticals got a boost with the FDA approving Spinraza for spinal muscular atrophy (SMA). Spinraza brought revenues of $5 million in the fourth quarter.
Research and development spend rose 2% in the reported quarter to $531 million while SG&A spend came in at $484 million, 17% higher year over year.
In the quarter, the company repurchased shares worth $651 million.
2016 Results
Full-year 2016 sales rose 6% to $11.45 billion, falling short of the Zacks Consensus Estimate of $11.52 billion. Sales were slightly above the guidance range of $11.2 billion to $11.4 billion.
Adjusted earnings for 2016 were $20.22 per share, above the Zacks Consensus Estimate of $20.17 and up 19% year over year. Earnings were also higher than the guided range of $19.70 to $20.00 per share.
2017 Sales Outlook Falls Short
The company issued its 2017 outlook. Biogen said it expects earnings of $20.45 to $21.25 per share. The Zacks Consensus Estimate of $21.12 falls within the guidance range, However, revenues are expected in a range of $11.1 billion to $11.4 billion in 2017, short of the Zacks Consensus Estimate of $12.02 billion. The guidance includes one month of contribution from the hemophilia business, which Biogen expects to spin-off by Feb 1, 2017. The spin-off will allow Biogen to focus on the neurology segment, its key area of expertise.
Our Take
Biogen's fourth-quarter saw a slowdown in sales of its multiple sclerosis business. However, the hemophilia franchise performed well. However, the launch of Spinraza was a huge boost for Biogen. With the drug being the first treatment to be approved for SMA, a leading genetic cause of death in infants and toddlers that is marked by progressive, debilitating muscle weakness, the market potential is huge.
Biogen carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Biogen Inc. Price, Consensus and EPS Surprise
Biogen Inc. Price, Consensus and EPS Surprise | Biogen Inc. Quote
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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. | Zinbryta, launched in collaboration with AbbVie Inc. ABBV in August last year, contributed $6 million to revenues in the quarter compared with $2 million in the third quarter. Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Biogen Inc.BIIB , a well-known name in the multiple sclerosis (MS) market, reported mixed fourth-quarter 2016 results with the company surpassing earnings expectations while missing the same for sales. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Zinbryta, launched in collaboration with AbbVie Inc. ABBV in August last year, contributed $6 million to revenues in the quarter compared with $2 million in the third quarter. The Zacks Consensus Estimate of $21.12 falls within the guidance range, However, revenues are expected in a range of $11.1 billion to $11.4 billion in 2017, short of the Zacks Consensus Estimate of $12.02 billion. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Zinbryta, launched in collaboration with AbbVie Inc. ABBV in August last year, contributed $6 million to revenues in the quarter compared with $2 million in the third quarter. The Zacks Consensus Estimate of $21.12 falls within the guidance range, However, revenues are expected in a range of $11.1 billion to $11.4 billion in 2017, short of the Zacks Consensus Estimate of $12.02 billion. | Zinbryta, launched in collaboration with AbbVie Inc. ABBV in August last year, contributed $6 million to revenues in the quarter compared with $2 million in the third quarter. Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report Biogen Inc. (BIIB): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. This included U.S. sales of $799.7 million and ex-U.S. sales of $202.3 million. |
26282.0 | 2017-01-26 00:00:00 UTC | Friday's Best Earnings Charts | ABBV | https://www.nasdaq.com/articles/fridays-best-earnings-charts-2017-01-26 | nan | nan | There were over 400 companies reporting this week but these are the best of the best expected to finish out the week and report on Friday.
Despite what you might think, it's not easy for companies to beat every quarter or nearly every quarter for years at a time. It's only a select few who have this amazing track record.
If you're playing the earnings beat or miss, these are definitely 3 companies you want to have on your list to watch this week.
1. Abbvie (ABBV) has missed only once, in early 2014. Shares have been trending sideways, though, as the drug stocks have fallen out of favor.
2. Honeywell (HON) has a great earnings record, with just 1 miss in the last 5 years. Most people remember Honeywell because it was a Dow Industrial component from 1925 until February 2008 when it was removed to make room for more modern type companies. But look at its chart since then. It has one of the prettiest charts on the Street with shares looking to break out to new 5-year highs. (Take that Dow Industrials!) Will this earnings report put them over the top?
3. American Airlines (AAL) hasn't missed since it went public in 2014 but shares have certainly been turbulent. The conditions are good for the airlines, though, as the global economy improves in 2017.
What else should you know about these earnings charts? Tune into the short video to find out.
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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 missed only once, in early 2014. Click to get this free report Honeywell International Inc. (HON): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report American Airlines Group, Inc. (AAL): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report To read this article on Zacks.com click here. Most people remember Honeywell because it was a Dow Industrial component from 1925 until February 2008 when it was removed to make room for more modern type companies. | Click to get this free report Honeywell International Inc. (HON): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report American Airlines Group, Inc. (AAL): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report To read this article on Zacks.com click here. Abbvie (ABBV) has missed only once, in early 2014. American Airlines (AAL) hasn't missed since it went public in 2014 but shares have certainly been turbulent. | Click to get this free report Honeywell International Inc. (HON): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report American Airlines Group, Inc. (AAL): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report To read this article on Zacks.com click here. Abbvie (ABBV) has missed only once, in early 2014. Dave gives his views below: Zacks' Top 10 Stocks for 2017 In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017? | Abbvie (ABBV) has missed only once, in early 2014. Click to get this free report Honeywell International Inc. (HON): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report American Airlines Group, Inc. (AAL): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report To read this article on Zacks.com click here. If you're playing the earnings beat or miss, these are definitely 3 companies you want to have on your list to watch this week. |
26283.0 | 2017-01-26 00:00:00 UTC | Pre-Market Earnings Report for January 27, 2017 : CVX, ABBV, HON, CL, NEE, GD, APD, AAL, BEN, GNTX, HRC, TCB | ABBV | https://www.nasdaq.com/articles/pre-market-earnings-report-january-27-2017-cvx-abbv-hon-cl-nee-gd-apd-aal-ben-gntx-hrc-tcb | nan | nan | The following companies are expected to report earnings prior to market open on 01/27/2017. Visit our Earnings Calendar for a full list of expected earnings releases.
Chevron Corporation ( CVX ) is reporting for the quarter ending December 31, 2016. The oil company's consensus earnings per share forecast from the 9 analysts that follow the stock is $0.64. This value represents a 306.45% increase compared to the same quarter last year. Zacks Investment Research reports that the 2016 Price to Earnings ratio for CVX is 87.49 vs. an industry ratio of 30.30, implying that they will have a higher earnings growth than their competitors in the same industry.
AbbVie Inc. ( ABBV ) is reporting for the quarter ending December 31, 2016. The large cap pharmaceutical company's consensus earnings per share forecast from the 11 analysts that follow the stock is $1.20. This value represents a 6.19% increase compared to the same quarter last year. In the past year ABBV has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2016 Price to Earnings ratio for ABBV is 12.73 vs. an industry ratio of 16.70.
Honeywell International Inc. ( HON ) is reporting for the quarter ending December 31, 2016. The diversified operations company's consensus earnings per share forecast from the 10 analysts that follow the stock is $1.74. This value represents a 10.13% increase compared to the same quarter last year. HON missed the consensus earnings per share in the 4th calendar quarter of 2015 by -0.63%. Zacks Investment Research reports that the 2016 Price to Earnings ratio for HON is 17.86 vs. an industry ratio of 20.90.
Colgate-Palmolive Company ( CL ) is reporting for the quarter ending December 31, 2016. The cleaning company's consensus earnings per share forecast from the 11 analysts that follow the stock is $0.75. This value represents a 2.74% increase compared to the same quarter last year. In the past year CL has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2016 Price to Earnings ratio for CL is 24.35 vs. an industry ratio of 23.20, implying that they will have a higher earnings growth than their competitors in the same industry.
NextEra Energy, Inc. ( NEE ) is reporting for the quarter ending December 31, 2016. The electric power utilities company's consensus earnings per share forecast from the 5 analysts that follow the stock is $1.29. This value represents a 10.26% increase compared to the same quarter last year. In the past year NEE has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 5.45%. Zacks Investment Research reports that the 2016 Price to Earnings ratio for NEE is 19.14 vs. an industry ratio of 11.20, implying that they will have a higher earnings growth than their competitors in the same industry.
General Dynamics Corporation ( GD ) is reporting for the quarter ending December 31, 2016. The aerospace and defense company's consensus earnings per share forecast from the 9 analysts that follow the stock is $2.54. This value represents a 5.83% increase compared to the same quarter last year. In the past year GD has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 4.64%. Zacks Investment Research reports that the 2016 Price to Earnings ratio for GD is 17.91 vs. an industry ratio of 14.70, implying that they will have a higher earnings growth than their competitors in the same industry.
Air Products and Chemicals, Inc. ( APD ) is reporting for the quarter ending December 31, 2016. The chemical company's consensus earnings per share forecast from the 9 analysts that follow the stock is $1.48. This value represents a 16.85% decrease compared to the same quarter last year. In the past year APD has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 1.01%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for APD is 23.28 vs. an industry ratio of 18.20, implying that they will have a higher earnings growth than their competitors in the same industry.
American Airlines Group, Inc. ( AAL ) is reporting for the quarter ending December 31, 2016. The airline company's consensus earnings per share forecast from the 9 analysts that follow the stock is $0.92. This value represents a 54.00% decrease compared to the same quarter last year. In the past year AAL has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 66.67%. Zacks Investment Research reports that the 2016 Price to Earnings ratio for AAL is 8.41 vs. an industry ratio of 20.20.
Franklin Resources, Inc. ( BEN ) is reporting for the quarter ending December 31, 2016. The finance/investment management company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.68. This value represents a 8.11% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2017 Price to Earnings ratio for BEN is 16.04 vs. an industry ratio of 14.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Gentex Corporation ( GNTX ) is reporting for the quarter ending December 31, 2016. The auto (truck) company's consensus earnings per share forecast from the 8 analysts that follow the stock is $0.32. This value represents a 6.67% increase compared to the same quarter last year. In the past year GNTX has met analyst expectations once and beat the expectations the other three quarters. The "days to cover" for this stock exceeds 11 days. Zacks Investment Research reports that the 2016 Price to Earnings ratio for GNTX is 17.98 vs. an industry ratio of 13.50, implying that they will have a higher earnings growth than their competitors in the same industry.
Hill-Rom Holdings Inc ( HRC ) is reporting for the quarter ending December 31, 2016. The medical products company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.75. This value represents a 10.29% increase compared to the same quarter last year. In the past year HRC has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 4.42%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for HRC is 15.88 vs. an industry ratio of 14.60, implying that they will have a higher earnings growth than their competitors in the same industry.
TCF Financial Corporation ( TCB ) is reporting for the quarter ending December 31, 2016. The bank (midwest) company's consensus earnings per share forecast from the 10 analysts that follow the stock is $0.30. This value represents a 3.45% increase compared to the same quarter last year. In the past year TCB has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2016 Price to Earnings ratio for TCB is 16.08 vs. an industry ratio of 18.10.
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 December 31, 2016. In the past year ABBV has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2016 Price to Earnings ratio for ABBV is 12.73 vs. an industry ratio of 16.70. | AbbVie Inc. ( ABBV ) is reporting for the quarter ending December 31, 2016. In the past year ABBV has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2016 Price to Earnings ratio for ABBV is 12.73 vs. an industry ratio of 16.70. | AbbVie Inc. ( ABBV ) is reporting for the quarter ending December 31, 2016. In the past year ABBV has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2016 Price to Earnings ratio for ABBV is 12.73 vs. an industry ratio of 16.70. | AbbVie Inc. ( ABBV ) is reporting for the quarter ending December 31, 2016. In the past year ABBV has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2016 Price to Earnings ratio for ABBV is 12.73 vs. an industry ratio of 16.70. |
26284.0 | 2017-01-25 00:00:00 UTC | AbbVie's HCV Regimen Okayed for Accelerated Assessment | ABBV | https://www.nasdaq.com/articles/abbvies-hcv-regimen-okayed-for-accelerated-assessment-2017-01-25 | nan | nan | AbbVie Inc.ABBV recently announced that the European Medicines Agency (EMA) has validated the Marketing Authorization Application for its investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P). The drug is now under accelerated assessment for the treatment of all major chronic hepatitis C virus (HCV) genotypes (genotypes 1-6).
Notably, glecaprevir (GLE) is a potent protease inhibitor, while pibrentasvir (PIB) is a new NS5A inhibitor.
The MAA was backed by data from eight registration studies in AbbVie's G/P clinical development program. The clinical studies were conducted on more than 2,300 patients across major HCV genotypes and special populations in 27 countries. Data from the studies showed that eight weeks of treatment with G/P achieved high SVR12 rates across all major genotypes of chronic HCV.
Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last six months. The stock lost 6% during the period, while the industry registered a decline of 13.1%.
GLE was discovered through the collaboration between AbbVie and Enanta Pharmaceuticals ENTA for HCV protease inhibitors.
On successful approval, AbbVie's G/P regimen may provide patients with a shorter-duration treatment option. The G/P regimen is expected to be available for marketing in the European Union (EU) in the second half of 2017.
We note that, AbbVie submitted a New Drug Application (NDA) to the FDA for G/P in Dec 2016. AbbVie also remains on track to submit a NDA for G/P in Japan in this quarter.
We remind investors that AbbVie also has an extensive pipeline of several interesting late-stage candidates. Some promising candidates include elagolix (endometriosis and uterine fibroids), atrasentan (chronic kidney disease), veliparib (indications including triple negative breast cancer and previously treated squamous non-small cell lung cancer (NSCLC), and ABT-494 (rheumatoid arthritis, Crohn's disease and ulcerative colitis).
