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34200.0 | 2014-03-26 00:00:00 UTC | Pharma & Biotech Stock Outlook - March 2014 - Industry Outlook | ABT | https://www.nasdaq.com/articles/pharma-biotech-stock-outlook-march-2014-industry-outlook-2014-03-26 | nan | nan | The pharmaceutical sector has been slowly but steadily recovering from the impact of the patent cliff being faced by several companies over the past few years. The worst of the patent cliff is over and the NYSE ARCA Pharmaceutical Index (^DRG) is up 21.4% over the last year. So far in 2014, the index is up 6.9%.
Several companies which had been struggling to post growth in the face of genericization over the past few years are now on the recovery path. New products should start contributing significantly to results, and increased pipeline visibility and appropriate utilization of cash should increase confidence in the sector.
Products that lost exclusivity recently include Eli Lilly's ( LLY ) Cymbalta and Evista. AstraZeneca's ( AZN ) Nexium could also start facing generics from May 2014 in the U.S. where sales were $2.1 billion in 2013.
Collaborations, Acquisitions and Restructuring
The pharma sector witnessed major merger and acquisitions (M&A) activity over the last couple of years. Going forward, we expect small bolt-on acquisitions to continue. In-licensing activities and collaborations for the development of pipeline candidates have also increased significantly. Several pharma companies are focusing on in-licensing mid-to-late stage pipeline candidates that look promising, instead of developing a product from scratch, which involves a lot of funds and time.
Small biotech companies are open to in-licensing activities and collaborations. Most of these companies find it challenging to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. Therefore, it makes sense for them to seek deals with pharma companies that are sitting on huge piles of cash.
We recommend biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. Therapeutic areas which could see a lot of in-licensing activity include immuno-oncology, oncology, central nervous system disorders, diabetes and immunology/inflammation. The hepatitis C virus (HCV) market is also attracting a lot of attention.
Some recent acquisitions/deals include Shire's ( SHPG ) acquisition of ViroPharma, Salix's ( SLXP ) acquisition of Santarus as well as the acquisition of Optimer Pharmaceuticals and Trius Therapeutics by Cubist Pharmaceuticals ( CBST ) and that of Elan by Perrigo Company ( PRGO ). A major acquisition agreement was announced recently -- that of Forest Labs ( FRX ) by Actavis ( ACT ). This deal shows the intention of generic companies to establish a strong position in the branded market. Another significant deal was the one signed between Celgene ( CELG ) and OncoMed Pharmaceuticals ( OMED ) for the joint development and commercialization of up to six anti-cancer stem cell candidates from OncoMed's biologics pipeline.
Another trend that we are seeing in recent months is the divestment of non-core business segments. Pfizer ( PFE ) sold its Capsugel unit and its Nutrition business in Aug 2011 and Nov 2012, respectively. Pfizer then spun off its animal health business into a new company, Zoetis ( ZTS ).
Meanwhile, GlaxoSmithKline ( GSK ) divested certain non-core brands from its Consumer Healthcare segment. In Aug 2011, AstraZeneca sold its Astra Tech business to DENTSPLY ( XRAY ). The monetization of non-core assets will allow the pharma/biotech companies to focus on their areas of expertise. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Johnson & Johnson ( JNJ ) is also looking to divest its ortho-clinical diagnostics business. Vertex ( VRTX ) monetized its Incivo-related royalties; the company can use the cash generated from this deal for its cystic fibrosis program.
Restructuring activities are also gaining momentum as large pharma companies are looking to cut costs and streamline their operations. Most of these companies are re-evaluating their pipelines and discontinuing programs which do not have a favorable risk-benefit profile. Some of the companies that announced restructuring plans include Merck ( MRK ), Novartis ( NVS ), Eli Lilly, Shire and Sanofi ( SNY ).
Destination Ireland
Of late, several companies have been looking towards Ireland for acquisitions. The latest company to join the Irish club is Horizon Pharma ( HZNP ) which is doing a reverse merger with Dublin-based Vidara. Tax benefits are a major attraction for such deals. Other such recent acquisitions include that of Warner Chilcott by Actavis and Elan by Perrigo.
Emerging Markets and Biosimilars
Another trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan ( MYL ), Pfizer, Merck, Eli Lilly, Glaxo and Sanofi are all looking to expand their presence in India, China, Brazil and other emerging markets.
Until recently, most of the commercialization efforts were focused on the U.S. -- the largest pharmaceutical market -- along with Europe and Japan. Emerging markets are slowly and steadily gaining more importance, and several companies are now shifting their focus to these areas.
However, while higher demand for medicines, government initiatives for healthcare, new patient population and increasing use of generics should help drive demand, we point out that emerging markets are also not immune to genericization. Moreover, investigations into bribery charges in China could put a lid on near-term growth.
Meanwhile, growth in Europe will continue to be pressurized by austerity and cost-containment measures.
We are also seeing several companies entering into deals for the development of biosimilars, generic versions of biologics. Companies like Merck, Amgen, Biogen ( BIIB ) and Actavis are all targeting the highly lucrative biosimilars market.
4Q Earnings
All companies falling under the Medical sector have reported fourth quarter and full year 2013 results. While earnings-beat and revenue-beat ratios (percentage of companies coming out with positive surprises) were pretty impressive, growth ratios were modest. Fourth quarter results were characterized by currency headwinds as well as the impact of generics.
Fourth quarter 2013 earnings "beat ratio" was 74.0% while the revenue "beat ratio" was 76.0%. Total earnings for this sector were up 1.1%, compared to 0.2% recorded in the third quarter of 2013. Total revenues moved up 5.3% in the quarter versus 5.8% growth in the third quarter of 2013.
Looking at the consensus earnings expectations for the first quarter, earnings are expected to decline 3.3%. Tough challenges for some companies, negative currency movement and a few patent expirees will affect first quarter growth. However, growth should pick up from the second quarter for which 1.6% earnings growth is expected.
Overall, 2014 earnings are expected to grow 6.5%. For a detailed look at the earnings outlook for the Medical and other sectors, please check our Zacks Earnings Trends report.
Focus on New Products
2013 saw the FDA approving 27 novel medicines, about one-third (33%) of which were identified by the FDA as "First-in-Class," meaning they use a new and unique mechanism of action for treating a medical condition. These include drugs like Invokana (type II diabetes), Kadcyla (HER2-positive late-stage breast cancer), Sovaldi (an interferon-free oral treatment for some patients with chronic hepatitis C) and Mekinist (metastatic melanoma).
Yet another one-third of the approved drugs fall under the rare or "orphan" disease category that affects 200,000 or fewer Americans. These include Imbruvica (mantle cell lymphoma), Gazyva (chronic lymphocytic leukemia), Kynamro (homozygous familial hypercholesterolemia) and Adempas and Opsumit (both for pulmonary arterial hypertension). Three of the approved drugs - Gazyva, Imbruvica and Sovaldi - had breakthrough therapy designation. Breakthrough status, a new designation that became effective after Jul 9, 2012, is designed to cut short the development time of promising new treatments.
Some important products approved in 2013 include:
Drugs like Tecfidera, Sovaldi and Imbruvica represent strong commercial potential.
So far in 2014, drugs that have gained approval include AstraZeneca's Myalept (complications of leptin deficiency) and Farxiga (type II diabetes), Chelsea Therapeutics' ( CHTP ) Northera (to treat neurogenic orthostatic hypotension), BioMarin's ( BMRN ) Vimizim (Morquio A syndrome) and Vanda Pharma's ( VNDA ) Hetlioz (non-24- hour sleep-wake disorder).
Upcoming events include FDA advisory panel review of the regulatory application for MannKind's ( MNKD ) experimental diabetes treatment, Afrezza. April should be an active month with the agency expected to deliver a response on the approvability of several experimental drugs including Afrezza, Glaxo's Eperzan (type II diabetes) and Arzerra (CLL).
Zacks Industry Rank
Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs.
We rank all the 260-plus industries in the 16 Zacks sectors based on the earnings outlook and fundamental strength of the constituent companies in each industry. To learn more, visit: About Zacks Industry Rank .
As a point of reference, the outlook for industries with Zacks Industry Rank #88 and lower is 'Positive,' between #89 and #176 is 'Neutral' and #177 and higher is 'Negative.'
The Zacks Industry Rank for large-cap pharma is #225, med-biomed/gene is #69, med-drugs is #84, while the med-generic drugs is #8. Analyzing the Zacks Industry Rank for different medical segments, it is obvious that the outlook is Positive for med-drugs, med-biomed/gene and med-generic drugs and Negative for large-cap pharma stocks.
OPPORTUNITIES
While several companies will continue to face challenges like EU austerity measures and genericization, the pharma industry is out of the worst of its genericization phase. Many companies which had faced generic headwinds in the last couple of years should continue to see a sustained improvement in results this year. Cost-cutting, downsizing, streamlining of the pipeline, growth in emerging markets and new product launches should support growth.
Among pharma stocks, Shire, a Zacks Rank #1 (Strong Buy) stock, looks well-positioned for growth with the company expanding its product portfolio and pipeline through the acquisition of ViroPharma. Horizon Pharma, a Zacks Rank #2 (Buy) stock, also seems on the right path with the company announcing its plans to acquire Ireland-based Vidara.
In the biotech space, we are positive on Biogen. Tecfidera, the company's recently launched oral multiple sclerosis drug, is off to a strong start with the product delivering sales of $876 million (as of Dec 31, 2013) since its launch in early April 2013. While Tecfidera has gained the top spot in the oral multiple sclerosis market in the U.S., Avonex and Tysabri should continue contributing significantly to sales. Tecfidera gained EU approval recently. Biogen is also progressing with its hemophilia pipeline.
We are also positive on Amgen ( AMGN ). Amgen should be able to deliver on its long-term strategy based on expansion in key markets, launch of new manufacturing technologies, and pipeline development. Enbrel should continue performing well. Amgen's late-stage pipeline is also moving along. While Amgen is a Zacks Rank #2 stock, Biogen is a Zacks Rank #3 (Hold) stock.
Gilead, a Zacks Rank #1 stock, continues to do well in the HIV segment and has a potential blockbuster in its portfolio in the form of HCV treatment, Sovaldi.
Among generic companies, Actavis looks well-positioned. Actavis is slowly and steadily building its position in the branded market through acquisitions (Actavis Group, Warner Chilcott and the upcoming acquisition of Forest). With fewer major patent expiries slated to occur in the next few years, we are encouraged by Actavis' focus on building its branded and biosimilars pipeline. The company carries a Zacks Rank #2.
WEAKNESSES
We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles.
Among large-cap pharma companies, Eli Lilly is gearing up for another round of patent expiries -- Cymbalta in Dec 2013 and Evista this year. We prefer waiting on the sidelines until the company is able to emerge from the impact of genericization.
Companies that currently carry a Zacks Rank #4 (Sell) include Bayer ( BAYRY ), Sanofi and Glaxo among others. Sanofi, which is facing currency headwinds, was in the news recently related to the development of its PCSK9 inhibitor, alirocumab. The FDA has asked Sanofi and partner Regeneron ( REGN ) to evaluate potential neurocognitive adverse events across the global development program for alirocumab, especially in long-term studies. While results on PCSK9 inhibitors in development have been encouraging so far, this is the first time that serious safety concerns have been raised.
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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. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOMARIN PHARMA (BMRN): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report CHELSEA THERAP (CHTP): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report HORIZON PHARMA (HZNP): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MANNKIND CORP (MNKD): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report ONCOMED PHARMA (OMED): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO CO PLC (PRGO): Free Stock Analysis Report REGENERON PHARM (REGN): Free Stock Analysis Report SALIX PHARM-LTD (SLXP): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. These include drugs like Invokana (type II diabetes), Kadcyla (HER2-positive late-stage breast cancer), Sovaldi (an interferon-free oral treatment for some patients with chronic hepatitis C) and Mekinist (metastatic melanoma). | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOMARIN PHARMA (BMRN): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report CHELSEA THERAP (CHTP): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report HORIZON PHARMA (HZNP): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MANNKIND CORP (MNKD): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report ONCOMED PHARMA (OMED): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO CO PLC (PRGO): Free Stock Analysis Report REGENERON PHARM (REGN): Free Stock Analysis Report SALIX PHARM-LTD (SLXP): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Some of the companies that announced restructuring plans include Merck ( MRK ), Novartis ( NVS ), Eli Lilly, Shire and Sanofi ( SNY ). | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOMARIN PHARMA (BMRN): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report CHELSEA THERAP (CHTP): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report HORIZON PHARMA (HZNP): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MANNKIND CORP (MNKD): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report ONCOMED PHARMA (OMED): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO CO PLC (PRGO): Free Stock Analysis Report REGENERON PHARM (REGN): Free Stock Analysis Report SALIX PHARM-LTD (SLXP): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Zacks Industry Rank Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOMARIN PHARMA (BMRN): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report CHELSEA THERAP (CHTP): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report HORIZON PHARMA (HZNP): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MANNKIND CORP (MNKD): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report ONCOMED PHARMA (OMED): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO CO PLC (PRGO): Free Stock Analysis Report REGENERON PHARM (REGN): Free Stock Analysis Report SALIX PHARM-LTD (SLXP): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Collaborations, Acquisitions and Restructuring The pharma sector witnessed major merger and acquisitions (M&A) activity over the last couple of years. |
34201.0 | 2014-03-24 00:00:00 UTC | Noteworthy ETF Inflows: IVE, WMT, ABT, F | ABT | https://www.nasdaq.com/articles/noteworthy-etf-inflows-ive-wmt-abt-f-2014-03-24 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the iShares S&P 500 Value ETF (Symbol: IVE) where we have detected an approximate $43.2 million dollar inflow -- that's a 0.7% increase week over week in outstanding units (from 76,150,000 to 76,650,000). Among the largest underlying components of IVE, in trading today Wal-Mart Stores, Inc. (Symbol: WMT) is up about 0.3%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Ford Motor Co. (Symbol: F) is lower by about 0.4%. The chart below shows the one year price performance of IVE, versus its 200 day moving average:
Looking at the chart above, IVE's low point in its 52 week range is $72.37 per share, with $87.09 as the 52 week high point - that compares with a last trade of $86.22. 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 IVE, in trading today Wal-Mart Stores, Inc. (Symbol: WMT) is up about 0.3%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Ford Motor Co. (Symbol: F) is lower by about 0.4%. The chart below shows the one year price performance of IVE, versus its 200 day moving average: Looking at the chart above, IVE's low point in its 52 week range is $72.37 per share, with $87.09 as the 52 week high point - that compares with a last trade of $86.22. 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 IVE, in trading today Wal-Mart Stores, Inc. (Symbol: WMT) is up about 0.3%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Ford Motor Co. (Symbol: F) is lower by about 0.4%. The chart below shows the one year price performance of IVE, versus its 200 day moving average: Looking at the chart above, IVE's low point in its 52 week range is $72.37 per share, with $87.09 as the 52 week high point - that compares with a last trade of $86.22. 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 IVE, in trading today Wal-Mart Stores, Inc. (Symbol: WMT) is up about 0.3%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Ford Motor Co. (Symbol: F) is lower by about 0.4%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the iShares S&P 500 Value ETF (Symbol: IVE) where we have detected an approximate $43.2 million dollar inflow -- that's a 0.7% increase week over week in outstanding units (from 76,150,000 to 76,650,000). The chart below shows the one year price performance of IVE, versus its 200 day moving average: Looking at the chart above, IVE's low point in its 52 week range is $72.37 per share, with $87.09 as the 52 week high point - that compares with a last trade of $86.22. | Among the largest underlying components of IVE, in trading today Wal-Mart Stores, Inc. (Symbol: WMT) is up about 0.3%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Ford Motor Co. (Symbol: F) is lower by about 0.4%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the iShares S&P 500 Value ETF (Symbol: IVE) where we have detected an approximate $43.2 million dollar inflow -- that's a 0.7% increase week over week in outstanding units (from 76,150,000 to 76,650,000). The chart below shows the one year price performance of IVE, versus its 200 day moving average: Looking at the chart above, IVE's low point in its 52 week range is $72.37 per share, with $87.09 as the 52 week high point - that compares with a last trade of $86.22. |
34202.0 | 2014-03-19 00:00:00 UTC | Sucampo's NDA Gets Delayed - Analyst Blog | ABT | https://www.nasdaq.com/articles/sucampos-nda-gets-delayed-analyst-blog-2014-03-19 | nan | nan | Pipeline updates are highly-awaited events in the pharma/biotech sector as they play an important role in deciding whether to invest in a particular company or not. These updates provide information on experimental drugs.
Sucampo Pharma's ( SCMP ) Amitiza was approved by the U.S. Food and Drug Administration (FDA) in 2006 for chronic idiopathic constipation (CIC) in adults. It gained FDA approval in 2008 for irritable bowel syndrome with constipation (IBS-C) in women aged above 18 years.
Furthermore, it gained FDA approval for opioid-induced constipation (OIC) in Apr 2013. Amitiza is approved for chronic constipation (CC) in Japan where it is marketed in collaboration with Abbott Laboratories ( ABT ).
However, Sucampo recently announced that its New Drug Application (NDA) for the liquid formulation of Amitiza will not be filed in the second half of 2014.
The U.S. Food and Drug Administration (FDA) informed Sucampo that the former would require additional data to characterize pharmacokinetics (PK) of the new formulation.
Sucampo is developing Amitiza in collaboration with its partner Takeda Pharmaceuticals Inc. ( TKPYY ), which markets the drug in the U.S. A liquid formulation of Amitiza is being developed for certain pediatric and long-term care patients.
Sucampo and Takeda also announced top-line results from a pharmacodynamic, PK and tolerability study on a liquid formulation of Amitiza in adults suffering from CIC.
The data from the study showed directional improvement in spontaneous bowel movement (SBM) frequency in favor of liquid formulation of Amitiza as compared to placebo.
Taking into consideration the results from the study and the feedback from the FDA, Sucampo and Takeda are now assessing their next steps including formulation modification. Both the companies are also evaluating the potential impact of this delay to the timing of initiation of the second pivotal trial in the phase III program for pediatric functional constipation in children aged six months to less than 6 years. The liquid formulation of Amitiza would be required for this study.