AbbVie Inc. Price
AbbVie Inc. Price | AbbVie Inc. Quote
Zacks Rank & Key Picks
AbbVie currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector include Anika Therapeutics, Inc. ANIK and Enzo Biochem, Inc. ENZ . Both the stocks carry a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Anika's earnings estimates increased from $2.09 to $2.10 for 2017 over the last 60 days. The company posted a positive surprise in all of the four trailing quarters with an average beat of 33.14%.
Enzo Biochem's loss estimates narrowed from 17 cents to 16 cents for 2017 over the last 60 days. The company posted a positive earnings surprise in three of the four trailing quarters with an average beat of 22.50%.
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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 recently announced that the European Medicines Agency (EMA) has validated the Marketing Authorization Application for its investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P). The MAA was backed by data from eight registration studies in AbbVie's G/P clinical development program. Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last six months. | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Zacks Rank & Key Picks AbbVie currently carries a Zacks Rank #3 (Hold). Click to get this free report Enzo Biochem, Inc. (ENZ): Free Stock Analysis Report Anika Therapeutics Inc. (ANIK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Enanta Pharmaceuticals, Inc. (ENTA): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV recently announced that the European Medicines Agency (EMA) has validated the Marketing Authorization Application for its investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P). | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Zacks Rank & Key Picks AbbVie currently carries a Zacks Rank #3 (Hold). Click to get this free report Enzo Biochem, Inc. (ENZ): Free Stock Analysis Report Anika Therapeutics Inc. (ANIK): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Enanta Pharmaceuticals, Inc. (ENTA): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV recently announced that the European Medicines Agency (EMA) has validated the Marketing Authorization Application for its investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P). | AbbVie Inc.ABBV recently announced that the European Medicines Agency (EMA) has validated the Marketing Authorization Application for its investigational, pan-genotypic regimen of glecaprevir (ABT-493)/pibrentasvir (ABT-530) (G/P). The MAA was backed by data from eight registration studies in AbbVie's G/P clinical development program. Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last six months. |
26285.0 | 2017-01-25 00:00:00 UTC | 3 Dividend Aristocrats to Buy for Income and Growth | ABBV | https://www.nasdaq.com/articles/3-dividend-aristocrats-to-buy-for-income-and-growth-2017-01-25 | nan | nan | InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips
I'm kind of down on dividend stocks these days. That's not because dividend stocks are a bad idea, it's just that the market is about 20% overvalued, and the rush to replace meager bond income resulted in dividend stocks being bid up too far. So that's why I prefer to stick with Dividend Aristocrats.
Source: Shutterstock
Dividend Aristocrats have a slight advantage over what might be characterized as your standard blue-chip stock, in that they have been raising dividends annually for over 25 years straight.
That speaks to a high degree of success in the business, of course, but it also speaks to ongoing growth. It means that free cash flow is likely expanding from year to year, thus permitting more of that cash flow to be paid out as a dividend.
10 High-Yield Dividend Stocks That Are SOMEHOW Still Bargains
So here are three Dividend Aristocrats that I think pay a reasonable dividend, but also have a shot at capital gains.
Dividend Aristocrats to Buy: AbbVie (ABBV)
Source: Black Stripe via Wikimedia (Modified)
Dividend Yield: 4.2%
Long-Term Earnings Growth: 15%
The first choice for Dividend Aristocrats is one I frankly didn't expect, but after checking it's financials, I think it may have the best chance for per-share earnings growth in 2017 - AbbVie Inc (NYSE: ABBV ).
ABBV is a spinoff of the famous Abbott Laboratories (NYSE: ABT ). It primarily serves the oncology, immunology and virology therapeutic sectors, but it's moving into neuroscience.
It would stand to reason that a pharma play would have the best shot at growth. Even though blockbuster Humira is coming off patent, earnings are pegged to rise 13% this year and 15%-plus annually over the next five years. A new lymphoma drug just got approved , as well.
The quarterly dividend just got bumped 12% to 64 cents per share, giving ABBV a yield of about 4.4%. I think ABBV may be reasonably priced here, and I frankly don't see too much long-term risk.
Dividend Aristocrats to Buy: Cardinal (CAH)
Source: Via Wikimedia
Dividend Yield: 2.4%
Long-Term Earnings Growth: 10%
At 2.4%, Cardinal Health Inc (NYSE: CAH ) doesn't have a whopper of a yield as far as Dividend Aristocrats go, but it has a great opportunity for growth going forward. Distribution is one of the best areas to be invested. With its footprint and infrastructure, Cardinal's ability to distribute supplies of any kind (healthcare in this case) will net some pretty thick margins.
There's no fuss or muss regarding manufacturing or quality control. Distributors just need to get the product to the church on time. CAH has a massive 25,000 customer pharmacies it distributes to - everything from generics and OTC to specialty pharma. It also distributes consumer products and handles logistics involving inventory management, pricing, chargebacks and the like.
It also has a medical, surgical and lab products segment that distributes those products to relevant places.
10 Stocks to Buy to Survive a "Trumpsy-Turvy" 2017
CAH is a solid 10% earnings grower over the next five years, with well over $2.5 billion of free cash flow even after paying $465 million in annual dividends.
Dividend Aristocrats to Buy: Hormel (HRL)
Source: Mike Mozart via Flickr (Modified)
Dividend Yield: 1.9%
Long-Term Earnings Growth: 8%
It may sound wacky, but Hormel Foods Corp (NYSE: HRL ) may have a crack at 8% to 10% earnings growth going forward, on top of its 88 straight years of paying dividends - and raising it 51 years in a row. The 1.88% yield is nothing to get too excited about for one of these Dividend Aristocrats, but HRL may just have some bright per-share earnings gains coming even beyond what is projected.
Yes, Hormel is the company behind the famous Spam. But here's the key difference between HRL and the struggling snack food "blue-chips stocks": protein. HRL pushes meats as a snack. In fact, that's one of its catchphrases for marketing.
It makes Jennie-O meats and Skippy peanut butter, along with other protein products like Muscle Milk, Natural Choice Meats, Rev wraps and other popular bacon products.
Hormel is also making a big push into organics, which, as we know, is what grocery stores have been demanding, making the future look very protein-rich indeed for its bottom line.
Lawrence Meyers is the CEO of PDL Capital, and manager of the forthcoming Liberty Portfolio stock newsletter. As of this writing, has no position in any stock mentioned. He has 22 years' experience in the stock market, and has written more than 1,600 articles on investing. Lawrence Meyers can be reached at TheLibertyPortfolio@gmail.com.
The post 3 Dividend Aristocrats to Buy for Income and Growth 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. | Dividend Aristocrats to Buy: AbbVie (ABBV) Source: Black Stripe via Wikimedia (Modified) Dividend Yield: 4.2% Long-Term Earnings Growth: 15% The first choice for Dividend Aristocrats is one I frankly didn't expect, but after checking it's financials, I think it may have the best chance for per-share earnings growth in 2017 - AbbVie Inc (NYSE: ABBV ). ABBV is a spinoff of the famous Abbott Laboratories (NYSE: ABT ). The quarterly dividend just got bumped 12% to 64 cents per share, giving ABBV a yield of about 4.4%. | Dividend Aristocrats to Buy: AbbVie (ABBV) Source: Black Stripe via Wikimedia (Modified) Dividend Yield: 4.2% Long-Term Earnings Growth: 15% The first choice for Dividend Aristocrats is one I frankly didn't expect, but after checking it's financials, I think it may have the best chance for per-share earnings growth in 2017 - AbbVie Inc (NYSE: ABBV ). ABBV is a spinoff of the famous Abbott Laboratories (NYSE: ABT ). The quarterly dividend just got bumped 12% to 64 cents per share, giving ABBV a yield of about 4.4%. | Dividend Aristocrats to Buy: AbbVie (ABBV) Source: Black Stripe via Wikimedia (Modified) Dividend Yield: 4.2% Long-Term Earnings Growth: 15% The first choice for Dividend Aristocrats is one I frankly didn't expect, but after checking it's financials, I think it may have the best chance for per-share earnings growth in 2017 - AbbVie Inc (NYSE: ABBV ). ABBV is a spinoff of the famous Abbott Laboratories (NYSE: ABT ). The quarterly dividend just got bumped 12% to 64 cents per share, giving ABBV a yield of about 4.4%. | Dividend Aristocrats to Buy: AbbVie (ABBV) Source: Black Stripe via Wikimedia (Modified) Dividend Yield: 4.2% Long-Term Earnings Growth: 15% The first choice for Dividend Aristocrats is one I frankly didn't expect, but after checking it's financials, I think it may have the best chance for per-share earnings growth in 2017 - AbbVie Inc (NYSE: ABBV ). ABBV is a spinoff of the famous Abbott Laboratories (NYSE: ABT ). The quarterly dividend just got bumped 12% to 64 cents per share, giving ABBV a yield of about 4.4%. |
26286.0 | 2017-01-24 00:00:00 UTC | Sunesis Offers Updates on SNS-062 and Qinprezo Programs | ABBV | https://www.nasdaq.com/articles/sunesis-offers-updates-on-sns-062-and-qinprezo-programs-2017-01-24 | nan | nan | Sunesis Pharmaceuticals, Inc.SNSS provided clinical and regulatory updates on two of its lead programs - SNS-062, a second-generation reversible and non-covalent Bruton's tyrosine kinase (BTK) inhibitor, and Qinprezo (vosaroxin), an anti-cancer quinolone derivative.
A look at Sunesis' price movement shows that the company has underperformed the Medical-Biomedical/Genetics industry in the past one year. The stock declined 17.4% during this period, compared to the industry's 3.9% drop.
Coming back to the latest news, Sunesis stated that the FDA has completed reviewing its Investigational New Drug (IND) application for SNS-062. A phase IB/II study on the candidate is expected to be initiated in the first half of 2017. The study will evaluate the safety and efficacy of SNS-062 in patients with advanced B-cell malignancies after prior exposure to AbbVie Inc. ABBV and Johnson & Johnson's JNJ Imbruvica (ibrutinib), including those patients with C481S mutations.
In addition, Sunesis announced that it has received the Day 180 List of Outstanding Issues from the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP), as part of the centralized review process of the company's marketing authorization application (MAA) for Qinprezo (vosaroxin).
The company stated that it expects to respond to the Day 180 List of Outstanding Issues by the end of the first quarter and go before the Scientific Advisory Group's Oncology Division (SAG-O) in April. An opinion from the EMAs CHMP is expected in mid-2017. Also, a decision on the approval status of Qinprezo should be out in 2017.
Notably, Sunesis is looking to get Qinprezo approved for the treatment of patients with relapsed/refractory acute myeloid leukemia (AML). The candidate enjoys orphan drug status in both the U.S. and the EU.
We remind investors that in Oct 2014, Sunesis had reported disappointing data from the phase III VALOR study on Qinprezo, in combination with cytarabine, in patients with relapsed or refractory AML. The study failed to meet the primary endpoint of demonstrating a statistically significant improvement in overall survival. In Jul 2015, the company met with the FDA to discuss a potential regulatory filing in the U.S.
Based upon the meeting, the FDA recommended the company to provide additional data prior to any regulatory filing in the U.S. Sunesis is currently exploring regulatory and clinical strategies to seek approval in the U.S.
Going forward, we expect investors to remain focus on further updates by the company on its lead candidate, Qinprezo.
Sunesis Pharmaceuticals, Inc. Price and Consensus
Sunesis Pharmaceuticals, Inc. Price and Consensus | Sunesis Pharmaceuticals, Inc. Quote
Currently, Sunesis carries a Zacks Rank #1 (Strong Buy).
Other Key Pick
Another favorably ranked stock in the health care sector is Sucampo Pharmaceuticals, Inc. SCMP with a Zacks Rank #1. You can see the complete list of today's Zacks #1 Rank stocks here .
Sucmapo's earnings estimates were stable at $1.22 for 2016 but have increased from $1.30 to $1.74 for 2017 over the last 60 days. The company posted a positive earnings surprise in all of the four trailing quarters with an average beat of 35.5%.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest tickers for the entirety of 2017?
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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 study will evaluate the safety and efficacy of SNS-062 in patients with advanced B-cell malignancies after prior exposure to AbbVie Inc. ABBV and Johnson & Johnson's JNJ Imbruvica (ibrutinib), including those patients with C481S mutations. Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Sunesis Pharmaceuticals, Inc. (SNSS): Free Stock Analysis Report To read this article on Zacks.com click here. Sunesis Pharmaceuticals, Inc.SNSS provided clinical and regulatory updates on two of its lead programs - SNS-062, a second-generation reversible and non-covalent Bruton's tyrosine kinase (BTK) inhibitor, and Qinprezo (vosaroxin), an anti-cancer quinolone derivative. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Sunesis Pharmaceuticals, Inc. (SNSS): Free Stock Analysis Report To read this article on Zacks.com click here. The study will evaluate the safety and efficacy of SNS-062 in patients with advanced B-cell malignancies after prior exposure to AbbVie Inc. ABBV and Johnson & Johnson's JNJ Imbruvica (ibrutinib), including those patients with C481S mutations. In Jul 2015, the company met with the FDA to discuss a potential regulatory filing in the U.S. Based upon the meeting, the FDA recommended the company to provide additional data prior to any regulatory filing in the U.S. Sunesis is currently exploring regulatory and clinical strategies to seek approval in the U.S. | Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Sunesis Pharmaceuticals, Inc. (SNSS): Free Stock Analysis Report To read this article on Zacks.com click here. The study will evaluate the safety and efficacy of SNS-062 in patients with advanced B-cell malignancies after prior exposure to AbbVie Inc. ABBV and Johnson & Johnson's JNJ Imbruvica (ibrutinib), including those patients with C481S mutations. In Jul 2015, the company met with the FDA to discuss a potential regulatory filing in the U.S. Based upon the meeting, the FDA recommended the company to provide additional data prior to any regulatory filing in the U.S. Sunesis is currently exploring regulatory and clinical strategies to seek approval in the U.S. | The study will evaluate the safety and efficacy of SNS-062 in patients with advanced B-cell malignancies after prior exposure to AbbVie Inc. ABBV and Johnson & Johnson's JNJ Imbruvica (ibrutinib), including those patients with C481S mutations. Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report Sunesis Pharmaceuticals, Inc. (SNSS): Free Stock Analysis Report To read this article on Zacks.com click here. An opinion from the EMAs CHMP is expected in mid-2017. |
26287.0 | 2017-01-24 00:00:00 UTC | Can AbbVie (ABBV) Spring a Surprise This Earnings Season? | ABBV | https://www.nasdaq.com/articles/can-abbvie-abbv-spring-a-surprise-this-earnings-season-2017-01-24 | nan | nan | AbbVie Inc.ABBV is slated to release fourth-quarter and full-year 2016 earnings results before the opening bell on Jan 27.