We expect investor focus to remain on further updates on the NDA.
Sucampo carries a Zacks Rank #3 (Hold). Right now, Shire plc ( SHPG ) looks attractive with a Zacks Rank#1 (Strong Buy).
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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. | Amitiza is approved for chronic constipation (CC) in Japan where it is marketed in collaboration with Abbott Laboratories ( ABT ). ABBOTT LABS (ABT): Free Stock Analysis Report SUCAMPO PHARMAC (SCMP): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report TAKEDA PHARMACT (TKPYY): Get Free Report To read this article on Zacks.com click here. Sucampo and Takeda also announced top-line results from a pharmacodynamic, PK and tolerability study on a liquid formulation of Amitiza in adults suffering from CIC. | ABBOTT LABS (ABT): Free Stock Analysis Report SUCAMPO PHARMAC (SCMP): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report TAKEDA PHARMACT (TKPYY): Get Free Report To read this article on Zacks.com click here. Amitiza is approved for chronic constipation (CC) in Japan where it is marketed in collaboration with Abbott Laboratories ( ABT ). Sucampo Pharma's ( SCMP ) Amitiza was approved by the U.S. Food and Drug Administration (FDA) in 2006 for chronic idiopathic constipation (CIC) in adults. | ABBOTT LABS (ABT): Free Stock Analysis Report SUCAMPO PHARMAC (SCMP): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report TAKEDA PHARMACT (TKPYY): Get Free Report To read this article on Zacks.com click here. Amitiza is approved for chronic constipation (CC) in Japan where it is marketed in collaboration with Abbott Laboratories ( ABT ). Sucampo Pharma's ( SCMP ) Amitiza was approved by the U.S. Food and Drug Administration (FDA) in 2006 for chronic idiopathic constipation (CIC) in adults. | Amitiza is approved for chronic constipation (CC) in Japan where it is marketed in collaboration with Abbott Laboratories ( ABT ). ABBOTT LABS (ABT): Free Stock Analysis Report SUCAMPO PHARMAC (SCMP): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report TAKEDA PHARMACT (TKPYY): Get Free Report To read this article on Zacks.com click here. Sucampo Pharma's ( SCMP ) Amitiza was approved by the U.S. Food and Drug Administration (FDA) in 2006 for chronic idiopathic constipation (CIC) in adults. |
34203.0 | 2014-03-13 00:00:00 UTC | Proshares Ultra S&P500 Experiences Big Inflow | ABT | https://www.nasdaq.com/articles/proshares-ultra-sp500-experiences-big-inflow-2014-03-13 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $511.2 million dollar inflow -- that's a 19.1% increase week over week in outstanding units (from 25,500,000 to 30,375,000). Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is trading flat, Accenture plc (Symbol: ACN) is trading flat, and ACE, Ltd. (Symbol: ACE) is relatively unchanged. The chart below shows the one year price performance of SSO, versus its 200 day moving average:
Looking at the chart above, SSO's low point in its 52 week range is $70.11 per share, with $106.77 as the 52 week high point - that compares with a last trade of $104.95. 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 SSO, in trading today Abbott Laboratories (Symbol: ABT) is trading flat, Accenture plc (Symbol: ACN) is trading flat, and ACE, Ltd. (Symbol: ACE) 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 Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $511.2 million dollar inflow -- that's a 19.1% increase week over week in outstanding units (from 25,500,000 to 30,375,000). The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $70.11 per share, with $106.77 as the 52 week high point - that compares with a last trade of $104.95. | Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is trading flat, Accenture plc (Symbol: ACN) is trading flat, and ACE, Ltd. (Symbol: ACE) is relatively unchanged. The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $70.11 per share, with $106.77 as the 52 week high point - that compares with a last trade of $104.95. 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 SSO, in trading today Abbott Laboratories (Symbol: ABT) is trading flat, Accenture plc (Symbol: ACN) is trading flat, and ACE, Ltd. (Symbol: ACE) 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 Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $511.2 million dollar inflow -- that's a 19.1% increase week over week in outstanding units (from 25,500,000 to 30,375,000). The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $70.11 per share, with $106.77 as the 52 week high point - that compares with a last trade of $104.95. | Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is trading flat, Accenture plc (Symbol: ACN) is trading flat, and ACE, Ltd. (Symbol: ACE) 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 Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $511.2 million dollar inflow -- that's a 19.1% increase week over week in outstanding units (from 25,500,000 to 30,375,000). The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $70.11 per share, with $106.77 as the 52 week high point - that compares with a last trade of $104.95. |
34204.0 | 2014-03-04 00:00:00 UTC | Notable ETF Outflow Detected - SSO, ABT, ACN, ACE | ABT | https://www.nasdaq.com/articles/notable-etf-outflow-detected-sso-abt-acn-ace-2014-03-04 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $46.0 million dollar outflow -- that's a 2.9% decrease week over week (from 15,600,000 to 15,150,000). Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 1.9%, Accenture plc (Symbol: ACN) is up about 1.7%, and ACE, Ltd. (Symbol: ACE) is higher by about 1%. The chart below shows the one year price performance of SSO, versus its 200 day moving average:
Looking at the chart above, SSO's low point in its 52 week range is $66.94 per share, with $104.97 as the 52 week high point - that compares with a last trade of $104.94. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average » .
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs 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 SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 1.9%, Accenture plc (Symbol: ACN) is up about 1.7%, and ACE, Ltd. (Symbol: ACE) is higher by about 1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $46.0 million dollar outflow -- that's a 2.9% decrease week over week (from 15,600,000 to 15,150,000). The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $66.94 per share, with $104.97 as the 52 week high point - that compares with a last trade of $104.94. | Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 1.9%, Accenture plc (Symbol: ACN) is up about 1.7%, and ACE, Ltd. (Symbol: ACE) is higher by about 1%. The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $66.94 per share, with $104.97 as the 52 week high point - that compares with a last trade of $104.94. 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 SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 1.9%, Accenture plc (Symbol: ACN) is up about 1.7%, and ACE, Ltd. (Symbol: ACE) is higher by about 1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $46.0 million dollar outflow -- that's a 2.9% decrease week over week (from 15,600,000 to 15,150,000). The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $66.94 per share, with $104.97 as the 52 week high point - that compares with a last trade of $104.94. | Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 1.9%, Accenture plc (Symbol: ACN) is up about 1.7%, and ACE, Ltd. (Symbol: ACE) is higher by about 1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $46.0 million dollar outflow -- that's a 2.9% decrease week over week (from 15,600,000 to 15,150,000). Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. |
34205.0 | 2014-02-24 00:00:00 UTC | SSO, ABT, ACN, ACE: ETF Outflow Alert | ABT | https://www.nasdaq.com/articles/sso-abt-acn-ace-etf-outflow-alert-2014-02-24 | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel , one standout is the Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $75.9 million dollar outflow -- that's a 4.6% decrease week over week (from 16,350,000 to 15,600,000). Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 0.8%, Accenture plc (Symbol: ACN) is up about 0.6%, and ACE, Ltd. (Symbol: ACE) is up by about 0.3%. The chart below shows the one year price performance of SSO, versus its 200 day moving average:
Looking at the chart above, SSO's low point in its 52 week range is $65.48 per share, with $102.88 as the 52 week high point - that compares with a last trade of $102.71. 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 SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 0.8%, Accenture plc (Symbol: ACN) is up about 0.6%, and ACE, Ltd. (Symbol: ACE) is up 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 Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $75.9 million dollar outflow -- that's a 4.6% decrease week over week (from 16,350,000 to 15,600,000). The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $65.48 per share, with $102.88 as the 52 week high point - that compares with a last trade of $102.71. | Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 0.8%, Accenture plc (Symbol: ACN) is up about 0.6%, and ACE, Ltd. (Symbol: ACE) is up by about 0.3%. The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $65.48 per share, with $102.88 as the 52 week high point - that compares with a last trade of $102.71. 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 SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 0.8%, Accenture plc (Symbol: ACN) is up about 0.6%, and ACE, Ltd. (Symbol: ACE) is up 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 Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $75.9 million dollar outflow -- that's a 4.6% decrease week over week (from 16,350,000 to 15,600,000). The chart below shows the one year price performance of SSO, versus its 200 day moving average: Looking at the chart above, SSO's low point in its 52 week range is $65.48 per share, with $102.88 as the 52 week high point - that compares with a last trade of $102.71. | Among the largest underlying components of SSO, in trading today Abbott Laboratories (Symbol: ABT) is up about 0.8%, Accenture plc (Symbol: ACN) is up about 0.6%, and ACE, Ltd. (Symbol: ACE) is up 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 Proshares Ultra S&P500 (Symbol: SSO) where we have detected an approximate $75.9 million dollar outflow -- that's a 4.6% decrease week over week (from 16,350,000 to 15,600,000). Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. |
34206.0 | 2014-02-24 00:00:00 UTC | Daily Dividend Report: K, ABT, SYY, AGU, PLL | ABT | https://www.nasdaq.com/articles/daily-dividend-report-k-abt-syy-agu-pll-2014-02-24 | nan | nan | This morning, Kellogg ( K ) declared its quarterly dividend of 46 cents per share, maintaining the amount paid to shareholders the prior quarter. Based on the current stock price, investors can expect a yield of about 3% going forward. Shares of Kellogg were higher on Monday, gaining 1.3% so far.
In other dividend news, Abbott Labs ( ABT ) maintained its quarterly dividend of 22 cents per share. Sysco ( SYY ) maintained its quarterly dividend of 29 cents per share. Agrium ( AGU ) maintained its quarterly dividend of 75 cents per share. And Pall Corporation ( PLL ) maintained its quarterly dividend of 27.5 cents per share.
VIDEO: Daily Dividend Report: K, ABT, SYY, AGU, PLL
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. | VIDEO: Daily Dividend Report: K, ABT, SYY, AGU, PLL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In other dividend news, Abbott Labs ( ABT ) maintained its quarterly dividend of 22 cents per share. Based on the current stock price, investors can expect a yield of about 3% going forward. | VIDEO: Daily Dividend Report: K, ABT, SYY, AGU, PLL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In other dividend news, Abbott Labs ( ABT ) maintained its quarterly dividend of 22 cents per share. Sysco ( SYY ) maintained its quarterly dividend of 29 cents per share. | In other dividend news, Abbott Labs ( ABT ) maintained its quarterly dividend of 22 cents per share. VIDEO: Daily Dividend Report: K, ABT, SYY, AGU, PLL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. This morning, Kellogg ( K ) declared its quarterly dividend of 46 cents per share, maintaining the amount paid to shareholders the prior quarter. | VIDEO: Daily Dividend Report: K, ABT, SYY, AGU, PLL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In other dividend news, Abbott Labs ( ABT ) maintained its quarterly dividend of 22 cents per share. Sysco ( SYY ) maintained its quarterly dividend of 29 cents per share. |
34207.0 | 2014-02-18 00:00:00 UTC | Unilife And The Third Place In Healthcare: Why Trends Matter And Why Success Is Inevitable | ABT | https://www.nasdaq.com/articles/unilife-and-third-place-healthcare-why-trends-matter-and-why-success-inevitable-2014-02-18 | nan | nan | By Stock Writer :
In Global forces: An introduction , Bisson argues the importance to successful companies of identifying and acting on trends:
Or as Dick Clark, host of American Bandstand and successful entrepreneur would have it,
Of course, there are trends, and there are fashions. Fashions are short term vogues with no real lasting impact, here today gone tomorrow.
Business trends are long term in scope and influence, fundamentally changing the way business is conducted, and presenting significant opportunities to those companies that can harness them to their own advantage.
This article will discuss the major trends that are redefining the global healthcare industry, and why Unilife Corporation ( UNIS ) is better positioned than any other therapeutic drug delivery company to exploit and capitalise on them for the long term benefit of shareholders.
The First Trend: Personalized Medicine and Patient Self-Injection
To paraphrase the old saying, all roads in the new healthcare paradigm lead to the Third Place. The first of these roads is the trend to personalised medicine and patient self-injection.
Traditionally, injectable drug therapies have always been delivered at hospitals, doctor's surgeries or other private healthcare clinics. That is all changing with the rapid growth of complex biologics and user-friendly, patient-centric injectable delivery devices.
The trend is so pervasive it is predicted that within a decade over half of all healthcare will be delivered outside traditional healthcare facilities. Drug delivery platforms such as Unilife's wearable injectors and auto injectors, combined with emerging therapies for many chronic disease conditions - especially where patients may be challenged with strength or dexterity issues - including rheumatoid arthritis, multiple sclerosis and cancer, will empower patients to self-inject their personalized medicine at their own convenience, wherever they happen to be.
According to a report released last year by EyeforPharma ,
Says EY Global Pharmaceutical Leader, Carolyn Buck Luce :
Indeed, even the traditional view of the patient is changing, with the focus shifting from disempowered patients who need treatment, to sophisticated healthcare consumers who are increasingly informed - and empowered - by rapid advances in drug delivery technology and drug discovery to take control of, and responsibility for, their individual healthcare situation.
In terms of patient self-injection, the delivery device is now the critical element of the drug-device combination. Far from being yesterday's necessary, but often feared adjunct to the treatment process, today's drug delivery device - with its attractive personalised industrial design, functionality and ease of use - becomes the user interface between the pharmaceutical company and the patient.
So far as the self-injecting patient is concerned there is no best in class drug without a safe, convenient, easy to use - and disposable - best-in-class device.
This is the key point for investors to understand when benchmarking Unilife's platform technologies against others in the market.
As the patient user interface, the superior functionality and ergonomic design of Unilife's delivery systems - and the benefits they provide to the self-injecting patient in terms of safety, convenience and ease of use - are key differentiators that will drive both patient acceptance and physician preference in writing prescriptions, which in turn will drive market share and revenues for both Unilife and the pharmaceutical companies who choose to use Unilife delivery systems.
With its comprehensive range of patient-centric, intuitive to use technology platforms for self-injection including prefilled syringes, disposable and reusable auto-injectors, and wearable injectors, Unilife is at the vanguard of the global trend to personalized medicine and patient self-injection.
The Second Trend: The Shift to Complex Biologics
A biologic drug is comprised of living cells - molecules - that are created by biological processes, whereas traditional drugs are manufactured by chemical synthesis through the combination of specific chemicals in an ordered process. Biologics are extremely complex and often highly viscous meaning they need to be delivered in higher volumes due to the need to dilute them sufficiently to enable patient injection.
By way of example, water has just two molecules, yet a single biologic drug can have anywhere between 50,000 - 100,000 molecules.
In a recent report, Re-inventing the Hypodermic Syringe, A Market Ripe for Disruption , Casey Research state that in the past five years the drug market has been characterized by a strong shift away from small molecules and toward large molecules and biologics for development.
So too Ernst and Young Life Sciences Division , stating:
Dr Kenneth Kaitin, Director of the Tufts Center for the Study of Drug Development, agrees. The pharmaceutical industry, especially Big Pharma, has dramatically shifted its R&D focus from its historical concentration on small molecule drugs to include a rapidly increasing number of biotechnology products.
One of the new technologies driving this change is wearable injectors which provide the mechanism for pharmaceutical companies to deliver increasingly complex high-volume biologics in a safe, convenient, patient-friendly manner that helps ensure patient compliance with accurate drug dosage administration.
Because biologics are highly viscous and delivered in higher volumes than traditional drugs, in most cases they require a sub-cutaneous injection. In turn, sub-cutaneous injections can only be safely and effectively delivered over a period of time - as opposed to a single quick jab - otherwise the drug will literally leak out from under the skin. This gives rise to the wearable injector, where the patient can safely self-administer the required drug dose over a period of time at their own convenience.
Under an agreement signed last year with MedImmune, the drug development arm of global giant Astra-Zeneca ( AZN ), Unilife became the first injectable drug delivery company in the world to sign a commercial Supply Agreement for wearable injectors with a Top 10 pharmaceutical company.
In recent shareholder presentations, Unilife CEO Alan Shortall confirmed that the agreement with MedImmune/Astra-Zeneca was the first of several that will be signed in coming months from Unilife's platform technology for wearable injectors.
The Third Trend: Product Differentiation and Life-Cycle Management
At its most basic level product differentiation is a strategy for strengthening product pipelines and life-cycle management, and hence profitability.
Traditionally, pharmaceutical companies could rely on established brand names and long term patent protection to achieve required product differentiation and profit outcomes. The most common strategies of product differentiation were new dosage forms, fixed drug combinations and new indications.
Today that is no longer the case.
Product differentiation is now an essential element of all pharmaceutical companies drug development, regulatory approval, sales and marketing and life-cycle management programs.
As the delivery system becomes the focal point of product differentiation, commodity-type delivery systems become dinosaurs - a dying breed.
Let's be clear about this - Unilife is no dinosaur, (as much as those holding a short position might wish it to be!), nor it is in competition with the commodity-type delivery devices.
Instead, Unilife is a new breed of drug delivery company carving out an increasingly influential and powerful position as market leader in the new world of injectable drug therapies.
Unilife's platform of wearable injectors is a classic example of innovative, disruptive technology enabling pharmaceutical companies with their product differentiation strategies.
With over 100 hundred issued patents - 200 pending - embracing multiple platform technologies covering all aspects of injectable therapies for existing and pipeline drugs, particularly complex biologics, Unilife is uniquely positioned to assist pharmaceutical companies with their Product Differentiation strategies.
This is a high-value proposition for Unilife investors.
Why?
Because when a pharmaceutical company wants to modify an existing device from Unilife's platform technologies for their own specific requirements, a new patent issues.
This is a critical competitive advantage for pharmaceutical companies wanting - and needing - to differentiate their products for the long term, and why Unilife is in the enviable position of being able to sign 10, 15, and even 20 twenty year commercial supply agreements.
As product differentiation becomes an increasingly important pillar in the long term success of pharmaceutical companies' injectable drug therapies in theglobal market so too the inherent differentiation of Unilife's unique technology becomes an essential element in Unilife's long term success.