AbbVie's shares improved 4.0% in the past one year, while the Zacks classified Biomed-Genetics industry recorded a decline of 1.6%.
Last quarter, the company delivered in-line earnings. AbbVie's performance has been mixed, with the pharmaceuticals company delivering positive surprises in the two of the past four quarter while recording in-line earnings in the other two. The average earnings beat over the last four quarters is 1.92%.
AbbVie Inc. Price and EPS Surprise
AbbVie Inc. Price and EPS Surprise | AbbVie Inc. Quote
Let's see how things are shaping up for the company this quarter.
Factors to Consider
At the third-quarter conference call, management revealed that it expects fourth-quarter earnings in the range of $1.18 to $1.20 per share. Revenues were guided to see high single-digit operational growth, excluding a minimal negative foreign exchange impact.
Key drug, Humira, is likely to remain the main growth driver in the fourth quarter. Growing awareness, favorable clinical data, additional indications and expansion into new markets are expected to help the product to continue making significant contributions to the top line. In the fourth quarter as well as in 2016, AbbVie expects Humira sales growth to be above 20%.
However, competition from biosimilar versions of products like Remicade and Enbrel is likely to impact the international Humira sales significantly. Notably, even though Amgen's Humira biosimilar had received the FDA approval in Sep 2016, the product has not been launched yet.
Another area of focus is the performance of Imbruvica which was added to AbbVie's portfolio following its May 2015 acquisition of Pharmacyclics. The drug recorded strong sales and share gains in the past two quarters, a trend we expect to continue. Imbruvica has multi-billion dollar potential which the company is exploring to expand Imbruvica's label into solid tumors and autoimmune diseases.
AbbVie is positioning Imbruvica as 'a pipeline in a molecule' - a treatment that is currently used in a wide range of studies. Imbruvica is partnered with Johnson & Johnson JNJ .
Other drugs like Duopa and Creon is also expected to perform well in the quarter to be reported.
However, Abbvie's Hepatitis C virus (HCV) treatment, Viekira, will continue to be impacted by the addition of liver injury warnings to the labels of AbbVie's HCV treatments as well as new competition in the market.
Earnings Whispers
Our proven model does not conclusively show that AbbVie is likely to beat on 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) for this to happen. That is not the case here, as you will see below.
Zacks ESP: The Earnings ESP is 0.0% as the Most Accurate estimate as well as the Zacks Consensus Estimate stands at $1.20. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: AbbVie'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
Some stocks in the large cap pharmaceuticals sector that have both a positive Earnings ESP and a favorable Zacks Rank are:
Eli Lilly and Company LLY has an Earnings ESP of +1.01% and a Zacks Rank #2. The company is scheduled to release results on Jan 31. You can see the complete list of today's Zacks #1 Rank stocks here .
Vertex Pharmaceuticals, Inc. VRTX has an Earnings ESP of +400.0% and a Zacks Rank #3. The company is scheduled to release results on Jan 25.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest tickers for the entirety of 2017?
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Eli Lilly and Company (LLY): 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's performance has been mixed, with the pharmaceuticals company delivering positive surprises in the two of the past four quarter while recording in-line earnings in the other two. AbbVie Inc.ABBV is slated to release fourth-quarter and full-year 2016 earnings results before the opening bell on Jan 27. AbbVie's shares improved 4.0% in the past one year, while the Zacks classified Biomed-Genetics industry recorded a decline of 1.6%. | AbbVie Inc. Price and EPS Surprise AbbVie Inc. Price and EPS Surprise | AbbVie Inc. Quote Let's see how things are shaping up for the company this quarter. Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV is slated to release fourth-quarter and full-year 2016 earnings results before the opening bell on Jan 27. | Click to get this free report Eli Lilly and Company (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV is slated to release fourth-quarter and full-year 2016 earnings results before the opening bell on Jan 27. AbbVie's shares improved 4.0% in the past one year, while the Zacks classified Biomed-Genetics industry recorded a decline of 1.6%. | AbbVie's performance has been mixed, with the pharmaceuticals company delivering positive surprises in the two of the past four quarter while recording in-line earnings in the other two. In the fourth quarter as well as in 2016, AbbVie expects Humira sales growth to be above 20%. AbbVie Inc.ABBV is slated to release fourth-quarter and full-year 2016 earnings results before the opening bell on Jan 27. |
26288.0 | 2017-01-24 00:00:00 UTC | Gilead Sciences Stock: What Could Go Wrong? | ABBV | https://www.nasdaq.com/articles/gilead-sciences-stock-what-could-go-wrong-2017-01-24 | nan | nan | In the wake of weakening hepatitis C drug revenue and key trial disappointments, Gilead Sciences (NASDAQ: GILD) shares have tumbled over the past year. Is now a good time to buy? Before you decide, it could help to understand what risks remain for the company and its investors.
No. 1: Competition expands
In the third quarter, sales of Gilead Sciences' megablockbuster hepatitis C drugs slipped 31% from a year ago. The company blamed the drop on a maturing market with fewer patients that must be treated immediately, and the launch of competing drugs that have driven Gilead Sciences' net drug prices lower.
While lower sales last year provide easier comparisons in 2017, and newly launched drugs that improve outcomes for tougher-to-treat genotypes could stabilize Gilead Sciences' sales, the hepatitis C drug market isn't getting any less competitive.
AbbVie, Inc. (NYSE: ABBV) is already awaiting a Food and Drug Administration decision on its next-generation successor to Viekira Pak, and that successor is easier to dose than Viekira Pak, can be given over as few as eight weeks, and delivers high cure rates across genotypes. Those advantages could help stabilize AbbVie's hepatitis C market share, which has declined in the past year.
Similarly, Merck & Co. 's(NYSE: MRK) Zepatier may be a niche drug right now, but Merck's R&D team is knee-deep in developing its own next-generation solutions. In November, the company highlighted midstage trial results for a combination therapy that delivered functional cure rates as high as 100% for 12 weeks of treatment. High cure rates were also noted in patients receiving the combination for a shorter eight-week duration.
Drug goliath Johnson & Johnson (NYSE: JNJ) shouldn't be forgotten in the indication, either. While Olysio was a flash-in-the pan top seller in the indication, Johnson & Johnson has mid- to late-stage work underway on regimens that could reduce treatment duration to as little as six weeks and reestablish it in the indication. Results from trials are expected later this year, and if they're positive, shorter duration treatment could eventually reshape patient care and negatively impact Gilead Sciences' market share.
Given that hepatitis C revenue still accounts for 45% of Gilead Sciences' sales, the threat of growing competition in indication can't be discounted.
No. 2: HIV growth slows
Rising demand for Gilead Sciences' HIV medicine was a bright spot for the company in 2016. HIV drug sales climbed more than 20% year over year in the third quarter alone. However, HIV drug sales growth could moderate from here. Last year, growth was driven by the launch of new combination therapies that include Gilead Sciences' TAF, a safer formulation of the commonly prescribed Viread.
Because TAF poses less of a risk to kidneys and bones than Viread, TAF-containing combination therapies are being prescribed in more patients, including those whose disease is more advanced, or patients with comorbidities.
Gilead Sciences is still in the process of refreshing its HIV drug line-up with TAF, but that refresh is maturing, and that could mean that it gets harder to deliver the same levels of growth as last year in 2017.
Also, like in hepatitis C, competitors are attempting to win away market share. For example, ViiV Healthcare, a joint venture spearheaded by GlaxoSmithKline (NYSE: GSK) , is actively pursuing new HIV therapies that could make it more difficult for Gilead Sciences to maintain its market share dominance. In December, ViiV announced that a single tablet, two-drug combination that includes Johnson & Johnson's Edurant met its primary endpoint in phase 3 studies. A filing for FDA approval is slated for this year.
No. 3: Expansion plans fall short
A cornerstone of Gilead Sciences' long-term strategy is the expansion of the company's product lineup beyond hepatitis C and HIV. Unfortunately, those efforts haven't borne much fruit.
In 2014, the company launched a highly promising new cancer drug, Zydelig, for use in chronic lymphocytic leukemia, or CLL. Industry analyst pegged the drug as a potential billion-dollar blockbuster when it launched, but Zydelig's sales have fallen far shy of those projections. Instead, doctors have embraced AbbVie's Imbruvica, a competing CLL drug that launched around the same time as Zydelig, but that has arguably fewer question marks regarding its safety. Management shut down label expansion trials for Zydelig following patient deaths early last year.
Management says it remains committed to developing cancer treatments, but it's had setbacks, including last year's failure of momelotinib in myelofibrosis, a rare form of leukemia.
Gilead Sciences is also attempting to enter the big autoimmune disease market via a collaboration with Galapagos on filgotinib, a drug in phase 3 trials for rheumatoid arthritis, Crohn's disease, and ulcerative colitis. Those are multibillion dollar indications, but phase 3 studies only recently begun, and there's no guarantee that they will pan out.
Looking forward
Gilead Sciences has a proven ability to develop top-selling medicine, and trial failures are far from uncommon, so it's possible that last year was an anomaly for the company. It also has a great advantage over peers because of its blue-chip balance sheet. With $31 billion in cash at its disposal and tens of billions in annual sales, it has plenty of cash flow to invest in drug development.
Furthermore, investors aren't paying a lot to buy the recently struggling biotech. At current prices, its shares are trading at just seven times forward EPS estimates. Buyers also benefit from a rising dividend payout that currently translates into a 2.65% yield.
Nevertheless, there's still uncertainty associated with this company and its ability to rekindle growth, and that means investors will need to watch the coming quarters closely for signs that it's back on track.
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Todd Campbell owns shares of Gilead Sciences. His clients may have positions in the companies mentioned. The Motley Fool owns shares of and recommends Gilead Sciences. The Motley Fool recommends Johnson and 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. | AbbVie, Inc. (NYSE: ABBV) is already awaiting a Food and Drug Administration decision on its next-generation successor to Viekira Pak, and that successor is easier to dose than Viekira Pak, can be given over as few as eight weeks, and delivers high cure rates across genotypes. Those advantages could help stabilize AbbVie's hepatitis C market share, which has declined in the past year. Instead, doctors have embraced AbbVie's Imbruvica, a competing CLL drug that launched around the same time as Zydelig, but that has arguably fewer question marks regarding its safety. | AbbVie, Inc. (NYSE: ABBV) is already awaiting a Food and Drug Administration decision on its next-generation successor to Viekira Pak, and that successor is easier to dose than Viekira Pak, can be given over as few as eight weeks, and delivers high cure rates across genotypes. Those advantages could help stabilize AbbVie's hepatitis C market share, which has declined in the past year. Instead, doctors have embraced AbbVie's Imbruvica, a competing CLL drug that launched around the same time as Zydelig, but that has arguably fewer question marks regarding its safety. | AbbVie, Inc. (NYSE: ABBV) is already awaiting a Food and Drug Administration decision on its next-generation successor to Viekira Pak, and that successor is easier to dose than Viekira Pak, can be given over as few as eight weeks, and delivers high cure rates across genotypes. Those advantages could help stabilize AbbVie's hepatitis C market share, which has declined in the past year. Instead, doctors have embraced AbbVie's Imbruvica, a competing CLL drug that launched around the same time as Zydelig, but that has arguably fewer question marks regarding its safety. | AbbVie, Inc. (NYSE: ABBV) is already awaiting a Food and Drug Administration decision on its next-generation successor to Viekira Pak, and that successor is easier to dose than Viekira Pak, can be given over as few as eight weeks, and delivers high cure rates across genotypes. Those advantages could help stabilize AbbVie's hepatitis C market share, which has declined in the past year. Instead, doctors have embraced AbbVie's Imbruvica, a competing CLL drug that launched around the same time as Zydelig, but that has arguably fewer question marks regarding its safety. |
26289.0 | 2017-01-24 00:00:00 UTC | Noteworthy Tuesday Option Activity: ABBV, MU, MGM | ABBV | https://www.nasdaq.com/articles/noteworthy-tuesday-option-activity-abbv-mu-mgm-2017-01-24 | nan | nan | Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc. (Symbol: ABBV), where a total of 27,797 contracts have traded so far, representing approximately 2.8 million underlying shares. That amounts to about 41% of ABBV's average daily trading volume over the past month of 6.8 million shares. Particularly high volume was seen for the $60 strike call option expiring February 17, 2017 , with 5,344 contracts trading so far today, representing approximately 534,400 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $60 strike highlighted in orange:
Micron Technology Inc. (Symbol: MU) saw options trading volume of 101,714 contracts, representing approximately 10.2 million underlying shares or approximately 41% of MU's average daily trading volume over the past month, of 24.8 million shares. Particularly high volume was seen for the $22.50 strike put option expiring January 27, 2017 , with 6,703 contracts trading so far today, representing approximately 670,300 underlying shares of MU. Below is a chart showing MU's trailing twelve month trading history, with the $22.50 strike highlighted in orange:
And MGM Resorts International (Symbol: MGM) saw options trading volume of 24,898 contracts, representing approximately 2.5 million underlying shares or approximately 40.9% of MGM's average daily trading volume over the past month, of 6.1 million shares. Especially high volume was seen for the $31 strike call option expiring February 17, 2017 , with 16,758 contracts trading so far today, representing approximately 1.7 million underlying shares of MGM. Below is a chart showing MGM's trailing twelve month trading history, with the $31 strike highlighted in orange:
For the various different available expirations for ABBV options , MU options , or MGM 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 $60 strike call option expiring February 17, 2017 , with 5,344 contracts trading so far today, representing approximately 534,400 underlying shares of ABBV. Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc. (Symbol: ABBV), where a total of 27,797 contracts have traded so far, representing approximately 2.8 million underlying shares. That amounts to about 41% of ABBV's average daily trading volume over the past month of 6.8 million shares. | Below is a chart showing ABBV's trailing twelve month trading history, with the $60 strike highlighted in orange: Micron Technology Inc. (Symbol: MU) saw options trading volume of 101,714 contracts, representing approximately 10.2 million underlying shares or approximately 41% of MU's average daily trading volume over the past month, of 24.8 million shares. Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc. (Symbol: ABBV), where a total of 27,797 contracts have traded so far, representing approximately 2.8 million underlying shares. That amounts to about 41% of ABBV's average daily trading volume over the past month of 6.8 million shares. | Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc. (Symbol: ABBV), where a total of 27,797 contracts have traded so far, representing approximately 2.8 million underlying shares. Below is a chart showing ABBV's trailing twelve month trading history, with the $60 strike highlighted in orange: Micron Technology Inc. (Symbol: MU) saw options trading volume of 101,714 contracts, representing approximately 10.2 million underlying shares or approximately 41% of MU's average daily trading volume over the past month, of 24.8 million shares. That amounts to about 41% of ABBV's average daily trading volume over the past month of 6.8 million shares. | Particularly high volume was seen for the $60 strike call option expiring February 17, 2017 , with 5,344 contracts trading so far today, representing approximately 534,400 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $60 strike highlighted in orange: Micron Technology Inc. (Symbol: MU) saw options trading volume of 101,714 contracts, representing approximately 10.2 million underlying shares or approximately 41% of MU's average daily trading volume over the past month, of 24.8 million shares. Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc. (Symbol: ABBV), where a total of 27,797 contracts have traded so far, representing approximately 2.8 million underlying shares. |
26290.0 | 2017-01-23 00:00:00 UTC | Abbot Laboratories (ABT) Stock Should Start to Sizzle in 2017 | ABBV | https://www.nasdaq.com/articles/abbot-laboratories-abt-stock-should-start-to-sizzle-in-2017-2017-01-23 | nan | nan | InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips
Abbott Laboratories (NYSE: ABT ) has evolved greatly in recent years, most notably by spinning out its proprietary pharmaceutical products division in 2013 to form a new company that is now known as AbbVie Inc (NYSE: ABBV ).