Product Life-Cycle Management
Abbott Laboratories strongly believe in life-cycle management, with one of the most important things being the ability to listen to the data and change gears when the opportunity arises. In a recent report, " Can a Drug Live Forever ?", Dr John Leonard, CSO and SVP Pharmaceuticals Research and Development at Abbott Laboratories, had this to say about Life-Cycle Management:
Once upon a time product life cycle management was virtually unheard of as drug companies could rely on deep pipelines for the launch of the next blockbuster, continued revenue growth and profitability.
All that changed with the rise of generics and bio-similars, and the emergence of a more regulated and increasingly specialized market where increasingly sophisticated drug therapies are being developed to treat a wider range of specific disease conditions.
Combined with a dramatic increase in the cost of discovering and developing new compounds, and successfully bringing them through the regulatory process to market, this gave rise to the concept of Product Life-Cycle Management as a critical element of pharmaceutical companies sales and marketing strategies.
Best Practices LLC is a research company that conducts work based on the principle that organizations can chart a course to superior economic performance by studying the best business practices, operating tactics, and winning strategies.
Says CEO, Chris Bogan:
It is no longer sufficient to bring a drug to market then sit back and watch the rivers of gold flow into the corporate coffers. Maintaining market profile, widespread user acceptance and user preference is equally, if not more, important.
Successful product life-cycle management strategies involve all aspects of a drug's 'life' - from discovery, clinical development, regulatory approval, through to eventual sales and marketing - that increase the value and extend the life of the drug.
One of the main reasons for the growth in alternate drug delivery systems is that drug delivery is a versatile life-cycle management tool. The application of drug-delivery technologies can provide companies with technological barriers to generics, extended patent protection, market exclusivity of at least three-plus years, new indications and labelling advantages, pricing options, and franchise expansion.
Additionally, and more importantly, drug delivery technology offers significant patient benefits, such as reduction in dosing frequency and side effects and the development of optimal dosage forms for certain disease states and patient populations, such as the elderly and children.
What better examples of this than the recent Supply and Development Agreements Unilife signed with Sanofi-Aventis ( SNY ), MedImmune and Hikma Pharmaceuticals ( HKMPF ), the Clinical Supply Agreement with Novartis (NVS) for targeted organ delivery, or the agreement signed with an as-yet unnamed global pharma for Unilife's Ocu-Ject technology for delivery of a targeted injectable therapy into the eye?
As Unilife's unique platform technology becomes increasingly embedded into the drug development, regulatory approval process and product differentiation/life-cycle management strategies of pharmaceutical companies, so too pharmaceutical companies better understand and become more comfortable with the benefits of signing long term commercial Supply Agreements with Unilife.
What we are seeing now is the emergence of multiple symbiotic relationships between Unilife and its partners that are tailor-made for the biggest emerging trend of all in the global healthcare market - The Third Place in Healthcare.
The Fourth Trend: The Emergence of The Third Place in Healthcare
As Ernst &Young's Global Pharmaceutical Sector Leader, Carolyn Buck Luce is responsible for overseeing strategy, thought leadership, resourcing, learning and solutions for the firm's life science clients. With over two decades experience in the Life Sciences Industry, she has this to say about the importance of the emergence of the Third Place In Healthcare:
In their annual report, Progressions 2012 : The Third Place, HealthCare Everywhere ", analysts with EY Life Sciences Health unit explained why:
Even more revealing, especially for Unilife, in the same report EY analysts state:
Moreover, companies need to significantly extend their business models to be experience-focused with personalization, mass customization - and an increased focus on industrial design.
This is exactly what Unilife is doing and what their competition - the large, mature incumbents - are not doing. It is also why CEO Alan Shortall is adamant that Unilife is eating the competition's lunch and will continue to do so for the foreseeable future.
Make no mistake - the Third Place in Healthcare is no passing fad. It is a mega-trend fundamentally changing the way the entire global healthcare industry operates, from the biggest pharmaceutical companies down to the individual patient having a coffee with friends at Starbucks while self-injecting their personalised drug therapy with a Unilife wearable injector.
Unilife has embraced this mega-trend like no other drug delivery company and is aggressively pursuing the significant financial rewards on offer.
Nowhere is this more evident than in Unilife's unique B2B model.
The Fifth Trend: Unilife's Business-to-Business Marketing Strategy.
In a word, Dr Ramin Mojdeh, Unilife's Chief Operating Officer, has pedigree.
Before joining Unilife he spent nearly two decades in the global healthcare industry with multi-nationals Becton Dickenson (BDX), GE Healthcare and Boston Scientific (BSX). In a succession of increasingly senior executive roles - including Vice President and GM at Becton Dickenson - Dr Mojdeh's responsibilities covered the entire spectrum of medical devices including design, development, manufacturing, business development, and sales and marketing of multiple therapeutic and diagnostic medical devices.
As BD's VP Research and Development, he led technology, innovation, product development, and commercialization across all 4 businesses in the BD Medical segment - Medical Surgical Systems, Diabetes Care, Pharmaceutical Systems, and Ophthalmic Systems - with combined annual revenue of over US$4 billion.
In terms of executive talent, Ramin Mojdeh is as blue chip as they come.
Yet he is not alone at Unilife. An adherent to the discipline of empowering employees to achieve their full potential, CEO Alan Shortall has brought together a team comprising many of the best and brightest in the medical devices world to spur innovation and drive the company forward.
If a company is defined by the calibre of its people, Unilife is top of the class, rapidly garnering a deserved reputation among its peers - competitors and clients alike - as a company par excellence, setting new standards in research innovation and product delivery in the world of injectable therapeutic drugs.
Arguably, Ramin Mojdeh's most significant achievement while at Becton Dickenson was to create a blueprint for a new, disruptive business model - one which focused on developing unique injectable drug delivery devices in response to the specific requirements of pharmaceutical companies, then selling them B2B on multi-year supply agreements.
Becton Dickenson - a large, mature incumbent perhaps struggling to disrupt their own business model - didn't understand the benefits of Dr Mojdeh's foresight, and weren't interested.
To say that joining Unilife was a coup for Unilife and a significant loss for Becton Dickenson is an understatement.
Happily for Unilife shareholders, Becton's loss is Unilife's gain. Not only is Unilife disrupting the drug delivery/medical devices industry with their creative thinking and ground-breaking design, but with their proven ability to sign long term 10, 15 and 20 year commercial agreements, they are also disrupting the traditional way pharmaceutical and injectable drug delivery companies do business.
For investors and potential investors it is worth noting that the recent long term agreements signed by Unilife are not once-off random events. They are significant commercial partnerships entered into with the future very much in mind, partnerships that were - until recently - unheard of in the traditional medical device-pharmaceutical business.
The commercial reality is that Unilife is creating a new way of doing business - the new normal.
Why is this possible?
Firstly, because Unilife is so embedded in the internal and external processes of their clients - from initial consultation through to inking of long term commercial contracts - it is in the interests of all stakeholders for Unilife to be a strong and effective partner.
Secondly, Unilife has proven across the entire organisation that they have all the necessary expertise - research, design, development and production - to satisfy the most stringent requirements from some of the biggest and most powerful organisations in the world - the pharmaceutical companies.
Thirdly, Unilife are unfailingly responsive to meeting and satisfying the unmet needs of their clients, and committed to delivering exactly what they want today, and in the years to come.
That is why global giants like Sanofi-Aventis, MedImmune/Astra Zeneca, Hikma and Novartis are increasingly comfortable choosing Unilife as their preferred partner for their injectable drug delivery therapies.
The most exciting - and intrinsically valuable - aspect of Unilife's B2B model is that it cuts out all the traditional stakeholders - hospitals, medical practitioners and private healthcare providers.
Accordingly, virtually none of the traditional go-to-market costs one normally associates with medical device and pharmaceutical companies, reside on Unilife's balance sheet.
Because Unilife deals directly with their clients - B2B - virtually ALL go-to-market costs - fill-finish, regulatory approval, packaging, advertising, sales and marketing, and distribution - are carried by the pharmaceutical client.
And if that's not enough to make investors - and potential investors - sit up and pay attention, so eager are pharmaceutical companies to work with Unilife and access their technology, they are willing to pay upfront license fees and a significant portion of the annual development costs to ensure their devices are brought to market in a timely and efficient manner.
This is why CEO Alan Shortall can talk about blended margins of 40% across Unilife's entire product range of platform technologies, and why Unilife is such an attractive investment proposition going forward.
Unlike Dick Clark, Unilife is not merely identifying a trend and exploiting it. They are creating the trend and owning it to their considerable competitive and financial advantage, and the benefit of all shareholders.
All these trends - patient self-injection, the development of complex biologics, reduction of healthcare costs, product differentiation, life-cycle management and the emergence of the Third Place in Healthcare - are fundamental and permanent changes in how the global healthcare industry is operating now, and will continue to operate in the future.
In this new paradigm - as a nimble , innovative organisation - Unilife has first-mover advantage. With its B2B business model it is redefining how the market operates. The long term supply and development agreements with global leaders Sanofi-Aventis, Medimmune/Astra-Zeneca, Hikma and Novartis are just the start - persuasive evidence that the B2B model works - and that a new commercial reality is in place.
For Unilife shareholders the force of these fundamental changes are converging at exactly the right time. Not only is Unilife at the epicenter of this convergence, they are actively partnering with the global pharmaceutical industry and driving it forward to create a new commercial reality.
In so doing, Unilife Corporation becomes a compelling long term value proposition for the astute investor.
Last - but not least - if anyone doubts what Unilife is doing, they should visit their HQ in Pennsylvania.
There they will not find an empty Chinese factory bereft of people and products.
Instead they will find a state of the art facility populated by what is arguably the finest, most concentrated pool of talent in the world of injectable drug delivery systems - industry leaders across all disciplines many of whom have come from Becton Dickenson, Medtronic, Boston Scientific, Johnson & Johnson, West Pharmaceutical, Sanofi, Stryker and St. Jude Medical - who are creating a world class company that is building an unassailable position in the injectable drug delivery market.
Disclosure: I am long UNIS. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.
See also The Smart Trade For Tesla's Earnings on seekingalpha.com
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 new technologies driving this change is wearable injectors which provide the mechanism for pharmaceutical companies to deliver increasingly complex high-volume biologics in a safe, convenient, patient-friendly manner that helps ensure patient compliance with accurate drug dosage administration. The Fourth Trend: The Emergence of The Third Place in Healthcare As Ernst &Young's Global Pharmaceutical Sector Leader, Carolyn Buck Luce is responsible for overseeing strategy, thought leadership, resourcing, learning and solutions for the firm's life science clients. Arguably, Ramin Mojdeh's most significant achievement while at Becton Dickenson was to create a blueprint for a new, disruptive business model - one which focused on developing unique injectable drug delivery devices in response to the specific requirements of pharmaceutical companies, then selling them B2B on multi-year supply agreements. | With over 100 hundred issued patents - 200 pending - embracing multiple platform technologies covering all aspects of injectable therapies for existing and pipeline drugs, particularly complex biologics, Unilife is uniquely positioned to assist pharmaceutical companies with their Product Differentiation strategies. As Unilife's unique platform technology becomes increasingly embedded into the drug development, regulatory approval process and product differentiation/life-cycle management strategies of pharmaceutical companies, so too pharmaceutical companies better understand and become more comfortable with the benefits of signing long term commercial Supply Agreements with Unilife. In a succession of increasingly senior executive roles - including Vice President and GM at Becton Dickenson - Dr Mojdeh's responsibilities covered the entire spectrum of medical devices including design, development, manufacturing, business development, and sales and marketing of multiple therapeutic and diagnostic medical devices. | As the patient user interface, the superior functionality and ergonomic design of Unilife's delivery systems - and the benefits they provide to the self-injecting patient in terms of safety, convenience and ease of use - are key differentiators that will drive both patient acceptance and physician preference in writing prescriptions, which in turn will drive market share and revenues for both Unilife and the pharmaceutical companies who choose to use Unilife delivery systems. As product differentiation becomes an increasingly important pillar in the long term success of pharmaceutical companies' injectable drug therapies in theglobal market so too the inherent differentiation of Unilife's unique technology becomes an essential element in Unilife's long term success. As Unilife's unique platform technology becomes increasingly embedded into the drug development, regulatory approval process and product differentiation/life-cycle management strategies of pharmaceutical companies, so too pharmaceutical companies better understand and become more comfortable with the benefits of signing long term commercial Supply Agreements with Unilife. | As Unilife's unique platform technology becomes increasingly embedded into the drug development, regulatory approval process and product differentiation/life-cycle management strategies of pharmaceutical companies, so too pharmaceutical companies better understand and become more comfortable with the benefits of signing long term commercial Supply Agreements with Unilife. Yet he is not alone at Unilife. All these trends - patient self-injection, the development of complex biologics, reduction of healthcare costs, product differentiation, life-cycle management and the emergence of the Third Place in Healthcare - are fundamental and permanent changes in how the global healthcare industry is operating now, and will continue to operate in the future. |
34208.0 | 2014-02-12 00:00:00 UTC | Health Care Select Sector SPDR Fund Experiences Big Outflow | ABT | https://www.nasdaq.com/articles/health-care-select-sector-spdr-fund-experiences-big-outflow-2014-02-12 | 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 $51.8 million dollar outflow -- that's a 0.6% decrease week over week (from 156,765,324 to 155,865,324). Among the largest underlying components of XLV, in trading today Eli Lilly & Co. (Symbol: LLY) is down about 0.8%, Abbott Laboratories (Symbol: ABT) is up about 0.9%, and Thermo Fisher Scientific Inc (Symbol: TMO) is relatively unchanged. 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 $42.71 per share, with $57.91 as the 52 week high point - that compares with a last trade of $57.75. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average » .
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs experienced notable outflows »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of XLV, in trading today Eli Lilly & Co. (Symbol: LLY) is down about 0.8%, Abbott Laboratories (Symbol: ABT) is up about 0.9%, and Thermo Fisher Scientific Inc (Symbol: TMO) 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 Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $51.8 million dollar outflow -- that's a 0.6% decrease week over week (from 156,765,324 to 155,865,324). 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 $42.71 per share, with $57.91 as the 52 week high point - that compares with a last trade of $57.75. | Among the largest underlying components of XLV, in trading today Eli Lilly & Co. (Symbol: LLY) is down about 0.8%, Abbott Laboratories (Symbol: ABT) is up about 0.9%, and Thermo Fisher Scientific Inc (Symbol: TMO) is relatively unchanged. 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 $42.71 per share, with $57.91 as the 52 week high point - that compares with a last trade of $57.75. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). | Among the largest underlying components of XLV, in trading today Eli Lilly & Co. (Symbol: LLY) is down about 0.8%, Abbott Laboratories (Symbol: ABT) is up about 0.9%, and Thermo Fisher Scientific Inc (Symbol: TMO) 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 Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $51.8 million dollar outflow -- that's a 0.6% decrease week over week (from 156,765,324 to 155,865,324). 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 $42.71 per share, with $57.91 as the 52 week high point - that compares with a last trade of $57.75. | Among the largest underlying components of XLV, in trading today Eli Lilly & Co. (Symbol: LLY) is down about 0.8%, Abbott Laboratories (Symbol: ABT) is up about 0.9%, and Thermo Fisher Scientific Inc (Symbol: TMO) 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 Health Care Select Sector SPDR Fund (Symbol: XLV) where we have detected an approximate $51.8 million dollar outflow -- that's a 0.6% decrease week over week (from 156,765,324 to 155,865,324). Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. |
34209.0 | 2014-01-31 00:00:00 UTC | Abaxis Misses Q3 Earnings & Revs - Analyst Blog | ABT | https://www.nasdaq.com/articles/abaxis-misses-q3-earnings-revs-analyst-blog-2014-01-31 | nan | nan | Abaxis, Inc. ( ABAX ) reported a disappointing third-quarter fiscal 2014 with earnings per share of 14 cents missing both the Zacks Consensus Estimate and the year-ago earnings of 22 cents by a massive 31.8%.
Total Revenue
Revenues were down 18% to $40.8 million and also lagged the Zacks Consensus Estimate of $49 million. It generated revenues of $49.8 million in the prior-year quarter.
Segment in Detail
On a geographic-region basis, revenues from North America (accounting for 77.9% of total revenues) were down 24% to $31.8 million, while revenues from the international market (representing the rest) increased 13% to $9.0 million. Sales in Europe grew 16% to $7.2 million while the same in Pacific Rimincreased by 2% year over year.
Abaxis operates in three main segments, namely Veterinary, Medical and Other. In the reported quarter, vet sales comprised 79% of total sales, 19% were medical sales and 2% were from Other.
Veterinary market revenues shrunk 19.1% year over year to $32.2 million, while sales in the Medical market declined 12.5% year over year to roughly $7.9 million. Adjusting for prior-year quarter's stocking order from Abbott Laboratories (ABT), worldwide medical sales were up 18%.
Notably, during third-quarter fiscal 2013, Abaxis had two stocking orders from partners. MWI Vet (MWIV) ordered about $6 million worth of Abaxis products and prepared for a Jan 2013 launch. Abbott ordered about $2.3 million in Abaxis medical products for a launch in the same month. While Abaxis recorded these sales, none of these products were sold by the partners to end-users in that quarter.
Operational Updates
Based on a disappointing top line, the fiscal third-quarter gross profit slashed 25.8% to $19.3 million. In terms of basis points (bps), it contracted a massive 499 bps to 47.3%.
Research and development expenses were $3.6 million, down 5.4%. Selling and Marketing Expenses amounted to $8.7 million, down 29.6%. General and administrative expenses, however, increased 8.9% year over year to $2.4 million. Operating margin during the quarter contracted 411 bps to 11.3%.
Financial Update
Abaxis exited the quarter with cash, cash equivalents and short- and long-term investments of $101.8 million versus $78.2 million as on Mar 31, 2013.
Our Take
Abaxis continues to fall short of expectations, as it has missed the previous three quarterly estimates as well. According to the company, this weak performance reflects Abaxis' inability to make a smooth transition from a direct sales approach to a largely distributor model. This resulted in imbalances in field inventory and disruptions in field sales organization. Subsequently, all these had a cascading effect causing inefficiencies at the factory, leading to higher factory cost and lower gross margins.
The consistent downfall in margin is a serious cause of concern as it might have an impact on the bottom-line performance of the company. Moreover, the company's dependence on the distributors to sell its products has to be tactfully managed as smooth long-term relationships with the vendors ultimately ensure healthy business for the company. Low worldwide penetration rates and a tough competitive market further lower the confidence of the investors on the future growth prospects of the company.
Currently, Abaxis carries a Zacks Rank #5 (Strong Sell). Some better-placed stocks that are worth a look are Baxter International Inc. ( BAX ), Covidien plc ( COV ) and Stryker Corp. ( SYK ), with a Zacks Rank #2 (Buy).
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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. | Adjusting for prior-year quarter's stocking order from Abbott Laboratories (ABT), worldwide medical sales were up 18%. According to the company, this weak performance reflects Abaxis' inability to make a smooth transition from a direct sales approach to a largely distributor model. Low worldwide penetration rates and a tough competitive market further lower the confidence of the investors on the future growth prospects of the company. | Adjusting for prior-year quarter's stocking order from Abbott Laboratories (ABT), worldwide medical sales were up 18%. Abaxis, Inc. ( ABAX ) reported a disappointing third-quarter fiscal 2014 with earnings per share of 14 cents missing both the Zacks Consensus Estimate and the year-ago earnings of 22 cents by a massive 31.8%. Some better-placed stocks that are worth a look are Baxter International Inc. ( BAX ), Covidien plc ( COV ) and Stryker Corp. ( SYK ), with a Zacks Rank #2 (Buy). | Adjusting for prior-year quarter's stocking order from Abbott Laboratories (ABT), worldwide medical sales were up 18%. Segment in Detail On a geographic-region basis, revenues from North America (accounting for 77.9% of total revenues) were down 24% to $31.8 million, while revenues from the international market (representing the rest) increased 13% to $9.0 million. Veterinary market revenues shrunk 19.1% year over year to $32.2 million, while sales in the Medical market declined 12.5% year over year to roughly $7.9 million. | Adjusting for prior-year quarter's stocking order from Abbott Laboratories (ABT), worldwide medical sales were up 18%. In the reported quarter, vet sales comprised 79% of total sales, 19% were medical sales and 2% were from Other. Veterinary market revenues shrunk 19.1% year over year to $32.2 million, while sales in the Medical market declined 12.5% year over year to roughly $7.9 million. |
34210.0 | 2014-01-22 00:00:00 UTC | Sector Update: Healthcare Shares Mixed Pre-Market; Abbott Labs Dips on Q4 Results | ABT | https://www.nasdaq.com/articles/sector-update-healthcare-shares-mixed-pre-market-abbott-labs-dips-q4-results-2014-01-22 | nan | nan | Healthcare stocks:
JNJ: -0.15%
PFE: +0.13%
ABT: -0.31%
MRK: flat
AMGN: flat
Healthcare shares are generally trading flat in pre-market trade.
Among news in this sector, Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. Sales were $5.65 bln, shy of the Street view of $5.71 bln.
In 2014, the company expects an increase in share buybacks to more than $2 billion.
For FY 2014 earnings, the company expects ongoing EPS of $2.16-$2.26 per share. The Street is at $2.21 per share.
And, Integrated life science company Meridian Bioscience ( VIVO ) reported financial results for Q1, that fell in line with analysts' expectations.
VIVO reported Q1 earnings of $7.4 million, or $0.18 per diluted share, compared with the prior-year period's $8.47 million or $0.20 per share. Revenues were $44.8 million, down 1% from $45.35 million in the same quarter last year.
Analysts polled by Capital IQ were expecting EPS of $0.20 on revenues of $44.79 million.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among news in this sector, Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. And, Integrated life science company Meridian Bioscience ( VIVO ) reported financial results for Q1, that fell in line with analysts' expectations. Analysts polled by Capital IQ were expecting EPS of $0.20 on revenues of $44.79 million. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Among news in this sector, Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. MRK: flat AMGN: flat Healthcare shares are generally trading flat in pre-market trade. | Among news in this sector, Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. MRK: flat AMGN: flat Healthcare shares are generally trading flat in pre-market trade. VIVO reported Q1 earnings of $7.4 million, or $0.18 per diluted share, compared with the prior-year period's $8.47 million or $0.20 per share. | Among news in this sector, Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. And, Integrated life science company Meridian Bioscience ( VIVO ) reported financial results for Q1, that fell in line with analysts' expectations. VIVO reported Q1 earnings of $7.4 million, or $0.18 per diluted share, compared with the prior-year period's $8.47 million or $0.20 per share. |
34211.0 | 2014-01-22 00:00:00 UTC | Sector Update: Healthcare | ABT | https://www.nasdaq.com/articles/sector-update-healthcare-2014-01-22-1 | nan | nan | Healthcare shares are generally trading flat in pre-market trade.
Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. Sales were $5.65 bln, shy of the Street view of $5.71 bln.
In 2014, the company expects an increase in share buybacks to more than $2 billion.
For FY 2014 earnings, the company expects ongoing EPS of $2.16-$2.26 per share. The Street is at $2.21 per share.
And, Integrated life science company Meridian Bioscience ( VIVO ) reported financial results for Q1, that fell in line with analysts' expectations.
VIVO reported Q1 earnings of $7.4 million, or $0.18 per diluted share, compared with the prior-year period's $8.47 million or $0.20 per share. Revenues were $44.8 million, down 1% from $45.35 million in the same quarter last year.
Analysts polled by Capital IQ were expecting EPS of $0.20 on revenues of $44.79 million.
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. | Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. And, Integrated life science company Meridian Bioscience ( VIVO ) reported financial results for Q1, that fell in line with analysts' expectations. Analysts polled by Capital IQ were expecting EPS of $0.20 on revenues of $44.79 million. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. Analysts polled by Capital IQ were expecting EPS of $0.20 on revenues of $44.79 million. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. VIVO reported Q1 earnings of $7.4 million, or $0.18 per diluted share, compared with the prior-year period's $8.47 million or $0.20 per share. | Abbott Labs ( ABT ) is down 0.3% this morning as it reports Q4 EPS of $0.58, in line with the analyst consensus on Capital IQ. And, Integrated life science company Meridian Bioscience ( VIVO ) reported financial results for Q1, that fell in line with analysts' expectations. VIVO reported Q1 earnings of $7.4 million, or $0.18 per diluted share, compared with the prior-year period's $8.47 million or $0.20 per share. |
34212.0 | 2014-01-22 00:00:00 UTC | Abbott Earnings Preview: Steady Growth Expected Despite Short Term Weakness In Nutritionals | ABT | https://www.nasdaq.com/articles/abbott-earnings-preview-steady-growth-expected-despite-short-term-weakness-nutritionals | nan | nan | Abbott Labs ( ABT ) is scheduled to release its Q4 2013 earnings on Wednesday, January 22. In the previous quarter, the company reported a 4.3% year-over-year increase in operational sales as Diagnostics, Abbott's second largest business division, saw an impressive 10.5% revenue increase. Nutritionals, the largest division, recorded moderate sales growth of 3.4% as the company was impacted by a disruption in some key emerging markets, including China. The company did well on the cost side, as gross margins increased by 1.6% over the past year with continued improvements in the Nutritionals and Diagnostics businesses. Adjusted operating margins also improved by 210 basis points due to a sharp decline in SG&A expenses (9.7% y-o-y).
We expect more of the same in the upcoming earnings release as the company continues to focus on expanding its markets and improving operational efficiencies. Our $40 price estimate for Abbott Labs is in line with the current market price.
See our full analysis for Abbott Labs
Nutritionals and Diagnostics To Drive Growth Again
Together, the Nutritionals and Diagnostics divisions account for over 50% of Abbott's revenue. Both of these divisions have been reporting solid growth in sales due to strong demand from emerging markets. Countries such as China, India, Russia and Brazil continue to grow at a faster rate than most developed economies, and have rapidly growing middle classes. McKinsey & Company predicts that the urban household income in China will double by 2022 and that the majority of its urban consumers will earn between $9,000 and $34,000 annually by that time. As the middle class continues to grow in these markets, people are likely to increase increase their discretionary spending on nutritional products (such as food supplements) and point-of-care diagnostics.
Chinese Sales Likely To Bounce Back Within Next Few Quarters
Abbott's nutritional business ran into some trouble with Chinese regulators in the second quarter. First, it was fined around 77 million Yuan ($12.63 million) for allegedly collaborating with several competitors to fix the prices of its baby formula products in the country. Second, it was asked by China's national quality watchdog to recall two batches of its infant baby formula products due to concerns that they might contain bacteria that cause food poisoning.
Both of these events impacted Abbott's sales in China as growth in the Nutritionals business halved to 3.4% in the third quarter. We expect the impact of these recalls to fade considerably in the next few quarters as Abbott's marketing initiatives bear fruit. Thereafter, the company should start gaining market share again at a healthy rate as it launches new products and expands its geographical presence (also see Why Abbott's Troubles With Chinese Regulators Are Not A Big Deal ).
New Acquisitions Could Boost Sales
In August 2013, Abbott made two important acquisitions to boost its offerings in the Vascular and Medical Optics segments. It acquired IDEV Technologies,a stent manufacturing company, for $310 million net of cash and debt to boost its sales in the Vascular segment. IDEV's flagship stent, SUPERA Veritas, already sells in Europe for treating blockages in blood vessels due to peripheral artery disease (PAD), a sickness that ails 27 million people in Europe and North America. It is also under FDA review for superficial femoral artery (SFA) treatment in the U.S.
In the Medical Optics business, Abbott acquired OptiMedica Corporation for about $250 million net of cash. OptiMedica's flagship product, Catalys, allows surgeons to replace manual steps in cataract surgery with computer-guided laser technology, and provides Abbott an entry point in the large and fast growing laser cataract surgery market.
We believe these acquisitions could help Abbott Labs register some growth in these businesses, albeit not all organically.
Understand How a Company's ProductsImpact its Stock Price at Trefis
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. | Abbott Labs ( ABT ) is scheduled to release its Q4 2013 earnings on Wednesday, January 22. Nutritionals, the largest division, recorded moderate sales growth of 3.4% as the company was impacted by a disruption in some key emerging markets, including China. Second, it was asked by China's national quality watchdog to recall two batches of its infant baby formula products due to concerns that they might contain bacteria that cause food poisoning. | Abbott Labs ( ABT ) is scheduled to release its Q4 2013 earnings on Wednesday, January 22. In the previous quarter, the company reported a 4.3% year-over-year increase in operational sales as Diagnostics, Abbott's second largest business division, saw an impressive 10.5% revenue increase. It acquired IDEV Technologies,a stent manufacturing company, for $310 million net of cash and debt to boost its sales in the Vascular segment. | Abbott Labs ( ABT ) is scheduled to release its Q4 2013 earnings on Wednesday, January 22. In the previous quarter, the company reported a 4.3% year-over-year increase in operational sales as Diagnostics, Abbott's second largest business division, saw an impressive 10.5% revenue increase. See our full analysis for Abbott Labs Nutritionals and Diagnostics To Drive Growth Again Together, the Nutritionals and Diagnostics divisions account for over 50% of Abbott's revenue. | Abbott Labs ( ABT ) is scheduled to release its Q4 2013 earnings on Wednesday, January 22. We expect more of the same in the upcoming earnings release as the company continues to focus on expanding its markets and improving operational efficiencies. See our full analysis for Abbott Labs Nutritionals and Diagnostics To Drive Growth Again Together, the Nutritionals and Diagnostics divisions account for over 50% of Abbott's revenue. |
34213.0 | 2014-01-22 00:00:00 UTC | Abbott Posts In-Line Earnings, Misses Sales - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-posts-in-line-earnings-misses-sales-analyst-blog-2014-01-22 | nan | nan | Abbott Laboratories ( ABT ) reported fourth quarter 2013 earnings of 58 cents per share, in line with the Zacks Consensus Estimate.
Earnings increased 20.8% from the year-ago quarter. Including one-time items, fourth quarter earnings came in at 37 cents per share, down from 66 cents in the year-ago quarter.
Abbott Labs generated sales of $5.6 billion in the fourth quarter of 2013, up 0.4% year over year, but fell short of Zacks Consensus Estimate of $5.7 billion. The year-over-year growth was primarily driven by the solid performance of the Diagnostics and Medical Devices segments.
However, the disruption in Abbott Labs' international nutrition business in Aug 2013 negatively impacted its fourth quarter sales by 1.5% points. Moreover, unfavorable movement in foreign exchange rates negatively impacted sales by 2.9%.
Total sales in 2013 came in at $21.8 billion, falling short of the Zacks Consensus Estimate of $21.9 billion. Earnings per share came in at $2.01 in 2013, in line with the Zacks Consensus Estimate.
Fourth Quarter in Detail
Abbott Labs operates through four segments, namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutrition.
EPD sales declined 4.3% year over year to $1.3 billion including a negative impact of 5.0% due to currency fluctuations. Sales in key emerging markets increased 10.1% on an operational basis (excluding foreign currency fluctuations) driven by growth in Brazil, Russia and China.
However, sales from other markets declined 6.7% on an operational basis due to weak market conditions, particularly in Western Europe. Abbott Labs expects to focus on key emerging markets in 2014.
The Medical Devices business generated sales of $1.4 billion, up 2.0% year over year mainly due to strong performance in the Medical Optics business, which was up 10.9%. Cataract sales, accounting for more than 65% of total Medical Optics sales, outpaced the overall market and recorded double-digit growth.
The Vascular business was up 1.7% driven by the continued uptake of drug eluting stent systems - Xience Xpedition and Absorb in key geographies. However, Diabetes Care sales were down 4.4% due to the implementation of CMS or the competitive bidding for Medicare patients in the U.S.
As expected, the Nutrition business was down 0.8% year over year to $1.7 billion. Pediatric Nutrition sales, accounting for 55% of total nutrition sales, declined 3.2% as sales in this business were adversely impacted by a supplier recall in early Aug 2013 in certain international markets. This sales disruption is estimated to have reduced sales by approximately $90 million in the fourth quarter in international Pediatric Nutrition business.
Adult Nutrition sales grew 2.3%, driven by solid growth of its key brand Ensure. Nevertheless, pediatric nutrition sales from international markets are expected to recover in 2014.
Diagnostics business sales increased 5.9% year over year to $1.2 billion. Key areas of focus in this division include the Core Laboratory Diagnostics, Molecular Diagnostics, and Point of Care Diagnostics businesses. Core Laboratory sales increased 5.9% and Point of Care Diagnostics increased 13.9%. However, worldwide sales of Molecular Diagnostics were down 0.2%.
2014 Outlook
Abbott Labs expects earnings per share in the range of $2.16 to $2.26 in 2014. The Zacks Consensus Estimate currently stands at $2.24 per share, well within the company's guidance. Shares were down in pre-market trading.
In Oct 2013, Abbott Labs announced a 57% increase in its quarterly dividend to 22 cents from 14 cents. The increased dividend will be paid in Feb 2014. The company also expects to repurchase shares of more than $2 billion in 2014.
Our View
Abbott Labs currently carries a Zacks Rank #3 (Hold). The year 2013 was challenging for Abbott Labs due to austerity measures in developed markets and weak economic conditions on a global basis. We were disappointed by the disruption in international markets of the Nutrition business which was one of the fastest growing businesses for Abbott Labs. The disruption is likely to stretch into the first half of 2014.
Nevertheless, we believe that Abbott Labs is extremely diversified with its presence in nutrition, diagnostics, generic pharmaceuticals and medical devices markets after having separated its proprietary pharmaceutical business into a new company called AbbVie ( ABBV ) in early 2013.
The Medical Devices and Diagnostics business looks promising. The new product launches in 2013 should drive growth going forward. We are also impressed by the company's efforts to return value to shareholders through share repurchases and dividends.
Some better ranked pharma stocks include Allergan ( AGN ) and Lannett Company, Inc . ( LCI ). Both carry a Zacks Rank #1 (Strong Buy).
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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. | Abbott Laboratories ( ABT ) reported fourth quarter 2013 earnings of 58 cents per share, in line with the Zacks Consensus Estimate. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALLERGAN INC (AGN): Free Stock Analysis Report LANNETT INC (LCI): Free Stock Analysis Report To read this article on Zacks.com click here. Fourth Quarter in Detail Abbott Labs operates through four segments, namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutrition. | Abbott Laboratories ( ABT ) reported fourth quarter 2013 earnings of 58 cents per share, in line with the Zacks Consensus Estimate. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALLERGAN INC (AGN): Free Stock Analysis Report LANNETT INC (LCI): Free Stock Analysis Report To read this article on Zacks.com click here. However, the disruption in Abbott Labs' international nutrition business in Aug 2013 negatively impacted its fourth quarter sales by 1.5% points. | Abbott Laboratories ( ABT ) reported fourth quarter 2013 earnings of 58 cents per share, in line with the Zacks Consensus Estimate. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALLERGAN INC (AGN): Free Stock Analysis Report LANNETT INC (LCI): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs generated sales of $5.6 billion in the fourth quarter of 2013, up 0.4% year over year, but fell short of Zacks Consensus Estimate of $5.7 billion. | Abbott Laboratories ( ABT ) reported fourth quarter 2013 earnings of 58 cents per share, in line with the Zacks Consensus Estimate. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALLERGAN INC (AGN): Free Stock Analysis Report LANNETT INC (LCI): Free Stock Analysis Report To read this article on Zacks.com click here. However, the disruption in Abbott Labs' international nutrition business in Aug 2013 negatively impacted its fourth quarter sales by 1.5% points. |
34214.0 | 2014-01-21 00:00:00 UTC | Two Candidates For An Earnings Straddle | ABT | https://www.nasdaq.com/articles/two-candidates-earnings-straddle-2014-01-21 | nan | nan | Earnings season is in full swing. For long term investors who follow the market without actively trading, this is a time of worry. They can check their accounts one day and see that something that has been doing well has suddenly taken a hit. (Of course they could also see something jump significantly but, oddly enough, that holds less of most people’s attention.) For those with a more active, traders' mentality, however, it is a time of opportunity. Where there's news, there's movement, and where there's movement there's opportunity.