Source: Open Grid Scheduler Via Flickr
Abbott then went on to make two moves to focus its generic drug business in developing markets, first by acquiring CFR Pharmaceuticals (a Latin American pharmaceutical company) for $2.9 billion in 2014 and then by selling its developed markets generics business to Mylan NV (NASDAQ: MYL ) for 110 million MYL shares in 2015.
This September, Abbott also announced the sale of Abbott Medical Optics (its vision care business) to Johnson & Johnson (NYSE: JNJ ) for $4.325 billion.
All of these moves add up to a steady growth, high-quality healthcare company that does not need to undertake the costs and risks of developing pharmaceuticals.
Just 18 months ago, Wall Street liked ABT enough to accumulate shares up to 20.88X anticipated earnings because the models suggested that we'd see the company grow its bottom line by 10%-12% in the near term. That expansion scenario fizzled in the summer of 2015, pushing the stock off a $50 cliff into a more subdued $35-$45 channel. As long as the year-over-year earnings trend was in decline, there just wasn't a lot of immediate incentive to keep buying.
7 Straight-A Stocks to Build Your Portfolio Around
Months of fretting over out-of-control drug pricing and cutthroat competition in the generic pharmaceuticals space in particular didn't help.
Now, however, ABT is barely trading at 16.4X anticipated earnings, so there's a significant discount compared to levels we know the company can support when medical stocks are in favor. And while growth looked soft back then, there is a much healthier ramp to look forward to now: Once again, I'm looking for 10%-12% growth, and this time it's likely that the high-profile merger with St. Jude Medical will help it happen.
Since the new and improved Abbott Laboratories came into being in 2013, reported sales have been flat, largely due to currency issues. However, excluding currency, sales actually increased 5.5% in 2014 and 7.5% in 2015. Margins expanded with the increased volume, and earnings improved from $1.62 a share in 2013 to $2.15 a share in 2015. With that in mind, I believe we could see ABT earn $2.45 a share in 2017.
Plus, the company expects EPS accretion of 19 cents in the first year after the St. Jude acquisition, so the outlook remains bright through 2018.
Value investing can be capricious because it can take years for a discounted stock to recover the pricing the fundamentals truly deserve. It helps to have a catalyst on your side - and for ABT stock, that catalyst is the emerging swing from deterioration to growth.
Coupled with the fact that the company is trading cheap in the here and now relative to its history, Abbott Laboratories could start dishing out rewards in the very near term.
Hilary Kramer is the editor of GameChangers , Breakout Stocks Under $10 , High Octane Trader , Absolute Capital Return and Value Authority . She is an accomplished investment specialist and market strategist with more than 25 years of experience in portfolio management, equity research, trading, and risk management. She has extensive expertise in global financial management, asset allocation, investment banking and private equity ventures, and is regularly sought after to provide her analysis on Bloomberg, CNBC, Fox Business Network and other media.
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The post Abbot Laboratories (ABT) Stock Should Start to Sizzle in 2017 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. | InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips Abbott Laboratories (NYSE: ABT ) has evolved greatly in recent years, most notably by spinning out its proprietary pharmaceutical products division in 2013 to form a new company that is now known as AbbVie Inc (NYSE: ABBV ). Just 18 months ago, Wall Street liked ABT enough to accumulate shares up to 20.88X anticipated earnings because the models suggested that we'd see the company grow its bottom line by 10%-12% in the near term. 7 Straight-A Stocks to Build Your Portfolio Around Months of fretting over out-of-control drug pricing and cutthroat competition in the generic pharmaceuticals space in particular didn't help. | InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips Abbott Laboratories (NYSE: ABT ) has evolved greatly in recent years, most notably by spinning out its proprietary pharmaceutical products division in 2013 to form a new company that is now known as AbbVie Inc (NYSE: ABBV ). Source: Open Grid Scheduler Via Flickr Abbott then went on to make two moves to focus its generic drug business in developing markets, first by acquiring CFR Pharmaceuticals (a Latin American pharmaceutical company) for $2.9 billion in 2014 and then by selling its developed markets generics business to Mylan NV (NASDAQ: MYL ) for 110 million MYL shares in 2015. She is an accomplished investment specialist and market strategist with more than 25 years of experience in portfolio management, equity research, trading, and risk management. | InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips Abbott Laboratories (NYSE: ABT ) has evolved greatly in recent years, most notably by spinning out its proprietary pharmaceutical products division in 2013 to form a new company that is now known as AbbVie Inc (NYSE: ABBV ). Source: Open Grid Scheduler Via Flickr Abbott then went on to make two moves to focus its generic drug business in developing markets, first by acquiring CFR Pharmaceuticals (a Latin American pharmaceutical company) for $2.9 billion in 2014 and then by selling its developed markets generics business to Mylan NV (NASDAQ: MYL ) for 110 million MYL shares in 2015. 7 Stocks to Buy to Double Your Money in 2017 The post Abbot Laboratories (ABT) Stock Should Start to Sizzle in 2017 appeared first on InvestorPlace . | InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips Abbott Laboratories (NYSE: ABT ) has evolved greatly in recent years, most notably by spinning out its proprietary pharmaceutical products division in 2013 to form a new company that is now known as AbbVie Inc (NYSE: ABBV ). Source: Open Grid Scheduler Via Flickr Abbott then went on to make two moves to focus its generic drug business in developing markets, first by acquiring CFR Pharmaceuticals (a Latin American pharmaceutical company) for $2.9 billion in 2014 and then by selling its developed markets generics business to Mylan NV (NASDAQ: MYL ) for 110 million MYL shares in 2015. Margins expanded with the increased volume, and earnings improved from $1.62 a share in 2013 to $2.15 a share in 2015. |
26291.0 | 2017-01-23 00:00:00 UTC | Gilead (GILD) HCV Therapy Application Validated in Europe | ABBV | https://www.nasdaq.com/articles/gilead-gild-hcv-therapy-application-validated-in-europe-2017-01-23 | nan | nan | Gilead Sciences, Inc.GILD announced that its Marketing Authorization Application (MAA) for experimental direct-acting antiviral (DAA) of once-daily, single tablet regimen (STR) of Sovaldi, velpatasvir 100 mg and voxilaprevir 100 mg (SOF/VEL/VOX) for the treatment of chronic hepatitis C virus (HCV)-infected patients has been fully validated.
Shares of Gilead have underperformed the Zacks classified Medical-Biomedical and Genetics industry in the last one year with the stock losing 21.6% during this period, compared with the industry's decline of 12.8%.
The application is under assessment by the European Medicines Agency (EMA).The application will be reviewed by the EMA under an accelerated procedure given the need for advanced HCV treatments.
We remind investors that in Dec 2016 the company had filed a regulatory application in the U.S., seeking approval for a once-daily fixed-dose combination of Sovaldi/velpatasvir plus voxilaprevir for the treatment of DAA-experienced chronic HCV-infected patients.
Gilead is known for its presence in the HCV market because of its blockbuster drugs, Sovaldi and Harvoni. The HCV portfolio got a huge a boost when Epclusa gained approval in both the U.S. and the EU in 2016 to become the first and only all-oral, pan-genotypic, STR consisting of Sovaldi and velpatasvir (an NS5A inhibitor), for the treatment of adults with genotype 1-6 chronic HCV infection.
Gilead is working on bringing new HCV therapies to market. If the DAA is approved, the combination would be the first once-daily STR available as a salvage therapy for patients infected with HCV genotype 1-6 who have failed prior treatment with DAA regimens including NS5A inhibitors.
However, we note that Gilead's HCV treatments face competition from AbbVie's ABBV Viekira Pak and Viekira XR, Bristol-Myers' BMY Daklinza among others.
Gilead Sciences currently carries a Zacks Rank #3 (Hold).
Gilead Sciences Inc. Price and Consensus
Gilead Sciences Inc. Price and Consensus | Gilead Sciences Inc. Quote
Key Picks
A better-ranked stock in this industry is Sucampo Pharmaceuticals SCMP . The company currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Sucampo's estimates increased from $1.58 to $1.74 for 2017 over the last 30 days. The company posted a positive surprise in all of the four trailing quarters with an average beat of 35.55%.
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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, we note that Gilead's HCV treatments face competition from AbbVie's ABBV Viekira Pak and Viekira XR, Bristol-Myers' BMY Daklinza among others. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Gilead Sciences, Inc.GILD announced that its Marketing Authorization Application (MAA) for experimental direct-acting antiviral (DAA) of once-daily, single tablet regimen (STR) of Sovaldi, velpatasvir 100 mg and voxilaprevir 100 mg (SOF/VEL/VOX) for the treatment of chronic hepatitis C virus (HCV)-infected patients has been fully validated. | Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. However, we note that Gilead's HCV treatments face competition from AbbVie's ABBV Viekira Pak and Viekira XR, Bristol-Myers' BMY Daklinza among others. Gilead Sciences, Inc.GILD announced that its Marketing Authorization Application (MAA) for experimental direct-acting antiviral (DAA) of once-daily, single tablet regimen (STR) of Sovaldi, velpatasvir 100 mg and voxilaprevir 100 mg (SOF/VEL/VOX) for the treatment of chronic hepatitis C virus (HCV)-infected patients has been fully validated. | Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. However, we note that Gilead's HCV treatments face competition from AbbVie's ABBV Viekira Pak and Viekira XR, Bristol-Myers' BMY Daklinza among others. Gilead Sciences, Inc.GILD announced that its Marketing Authorization Application (MAA) for experimental direct-acting antiviral (DAA) of once-daily, single tablet regimen (STR) of Sovaldi, velpatasvir 100 mg and voxilaprevir 100 mg (SOF/VEL/VOX) for the treatment of chronic hepatitis C virus (HCV)-infected patients has been fully validated. | However, we note that Gilead's HCV treatments face competition from AbbVie's ABBV Viekira Pak and Viekira XR, Bristol-Myers' BMY Daklinza among others. Click to get this free report Bristol-Myers Squibb Company (BMY): Free Stock Analysis Report Gilead Sciences, Inc. (GILD): Free Stock Analysis Report Sucampo Pharmaceuticals, Inc. (SCMP): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Gilead Sciences, Inc.GILD announced that its Marketing Authorization Application (MAA) for experimental direct-acting antiviral (DAA) of once-daily, single tablet regimen (STR) of Sovaldi, velpatasvir 100 mg and voxilaprevir 100 mg (SOF/VEL/VOX) for the treatment of chronic hepatitis C virus (HCV)-infected patients has been fully validated. |
26292.0 | 2017-01-23 00:00:00 UTC | W.G. Shaheen & Associates DBA Whitney & Co Buys The Kroger Co, Constellation Brands ... | ABBV | https://www.nasdaq.com/articles/wg-shaheen-associates-dba-whitney-co-buys-kroger-co-constellation-brands-2017-01-23 | nan | nan | W.G. Shaheen & Associates DBA Whitney & Co
New Purchases: KR , PHO , TJX , DOW, DIS, PUKPRA,
Added Positions:STZ, FB, NXPI, EMN, DY, MSFT, GOOG, UTX, ITOT, CSCO,
Reduced Positions:GILD, CVS, TMP, HCP, TEVA, PG, SXL, EPD, ESRX, COP,
Sold Out:YDKN, DVMT, MRO, COTY, QCP,
For the details of W.G. Shaheen & Associates DBA Whitney & Co's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=W.G.+Shaheen+%26+Associates+DBA+Whitney+%26+Co
These are the top 5 holdings of W.G. Shaheen & Associates DBA Whitney & Co
Apple Inc ( AAPL ) - 103,560 shares, 4.55% of the total portfolio. Shares reduced by 0.36%
Paychex Inc ( PAYX ) - 146,078 shares, 3.37% of the total portfolio. Shares added by 0.79%
Aetna Inc ( AET ) - 63,550 shares, 2.99% of the total portfolio. Shares reduced by 0.19%
Verizon Communications Inc ( VZ ) - 134,708 shares, 2.73% of the total portfolio. Shares added by 0.63%
AbbVie Inc ( ABBV ) - 114,166 shares, 2.71% of the total portfolio. Shares added by 0.85%
New Purchase: The Kroger Co (KR)
W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in The Kroger Co. The purchase prices were between $28.84 and $35.96, with an estimated average price of $32.61. The stock is now traded at around $34.00. The impact to the portfolio due to this purchase was 1.83%. The holdings were 139,920 shares as of 2016-12-31.