In order to benefit from that opportunity, you don't necessarily have to have a view on the company or its likely earnings number. A straddle is a fairly simple options strategy that is designed to profit from volatility, regardless of the direction. Volatility in options is a scary concept to those new to that market. Experts, when talking about it, invariably lapse into Greek and casually drop complex mathematical formulae into the conversation. It doesn't have to be that complicated, however.
By buying a close to the money call (an option to buy at an agreed price-the "strike price"- that is, close to the current price, at any time up to an agreed end date- the "expiration") and a close to the money put (the same, but to sell) with the same expiration date, you can set yourself up to benefit if the stock moves, whatever the direction. Your outlay and therefore your maximum possible loss is what you must pay for these two contracts- the "premiums."
Your loss would occur if the earnings were as expected, management made no surprising adjustments to guidance, and the stock didn't move. In that case, both contracts would expire worthless and the premium for each would be lost. Profit would come with any surprise and a move to a level higher or lower than the strike price of the option plus or minus the two premiums combined. For example, if you were to buy a 30 call on a stock for 1.00 and a 30 put on the same for 1.30, your profit would come above 32.30 (30+1.00+1.30) or below 27.70 (30-1.00-1.30).
Obviously, around earnings time volatility is more likely and that is reflected in the price of the options themselves. In some cases, though, this strategy can still be employed relatively cheaply; expectations are that estimates will be accurate, so there is not too much volatility expected. Remember, though, what you are looking for is a surprise.
Abbot Laboratories (ABT) will release earnings tomorrow (Wednesday) and looks to be a decent option for a fairly inexpensive straddle. Now I don't claim to know whether the news from ABT will be good or bad, but I don't have to. My belief that a straddle on the stock may be worthwhile is simply based on the current cost of the trade and the history.
The above chart for ABT shows the last earnings release date as a vertical yellow line. As you can see, there was a significant reaction. Despite that, the options pricing suggests that little movement is expected this time. One could, using the last trade from Friday, purchase a call that expires on Feb. 14th with a strike of 40.00 for 0.50 per share and a put with the same expiration and strike for 1.22.
This gives a total outlay of $1.72 per share, or around 4.3% of Friday's closing price of $39.40. Any move of more than 4.3% following tomorrow’s earnings, then, would result in a profit and given the reaction to the last quarter’s results, that looks like a decent bet.
A straddle doesn't necessarily have to be cheap to appeal, however. Sometimes it can appear somewhat expensive, but for those with an appetite for risk may be worth taking. This is especially true when expectations for a company’s performance have become exaggerated, either up or down. A look at the earnings surprise history for Sandisk Corporation (SNDK), for example, shows a tale of analysts desperately trying to keep up with rapid earnings growth.
Consensus estimates for Wednesday's announcement is that earnings will come in at around 1.47, over 20% higher than last quarter and around 50% higher than the same quarter last year. If those estimates have now overshot the mark, there will be a lot of anxious longs looking to sell, but similarly, if SNDK continues to beat even rising expectations then there will likely be a large reaction the other way. The last three earnings releases (vertical yellow lines) have seen significant movement in the subsequent week.
Given that, even paying a combined $6.17 (8.33%) for a 74.00 February call and a put with the same strike and expiration could prove worthwhile.
Now it must be said that straddles are, by their nature, risky and somewhat binary in outcome. You stand to lose everything you put up, so they are not for the faint of heart. I used the word "bet" earlier in this piece for a reason, but providing that you are only using money that you can afford to lose, they can be immensely profitable when they pay off. ABT and SNDK are different types of opportunities, one cheap and the other not so much, but both offer the possibility of decent returns should results tomorrow deviate from expectations.
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. | Abbot Laboratories (ABT) will release earnings tomorrow (Wednesday) and looks to be a decent option for a fairly inexpensive straddle. ABT and SNDK are different types of opportunities, one cheap and the other not so much, but both offer the possibility of decent returns should results tomorrow deviate from expectations. Now I don't claim to know whether the news from ABT will be good or bad, but I don't have to. | The above chart for ABT shows the last earnings release date as a vertical yellow line. Abbot Laboratories (ABT) will release earnings tomorrow (Wednesday) and looks to be a decent option for a fairly inexpensive straddle. Now I don't claim to know whether the news from ABT will be good or bad, but I don't have to. | Abbot Laboratories (ABT) will release earnings tomorrow (Wednesday) and looks to be a decent option for a fairly inexpensive straddle. Now I don't claim to know whether the news from ABT will be good or bad, but I don't have to. The above chart for ABT shows the last earnings release date as a vertical yellow line. | Abbot Laboratories (ABT) will release earnings tomorrow (Wednesday) and looks to be a decent option for a fairly inexpensive straddle. Now I don't claim to know whether the news from ABT will be good or bad, but I don't have to. The above chart for ABT shows the last earnings release date as a vertical yellow line. |
34215.0 | 2014-01-21 00:00:00 UTC | Pre-Market Earnings Report for January 22, 2014 : UTX, USB, ABT, ASML, FCX, GD, NSC, TEL, STJ, PH, MSI, PGR | ABT | https://www.nasdaq.com/articles/pre-market-earnings-report-january-22-2014-utx-usb-abt-asml-fcx-gd-nsc-tel-stj-ph-msi-pgr | nan | nan | The following companies are expected to report earnings prior to market open on 01/22/2014. Visit our Earnings Calendar for a full list of expected earnings releases.
United Technologies Corporation ( UTX ) is reporting for the quarter ending December 31, 2013. The diversified operations company's consensus earnings per share forecast from the 15 analysts that follow the stock is $1.53. This value represents a 18.60% increase compared to the same quarter last year. UTX missed the consensus earnings per share in the 1st calendar quarter of 2013 by -1.54%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for UTX is 18.54 vs. an industry ratio of 18.00, implying that they will have a higher earnings growth than their competitors in the same industry.
U.S. Bancorp ( USB ) is reporting for the quarter ending December 31, 2013. The bank company's consensus earnings per share forecast from the 18 analysts that follow the stock is $0.75. This value represents a no change for the same quarter last year. In the past year USB has met analyst expectations three times and beat the expectations the other quarter. Zacks Investment Research reports that the 2013 Price to Earnings ratio for USB is 13.82 vs. an industry ratio of 13.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Abbott Laboratories ( ABT ) is reporting for the quarter ending December 31, 2013. The large cap pharmaceutical company's consensus earnings per share forecast from the 13 analysts that follow the stock is $0.58. This value represents a 61.84% decrease compared to the same quarter last year. In the past year ABT has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 19.60 vs. an industry ratio of 17.00, implying that they will have a higher earnings growth than their competitors in the same industry.
ASML Holding N.V. ( ASML ) is reporting for the quarter ending December 31, 2013. The capital goods company's consensus earnings per share forecast from the 3 analysts that follow the stock is $1.26. This value represents a 29.90% increase compared to the same quarter last year. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ASML is 29.61 vs. an industry ratio of 19.50, implying that they will have a higher earnings growth than their competitors in the same industry.
Freeport-McMoran Copper & Gold, Inc. ( FCX ) is reporting for the quarter ending December 31, 2013. The mining company's consensus earnings per share forecast from the 15 analysts that follow the stock is $0.82. This value represents a 5.13% increase compared to the same quarter last year. In the past year FCX has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 38.1%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for FCX is 14.19 vs. an industry ratio of 39.00.
General Dynamics Corporation ( GD ) is reporting for the quarter ending December 31, 2013. The aerospace and defense company's consensus earnings per share forecast from the 13 analysts that follow the stock is $1.76. This value represents a 26.62% increase compared to the same quarter last year. GD missed the consensus earnings per share in the 4th calendar quarter of 2012 by -26.84%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for GD is 13.60 vs. an industry ratio of 19.10.
Norfolk Souther Corporation ( NSC ) is reporting for the quarter ending December 31, 2013. The transportation (rail) company's consensus earnings per share forecast from the 13 analysts that follow the stock is $1.50. This value represents a 15.38% increase compared to the same quarter last year. NSC missed the consensus earnings per share in the 2nd calendar quarter of 2013 by -2.67%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for NSC is 15.56 vs. an industry ratio of 18.20.
TE Connectivity Ltd. ( TEL ) is reporting for the quarter ending December 31, 2013. The electrical instrument company's consensus earnings per share forecast from the 7 analysts that follow the stock is $0.77. This value represents a 18.46% increase compared to the same quarter last year. In the past year TEL has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 3.33%. Zacks Investment Research reports that the 2014 Price to Earnings ratio for TEL is 15.24 vs. an industry ratio of 16.20.
St. Jude Medical, Inc. ( STJ ) is reporting for the quarter ending December 31, 2013. The medical products company's consensus earnings per share forecast from the 13 analysts that follow the stock is $0.96. This value represents a 4.35% increase compared to the same quarter last year. In the past year STJ has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2013 Price to Earnings ratio for STJ is 17.62 vs. an industry ratio of 3.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Parker-Hannifin Corporation ( PH ) is reporting for the quarter ending December 31, 2013. The machinery company's consensus earnings per share forecast from the 9 analysts that follow the stock is $1.25. This value represents a 5.04% increase compared to the same quarter last year. PH missed the consensus earnings per share in the 2nd calendar quarter of 2013 by -8.72%. Zacks Investment Research reports that the 2014 Price to Earnings ratio for PH is 19.43 vs. an industry ratio of 18.10, implying that they will have a higher earnings growth than their competitors in the same industry.
Motorola Solutions, Inc. ( MSI ) is reporting for the quarter ending December 31, 2013. The wireless equipment company's consensus earnings per share forecast from the 4 analysts that follow the stock is $1.50. This value represents a 51.52% increase compared to the same quarter last year. MSI missed the consensus earnings per share in the 1st calendar quarter of 2013 by -1.79%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for MSI is 15.66 vs. an industry ratio of 70.00.
Progressive Corporation ( PGR ) is reporting for the quarter ending December 31, 2013. The insurance (property & casualty) company's consensus earnings per share forecast from the 14 analysts that follow the stock is $0.42. This value represents a 23.53% increase compared to the same quarter last year. Zacks Investment Research reports that the 2013 Price to Earnings ratio for PGR is 16.18 vs. an industry ratio of 13.30, implying that they will have a higher earnings growth than their competitors in the same industry.
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. | Abbott Laboratories ( ABT ) is reporting for the quarter ending December 31, 2013. In the past year ABT has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 19.60 vs. an industry ratio of 17.00, implying that they will have a higher earnings growth than their competitors in the same industry. | Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 19.60 vs. an industry ratio of 17.00, implying that they will have a higher earnings growth than their competitors in the same industry. Abbott Laboratories ( ABT ) is reporting for the quarter ending December 31, 2013. In the past year ABT has met analyst expectations once and beat the expectations the other three quarters. | Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 19.60 vs. an industry ratio of 17.00, implying that they will have a higher earnings growth than their competitors in the same industry. Abbott Laboratories ( ABT ) is reporting for the quarter ending December 31, 2013. In the past year ABT has met analyst expectations once and beat the expectations the other three quarters. | Abbott Laboratories ( ABT ) is reporting for the quarter ending December 31, 2013. In the past year ABT has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 19.60 vs. an industry ratio of 17.00, implying that they will have a higher earnings growth than their competitors in the same industry. |
34216.0 | 2014-01-21 00:00:00 UTC | Earnings Preview: Will Abbott Labs (ABT) Disappoint This Quarter? - Analyst Blog | ABT | https://www.nasdaq.com/articles/earnings-preview%3A-will-abbott-labs-abt-disappoint-this-quarter-analyst-blog-2014-01-21 | nan | nan | Abbott Laboratories ( ABT ) is scheduled to report fourth quarter 2013 results before the opening bell on Jan 22, 2014.
Last quarter, Abbott Labs posted a 7.84% positive surprise. On an average, Abbott Labs has posted a 4.57% positive surprise in the last four quarters. Let's see how things are shaping up for the fourth quarter.
Factors to Influence 4Q Results
Abbott Labs is an extremely diversified company with its presence in the diagnostics, nutrition, generics and medical devices markets after having separated its pharmaceutical business into a new company called AbbVie ( ABBV ) in Jan 2013.
However, the business environment was challenging in 2013 due to austerity measures in developed markets and weak economic conditions in developing markets. We believe the pricing pressure in the EU and health care reforms in the U.S. will have a negative impact on sales.
Moreover, we were disappointed by the disruption in international nutrition sales in the third quarter of 2013. The disruption is likely to stretch into the first half of 2014. The nutrition division is the company's fastest growing business and hence a disruption in business will impact growth rates going forward. China is a key emerging market for Abbott Labs and the disruption is expected to negatively impact the bottom line by approximately 5 cents.
Earnings Whispers?
However, our proven model does not conclusively show that Abbott Labs will beat earnings this quarter. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1, #2 or #3 to be able to beat consensus estimates. That is not the case here as you will see below.
Zacks ESP: The 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 Zacks Consensus Estimate currently stand at 58 cents.
Zacks Rank #3(Hold): Abbott Labs' Zacks Rank #3 (Hold) when combined with a 0.00% ESP makes surprise prediction difficult.
We caution against stocks with Zacks Ranks #4 and #5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are some large cap pharma stocks you may want to consider as our model shows that these have the right combination of elements to post an earnings beat this season:
Eli Lilly and Company ( LLY ) has Earnings ESP of +1.37% and holds a Zacks Rank #3. Eli Lilly will be reporting fourth quarter 2013 earnings on Jan 30, 2014.
Sanofi ( SNY ) has earnings ESP of +2.27% and holds a Zacks Rank #3. Sanofi will report fourth quarter 2013 results on Feb 6, 2014.
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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. | Abbott Laboratories ( ABT ) is scheduled to report fourth quarter 2013 results before the opening bell on Jan 22, 2014. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Factors to Influence 4Q Results Abbott Labs is an extremely diversified company with its presence in the diagnostics, nutrition, generics and medical devices markets after having separated its pharmaceutical business into a new company called AbbVie ( ABBV ) in Jan 2013. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) is scheduled to report fourth quarter 2013 results before the opening bell on Jan 22, 2014. Zacks Rank #3(Hold): Abbott Labs' Zacks Rank #3 (Hold) when combined with a 0.00% ESP makes surprise prediction difficult. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) is scheduled to report fourth quarter 2013 results before the opening bell on Jan 22, 2014. Zacks Rank #3(Hold): Abbott Labs' Zacks Rank #3 (Hold) when combined with a 0.00% ESP makes surprise prediction difficult. | Abbott Laboratories ( ABT ) is scheduled to report fourth quarter 2013 results before the opening bell on Jan 22, 2014. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, we were disappointed by the disruption in international nutrition sales in the third quarter of 2013. |
34217.0 | 2014-01-17 00:00:00 UTC | Companies Struggling to Meet Expectations - Earnings Preview | ABT | https://www.nasdaq.com/articles/companies-struggling-meet-expectations-earnings-preview-2014-01-17 | nan | nan | Companies Struggling to Meet Expectations
The bulk of the 2013 Q4 earnings reports thus far have been from the Finance sector, but the reporting cycle ramps up materially this week, with almost 200 companies including 69 S&P 500 members reporting results. We will get results from a diverse group of bellwethers from industries, ranging from IBM ( IBM ) and Microsoft ( MSFT ) to McDonald's ( MCD ), Starbucks ( SBUX ) and Proctor & Gamble ( PG ).
The Finance centric results thus far indicate that companies are struggling to exceed the lowered earnings and expectations. The beat ratios, both for earnings and revenues, are weaker relative to what we would typically see at this stage of the reporting cycle. The growth picture looks good on surface, but a lot of that is due to easy comparisons.
It is hard to take a definitive feel for the guidance picture at this stage as we haven't seen that many earnings reports outside of the Finance sector and banks typically don't provide guidance. But the overall trend among the few non-financial companies continues to be towards negative guidance. The hope has been that the recent uptrend economic fundamentals will start showing up in improved management commentary that will stem the persistent downward revision trend in earnings estimates. We will know more this week, but recent results from the likes of Intel ( INTC ), CSX Corp ( CSX ) and UPS don't inspire much confidence on that front.
Q3 Earnings Scorecard ( as of Friday, 1/17/2013 )
Total earnings for the 52 S&P 500 members that have reported already are up +14.8% from the same period last year, with a 'beat ratio' of 55.8% and a median surprise of +1.7%. Total revenues are up +3.4%, with a revenue 'beat ratio' of 51.9% and a median surprise of +0.9%. The earnings and revenue growth rates for these 52 companies are not materially different from what we have seen from them in recent quarters. But the beat ratios are on the weak side, as the chart below shows.
With results from almost 50% of the sector's total market capitalization already known, Finance has the most representative sample of Q4 results of the major sectors. Total Finance sector are earnings are up +14.2% from the same period last year, with strong year-over-year gains at Bank of America ( BAC ) driving most of the gain.
Excluding the $2.7 billion positive year-over-year swing in BAC's total earnings, growth for the sector would be down +3%. But even including Bank of America's hefty contribution, the Finance sector's growth rates and beat ratios at this stage don't compare favorably to what we have seen from this same group of companies in recent quarters.
The insurance industry, the second largest in the Finance sector accounting for almost a quarter of its total earnings, will start reporting results this week as Travelers ( TRV ) reports numbers. Total earnings for the insurance industry are expected to be up +41.6%, as the year-earlier period was held down by Sandy-related expenses.
The Composite Growth Picture
The 'composite' picture for Q4, where we combine the results from the 52 companies that have reported already with the 448 still to come, is for growth rate of +7.1%. This reflects +1.5% higher revenues and net margin gains of about 50 basis points. Finance remains a big growth driver in Q4 - total earnings growth for the S&P 500 in Q4 drop to +3.4% once the sector is excluded.
Technology earnings are expected be flat in Q4, up only +1% after the +5.9% gain in Q3. We will have to wait a bit longer to get results from the sector's growth leaders like Google ( GOOG ) and Facebook ( FB ) as the legacy players like IBM and Microsoft on the docket this week are unlikely to move the needle much.