New Purchase: PowerShares Water Resources Portfolio (PHO)
W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in PowerShares Water Resources Portfolio. The purchase prices were between $22.92 and $25.43, with an estimated average price of $24.27. The stock is now traded at around $24.89. The impact to the portfolio due to this purchase was 0.17%. The holdings were 18,700 shares as of 2016-12-31.
New Purchase: TJX Companies Inc (TJX)
W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in TJX Companies Inc. The purchase prices were between $71.8 and $79.43, with an estimated average price of $75.58. The stock is now traded at around $75.26. The impact to the portfolio due to this purchase was 0.16%. The holdings were 5,500 shares as of 2016-12-31.
New Purchase: Dow Chemical Co (DOW)
W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in Dow Chemical Co. The purchase prices were between $51.86 and $59.08, with an estimated average price of $54.99. The stock is now traded at around $57.31. The impact to the portfolio due to this purchase was 0.1%. The holdings were 4,510 shares as of 2016-12-31.
New Purchase: Walt Disney Co (DIS)
W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in Walt Disney Co. The purchase prices were between $90.83 and $105.56, with an estimated average price of $97.5. The stock is now traded at around $107.28. The impact to the portfolio due to this purchase was 0.08%. The holdings were 2,050 shares as of 2016-12-31.
New Purchase: Prudential PLC (PUKPRA)
W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in Prudential PLC. The purchase prices were between $25.26 and $26.86, with an estimated average price of $25.86. The stock is now traded at around $25.40. The impact to the portfolio due to this purchase was 0.08%. The holdings were 7,900 shares as of 2016-12-31.
Added: Constellation Brands Inc (STZ)
W.G. Shaheen & Associates DBA Whitney & Co added to the holdings in Constellation Brands Inc by 588.00%. The purchase prices were between $145.34 and $171.24, with an estimated average price of $158.85. The stock is now traded at around $152.16. The impact to the portfolio due to this purchase was 1.52%. The holdings were 30,685 shares as of 2016-12-31.
Added: Facebook Inc (FB)
W.G. Shaheen & Associates DBA Whitney & Co added to the holdings in Facebook Inc by 337.15%. The purchase prices were between $115.05 and $133.28, with an estimated average price of $122.81. The stock is now traded at around $127.68. The impact to the portfolio due to this purchase was 1.04%. The holdings were 30,937 shares as of 2016-12-31.
Added: Eastman Chemical Co (EMN)
W.G. Shaheen & Associates DBA Whitney & Co added to the holdings in Eastman Chemical Co by 28.75%. The purchase prices were between $63.17 and $77.77, with an estimated average price of $72.22. The stock is now traded at around $76.76. The impact to the portfolio due to this purchase was 0.13%. The holdings were 20,150 shares as of 2016-12-31.
Added: iShares Core S&P Total U.S. Stock Market (ITOT)
W.G. Shaheen & Associates DBA Whitney & Co added to the holdings in iShares Core S&P Total U.S. Stock Market by 74.53%. The purchase prices were between $47.46 and $52.11, with an estimated average price of $49.64. The stock is now traded at around $52.04. The impact to the portfolio due to this purchase was 0.07%. The holdings were 8,875 shares as of 2016-12-31.
Added: Philip Morris International Inc (PM)
W.G. Shaheen & Associates DBA Whitney & Co added to the holdings in Philip Morris International Inc by 20.59%. The purchase prices were between $87.33 and $97.86, with an estimated average price of $92.66. The stock is now traded at around $94.50. The impact to the portfolio due to this purchase was 0.02%. The holdings were 4,100 shares as of 2016-12-31.
Sold Out: Yadkin Financial Corp (YDKN)
W.G. Shaheen & Associates DBA Whitney & Co sold out the holdings in Yadkin Financial Corp. The sale prices were between $26 and $35.16, with an estimated average price of $30.39.
Sold Out: Dell Technologies Inc (DVMT)
W.G. Shaheen & Associates DBA Whitney & Co sold out the holdings in Dell Technologies Inc. The sale prices were between $46.72 and $57.29, with an estimated average price of $51.07.
Sold Out: Marathon Oil Corp (MRO)
W.G. Shaheen & Associates DBA Whitney & Co sold out the holdings in Marathon Oil Corp. The sale prices were between $12.78 and $18.8, with an estimated average price of $16.06.
Sold Out: Quality Care Properties Inc (QCP)
W.G. Shaheen & Associates DBA Whitney & Co sold out the holdings in Quality Care Properties Inc. The sale prices were between $12.48 and $19, with an estimated average price of $15.23.
Sold Out: Coty Inc (COTY)
W.G. Shaheen & Associates DBA Whitney & Co sold out the holdings in Coty Inc. The sale prices were between $18.08 and $25.1, with an estimated average price of $20.66.
STZ 15-Year Financial Data
The intrinsic value of STZ
Peter Lynch Chart of STZ
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This article first appeared on GuruFocus .
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. | Shares added by 0.63% AbbVie Inc ( ABBV ) - 114,166 shares, 2.71% of the total portfolio. Shaheen & Associates DBA Whitney & Co New Purchases: KR , PHO , TJX , DOW, DIS, PUKPRA, Added Positions:STZ, FB, NXPI, EMN, DY, MSFT, GOOG, UTX, ITOT, CSCO, Reduced Positions:GILD, CVS, TMP, HCP, TEVA, PG, SXL, EPD, ESRX, COP, Sold Out:YDKN, DVMT, MRO, COTY, QCP, For the details of W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in PowerShares Water Resources Portfolio. | Shares added by 0.63% AbbVie Inc ( ABBV ) - 114,166 shares, 2.71% of the total portfolio. Shaheen & Associates DBA Whitney & Co New Purchases: KR , PHO , TJX , DOW, DIS, PUKPRA, Added Positions:STZ, FB, NXPI, EMN, DY, MSFT, GOOG, UTX, ITOT, CSCO, Reduced Positions:GILD, CVS, TMP, HCP, TEVA, PG, SXL, EPD, ESRX, COP, Sold Out:YDKN, DVMT, MRO, COTY, QCP, For the details of W.G. Shaheen & Associates DBA Whitney & Co initiated holdings in PowerShares Water Resources Portfolio. | Shares added by 0.63% AbbVie Inc ( ABBV ) - 114,166 shares, 2.71% of the total portfolio. Shaheen & Associates DBA Whitney & Co New Purchases: KR , PHO , TJX , DOW, DIS, PUKPRA, Added Positions:STZ, FB, NXPI, EMN, DY, MSFT, GOOG, UTX, ITOT, CSCO, Reduced Positions:GILD, CVS, TMP, HCP, TEVA, PG, SXL, EPD, ESRX, COP, Sold Out:YDKN, DVMT, MRO, COTY, QCP, For the details of W.G. Shaheen & Associates DBA Whitney & Co added to the holdings in iShares Core S&P Total U.S. Stock Market by 74.53%. | Shares added by 0.63% AbbVie Inc ( ABBV ) - 114,166 shares, 2.71% of the total portfolio. Shaheen & Associates DBA Whitney & Co New Purchases: KR , PHO , TJX , DOW, DIS, PUKPRA, Added Positions:STZ, FB, NXPI, EMN, DY, MSFT, GOOG, UTX, ITOT, CSCO, Reduced Positions:GILD, CVS, TMP, HCP, TEVA, PG, SXL, EPD, ESRX, COP, Sold Out:YDKN, DVMT, MRO, COTY, QCP, For the details of W.G. Shaheen & Associates DBA Whitney & Co Apple Inc ( AAPL ) - 103,560 shares, 4.55% of the total portfolio. |
26293.0 | 2017-01-22 00:00:00 UTC | 3 Incredibly Cheap High-Yield Dividend Stocks | ABBV | https://www.nasdaq.com/articles/3-incredibly-cheap-high-yield-dividend-stocks-2017-01-22 | nan | nan | Who says stocks that pay great dividends have to be expensive?
While investors often do pay a premium price for stocks that boast high dividend yields, that's not always the case. In fact, three healthcare stocks with attractive yields are incredibly cheap right now. If you're looking for bargain dividend stocks , here's why you'll definitely want to consider AbbVie (NYSE: ABBV) , Gilead Sciences (NASDAQ: GILD) , and Teva Pharmaceutical (NYSE: TEVA) .
Image source: Getty Images.
AbbVie: Growth, dividends, and more
You can pretty much have it all with AbbVie. The big biotech continues to deliver impressive earnings growth. Its dividend yield stands at a mouthwatering 4.14%, and the company is in good shape to increase its dividend even more down the road.
AbbVie currently uses around 60% of its earnings to pay out dividends. That's a pretty healthy level that allows room for dividend hikes. The better news, though, is that analysts expect AbbVie's earnings to increase by more than 15% annually over the next few years.
Blockbuster autoimmune disease drug Humira will be key to that earnings growth. However, AbbVie also should get plenty of help from fast-growing cancer drug Imbruvica. The biotech's pipeline includes some solid candidates also, especially chronic lymphocytic leukemia (CLL) drug Venclexta, endometriosis candidate Elagolix, and experimental lung cancer drug Rova-T.
AbbVie's stock trades at only 11 times forward earnings. This valuation is even more attractive factoring in the company's growth prospects.
Gilead Sciences: Dirt cheap with an increasing dividend
Gilead Sciences' yield of 2.61% might not be as high as AbbVie's, but the company could grow its dividend at a faster rate. Gilead announced a 10% dividend hike in February 2016. Another one could be on the way.
The biotech is using less than 17% of its earnings to pay out dividends. Gilead could easily double its dividend without breaking a sweat. I don't necessarily expect that to happen anytime soon, but the company certainly has the financial ability to do so if it wanted.
Unlike AbbVie, however, Gilead's earnings aren't growing. The go-go days for its hepatitis C virus (HCV) franchise are now gone. Gilead has felt the impact of slipping sales for its HCV drugs Harvoni and Sovaldi. The company's newer products and late-stage pipeline candidates could generate enough new revenue to largely offset the lower sales from Harvoni and Sovaldi, but it probably won't be sufficient for Gilead to achieve much earnings growth.
On the other hand, Gilead Sciences has a boatload of cash to spend on acquisitions that could improve its earnings outlook. Regardless, the stock is crazy cheap right now, trading at less than seven times forward earnings.
Teva: Stock down but yield is up
Teva's dividend yield of 4.03% slightly lags behind AbbVie's. However, unlike both AbbVie and Gilead Sciences, the Israel-based drugmaker doesn't have much room for dividend hikes. Teva is using nearly 79% of earnings to cover its dividend right now. After a decade of increases, the company has kept its dividend payout steady over the last two years.
Investors probably don't need to worry about Teva's juicy yield being in jeopardy, though. The company should be able to grow earnings, albeit slowly perhaps, over the next few years. Teva's acquisition last year of Actavis Generics from Allergan will definitely help with increasing revenue and earnings.
But is Teva's stock slide over? Shares have dropped over 45% in the last 12 months with no signs yet of bottoming out. My view is that Teva likely won't fall too much below current levels, although I wouldn't go as far as predicting an imminent rebound.
The good news for investors is that Teva's stock is now cheaper than it's been in a while. Teva trades below seven times forward earnings.
Best pick
Which of these three stocks is the best pick for investors? Probably AbbVie -- for now, at least.
There's really not much to dislike about AbbVie. Humira could face some serious competition from biosimilars at some point (one has already won FDA approval), but the company can probably fend off rivals for a few more years. I like the upside for Imbruvica and Venclexta. And you can count on AbbVie prioritizing its dividend.
All that being said, I suspect Gilead Sciences' stock price and dividend payout are headed up. I doubt Gilead will remain this cheap for too much longer. While AbbVie gets the nod for now, Gilead might prove to be the bigger winner over the long run.
10 stocks we like better than AbbVie
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Keith Speights owns shares of Gilead Sciences. The Motley Fool owns shares of and recommends Gilead Sciences. The Motley Fool recommends Teva Pharmaceutical Industries. 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. | If you're looking for bargain dividend stocks , here's why you'll definitely want to consider AbbVie (NYSE: ABBV) , Gilead Sciences (NASDAQ: GILD) , and Teva Pharmaceutical (NYSE: TEVA) . AbbVie: Growth, dividends, and more You can pretty much have it all with AbbVie. AbbVie currently uses around 60% of its earnings to pay out dividends. | If you're looking for bargain dividend stocks , here's why you'll definitely want to consider AbbVie (NYSE: ABBV) , Gilead Sciences (NASDAQ: GILD) , and Teva Pharmaceutical (NYSE: TEVA) . The biotech's pipeline includes some solid candidates also, especially chronic lymphocytic leukemia (CLL) drug Venclexta, endometriosis candidate Elagolix, and experimental lung cancer drug Rova-T. AbbVie's stock trades at only 11 times forward earnings. Gilead Sciences: Dirt cheap with an increasing dividend Gilead Sciences' yield of 2.61% might not be as high as AbbVie's, but the company could grow its dividend at a faster rate. | If you're looking for bargain dividend stocks , here's why you'll definitely want to consider AbbVie (NYSE: ABBV) , Gilead Sciences (NASDAQ: GILD) , and Teva Pharmaceutical (NYSE: TEVA) . Gilead Sciences: Dirt cheap with an increasing dividend Gilead Sciences' yield of 2.61% might not be as high as AbbVie's, but the company could grow its dividend at a faster rate. Teva: Stock down but yield is up Teva's dividend yield of 4.03% slightly lags behind AbbVie's. | AbbVie: Growth, dividends, and more You can pretty much have it all with AbbVie. AbbVie currently uses around 60% of its earnings to pay out dividends. Gilead Sciences: Dirt cheap with an increasing dividend Gilead Sciences' yield of 2.61% might not be as high as AbbVie's, but the company could grow its dividend at a faster rate. |
26294.0 | 2017-01-20 00:00:00 UTC | Celgene (CELG) Q4 Earnings: Will the Stock Pull a Surprise? | ABBV | https://www.nasdaq.com/articles/celgene-celg-q4-earnings%3A-will-the-stock-pull-a-surprise-2017-01-20 | nan | nan | Celgene CorporationCELG is scheduled to report fourth-quarter 2016 results on Jan 26, before the opening bell. Last quarter, the company reported a positive earnings surprise of 6.11%.
Notably, shares of Celgene have outperformed the Zacks classified Medical-Biomedical and Genetics industry in the past one year, despite challenging conditions in the sector owing to constant media and political focus on drug pricing issues. Specifically, the stock gained 10.3% during this period, while the industry lost 9.6%.
Celgene Corp. Price and EPS Surprise
Celgene Corp. Price and EPS Surprise | Celgene Corp. Quote
Let's see how things are shaping up at the company ahead of this announcement.
Core Products to Drive Q4 Results
Celgene's key product, Revlimid, should continue acting as the main growth driver in the fourth quarter, driven by market share gains in important markets and longer treatment duration. Meanwhile, Revlimid's launch in the newly diagnosed multiple myeloma indication across geographies is on track.
Pomalyst/Imnovid should continue to grow globally on the back of robust demand despite stiff competition. Securing reimbursement in additional countries, particularly in Japan, should boost the drug's sales in the international markets. While physician and consumer campaigns continue to propel demand for Otezla in the U.S., the company is working on securing reimbursement in several key EU markets. Label expansion of these drugs will aid the top line.
Abraxane should maintain its position in the U.S. with stable market shares in breast, lung and pancreatic cancers, and continue to grow outside the U.S. in the pancreatic cancer indication.
Meanwhile, Celgene's share buyback program should boost the bottom line.
As per the preliminary results announced earlier this month, the company expects adjusted earnings of approximately $5.94 per share in 2016, up 26% year over year. Net product sales are expected to be up 22% to approximately $11.2 billion.
In 2016, Revlimid sales are projected to be around $7 billion, up 20%. Sales of Abraxane will likely inch up 1% to $973 million. Pomalyst/Imnovid is expected to contribute $1.3 billion (up 33%) to Celgene's revenues. Otezla is anticipated to cross the $1 billion mark (up a whopping 116%).
Along with the preliminary results, Celgene raised its guidance for 2017. The company guided earnings in the range of $7.10-$7.25 per share. At the time of announcing its third-quarter 2016 results, the company had projected earnings at the high end of the $6.75-$7.00 per share range.
Total revenue is now projected to be approximately $13.0 billion to $13.4 billion, up 18% year over year. Earlier, the company had expected revenues at the high end of the $12.7-$13 billion range. Unfavorable foreign exchange is expected to impact revenues by about $170 million.
Revlimid sales are now expected in the range of $8.0 billion to $8.3 billion, compared with the previous expectations of greater than $8 billion.
On the fourth-quarter call, investors are expected to gain more visibility on the company's performance and label expansion efforts, along with updates on the pipeline front.
Earnings Whispers
Our proven model does not conclusively show that Celgene 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. Unfortunately, that is not the case here, as elaborated below.
Zacks ESP: The Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is at 0.00%. This is because both the Most Accurate Estimate and the Zacks Consensus Estimate stand at $1.43.
You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Although Celgene's Zacks Rank #3 increases the predictive power of ESP, its 0.00% ESP makes surprise prediction difficult.
Note that we caution against stocks with a Zacks Rank #4 or 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks That Warrant a Look
Here are some health care stocks that you may want to consider, as our model shows that they have the right combination of elements to post an earnings beat this quarter.
AbbVie Inc. ABBV is scheduled to report fourth-quarter results on Jan 27. It has an Earnings ESP of +0.83% and a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here .
Eli Lilly and Company LLY has an Earnings ESP of +3.06% and a Zacks Rank #3. The company is scheduled to release fourth-quarter results on Jan 31.
Merck & Co., Inc. MRK has an Earnings ESP of +1.14% and a Zacks Rank #3. The company is scheduled to release fourth-quarter results on Feb 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. | AbbVie Inc. ABBV is scheduled to report fourth-quarter results on Jan 27. Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Merck & Co. (MRK): Free Stock Analysis Report Celgene Corp. (CELG): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, shares of Celgene have outperformed the Zacks classified Medical-Biomedical and Genetics industry in the past one year, despite challenging conditions in the sector owing to constant media and political focus on drug pricing issues. | Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Merck & Co. (MRK): Free Stock Analysis Report Celgene Corp. (CELG): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV is scheduled to report fourth-quarter results on Jan 27. Celgene Corp. Price and EPS Surprise Celgene Corp. Price and EPS Surprise | Celgene Corp. Quote Let's see how things are shaping up at the company ahead of this announcement. | Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Merck & Co. (MRK): Free Stock Analysis Report Celgene Corp. (CELG): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc. ABBV is scheduled to report fourth-quarter results on Jan 27. Revlimid sales are now expected in the range of $8.0 billion to $8.3 billion, compared with the previous expectations of greater than $8 billion. | AbbVie Inc. ABBV is scheduled to report fourth-quarter results on Jan 27. Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Merck & Co. (MRK): Free Stock Analysis Report Celgene Corp. (CELG): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Last quarter, the company reported a positive earnings surprise of 6.11%. |
26295.0 | 2017-01-20 00:00:00 UTC | Abbvie (ABBV) Imbruvica Approved in Lymphoma Indication | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-imbruvica-approved-in-lymphoma-indication-2017-01-20 | nan | nan | AbbVie Inc.ABBV announced that the FDA has approved its blood cancer drug, Imbruvica, for the treatment of patients with relapsed/refractory (R/R) marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior anti-CD20-based therapy. The company had submitted a supplemental New Drug Application (sNDA) for Imbruvica in Sep 2016. The application was reviewed under accelerated approval by the FDA. However, continued approval will be based on data from a confirmatory trial.
Imbruvica is currently approved in the U.S. for the treatment of patients with mantle cell lymphoma or chronic lymphocytic leukemia (CLL) who have received at least one prior therapy and for CLL patients with deletion 17p. It is also approved for the treatment of Waldenstrom's macroglobulinemia.
Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last three months. The stock has gained 0.7% during the period, while the broader industry witnessed a drop of 1%.
Imbruvica was added to AbbVie's pipeline through the May 2015 acquisition of Pharmacyclics. AbbVie markets Imbruvica under a partnership with Johnson & Johnson's JNJ subsidiary, Janssen Biotech, Inc.
The label expansion was based on data from a multi-center, open-label phase II PCYC-1121-CA trial evaluating Imbruvica as a single-agent treatment for MZL. The study enrolled 63 previously treated MZL patients. Patients received once-daily oral administration of Imbruvica. The primary endpoint of overall response rate as assessed by an Independent Review Committee was met.
We note that Imbruvica has one of the most robust clinical oncology development programs in the industry with nearly 30 company-sponsored trials underway, 14 of which are in phase III. The drug is approved for a number of indications and has multi-billion dollar potential. Moreover, AbbVie is exploring the potential of expanding Imbruvica's label to include solid tumors and autoimmune diseases.
A registrational study for graft-versus-host disease is underway, with data expected shortly. Another 100 investigator-sponsored trials and external collaborations for Imbruvica are ongoing around the world.
AbbVie Inc. Price
AbbVie Inc. Price | AbbVie Inc. Quote
Zacks Rank & Key Picks
AbbVie currently carries a Zacks Rank #3 (Hold). A couple of better-ranked stocks in the health care sector include Enzo Biochem, Inc. ENZ and ARIAD Pharmaceuticals, Inc ARIA . Both the stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Enzo Biochem's loss estimates narrowed from 17 cents to 16 cents for 2016 over the last 60 days. The company posted a positive earnings surprise in three of the four trailing quarters with an average beat of 22.50%.
ARIAD's loss estimates narrowed from 4 cents to 3 cents for 2016 and from 45 cents to 35 cents for 2017 over the last 30 days. The company posted a positive surprise in three of the four trailing quarters with an average beat of 171.37%.
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Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks - absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>
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Ariad Pharmaceuticals Inc. (ARIA): Free Stock Analysis Report
AbbVie Inc. (ABBV): Free Stock Analysis Report
To read this article on Zacks.com 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. | AbbVie Inc.ABBV announced that the FDA has approved its blood cancer drug, Imbruvica, for the treatment of patients with relapsed/refractory (R/R) marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior anti-CD20-based therapy. Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last three months. Imbruvica was added to AbbVie's pipeline through the May 2015 acquisition of Pharmacyclics. | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Zacks Rank & Key Picks AbbVie currently carries a Zacks Rank #3 (Hold). Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Enzo Biochem Inc. (ENZ): Free Stock Analysis Report Ariad Pharmaceuticals Inc. (ARIA): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie Inc.ABBV announced that the FDA has approved its blood cancer drug, Imbruvica, for the treatment of patients with relapsed/refractory (R/R) marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior anti-CD20-based therapy. | AbbVie Inc.ABBV announced that the FDA has approved its blood cancer drug, Imbruvica, for the treatment of patients with relapsed/refractory (R/R) marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior anti-CD20-based therapy. AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Zacks Rank & Key Picks AbbVie currently carries a Zacks Rank #3 (Hold). Click to get this free report Johnson & Johnson (JNJ): Free Stock Analysis Report Enzo Biochem Inc. (ENZ): Free Stock Analysis Report Ariad Pharmaceuticals Inc. (ARIA): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. | AbbVie Inc. Price AbbVie Inc. Price | AbbVie Inc. Quote Zacks Rank & Key Picks AbbVie currently carries a Zacks Rank #3 (Hold). AbbVie Inc.ABBV announced that the FDA has approved its blood cancer drug, Imbruvica, for the treatment of patients with relapsed/refractory (R/R) marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior anti-CD20-based therapy. Shares of AbbVie have outperformed the Zacks classified Large Cap Pharma industry in the last three months. |
26296.0 | 2017-01-20 00:00:00 UTC | Are You Undervaluing These 3 Biopharmas' Pipelines? | ABBV | https://www.nasdaq.com/articles/are-you-undervaluing-these-3-biopharmas-pipelines-2017-01-20 | nan | nan | Biopharma companies are continously investing in new development projects to offset the risks of competition and patent expirations, but sometimes, the nature of business' landscape can keep investors from seeing opportunities that may be lurking in research-and-development pipelines. For instance, while challenges facing Gilead Sciences (NASDAQ: GILD) , Johnson & Johnson (NYSE: JNJ) , and AbbVie (NYSE: ABBV) shouldn't be ignored, each has compelling products under development that could send shares soaring someday.
Safer, better, and bigger
A year fraught with disappointment, including decelerating sales on its hepatitis C drugs, and high-profile trial failures, probably has Gilead Sciences' wishing it could take a mulligan on 2016.
However, better times could be ahead for this company, because it's plowing billions of dollars into R&D, and that spending could result in wins for some pretty large indications.
For example, the company's co-developing the autoimmune disease candidate drug filgotinib with Galapagos NV , and mid-stage study results suggest it could be best in class because of its safety profile. Gilead Sciences recently launched phase 3 trials evaluating filgotinib in rheumatoid arthritis, Crohn's disease, and ulcerative colitis, and since all three of those indications are billion-dollar markets, filgotinib's opportunity is big.
Gilead Sciences may also be able to deliver a victory in non-alcoholic steteohepatitis, or NASH, an increasingly common cause ofcirrhosis which, left untreated, leads many patients to require liver transplants. An estimated 3 million Americans with NASH have liver fibrosis. That suggests that if the company can develop an effective treatment, it could be worth billions of dollars in annual sales.
The company's not giving up on its attempts to expand into oncology, either. While the once-promising leukemia drug Zydelig has become a niche therapy rather than a blockbuster, other candidates could still add meaningful sales to the top line. Overall, Gilead Sciences has six oncology programs in mid- or late-stage studies, including GS-5745 for gastric cancer. Earlier this month, the company demonstrated its commitment to oncology by hiring Novartis ' former oncology head, Alessandro Riva. That brings experience and a proven leader in cancer drug development into the fold, and could signal that Gilead Sciences plans to double down on its efforts to develop cancer drugs.
New biologics and label expansion plans
Johnson & Johnson is one of the most successful drug developers in history, but it has lost a little luster lately following the launch of Pfizer 's biosimilar to its top-selling biologic Remicade, which accounts for about 20% of its drug sales.
While the risk to Remicade is real, Remicade is far from the only story that could move the needle for this company.