Lack of corporate capital spending has been an issue for the sector for some time and the consensus view is that we will see a turnaround on that front later this year. We haven't heard anything yet that will add to our confidence in that expectation. But this optimistic view is a big contributor to the expected upturn in the Tech sector's growth estimate later this year. Total earnings for the sector are expected to be up +9.4% this year and +10.9% in 2015, pronounced acceleration from the flat reading in 2013.
Will Guidance Finally Turn Around?
For obvious reasons, the market is very interested management guidance for 2014. Companies typically provide guidance only for the following quarter, but they do tend to discuss their outlook their outlook for the coming year on the Q4 earnings calls. It will be interesting to see if management teams see any material improvement in the earnings picture this year along the lines of current consensus earnings expectations for 2014.
Total earnings are expected to be up +9.3% in 2014, up from +4.6% growth in 2013, with most of the growth coming in the back half of the year.
Monday-1/20
Nothing major on the economic or earnings calendars today because of the Martin Luther King Jr. holiday.
Tuesday -1/21
Nothing on theeconomic calendar but a busy day on the earnings front.
Johnson & Johnson ( JNJ ), Verizon ( VZ ), Travelers ( TRV ) and Halliburton ( HAL ) are the key reports in the morning, while IBM ( IBM ) and Texas Instruments ( TXN ) will report after the close.
Zacks Earnings ESP or Expected Earnings Surprise, our proprietary leading indicator of earnings surprises, is showing JNJ and TRV coming out with earnings beats.
Stocks with positive Earnings ESP and Zacks Rank of 1, 2 or 3 are highly likely to come out with positive earnings surprises. JNJ has a Zacks Rank #3 (Hold) and Earnings ESP of +0.8%, while TRV has a Zacks Rank #2 (Buy) and positive ESP +0.5%.
To get a better understanding of Zacks Earnings Surprise Predictor, please click here .
Wednesday-1/22
Another busy day on the earnings front and not much on theeconomic calendar
Coach ( COH ), Abbott Labs ( ABT ), Norfolk Southern ( NSC ) and United Technology ( UTX ) are the key reports in the morning, while eBay ( EBAY ) will report after the close.
United Technology with Earnings ESP of +3.3% and Zacks Rank #3 is expected to come out with a positive earnings surprise, as is Norfolk Southern.
Thursday -1/23
A busy day on theeconomic calendar with weekly Jobless Claims, December Existing Home sales and Leading Indicators coming out.
McDonald's ( MCD ), Union Pacific ( UNP ) and Southwest Air ( LUV ) are the key reports in the morning, while Microsoft ( MSFT ) and Starbucks ( SBUX ) will report after the close.
Starbucks' Zacks Rank #3 (Hold) and Earnings ESP of +2.9% show that the company is highly likely to come out with a positive earnings surprise.
Friday-1/24
Nothing on theeconomic calendar
Proctor & Gamble ( PG ), Kimberly Clark ( KMB ), WW Grainger ( GWW ), and Kansas City Southern ( KSU ) are the key reports today, all in the morning.
Here is a list of the 197 companies reporting this week, including 69 S&P 500 members.
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JOHNSON & JOHNS (JNJ): Free Stock Analysis Report
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PROCTER & GAMBL (PG): Free Stock Analysis Report
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UNION PAC CORP (UNP): Free Stock Analysis Report
UTD TECHS CORP (UTX): Free Stock Analysis Report
VERIZON COMM (VZ): 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. | Wednesday-1/22 Another busy day on the earnings front and not much on theeconomic calendar Coach ( COH ), Abbott Labs ( ABT ), Norfolk Southern ( NSC ) and United Technology ( UTX ) are the key reports in the morning, while eBay ( EBAY ) will report after the close. ABBOTT LABS (ABT): Free Stock Analysis Report COACH INC (COH): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report GOOGLE INC-CL A (GOOG): Free Stock Analysis Report GRAINGER W W (GWW): Free Stock Analysis Report HALLIBURTON CO (HAL): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report KIMBERLY CLARK (KMB): Free Stock Analysis Report KANSAS CITY SOU (KSU): Free Stock Analysis Report SOUTHWEST AIR (LUV): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report MICROSOFT CORP (MSFT): Free Stock Analysis Report NORFOLK SOUTHRN (NSC): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report STARBUCKS CORP (SBUX): Free Stock Analysis Report TRAVELERS COS (TRV): Free Stock Analysis Report TEXAS INSTRS (TXN): Free Stock Analysis Report UNION PAC CORP (UNP): Free Stock Analysis Report UTD TECHS CORP (UTX): Free Stock Analysis Report VERIZON COMM (VZ): Free Stock Analysis Report To read this article on Zacks.com click here. The hope has been that the recent uptrend economic fundamentals will start showing up in improved management commentary that will stem the persistent downward revision trend in earnings estimates. | Wednesday-1/22 Another busy day on the earnings front and not much on theeconomic calendar Coach ( COH ), Abbott Labs ( ABT ), Norfolk Southern ( NSC ) and United Technology ( UTX ) are the key reports in the morning, while eBay ( EBAY ) will report after the close. ABBOTT LABS (ABT): Free Stock Analysis Report COACH INC (COH): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report GOOGLE INC-CL A (GOOG): Free Stock Analysis Report GRAINGER W W (GWW): Free Stock Analysis Report HALLIBURTON CO (HAL): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report KIMBERLY CLARK (KMB): Free Stock Analysis Report KANSAS CITY SOU (KSU): Free Stock Analysis Report SOUTHWEST AIR (LUV): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report MICROSOFT CORP (MSFT): Free Stock Analysis Report NORFOLK SOUTHRN (NSC): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report STARBUCKS CORP (SBUX): Free Stock Analysis Report TRAVELERS COS (TRV): Free Stock Analysis Report TEXAS INSTRS (TXN): Free Stock Analysis Report UNION PAC CORP (UNP): Free Stock Analysis Report UTD TECHS CORP (UTX): Free Stock Analysis Report VERIZON COMM (VZ): Free Stock Analysis Report To read this article on Zacks.com click here. Friday-1/24 Nothing on theeconomic calendar Proctor & Gamble ( PG ), Kimberly Clark ( KMB ), WW Grainger ( GWW ), and Kansas City Southern ( KSU ) are the key reports today, all in the morning. | ABBOTT LABS (ABT): Free Stock Analysis Report COACH INC (COH): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report GOOGLE INC-CL A (GOOG): Free Stock Analysis Report GRAINGER W W (GWW): Free Stock Analysis Report HALLIBURTON CO (HAL): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report KIMBERLY CLARK (KMB): Free Stock Analysis Report KANSAS CITY SOU (KSU): Free Stock Analysis Report SOUTHWEST AIR (LUV): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report MICROSOFT CORP (MSFT): Free Stock Analysis Report NORFOLK SOUTHRN (NSC): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report STARBUCKS CORP (SBUX): Free Stock Analysis Report TRAVELERS COS (TRV): Free Stock Analysis Report TEXAS INSTRS (TXN): Free Stock Analysis Report UNION PAC CORP (UNP): Free Stock Analysis Report UTD TECHS CORP (UTX): Free Stock Analysis Report VERIZON COMM (VZ): Free Stock Analysis Report To read this article on Zacks.com click here. Wednesday-1/22 Another busy day on the earnings front and not much on theeconomic calendar Coach ( COH ), Abbott Labs ( ABT ), Norfolk Southern ( NSC ) and United Technology ( UTX ) are the key reports in the morning, while eBay ( EBAY ) will report after the close. Companies Struggling to Meet Expectations The bulk of the 2013 Q4 earnings reports thus far have been from the Finance sector, but the reporting cycle ramps up materially this week, with almost 200 companies including 69 S&P 500 members reporting results. | Wednesday-1/22 Another busy day on the earnings front and not much on theeconomic calendar Coach ( COH ), Abbott Labs ( ABT ), Norfolk Southern ( NSC ) and United Technology ( UTX ) are the key reports in the morning, while eBay ( EBAY ) will report after the close. ABBOTT LABS (ABT): Free Stock Analysis Report COACH INC (COH): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report GOOGLE INC-CL A (GOOG): Free Stock Analysis Report GRAINGER W W (GWW): Free Stock Analysis Report HALLIBURTON CO (HAL): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report KIMBERLY CLARK (KMB): Free Stock Analysis Report KANSAS CITY SOU (KSU): Free Stock Analysis Report SOUTHWEST AIR (LUV): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report MICROSOFT CORP (MSFT): Free Stock Analysis Report NORFOLK SOUTHRN (NSC): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report STARBUCKS CORP (SBUX): Free Stock Analysis Report TRAVELERS COS (TRV): Free Stock Analysis Report TEXAS INSTRS (TXN): Free Stock Analysis Report UNION PAC CORP (UNP): Free Stock Analysis Report UTD TECHS CORP (UTX): Free Stock Analysis Report VERIZON COMM (VZ): Free Stock Analysis Report To read this article on Zacks.com click here. It is hard to take a definitive feel for the guidance picture at this stage as we haven't seen that many earnings reports outside of the Finance sector and banks typically don't provide guidance. |
34218.0 | 2014-01-09 00:00:00 UTC | Seattle Gentics-AbbVie Deal Expanded - Analyst Blog | ABT | https://www.nasdaq.com/articles/seattle-gentics-abbvie-deal-expanded-analyst-blog-2014-01-09 | nan | nan | Seattle Genetics, Inc. ( SGEN ) further expanded its antibody-drug conjugate (ADC) collaboration with AbbVieInc. ( ABBV ).
AbbVie will pay an upfront fee of $25 million for additional rights of using Seattle Genetics' ADC technology with AbbVie antibodies against oncology targets. Seattle Genetics could receive up to $255 million from AbbVie in the form of potential license fees, royalties on worldwide net sales of any resulting products and future milestone payments on achieving predetermined development and commercial objectives.
We note that in Mar 2011, Abbott Laboratories ( ABT ) (prior to its spin-off of AbbVie) had entered into a collaboration agreement with Seattle Genetics under which Abbott paid an upfront fee of $8 million for rights to utilize Seattle Genetics' ADC technology with its antibodies to a single oncology target. In Oct 2012, the deal was expanded and Abbott paid an additional $25 million. Seattle Genetics were to receive up to $220 million under that deal.
As per the agreement, AbbVie is responsible for research, product development, manufacturing and commercialization of ADC products. Seattle Genetics will also receive annual maintenance fees and research support payments for assistance provided to AbbVie in developing ADCs.
ADCs have lately been attracting a lot of interest with major companies entering into collaborations. 18 out of 30 ADC candidates in clinical development use Seattle Genetics' proprietary ADC technology. Seattle Genetics has alliances with many companies for the development of ADCs.
Seattle Genetics and AbbVie carry a Zacks Rank #3 (Hold). Investors may consider WuXiPharmaTech (Cayman) Inc. ( WX ), which carries a Zacks Rank #1 (Strong Buy).
ABBVIE INC (ABBV): Free Stock Analysis Report
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SEATTLE GENETIC (SGEN): Free Stock Analysis Report
WUXI PHARMATECH (WX): 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. | We note that in Mar 2011, Abbott Laboratories ( ABT ) (prior to its spin-off of AbbVie) had entered into a collaboration agreement with Seattle Genetics under which Abbott paid an upfront fee of $8 million for rights to utilize Seattle Genetics' ADC technology with its antibodies to a single oncology target. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report SEATTLE GENETIC (SGEN): Free Stock Analysis Report WUXI PHARMATECH (WX): Free Stock Analysis Report To read this article on Zacks.com click here. Seattle Genetics could receive up to $255 million from AbbVie in the form of potential license fees, royalties on worldwide net sales of any resulting products and future milestone payments on achieving predetermined development and commercial objectives. | We note that in Mar 2011, Abbott Laboratories ( ABT ) (prior to its spin-off of AbbVie) had entered into a collaboration agreement with Seattle Genetics under which Abbott paid an upfront fee of $8 million for rights to utilize Seattle Genetics' ADC technology with its antibodies to a single oncology target. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report SEATTLE GENETIC (SGEN): Free Stock Analysis Report WUXI PHARMATECH (WX): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie will pay an upfront fee of $25 million for additional rights of using Seattle Genetics' ADC technology with AbbVie antibodies against oncology targets. | We note that in Mar 2011, Abbott Laboratories ( ABT ) (prior to its spin-off of AbbVie) had entered into a collaboration agreement with Seattle Genetics under which Abbott paid an upfront fee of $8 million for rights to utilize Seattle Genetics' ADC technology with its antibodies to a single oncology target. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report SEATTLE GENETIC (SGEN): Free Stock Analysis Report WUXI PHARMATECH (WX): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie will pay an upfront fee of $25 million for additional rights of using Seattle Genetics' ADC technology with AbbVie antibodies against oncology targets. | We note that in Mar 2011, Abbott Laboratories ( ABT ) (prior to its spin-off of AbbVie) had entered into a collaboration agreement with Seattle Genetics under which Abbott paid an upfront fee of $8 million for rights to utilize Seattle Genetics' ADC technology with its antibodies to a single oncology target. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report SEATTLE GENETIC (SGEN): Free Stock Analysis Report WUXI PHARMATECH (WX): Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie will pay an upfront fee of $25 million for additional rights of using Seattle Genetics' ADC technology with AbbVie antibodies against oncology targets. |
34219.0 | 2013-12-06 00:00:00 UTC | Dividend Aristocrat Johnson & Johnson Offers Growth | ABT | https://www.nasdaq.com/articles/dividend-aristocrat-johnson-johnson-offers-growth-2013-12-06 | nan | nan | Johnson & Johnson ( JNJ ) is the quintessential income play. The company offers slow and steady profit growth, pays rising dividends and is defensive in nature.
With roots dating back to the late 19th century, Johnson & Johnson is a titan in the health care field. The New Brunswick, N.J.-based firm makes everything from wound care and women's health products to prescription drugs to medical devices. It is perhaps best known for its Band-Aids, which are synonymous with bandages.
Johnson & Johnson has delivered higher adjusted earnings for 29 straight years. It has a five-year earnings growth rate of 4% and a superb five-year Earnings Stability Factor of 1. Analysts polled by Thomson Reuters see profit rising 7% to $5.48 a share this year. Another 7% gain is expected in 2014. Both were revised higher recently.
Profit growth in the latest quarters has perked up. Earnings grew 5% in Q1, 14% in Q2 and 9% in Q3 of 2013. Last year Johnson & Johnson's bottom line ticked up 1% or 2% over those same periods.
Strength in its ethical drugs business is helping to drive growth. In the latest quarters, Johnson & Johnson has reported double-digit gains in its Zytiga prostate cancer treatment, Stelara psoriasis drug and Simponi arthritis medication.
LikeWal-Mart ( WMT ), which was profiled in Friday's column , Johnson & Johnson is a member of the S&P 500 Dividend Aristocrats. The company has paid shareholders higher dividends for just over 50 years. Johnson & Johnson currently pays 66 cents a share each quarter or $2.64 a share annually. It has a yield of about 2.8%.
Johnson & Johnson and rivalAbbott Laboratories ( ABT ) are the only two members of IBD's Medical-Diversified group.
Following a breakout from a double-bottom base in October, Johnson & Johnson is now testing support at its 10-week line.
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. | Johnson & Johnson and rivalAbbott Laboratories ( ABT ) are the only two members of IBD's Medical-Diversified group. The company offers slow and steady profit growth, pays rising dividends and is defensive in nature. The New Brunswick, N.J.-based firm makes everything from wound care and women's health products to prescription drugs to medical devices. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Johnson & Johnson and rivalAbbott Laboratories ( ABT ) are the only two members of IBD's Medical-Diversified group. The company offers slow and steady profit growth, pays rising dividends and is defensive in nature. | Johnson & Johnson and rivalAbbott Laboratories ( ABT ) are the only two members of IBD's Medical-Diversified group. Johnson & Johnson has delivered higher adjusted earnings for 29 straight years. In the latest quarters, Johnson & Johnson has reported double-digit gains in its Zytiga prostate cancer treatment, Stelara psoriasis drug and Simponi arthritis medication. | Johnson & Johnson and rivalAbbott Laboratories ( ABT ) are the only two members of IBD's Medical-Diversified group. Johnson & Johnson has delivered higher adjusted earnings for 29 straight years. Last year Johnson & Johnson's bottom line ticked up 1% or 2% over those same periods. |
34220.0 | 2013-12-03 00:00:00 UTC | Pharma & Biotech Stock Outlook - Dec 2013 - Zacks Analyst Interviews | ABT | https://www.nasdaq.com/articles/pharma-biotech-stock-outlook-dec-2013-zacks-analyst-interviews-2013-12-03 | nan | nan | With 2013 coming to an end, the worst of the patent cliff faced by the pharmaceutical sector is over. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories ' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs ' ( SNY / BMY ) Plavix and Eli Lilly's (LLY) Zyprexa representing combined branded sales worth more than $15 billion in lost patent protection over the last couple of years.
However, the effect of the genericization of these products was felt mostly in 2012. While the industry won't be completely free from genericization, the major patent expiries are over and done with.
Several companies which had been struggling to post growth in the face of genericization over the past few years should see accelerated growth in 2014. New products should start contributing significantly to results and increased pipeline visibility and appropriate utilization of cash should increase confidence in the sector.
Some products that are slated to lose patent protection later this year and next year include:
AstraZeneca's ( AZN ) Nexium could also start facing generics from 2014 in the U.S., where sales were $2.2 billion in 2012.
Collaborations, Acquisitions and Restructuring
The pharma sector witnessed major merger and acquisitions (M&A) activity over the last couple of years. The trend continued this year and going forward, we expect small bolt-on acquisitions to continue. In-licensing activities and collaborations for the development of pipeline candidates have also increased significantly. Several pharma companies are focusing on in-licensing mid-to-late stage pipeline candidates that look promising, instead of developing a product from scratch, which involves a lot of funds and time.
Small biotech companies are open to in-licensing activities and collaborations. Most of these companies find it challenging to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. Therefore, it makes sense for them to seek deals with pharma companies that are sitting on huge piles of cash.