J&J's been knee deep in developing new drugs to offset the lost sales caused by Pfizer's biosimilar -- and one of them is Darzalex. Last year, within months of its launch, Darzalex became the most widely prescribed fourth-line multiple myeloma drug, and in February, the FDA is scheduled to decide whether or not Darzalex can be prescribed alongside Revlimid in second-line treatment. If approved, this label expansion could help catapult Darzalex's sales into 10-figure annual territory.
The FDA is also reviewing applications for approval of two new autoimmune disease drugs that were developed by Johnson & Johnson, and that could have billion-dollar potential. Sirukumab was co-developed with GlaxoSmithKline , and it's under consideration for use in rheumatoid arthritis. A decision on guselkumab, which outperformed the top-selling Humira in head-to-head psoriasis trials, is also forthcoming.
Additionally, Johnson & Johnson has a bevvy of R&D ongoing that could expand the addressable market for some of its best selling medicines. Among the expansion trials under way for cancer drug Imbruvica, which it co-markets with AbbVie , are four that could each add $500 million in annual sales. Expansion studies on the anticoagulant Xarelto and diabetes drug Invokana could add an incremental $3 billion to $5 billion in sales too.
Altogether, management claims it has 10 expansion studies in the works that each have $500 million plus in additional sales potential.
Patent battle overshadows pipeline potential
Most of the attention given to AbbVie lately is focused on the pending patent expiration of its top-selling Humira, which provides about 62% of its revenue. However, focusing too much attention on Humira could make you miss out on the chance to benefit from a rapidly expanding R&D pipeline.
AbbVie's acquisition of Pharmacyclics means it shares in Imbruvica's sales with J&J, and a separate $5.8 billion deal last year also landed AbbVie Rova-T, an intriguing drug in development to treat small-cell lung cancer. If Rova-T is successful in studies, management thinks it could win approval as early as 2018, and that its peak sales could be as high as $5 billion a year. Phase 2 study results of Rova-T in SCLC should be released in 2017.
AbbVie's management remains confident its method-of-use patents can keep Humira biosimilars at bay through 2020. If they're right, then the company could launch Humira successors risankizumab and ABT-494 in 2019, before Humira has to battle biosimilar competition.
And if that's not reason enough to give AbbVie's pipeline more credit than you are currently, consider that the company may file for FDA approval of Venclexta as a treatment of chronic lymphocytic leukemia and Elagolix for endometriosis later this year, and that its already awaiting a FDA decision on its next-generation hepatitis C drugs. Overall, those drugs could contribute significantly to the top- and bottom-line soon.
10 stocks we like better than AbbVie
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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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Todd Campbell owns shares of Gilead Sciences.Todd owns E.B. Capital Markets, LLC. E.B. Capital's clients may have positions in the companies mentioned.Like this article? Follow him on Twitter where he goes by the handle @ebcapitalto see more articles like this.
The Motley Fool owns shares of and recommends Gilead Sciences. The Motley Fool recommends Johnson and 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. | For instance, while challenges facing Gilead Sciences (NASDAQ: GILD) , Johnson & Johnson (NYSE: JNJ) , and AbbVie (NYSE: ABBV) shouldn't be ignored, each has compelling products under development that could send shares soaring someday. Among the expansion trials under way for cancer drug Imbruvica, which it co-markets with AbbVie , are four that could each add $500 million in annual sales. Patent battle overshadows pipeline potential Most of the attention given to AbbVie lately is focused on the pending patent expiration of its top-selling Humira, which provides about 62% of its revenue. | For instance, while challenges facing Gilead Sciences (NASDAQ: GILD) , Johnson & Johnson (NYSE: JNJ) , and AbbVie (NYSE: ABBV) shouldn't be ignored, each has compelling products under development that could send shares soaring someday. Among the expansion trials under way for cancer drug Imbruvica, which it co-markets with AbbVie , are four that could each add $500 million in annual sales. Patent battle overshadows pipeline potential Most of the attention given to AbbVie lately is focused on the pending patent expiration of its top-selling Humira, which provides about 62% of its revenue. | AbbVie's acquisition of Pharmacyclics means it shares in Imbruvica's sales with J&J, and a separate $5.8 billion deal last year also landed AbbVie Rova-T, an intriguing drug in development to treat small-cell lung cancer. For instance, while challenges facing Gilead Sciences (NASDAQ: GILD) , Johnson & Johnson (NYSE: JNJ) , and AbbVie (NYSE: ABBV) shouldn't be ignored, each has compelling products under development that could send shares soaring someday. Among the expansion trials under way for cancer drug Imbruvica, which it co-markets with AbbVie , are four that could each add $500 million in annual sales. | Among the expansion trials under way for cancer drug Imbruvica, which it co-markets with AbbVie , are four that could each add $500 million in annual sales. Patent battle overshadows pipeline potential Most of the attention given to AbbVie lately is focused on the pending patent expiration of its top-selling Humira, which provides about 62% of its revenue. For instance, while challenges facing Gilead Sciences (NASDAQ: GILD) , Johnson & Johnson (NYSE: JNJ) , and AbbVie (NYSE: ABBV) shouldn't be ignored, each has compelling products under development that could send shares soaring someday. |
26297.0 | 2017-01-20 00:00:00 UTC | What's in Store for Abbott Labs (ABT) This Earnings Season? | ABBV | https://www.nasdaq.com/articles/whats-in-store-for-abbott-labs-abt-this-earnings-season-2017-01-20 | nan | nan | Abbott LaboratoriesABT is scheduled to report fourth-quarter and full year 2016 results before the opening bell on Jan 25.
Shares of Abbott Labs have outperformed the Zacks classified Large Cap Pharmaceuticals industry in the last 12 months. In fact, the stock improved 1.1% during this period, compared to an inch up of 0.3% for the industry.
Last quarter, Abbott Labs delivered a positive earnings surprise of 1.72%. Let's see how things are shaping up for this quarter.
Factors at Play
Abbott Labs operates under four segments - Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutrition.Abbott has a strong position in both developed and emerging markets. Continued outperformance at the Medical Devices and Established Pharmaceuticals division is likely to drive sales in the quarter.
The Diagnostics segment is expected to see persistent above-market performance in Core Laboratory and Point of Care Diagnostics. The launch of AlinIQ should also add to the company's top line. Segment sales are anticipated to grow in the mid-single digits in the fourth quarter.
The soft performance in pediatric nutrition business in China has impacted the third-quarter results of the company. Further it is expected to persist in the near term. The business environment in China has also been impacted by rapid channel shifts and new safety regulations which are driving an oversupply of product in the market and huge discounts.
At EPD, sales are expected to grow in high single digits in the fourth quarter. Realignment of the division through acquisitions in Latin America and Russia, along with business divestitures in developed markets, has placed the company advantageously for the coming quarters. The company has a leading position in India, Russia and Latin America
At Medical Devices, Vascular is expected to grow in the mid-single digits in the fourth quarter driven by growth from MitraClip and Supera, while Diabetes care sales are expected to increase in the double-digits band, driven by continued consumer uptake of FreeStyle Libre system in Europe. During the third quarter, the company obtained FDA approval for Absorb, the only fully dissolving vascular stent. In Sep 2016, the FDA also approved FreeStyle Libre Pro system in the U.S. which should boost diabetes-care sales.
The recent acquisition of St. Jude Medical has augmented the company's position in cardiovascular devices market. Medical Optics is forecasted to grow in low to mid single-digit sales. Meanwhile, Abbott Labs announced to sell its medical optical business to Johnson & Johnson JNJ in Sep 2016 in order to focus on its cardiovascular devices business.
Concurrent with the third-quarter results, Abbott Labs narrowed its 2016 earning guidance to $2.19 to $2.21 from the previous range of $2.14 to $2.24 per share. The company continues to expect sales growth in the mid-single digits (on an operational basis) for 2016. Unfavorable movements in foreign exchange rates should negatively impact sales by 2% resulting in reported sales growth in the low-single digits for 2016.
For the fourth quarter, the company expects earnings per share in the range of 64 cents-66 cents. On an operational basis, sales are expected to grow in mid-single digits.
During the quarterly call, investors focus should remain on the company's performance, sales ramp-up of the newly launched products and recent developments.
Surprise History
Abbott Labs has an impressive track record. The company surpassed estimates in each of the trailing four quarters with an average earnings surprise of 3.07%.
What Our Model Indicates
Our proven model does not conclusively show that Abbott Labs 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 beat earnings. However, that is not the case here, as you will see below.
Zacks ESP : The Earnings ESP, which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, is 0.00%. This is because both the Most Accurate estimate and the Zacks Consensus Estimate are pegged at 64 cents. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank : Abbott Labs has a Zacks Rank #3 which in turn increases the predictive power of ESP. However, we need to have a positive ESP to be confident about an earnings beat.
As it is we caution against stocks with a Zacks Rank #4 or 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Abbott Laboratories Price and Consensus
Abbott Laboratories Price and Consensus | Abbott Laboratories Quote
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.
AbbVie, Inc. ABBV has an Earnings ESP of +0.83% and a Zacks Rank #3. The company is expected to release results on Jan 27. You can see the complete list of today's Zacks #1 Rank stocks here .
Eli Lilly and Company LLY has an Earnings ESP of +3.06% and a Zacks Rank #3. The company is scheduled to release results on Jan 31.
The Best Place to Start Your Stock Search
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Eli Lilly and Co. (LLY): Free Stock Analysis Report
Johnson & Johnson (JNJ): Free Stock Analysis Report
Abbott Laboratories (ABT): Free Stock Analysis Report
AbbVie Inc. (ABBV): 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, Inc. ABBV has an Earnings ESP of +0.83% and a Zacks Rank #3. Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Abbott Laboratories (ABT): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Factors at Play Abbott Labs operates under four segments - Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutrition.Abbott has a strong position in both developed and emerging markets. | Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Abbott Laboratories (ABT): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie, Inc. ABBV has an Earnings ESP of +0.83% and a Zacks Rank #3. Factors at Play Abbott Labs operates under four segments - Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutrition.Abbott has a strong position in both developed and emerging markets. | Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Abbott Laboratories (ABT): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie, Inc. ABBV has an Earnings ESP of +0.83% and a Zacks Rank #3. The company has a leading position in India, Russia and Latin America At Medical Devices, Vascular is expected to grow in the mid-single digits in the fourth quarter driven by growth from MitraClip and Supera, while Diabetes care sales are expected to increase in the double-digits band, driven by continued consumer uptake of FreeStyle Libre system in Europe. | AbbVie, Inc. ABBV has an Earnings ESP of +0.83% and a Zacks Rank #3. Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report Abbott Laboratories (ABT): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report To read this article on Zacks.com click here. Last quarter, Abbott Labs delivered a positive earnings surprise of 1.72%. |
26298.0 | 2017-01-20 00:00:00 UTC | First American Bank Buys JPMorgan Chase & Co, Bank of America Corporation, Devon Energy ... | ABBV | https://www.nasdaq.com/articles/first-american-bank-buys-jpmorgan-chase-co-bank-america-corporation-devon-energy-2017-01 | nan | nan | First American Bank
New Purchases: BAC , PRU , AMZN , BBT, STI, HFC, FTV, IR, HPQ, TWX,
Added Positions:JPM, DVN, HON, CMCSA, CVX, MSFT, DOW, BRK.B, FB, SLB,
Reduced Positions:CVS, SBUX, BMY, WFC, EW, PPG, LOW, LMT, NXPI, PEP,
Sold Out:OA, AAP, DG, VNQ, DSW, DAL, BKU, FBHS, LGIH, WSO,
For the details of FIRST AMERICAN BANK's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=FIRST+AMERICAN+BANK
These are the top 5 holdings of FIRST AMERICAN BANK
PepsiCo Inc ( PEP ) - 329,216 shares, 6.49% of the total portfolio. Shares reduced by 3.73%
Apple Inc ( AAPL ) - 199,821 shares, 4.36% of the total portfolio. Shares added by 3.48%
Exxon Mobil Corp ( XOM ) - 176,697 shares, 3% of the total portfolio. Shares reduced by 1.87%
AbbVie Inc ( ABBV ) - 201,680 shares, 2.38% of the total portfolio. Shares reduced by 0.59%
First Republic Bank ( FRC ) - 127,733 shares, 2.22% of the total portfolio. Shares added by 3.16%
New Purchase: Bank of America Corporation (BAC)
First American Bank initiated holdings in Bank of America Corporation. The purchase prices were between $15.63 and $23.16, with an estimated average price of $19.26. The stock is now traded at around $22.64. The impact to the portfolio due to this purchase was 0.86%. The holdings were 205,656 shares as of 2016-12-31.
New Purchase: Prudential Financial Inc (PRU)
First American Bank initiated holdings in Prudential Financial Inc. The purchase prices were between $81.43 and $107.1, with an estimated average price of $94.81. The stock is now traded at around $105.59. The impact to the portfolio due to this purchase was 0.61%. The holdings were 31,215 shares as of 2016-12-31.
New Purchase: BB&T Corp (BBT)
First American Bank initiated holdings in BB&T Corp. The purchase prices were between $37.43 and $47.71, with an estimated average price of $42.54. The stock is now traded at around $45.42. The impact to the portfolio due to this purchase was 0.57%. The holdings were 64,445 shares as of 2016-12-31.
New Purchase: SunTrust Banks Inc (STI)
First American Bank initiated holdings in SunTrust Banks Inc. The purchase prices were between $43.77 and $56.39, with an estimated average price of $49.95. The stock is now traded at around $54.84. The impact to the portfolio due to this purchase was 0.57%. The holdings were 55,466 shares as of 2016-12-31.
New Purchase: Amazon.com Inc (AMZN)
First American Bank initiated holdings in Amazon.com Inc. The purchase prices were between $719.07 and $844.36, with an estimated average price of $783.7. The stock is now traded at around $808.33. The impact to the portfolio due to this purchase was 0.57%. The holdings were 4,017 shares as of 2016-12-31.