We recommend biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. Therapeutic areas which could see a lot of in-licensing activity include oncology, central nervous system disorders, diabetes and immunology/inflammation. The hepatitis C virus (HCV) market is also attracting a lot of attention.
Some recent acquisitions/deals include Shire's ( SHPG ) upcoming acquisition of ViroPharma ( VPHM ), Salix's ( SLXP ) upcoming acquisition of Santarus ( SNTS ) as well as the acquisition of Optimer Pharmaceuticals and Trius Therapeutics by Cubist Pharmaceuticals ( CBST ). Elan ( ELN ) is also on track to be acquired by Perrigo Company ( PRGO ) by year's end.
Another trend that we are seeing in recent months is the divestment of non-core business segments. Pfizer sold its Capsugel unit and its Nutrition business in Aug 2011 and Nov 2012, respectively. Pfizer then spun off its animal health business into a new company, Zoetis ( ZTS ). Meanwhile, GlaxoSmithKline ( GSK ) divested certain non-core brands from its Consumer Healthcare segment. In Aug 2011, AstraZeneca sold its Astra Tech business to DENTSPLY ( XRAY ).
The monetization of non-core assets will allow the pharma/biotech companies to focus on their areas of expertise. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Johnson & Johnson ( JNJ ) also announced its plans to explore strategic alternatives for its ortho-clinical diagnostics business, including a possible divestiture. Vertex ( VRTX ) monetized its Incivo-related royalties -- Vertex can use the cash generated from this deal for its cystic fibrosis program.
Restructuring activities are also gaining momentum as large pharma companies are looking to cut costs and streamline their operations. Most of these companies are re-evaluating their pipelines and discontinuing programs which do not have a favorable risk-benefit profile. Some of the companies that announced restructuring plans include Merck, Novartis ( NVS ), Eli Lilly, Shire and Sanofi.
Emerging Markets and Biosimilars
Another trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan ( MYL ), Pfizer, Merck, Eli Lilly, Glaxo and Sanofi are all looking to expand their presence in India, China, Brazil and other emerging markets. Until recently, most of the commercialization efforts were focused on the U.S. market -- the largest pharmaceutical market -- along with Europe and Japan. Emerging markets are slowly and steadily gaining more importance, and several companies are now shifting their focus to these areas.
However, while higher demand for medicines, government initiatives for healthcare, new patient population and increasing use of generics should help drive demand, we point out that emerging markets are also not immune from genericization. Moreover, investigations into bribery charges in China could put a lid on near-term growth.
Meanwhile, growth in Europe will continue to be pressurized by austerity and cost-containment measures.
We are also seeing several companies entering into deals for the development of biosimilars, generic versions of biologics. Companies like Merck, Amgen, Biogen ( BIIB ), and Actavis ( ACT ) are all targeting the highly lucrative biosimilars market.
3Q Earnings
All companies falling under the Medical sector have reported third quarter 2013 results. While earnings-beat and revenue-beat ratios (percentage of companies coming out with positive surprises) were pretty impressive, growth ratios were modest. Third quarter results were characterized by currency headwinds especially in Japan as well as a slowdown in China where bribery investigations remained in the headlines.
Third quarter 2013 earnings "beat ratio" was 74.5% while the revenue "beat ratio" was 51.0%. Total earnings for this sector were up 0.2%, compared to the 1.5% decline recorded in the second quarter of 2013. Total revenues moved up 5.8% in the quarter versus 2.4% growth in the second quarter of 2013.
Looking at the consensus earnings expectations for the fourth quarter, earnings are expected to decline 3.5%. Tough challenges for some companies, negative currency movement and a few patent expiries will affect fourth quarter growth. With the year coming to an end, several companies maintained or narrowed their guidance ranges.
Overall, 2013 earnings are expected to grow 0.6%.
Focus on New Products
2012 saw the FDA approving 35 novel medicines including the following:
Most of these products have been performing well so far in 2013. Stivarga, Kalydeco, Xtandi and Kyprolis, especially, represent strong commercial potential.
So far in 2013, quite a few important products have gained approval including Biogen's oral multiple sclerosis drug Tecfidera, Johnson & Johnson's type II diabetes drug Invokana, Merck's Liptruzet (cholesterol), Forest's Fetzima (major depressive disorder), Pharmacyclics ( PCYC )/Johnson & Johnson's Imbruvica (mantle cell lymphoma) and Roche's ( RHHBY ) Gazyva (chronic lymphocytic leukemia). Biogen's Tecfidera is off to a strong start with sales surpassing expectations by a wide margin.
Upcoming events include FDA advisory panel reviews of the biologic licensing application (BLA) for Bristol-Myers Squibbs' metreleptin (rare forms of lipodystrophy) and dapagliflozin (type II diabetes), and Merck's Grastek (a Timothy grass pollen extract tablet for sublingual use). All these reviews are scheduled to take place in the Dec 11 - 12 timeframe.
A response on the approval status of Auxilium Pharma's ( AUXL ) Xiaflex for Peyronie's and Gilead's sofosbuvir (chronic HCV infection) in the U.S. should also be out in December.
Zacks Industry Rank
Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs.
We rank all the 260-plus industries in the 16 Zacks sectors based on the earnings outlook and fundamental strength of the constituent companies in each industry. To learn more, visit: About Zacks Industry Rank .
As a point of reference, the outlook for industries with Zacks Industry Rank #88 and lower is 'Positive,' between #89 and #176 is 'Neutral' and #177 and higher is 'Negative.'
The Zacks Industry Rank for large-cap pharma is #95, med-biomed/gene is #77, med-drugs is #66, while the med-generic drugs is #40. Analyzing the Zacks Industry Rank for different medical segments, it is obvious that the outlook is Positive for med-drugs, med-biomed/gene and med-generic drugs and Neutral for large-cap pharma stocks.
OPPORTUNITIES
The outlook for the pharma sector has improved significantly with the Zacks Industry Rank moving up from #195 to #95 over the past few months. While several companies will continue to face challenges like EU austerity measures and genericization, the pharma industry is out of the worst of the genericization phase.
Many companies which had faced generic headwinds in the last couple of years should continue to see a sustained improvement in results as we move into 2014. Cost-cutting, downsizing, streamlining of the pipeline, growth in emerging markets and new product launches should support growth.
Among large-cap pharma stocks, Bayer ( BAYRY ), a Zacks Rank #2 (Buy) stock, looks well-positioned with several new products -- Eylea, Stivarga and Xarelto -- in its portfolio. These products represent significant commercial potential.
Forest Labs ( FRX ), another Zacks Rank #2 stock, is doing well with first half fiscal 2014 results beating expectations. The company has launched several new products over the past few quarters and continues to work on expanding its pipeline. This company also raised its earning guidance for fiscal 2014.
Shire ( SHPG ), a Zacks Rank #1 (Strong Buy) stock, looks well-positioned for growth with the company expanding its product portfolio and pipeline through the upcoming acquisition of ViroPharma.
We are positive on Johnson & Johnson ( JNJ ) even though the company currently holds a Zacks Rank #3 (Hold). The company has performed well so far this year and the momentum should continue. Johnson & Johnson upped its 2013 earnings guidance again after announcing third quarter results.
The company has been trying to offset the declining sales of some of its important products by bringing in new products through in-licensing deals and acquisitions. We believe the diversity and strength of the company's underlying businesses will continue to provide strong growth in future.
In the biotech space, we are positive on Biogen ( BIIB ). Tecfidera, the company's recently launched oral multiple sclerosis drug, is off to a strong start with the product delivering sales of $478 million since its launch in early April. While Tecfidera has gained the top spot in the oral multiple sclerosis market in the U.S., Avonex and Tysabri should continue contributing significantly to sales. Tecfidera should gain EU approval shortly. Biogen is also progressing with its hemophilia pipeline. Biogen is another company that raised its 2013 guidance again this year.
We are also positive on Amgen ( AMGN ). Amgen should be able to deliver on its long-term strategy based on expansion in key markets, launch of new manufacturing technologies, and pipeline development. Enbrel should continue performing well. Amgen's late-stage pipeline is also moving along. While Amgen is a Zacks Rank #2 stock, Biogen is a Zacks Rank #3 (Hold) stock. Gilead, a Zacks Rank #3 stock, continues to do well in the HIV segment and is also progressing with its HCV pipeline.
Medivation ( MDVN ), a Zacks Rank #2 company, should continue delivering with its prostate cancer therapy, Xtandi, performing well. Based on the data we have seen so far, we believe Xtandi has blockbuster potential. It is currently in several studies including for the pre-chemo setting. Expansion into the pre-chemo setting would be a major positive for Medivation.
Vanda Pharmaceuticals, Inc. ( VNDA ) also looks well-positioned with the company receiving a positive feedback from the FDA regarding insomnia candidate, tasimelteon. The FDA's advisory panel voted resoundingly in favor of approving the candidate for the treatment of Non-24-Hour Disorder in the totally blind. While the FDA is not required to follow the advice of its advisory panel, it usually does so. A response from the agency should be out by Jan 31, 2014. Vanda is a Zacks Rank #1 stock.
Among generic companies, Actavis ( ACT ) looks well-positioned. We view the acquisition of Actavis Group as a smart strategic move and we believe the company will be able to achieve its guidance easily. We are also positive on the recent acquisition of Warner Chilcott, which makes strategic and financial sense. With fewer major patent expiries slated to occur in the next few years, we are encouraged by Actavis' focus on building its branded and biosimilars pipeline. The company carries a Zacks Rank #2.
WEAKNESSES
We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles. The FDA has been exercising more caution in granting approval to new products and several candidates are facing delays in receiving final approval.
Among large-cap pharma companies, Eli Lilly ( LLY ) is gearing up for another round of patent expiries: Cymbalta in Dec 2013 and Evista next year. We prefer waiting on the sidelines until the company is able to emerge from the impact of genericization.
Companies that currently carry a Zacks Rank #4 (Sell) include Alkermes ( ALKS ), BioLineRx, Ltd. ( BLRX ) and XOMA Corporation ( XOMA ) among others.
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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. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. 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Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories ' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs ' ( SNY / BMY ) Plavix and Eli Lilly's (LLY) Zyprexa representing combined branded sales worth more than $15 billion in lost patent protection over the last couple of years. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report ALKERMES INC (ALKS): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report AUXILIUM PHARMA (AUXL): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOLINE RX LTD (BLRX): Get Free Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report ELAN CP PLC ADR (ELN): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO COMPANY (PRGO): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report SANTARUS INC (SNTS): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VIROPHARMA (VPHM): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report XOMA CORP (XOMA): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories ' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs ' ( SNY / BMY ) Plavix and Eli Lilly's (LLY) Zyprexa representing combined branded sales worth more than $15 billion in lost patent protection over the last couple of years. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report ALKERMES INC (ALKS): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report AUXILIUM PHARMA (AUXL): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOLINE RX LTD (BLRX): Get Free Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report ELAN CP PLC ADR (ELN): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO COMPANY (PRGO): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report SANTARUS INC (SNTS): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VIROPHARMA (VPHM): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report XOMA CORP (XOMA): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Zacks Industry Rank Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report ALKERMES INC (ALKS): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report AUXILIUM PHARMA (AUXL): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOLINE RX LTD (BLRX): Get Free Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report ELAN CP PLC ADR (ELN): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO COMPANY (PRGO): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report SANTARUS INC (SNTS): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VIROPHARMA (VPHM): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report XOMA CORP (XOMA): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Focus on New Products 2012 saw the FDA approving 35 novel medicines including the following: Most of these products have been performing well so far in 2013. |
34221.0 | 2013-12-03 00:00:00 UTC | Pharma & Biotech Stock Outlook - Dec 2013 - Industry Outlook | ABT | https://www.nasdaq.com/articles/pharma-biotech-stock-outlook-dec-2013-industry-outlook-2013-12-03 | nan | nan | With 2013 coming to an end, the worst of the patent cliff faced by the pharmaceutical sector is over. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories ' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs ' ( SNY / BMY ) Plavix and Eli Lilly's (LLY) Zyprexa representing combined branded sales worth more than $15 billion in lost patent protection over the last couple of years.
However, the effect of the genericization of these products was felt mostly in 2012. While the industry won't be completely free from genericization, the major patent expiries are over and done with.
Several companies which had been struggling to post growth in the face of genericization over the past few years should see accelerated growth in 2014. New products should start contributing significantly to results and increased pipeline visibility and appropriate utilization of cash should increase confidence in the sector.
Some products that are slated to lose patent protection later this year and next year include:
AstraZeneca's ( AZN ) Nexium could also start facing generics from 2014 in the U.S., where sales were $2.2 billion in 2012.
Collaborations, Acquisitions and Restructuring
The pharma sector witnessed major merger and acquisitions (M&A) activity over the last couple of years. The trend continued this year and going forward, we expect small bolt-on acquisitions to continue. In-licensing activities and collaborations for the development of pipeline candidates have also increased significantly. Several pharma companies are focusing on in-licensing mid-to-late stage pipeline candidates that look promising, instead of developing a product from scratch, which involves a lot of funds and time.
Small biotech companies are open to in-licensing activities and collaborations. Most of these companies find it challenging to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. Therefore, it makes sense for them to seek deals with pharma companies that are sitting on huge piles of cash.
We recommend biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. Therapeutic areas which could see a lot of in-licensing activity include oncology, central nervous system disorders, diabetes and immunology/inflammation. The hepatitis C virus (HCV) market is also attracting a lot of attention.
Some recent acquisitions/deals include Shire's ( SHPG ) upcoming acquisition of ViroPharma ( VPHM ), Salix's ( SLXP ) upcoming acquisition of Santarus ( SNTS ) as well as the acquisition of Optimer Pharmaceuticals and Trius Therapeutics by Cubist Pharmaceuticals ( CBST ). Elan ( ELN ) is also on track to be acquired by Perrigo Company ( PRGO ) by year's end.
Another trend that we are seeing in recent months is the divestment of non-core business segments. Pfizer sold its Capsugel unit and its Nutrition business in Aug 2011 and Nov 2012, respectively. Pfizer then spun off its animal health business into a new company, Zoetis ( ZTS ). Meanwhile, GlaxoSmithKline ( GSK ) divested certain non-core brands from its Consumer Healthcare segment. In Aug 2011, AstraZeneca sold its Astra Tech business to DENTSPLY ( XRAY ).
The monetization of non-core assets will allow the pharma/biotech companies to focus on their areas of expertise. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Johnson & Johnson ( JNJ ) also announced its plans to explore strategic alternatives for its ortho-clinical diagnostics business, including a possible divestiture. Vertex ( VRTX ) monetized its Incivo-related royalties -- Vertex can use the cash generated from this deal for its cystic fibrosis program.
Restructuring activities are also gaining momentum as large pharma companies are looking to cut costs and streamline their operations. Most of these companies are re-evaluating their pipelines and discontinuing programs which do not have a favorable risk-benefit profile. Some of the companies that announced restructuring plans include Merck, Novartis ( NVS ), Eli Lilly, Shire and Sanofi.
Emerging Markets and Biosimilars
Another trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan ( MYL ), Pfizer, Merck, Eli Lilly, Glaxo and Sanofi are all looking to expand their presence in India, China, Brazil and other emerging markets. Until recently, most of the commercialization efforts were focused on the U.S. market -- the largest pharmaceutical market -- along with Europe and Japan. Emerging markets are slowly and steadily gaining more importance, and several companies are now shifting their focus to these areas.
However, while higher demand for medicines, government initiatives for healthcare, new patient population and increasing use of generics should help drive demand, we point out that emerging markets are also not immune from genericization. Moreover, investigations into bribery charges in China could put a lid on near-term growth.
Meanwhile, growth in Europe will continue to be pressurized by austerity and cost-containment measures.
We are also seeing several companies entering into deals for the development of biosimilars, generic versions of biologics. Companies like Merck, Amgen, Biogen ( BIIB ), and Actavis ( ACT ) are all targeting the highly lucrative biosimilars market.
3Q Earnings
All companies falling under the Medical sector have reported third quarter 2013 results. While earnings-beat and revenue-beat ratios (percentage of companies coming out with positive surprises) were pretty impressive, growth ratios were modest. Third quarter results were characterized by currency headwinds especially in Japan as well as a slowdown in China where bribery investigations remained in the headlines.
Third quarter 2013 earnings "beat ratio" was 74.5% while the revenue "beat ratio" was 51.0%. Total earnings for this sector were up 0.2%, compared to the 1.5% decline recorded in the second quarter of 2013. Total revenues moved up 5.8% in the quarter versus 2.4% growth in the second quarter of 2013.
Looking at the consensus earnings expectations for the fourth quarter, earnings are expected to decline 3.5%. Tough challenges for some companies, negative currency movement and a few patent expiries will affect fourth quarter growth. With the year coming to an end, several companies maintained or narrowed their guidance ranges.
Overall, 2013 earnings are expected to grow 0.6%.
Focus on New Products
2012 saw the FDA approving 35 novel medicines including the following:
Most of these products have been performing well so far in 2013. Stivarga, Kalydeco, Xtandi and Kyprolis, especially, represent strong commercial potential.
So far in 2013, quite a few important products have gained approval including Biogen's oral multiple sclerosis drug Tecfidera, Johnson & Johnson's type II diabetes drug Invokana, Merck's Liptruzet (cholesterol), Forest's Fetzima (major depressive disorder), Pharmacyclics ( PCYC )/Johnson & Johnson's Imbruvica (mantle cell lymphoma) and Roche's ( RHHBY ) Gazyva (chronic lymphocytic leukemia). Biogen's Tecfidera is off to a strong start with sales surpassing expectations by a wide margin.
Upcoming events include FDA advisory panel reviews of the biologic licensing application (BLA) for Bristol-Myers Squibbs' metreleptin (rare forms of lipodystrophy) and dapagliflozin (type II diabetes), and Merck's Grastek (a Timothy grass pollen extract tablet for sublingual use). All these reviews are scheduled to take place in the Dec 11 - 12 timeframe.