New Purchase: HollyFrontier Corp (HFC)
First American Bank initiated holdings in HollyFrontier Corp. The purchase prices were between $22.7 and $34.1, with an estimated average price of $27.72. The stock is now traded at around $29.98. The impact to the portfolio due to this purchase was 0.46%. The holdings were 75,016 shares as of 2016-12-31.
Added: JPMorgan Chase & Co (JPM)
First American Bank added to the holdings in JPMorgan Chase & Co by 112.34%. The purchase prices were between $66.51 and $87.13, with an estimated average price of $76.26. The stock is now traded at around $83.67. The impact to the portfolio due to this purchase was 0.9%. The holdings were 105,258 shares as of 2016-12-31.
Added: Devon Energy Corp (DVN)
First American Bank added to the holdings in Devon Energy Corp by 188.26%. The purchase prices were between $37.69 and $48.33, with an estimated average price of $44.16. The stock is now traded at around $46.26. The impact to the portfolio due to this purchase was 0.73%. The holdings were 130,436 shares as of 2016-12-31.
Added: Honeywell International Inc (HON)
First American Bank added to the holdings in Honeywell International Inc by 272.56%. The purchase prices were between $105.78 and $118.09, with an estimated average price of $112.57. The stock is now traded at around $117.82. The impact to the portfolio due to this purchase was 0.7%. The holdings were 43,426 shares as of 2016-12-31.
Added: Comcast Corp (CMCSA)
First American Bank added to the holdings in Comcast Corp by 180.12%. The purchase prices were between $60.66 and $71.02, with an estimated average price of $66.79. The stock is now traded at around $73.57. The impact to the portfolio due to this purchase was 0.58%. The holdings were 69,220 shares as of 2016-12-31.
Added: Chevron Corp (CVX)
First American Bank added to the holdings in Chevron Corp by 44.65%. The purchase prices were between $99.92 and $118.77, with an estimated average price of $108.9. The stock is now traded at around $115.60. The impact to the portfolio due to this purchase was 0.55%. The holdings were 80,926 shares as of 2016-12-31.
Added: Microsoft Corp (MSFT)
First American Bank added to the holdings in Microsoft Corp by 32.08%. The purchase prices were between $56.92 and $63.62, with an estimated average price of $60.15. The stock is now traded at around $62.74. The impact to the portfolio due to this purchase was 0.54%. The holdings were 188,402 shares as of 2016-12-31.
Sold Out: Orbital ATK Inc (OA)
First American Bank sold out the holdings in Orbital ATK Inc. The sale prices were between $72.19 and $88.96, with an estimated average price of $81.44.
Sold Out: Advance Auto Parts Inc (AAP)
First American Bank sold out the holdings in Advance Auto Parts Inc. The sale prices were between $136.19 and $176.78, with an estimated average price of $157.21.
Sold Out: Dollar General Corp (DG)
First American Bank sold out the holdings in Dollar General Corp. The sale prices were between $66.97 and $80.06, with an estimated average price of $73.01.
Sold Out: Vanguard REIT ETF - DNQ (VNQ)
First American Bank sold out the holdings in Vanguard REIT ETF - DNQ. The sale prices were between $78.07 and $85.12, with an estimated average price of $81.3.
Sold Out: DSW Inc (DSW)
First American Bank sold out the holdings in DSW Inc. The sale prices were between $20.28 and $25.78, with an estimated average price of $22.68.
Sold Out: Delta Air Lines Inc (DAL)
First American Bank sold out the holdings in Delta Air Lines Inc. The sale prices were between $38.94 and $51.78, with an estimated average price of $45.59.
JPM 15-Year Financial Data
The intrinsic value of JPM
Peter Lynch Chart of JPM
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This article first appeared on GuruFocus .
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. | Shares reduced by 1.87% AbbVie Inc ( ABBV ) - 201,680 shares, 2.38% of the total portfolio. First American Bank New Purchases: BAC , PRU , AMZN , BBT, STI, HFC, FTV, IR, HPQ, TWX, Added Positions:JPM, DVN, HON, CMCSA, CVX, MSFT, DOW, BRK.B, FB, SLB, Reduced Positions:CVS, SBUX, BMY, WFC, EW, PPG, LOW, LMT, NXPI, PEP, Sold Out:OA, AAP, DG, VNQ, DSW, DAL, BKU, FBHS, LGIH, WSO, For the details of FIRST AMERICAN BANK's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=FIRST+AMERICAN+BANK These are the top 5 holdings of FIRST AMERICAN BANK PepsiCo Inc ( PEP ) - 329,216 shares, 6.49% of the total portfolio. New Purchase: Amazon.com Inc (AMZN) First American Bank initiated holdings in Amazon.com Inc. | Shares reduced by 1.87% AbbVie Inc ( ABBV ) - 201,680 shares, 2.38% of the total portfolio. Shares added by 3.16% New Purchase: Bank of America Corporation (BAC) First American Bank initiated holdings in Bank of America Corporation. Added: Devon Energy Corp (DVN) First American Bank added to the holdings in Devon Energy Corp by 188.26%. | Shares reduced by 1.87% AbbVie Inc ( ABBV ) - 201,680 shares, 2.38% of the total portfolio. First American Bank New Purchases: BAC , PRU , AMZN , BBT, STI, HFC, FTV, IR, HPQ, TWX, Added Positions:JPM, DVN, HON, CMCSA, CVX, MSFT, DOW, BRK.B, FB, SLB, Reduced Positions:CVS, SBUX, BMY, WFC, EW, PPG, LOW, LMT, NXPI, PEP, Sold Out:OA, AAP, DG, VNQ, DSW, DAL, BKU, FBHS, LGIH, WSO, For the details of FIRST AMERICAN BANK's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=FIRST+AMERICAN+BANK These are the top 5 holdings of FIRST AMERICAN BANK PepsiCo Inc ( PEP ) - 329,216 shares, 6.49% of the total portfolio. Shares added by 3.16% New Purchase: Bank of America Corporation (BAC) First American Bank initiated holdings in Bank of America Corporation. | Shares reduced by 1.87% AbbVie Inc ( ABBV ) - 201,680 shares, 2.38% of the total portfolio. Shares added by 3.48% Exxon Mobil Corp ( XOM ) - 176,697 shares, 3% of the total portfolio. Shares added by 3.16% New Purchase: Bank of America Corporation (BAC) First American Bank initiated holdings in Bank of America Corporation. |
26299.0 | 2017-01-20 00:00:00 UTC | 4 Drug Stocks Poised to Surprise this Earnings Season | ABBV | https://www.nasdaq.com/articles/4-drug-stocks-poised-to-surprise-this-earnings-season-2017-01-20 | nan | nan | In the biotech sector, investor focus will now shift from the annual J.P. Morgan Healthcare Conference to the Q4 earnings season.
The sector has faced challenging conditions for more than a year due to media and political focus on steep drug pricing issues.
Meanwhile, merger and acquisitions (M&A) and licensing deals continue to hog the limelight in the drug/biotech sector. Some latest deals include Japan-based Takeda Pharmaceutical Company Limited's (TKPYY) agreement to acquire ARIAD Pharmaceuticals (ARIA) in an all-cash deal worth approximately $5.6 billion. Pharma giant Johnson & Johnson (JNJ) is reportedly looking to take over Actelion Ltd (ALIOF). M&A deals are expected to increase in the coming months.
For the fourth quarter, market sentiment seems to be improving courtesy of raised outlooks, new product approvals and encouraging pipeline updates.
Let's take a look at some companies in this space that have the potential to beat earnings in their upcoming Q4 releases. These stocks are well positioned in today's market environment, and could see considerable upside riding on the aforementioned trends. An earnings beat should help these stocks gain investor confidence and show a favorable price movement.
How to Pick the Winners?
Given the large number of companies in the healthcare industry, selecting stocks that have the potential to beat estimates could seem pretty daunting. However, the proprietary Zacks methodology makes it fairly simple. One way to narrow down the list of choices is by looking at stocks that sport the combination of a favorable Zacks Rank - Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) - and a positive Earnings ESP . You can see the complete list of today's Zacks #1 Rank stocks here .
The Earnings ESP is our proprietary methodology for identifying stocks that have high chances of surprising with their upcoming earnings announcement. It shows the percentage difference between the Most Accurate estimate and the Zacks Consensus Estimate. Our research shows that for stocks with this combination, chances of a positive earnings surprise are as high as 70%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Here are a few stocks that we believe are poised to beat estimates this earnings season:
North Chicago, IL-based AbbVie Inc. ( ABBV ) has a Zacks Rank #3 and an Earnings ESP of +0.83%. This pharma giant has a mixed track record, having beaten estimates twice and met the same twice in the last four quarters, bringing an average positive surprise to 1.92%. The combination of AbbVie's positive Earnings ESP and favorable rank indicates a likely earnings beat this quarter.
AbbVie's flagship drug, Humira should drive growth along with cancer treatment, Imbruvica. However, hepatitis C virus (HCV) treatment, Viekira, will continue to be negatively impacted by new competition in the market.
The company is slated to report fourth-quarter and full-year 2016 results on Jan 27, before the opening bell. The Zacks Consensus Estimate is pegged at $1.20.
Next on the list is biotech company, Vertex Pharmaceuticals Incorporated ( VRTX ), which has a Zacks Rank #3 and an Earnings ESP of +400.00%. Vertex's track record has been mixed so far, with the company beating estimates twice and missing the same twice in the four trailing quarters. Vertex's four-quarter average negative earnings surprise is 84.38%.
Known for its strong foothold in the cystic fibrosis (CF) market, Vertex boasts two key CF products in its portfolio - Kalydeco and Orkambi. Kalydeco's revenues should continue growing on the back of continued increase in the number of patients initiating treatment with the drug globally. However, sales of Orkambi have been slower than expected.
The Boston, MA-based company will be reporting its fourth-quarter and full-year 2016 results on Jan 25, after the market closes . The Zacks Consensus Estimate is pegged at a penny.
Third on our list is pharma giant Eli Lilly and Company ( LLY ), with an Earnings ESP of +3.06% and a Zacks Rank #3. Based in Indianapolis, IN, Lilly has beaten expectations in two of the past four quarters, bringing the average negative earnings surprise to 2.05%. However, for this quarter, Lilly seems to have bright prospects. New products like Trulicity and Cyramza as well as existing ones like Trajenta, Cialis, Forteo, Humalog Strattera and Erbitux should drive top-line growth.
Lilly is scheduled to report fourth-quarter and full-year 2016 results on Jan 31, before the opening bell. The Zacks Consensus Estimate for this quarter is pegged at 98 cents.
MediWound Ltd. ( MDWD ) is the last stock on our list. The company has an Earnings ESP of +8.33% and a Zacks Rank #3. Based in Israel, MediWound focuses on developing, manufacturing and commercializing novel therapeutics based on its patented proteolytic enzyme technology to address unmet needs in the fields of severe burns, chronic and other hard-to-heal wounds. However, the company has a disappointing track record, having surpassing estimates only once in the trailing four quarters, with an average negative surprise of 18.09%.
MediWound is expected to release its fourth-quarter and full-year 2016 results on Jan 23. The Zacks Consensus Estimate for this quarter is pegged at a loss of 24 cents.
Bottom Line
Despite challenges like increasing competition, pricing pressure and biosimilars woes, we believe that key industry fundamentals for the biotech space remain promising. Further, newer therapies should facilitate growth.
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You are welcome to download the full, up-to-the-minute list of 220 Zacks Rank #1 "Strong Buy" stocks free of charge. There is no better place to start your own stock search. Plus you can access the full list of must-avoid Zacks Rank #5 "Strong Sells" and other private research. See the stocks free >>
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Eli Lilly and Co. (LLY): Free Stock Analysis Report
Vertex Pharmaceuticals Inc. (VRTX): Free Stock Analysis Report
AbbVie Inc. (ABBV): Free Stock Analysis Report
MediWound Ltd. (MDWD): 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. | Here are a few stocks that we believe are poised to beat estimates this earnings season: North Chicago, IL-based AbbVie Inc. ( ABBV ) has a Zacks Rank #3 and an Earnings ESP of +0.83%. The combination of AbbVie's positive Earnings ESP and favorable rank indicates a likely earnings beat this quarter. AbbVie's flagship drug, Humira should drive growth along with cancer treatment, Imbruvica. | Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Vertex Pharmaceuticals Inc. (VRTX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report MediWound Ltd. (MDWD): Free Stock Analysis Report To read this article on Zacks.com click here. Here are a few stocks that we believe are poised to beat estimates this earnings season: North Chicago, IL-based AbbVie Inc. ( ABBV ) has a Zacks Rank #3 and an Earnings ESP of +0.83%. The combination of AbbVie's positive Earnings ESP and favorable rank indicates a likely earnings beat this quarter. | Here are a few stocks that we believe are poised to beat estimates this earnings season: North Chicago, IL-based AbbVie Inc. ( ABBV ) has a Zacks Rank #3 and an Earnings ESP of +0.83%. Click to get this free report Eli Lilly and Co. (LLY): Free Stock Analysis Report Vertex Pharmaceuticals Inc. (VRTX): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis Report MediWound Ltd. (MDWD): Free Stock Analysis Report To read this article on Zacks.com click here. The combination of AbbVie's positive Earnings ESP and favorable rank indicates a likely earnings beat this quarter. | Here are a few stocks that we believe are poised to beat estimates this earnings season: North Chicago, IL-based AbbVie Inc. ( ABBV ) has a Zacks Rank #3 and an Earnings ESP of +0.83%. The combination of AbbVie's positive Earnings ESP and favorable rank indicates a likely earnings beat this quarter. AbbVie's flagship drug, Humira should drive growth along with cancer treatment, Imbruvica. |
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