A response on the approval status of Auxilium Pharma's ( AUXL ) Xiaflex for Peyronie's and Gilead's sofosbuvir (chronic HCV infection) in the U.S. should also be out in December.
Zacks Industry Rank
Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs.
We rank all the 260-plus industries in the 16 Zacks sectors based on the earnings outlook and fundamental strength of the constituent companies in each industry. To learn more, visit: About Zacks Industry Rank .
As a point of reference, the outlook for industries with Zacks Industry Rank #88 and lower is 'Positive,' between #89 and #176 is 'Neutral' and #177 and higher is 'Negative.'
The Zacks Industry Rank for large-cap pharma is #95, med-biomed/gene is #77, med-drugs is #66, while the med-generic drugs is #40. Analyzing the Zacks Industry Rank for different medical segments, it is obvious that the outlook is Positive for med-drugs, med-biomed/gene and med-generic drugs and Neutral for large-cap pharma stocks.
OPPORTUNITIES
The outlook for the pharma sector has improved significantly with the Zacks Industry Rank moving up from #195 to #95 over the past few months. While several companies will continue to face challenges like EU austerity measures and genericization, the pharma industry is out of the worst of the genericization phase.
Many companies which had faced generic headwinds in the last couple of years should continue to see a sustained improvement in results as we move into 2014. Cost-cutting, downsizing, streamlining of the pipeline, growth in emerging markets and new product launches should support growth.
Among large-cap pharma stocks, Bayer ( BAYRY ), a Zacks Rank #2 (Buy) stock, looks well-positioned with several new products -- Eylea, Stivarga and Xarelto -- in its portfolio. These products represent significant commercial potential.
Forest Labs ( FRX ), another Zacks Rank #2 stock, is doing well with first half fiscal 2014 results beating expectations. The company has launched several new products over the past few quarters and continues to work on expanding its pipeline. This company also raised its earning guidance for fiscal 2014.
Shire ( SHPG ), a Zacks Rank #1 (Strong Buy) stock, looks well-positioned for growth with the company expanding its product portfolio and pipeline through the upcoming acquisition of ViroPharma.
We are positive on Johnson & Johnson ( JNJ ) even though the company currently holds a Zacks Rank #3 (Hold). The company has performed well so far this year and the momentum should continue. Johnson & Johnson upped its 2013 earnings guidance again after announcing third quarter results.
The company has been trying to offset the declining sales of some of its important products by bringing in new products through in-licensing deals and acquisitions. We believe the diversity and strength of the company's underlying businesses will continue to provide strong growth in future.
In the biotech space, we are positive on Biogen ( BIIB ). Tecfidera, the company's recently launched oral multiple sclerosis drug, is off to a strong start with the product delivering sales of $478 million since its launch in early April. While Tecfidera has gained the top spot in the oral multiple sclerosis market in the U.S., Avonex and Tysabri should continue contributing significantly to sales. Tecfidera should gain EU approval shortly. Biogen is also progressing with its hemophilia pipeline. Biogen is another company that raised its 2013 guidance again this year.
We are also positive on Amgen ( AMGN ). Amgen should be able to deliver on its long-term strategy based on expansion in key markets, launch of new manufacturing technologies, and pipeline development. Enbrel should continue performing well. Amgen's late-stage pipeline is also moving along. While Amgen is a Zacks Rank #2 stock, Biogen is a Zacks Rank #3 (Hold) stock. Gilead, a Zacks Rank #3 stock, continues to do well in the HIV segment and is also progressing with its HCV pipeline.
Medivation ( MDVN ), a Zacks Rank #2 company, should continue delivering with its prostate cancer therapy, Xtandi, performing well. Based on the data we have seen so far, we believe Xtandi has blockbuster potential. It is currently in several studies including for the pre-chemo setting. Expansion into the pre-chemo setting would be a major positive for Medivation.
Vanda Pharmaceuticals, Inc. ( VNDA ) also looks well-positioned with the company receiving a positive feedback from the FDA regarding insomnia candidate, tasimelteon. The FDA's advisory panel voted resoundingly in favor of approving the candidate for the treatment of Non-24-Hour Disorder in the totally blind. While the FDA is not required to follow the advice of its advisory panel, it usually does so. A response from the agency should be out by Jan 31, 2014. Vanda is a Zacks Rank #1 stock.
Among generic companies, Actavis ( ACT ) looks well-positioned. We view the acquisition of Actavis Group as a smart strategic move and we believe the company will be able to achieve its guidance easily. We are also positive on the recent acquisition of Warner Chilcott, which makes strategic and financial sense. With fewer major patent expiries slated to occur in the next few years, we are encouraged by Actavis' focus on building its branded and biosimilars pipeline. The company carries a Zacks Rank #2.
WEAKNESSES
We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles. The FDA has been exercising more caution in granting approval to new products and several candidates are facing delays in receiving final approval.
Among large-cap pharma companies, Eli Lilly ( LLY ) is gearing up for another round of patent expiries: Cymbalta in Dec 2013 and Evista next year. We prefer waiting on the sidelines until the company is able to emerge from the impact of genericization.
Companies that currently carry a Zacks Rank #4 (Sell) include Alkermes ( ALKS ), BioLineRx, Ltd. ( BLRX ) and XOMA Corporation ( XOMA ) among others.
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ZOETIS INC (ZTS): 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. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report ALKERMES INC (ALKS): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report AUXILIUM PHARMA (AUXL): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOLINE RX LTD (BLRX): Get Free Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report ELAN CP PLC ADR (ELN): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO COMPANY (PRGO): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report SANTARUS INC (SNTS): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VIROPHARMA (VPHM): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report XOMA CORP (XOMA): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories ' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs ' ( SNY / BMY ) Plavix and Eli Lilly's (LLY) Zyprexa representing combined branded sales worth more than $15 billion in lost patent protection over the last couple of years. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report ALKERMES INC (ALKS): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report AUXILIUM PHARMA (AUXL): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOLINE RX LTD (BLRX): Get Free Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report ELAN CP PLC ADR (ELN): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO COMPANY (PRGO): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report SANTARUS INC (SNTS): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VIROPHARMA (VPHM): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report XOMA CORP (XOMA): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories ' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs ' ( SNY / BMY ) Plavix and Eli Lilly's (LLY) Zyprexa representing combined branded sales worth more than $15 billion in lost patent protection over the last couple of years. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report ALKERMES INC (ALKS): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report AUXILIUM PHARMA (AUXL): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOLINE RX LTD (BLRX): Get Free Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report ELAN CP PLC ADR (ELN): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO COMPANY (PRGO): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report SANTARUS INC (SNTS): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VIROPHARMA (VPHM): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report XOMA CORP (XOMA): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Zacks Industry Rank Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS PLC (ACT): Free Stock Analysis Report ALKERMES INC (ALKS): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report AUXILIUM PHARMA (AUXL): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BIOLINE RX LTD (BLRX): Get Free Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CUBIST PHARM (CBST): Free Stock Analysis Report ELAN CP PLC ADR (ELN): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PERRIGO COMPANY (PRGO): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report SANTARUS INC (SNTS): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report VANDA PHARMACT (VNDA): Free Stock Analysis Report VIROPHARMA (VPHM): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report XOMA CORP (XOMA): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Focus on New Products 2012 saw the FDA approving 35 novel medicines including the following: Most of these products have been performing well so far in 2013. |
34222.0 | 2013-11-29 00:00:00 UTC | Abbott Laboratories (ABT): New Analyst Report from Zacks Equity Research - Zacks Equity Research Report | ABT | https://www.nasdaq.com/articles/abbott-laboratories-abt-new-analyst-report-zacks-equity-research-zacks-equity-research | nan | nan | Summary:
Abbott Laboratories reported third-quarter 2014 earnings of $0.54 per share, up 22.7% from the year-ago quarter. Abbott agreed to sell its developed markets generics pharmaceutical business to Mylan in Jul 2015. Hence, this business has been reported as discontinued operations. Including the discontinued operations, earnings came in at $0.62 per share, up 12.7% year over year. The Zacks Consensus Estimate was $0.60. Sales of $5.1 billion missed the Zacks Consensus Estimate of $5.6 billion. We expect the sale of the branded generics business to positively impact the top and bottom lines as Abbott now intends to focus on its branded generics pharmaceuticals business in emerging markets. An improved performance for the nutrition business should also boost investor confidence. We have, therefore, maintained a Neutral recommendation.
Overview:
Abbott Laboratories discovers, develops, manufactures and sells a diversified line of health care products. On Jan 1, 2013, Abbott separated its pharmaceutical business into a new company called AbbVie. The research-based pharmaceutical company, AbbVie, comprises proprietary pharmaceuticals and biologics.
Abbott's shareholders received one share of AbbVie common stock on Jan 1, 2013 for every one share of Abbott common shares held as of the close of business on Dec 12, 2012. Abbott now comprises four businesses, namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutritionals.
The Established Pharmaceuticals Division (EPD) is the company's branded generics business. This segment generates sales outside the US from a growing portfolio of hundreds of products. Of the total EPD sales, 60% are from emerging markets and 40% from developed markets.
Medical Devices includes the diabetes care, vision care and vascular businesses.
The Diagnostics segment manufactures and markets diagnostic systems and tests, which are sold worldwide to blood banks, hospitals, commercial laboratories and alternate-care testing sites. The segment operates in three business lines core laboratory, molecular and point of care.
The Nutritional Products segment includes a broad line of pediatric and adult nutritional products, which are manufactured, marketed and sold on a worldwide basis. Key brands are Similac, Ensure, Pedialyte and Glucerna.
Abbott generated sales of approximately $21.8 billion in 2013.
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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. | Abbott Laboratories (ABT): Read the Full Research Report Want the latest recommendations from Zacks Investment Research? Click to get this free report ABBOTT LABS (ABT): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott agreed to sell its developed markets generics pharmaceutical business to Mylan in Jul 2015. | Abbott Laboratories (ABT): Read the Full Research Report Want the latest recommendations from Zacks Investment Research? Click to get this free report ABBOTT LABS (ABT): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott's shareholders received one share of AbbVie common stock on Jan 1, 2013 for every one share of Abbott common shares held as of the close of business on Dec 12, 2012. | Abbott Laboratories (ABT): Read the Full Research Report Want the latest recommendations from Zacks Investment Research? Click to get this free report ABBOTT LABS (ABT): Free Stock Analysis Report To read this article on Zacks.com click here. We expect the sale of the branded generics business to positively impact the top and bottom lines as Abbott now intends to focus on its branded generics pharmaceuticals business in emerging markets. | Abbott Laboratories (ABT): Read the Full Research Report Want the latest recommendations from Zacks Investment Research? Click to get this free report ABBOTT LABS (ABT): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott now comprises four businesses, namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutritionals. |
34223.0 | 2013-11-18 00:00:00 UTC | Loss Widens at Apricus - Analyst Blog | ABT | https://www.nasdaq.com/articles/loss-widens-at-apricus-analyst-blog-2013-11-18 | nan | nan | Apricus Biosciences, Inc. ( APRI ) reported third quarter 2013 loss of 10 cents per share, in line with the Zacks Consensus Estimate but wider than the year-ago loss of 7 cents.
Revenues in the reported quarter were $28000, much lower than year-ago revenues of $4.9 million and the Zacks Consensus Estimate of $1 million. Revenues in the year-ago quarter comprised license fee and contract service revenues whereas the reported quarter only included contract service revenues.
In the 2012 quarter license fees worth $2.5 million and $1.0 million were recognized from Abbott Laboratories ( ABT ) and Takeda Pharmaceutical Co. Ltd. ( TKPYY ), respectively. The decline in contract service revenues in the reported quarter was due to activity related to French subsidiaries in the third quarter of 2012, which was deconsolidated in the second quarter 2013.
In the third quarter 2013, research and development (R&D) expenses were $0.9 million as compared with $2 million in the year-ago quarter. The decline in expenses was driven by decreased consulting services in support of regulatory filings in Europe.
Vitaros (erectile dysfunction) is the only approved product of Apricus. In Jun 2013, Apricus received approval for Vitaros under the European Decentralized Procedure (DCP). By far it has received five national phase approvals in Europe, which include Germany, Ireland, the Netherlands, Sweden and the U.K. Gaining country by country national phase approvals in the remaining territories is in progress. Current partners in Europe are preparing for an expected commercial launch in their respective territories in 2014.
The next-generation, room temperature version of Vitaros is expected to have a targeted shelf life of at least 24 months and will not require refrigeration. Apricus expects the new version of Vitaros to drive growth in 2015 and beyond.
Earlier this month, Apricus entered into a partnership with Laboratoires Majorelle in France, Monaco and Africa. Apricus expects to announce one or more Vitaros related partnerships by year end and expects the rollout of multiple Vitaros launches across Europe in 2014.
In Aug 2013, Apricus completed an end of phase II meeting with the U.S. Food and Drug Administration (FDA) for its pipeline candidate Femprox (female sexual dysfunction treatment). The agency said that the proposed indication can be pursued in both pre- and post-menopausal women, but the efficacy in each cohort must be demonstrated separately. The agency guided that a future study of Femprox should incorporate endpoints that would be used to validate the arousal domain of female sexual function index (FSFI). Moreover, the FDA stated that no additional non-clinical studies, other than a reproductive and developmental assessment, would be required to support a New Drug Application (NDA). We believe investor focus will remain on updates pertaining to Vitaros and Femprox.
Currently, Apricus carries a Zacks Rank #2 (Buy). Currently, Jazz Pharmaceuticals Ltd. ( JAZZ ) looks more attractive with a Zacks Rank #1 (Strong Buy).
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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 2012 quarter license fees worth $2.5 million and $1.0 million were recognized from Abbott Laboratories ( ABT ) and Takeda Pharmaceutical Co. Ltd. ( TKPYY ), respectively. ABBOTT LABS (ABT): Free Stock Analysis Report APPRICUS BIOSCI (APRI): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report To read this article on Zacks.com click here. In Aug 2013, Apricus completed an end of phase II meeting with the U.S. Food and Drug Administration (FDA) for its pipeline candidate Femprox (female sexual dysfunction treatment). | ABBOTT LABS (ABT): Free Stock Analysis Report APPRICUS BIOSCI (APRI): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report To read this article on Zacks.com click here. In the 2012 quarter license fees worth $2.5 million and $1.0 million were recognized from Abbott Laboratories ( ABT ) and Takeda Pharmaceutical Co. Ltd. ( TKPYY ), respectively. Revenues in the year-ago quarter comprised license fee and contract service revenues whereas the reported quarter only included contract service revenues. | ABBOTT LABS (ABT): Free Stock Analysis Report APPRICUS BIOSCI (APRI): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report To read this article on Zacks.com click here. In the 2012 quarter license fees worth $2.5 million and $1.0 million were recognized from Abbott Laboratories ( ABT ) and Takeda Pharmaceutical Co. Ltd. ( TKPYY ), respectively. Revenues in the year-ago quarter comprised license fee and contract service revenues whereas the reported quarter only included contract service revenues. | In the 2012 quarter license fees worth $2.5 million and $1.0 million were recognized from Abbott Laboratories ( ABT ) and Takeda Pharmaceutical Co. Ltd. ( TKPYY ), respectively. ABBOTT LABS (ABT): Free Stock Analysis Report APPRICUS BIOSCI (APRI): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report To read this article on Zacks.com click here. Revenues in the reported quarter were $28000, much lower than year-ago revenues of $4.9 million and the Zacks Consensus Estimate of $1 million. |
34224.0 | 2013-10-28 00:00:00 UTC | Abbott Labs' Mitra Clip Approved in the U.S. - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-labs-mitra-clip-approved-in-the-u.s.-analyst-blog-2013-10-28 | nan | nan | Abbott Laboratories ( ABT ) received positive news when the U.S. Food and Drug Administration (FDA) approved its percutaneous valve repair system, MitraClip.
The FDA approved MitraClip device to treat patients with significant symptomatic degenerative mitral regurgitation (MR) who are at prohibitive risk of mitral valve surgery. Consequently, Abbott Labs will launch its MitraClip device immediately in the U.S.
We note that MitraClip is already approved in the Europe and parts of Asia and Latin America.
Meanwhile, Abbott Labs continues to evaluate the impact of MitraClip treatment on the progression of heart failure through two randomized trials - COAPT in the U.S. and RESHAPE-HF in Europe.
We note that the vascular business is an important part of Abbott Labs' product portfolio. The vascular business generated total sales of $2.2 billion in the first nine months of 2013, down 3.1% year over year.
For the third quarter, vascular sales were up 2.5% on an operational basis driven by continued share gains in international markets. Of the total vascular sales, approximately $384 million came from the sale of drug-eluting stents and the bioresorbable vascular scaffold (BVS) product portfolio.
The approval of MitraClip will strengthen Abbott Labs' vascular business which already has drug-eluting stent, Xience Xpedition and BVS Absorb, under its portfolio.
Moreover, the acquisition of privately-held IDEV Technologies has added SUPERA Veritas stent system to Abbott Labs' product portfolio.
The stent system is approved in Europe for treating blockages in blood vessels due to peripheral artery disease (PAD). Moreover, SUPERA Veritas is approved in the U.S. for the treatment of biliary strictures (narrowing of a bile duct) related to cancer.
Abbott Labs expects to increase sales in low single digits (excluding foreign exchange rates) in the fourth quarter of 2013.
We believe the launch of new products will help Abbott Labs to broaden its vascular business.
We remind investors that Abbott Labs became a diversified medical products company focusing on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses following the separation of its research-based pharmaceuticals business into a new company, AbbVie Inc. ( ABBV ), in Jan 2013.
Abbott Labs currently carries a Zacks Rank #3 (Hold). Right now, large cap pharma stocks like Bayer ( BAYRY ) and Johnson & Johnson ( JNJ ) look attractive, each with a Zacks Rank #2 (Buy).
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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. | Abbott Laboratories ( ABT ) received positive news when the U.S. Food and Drug Administration (FDA) approved its percutaneous valve repair system, MitraClip. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report To read this article on Zacks.com click here. Meanwhile, Abbott Labs continues to evaluate the impact of MitraClip treatment on the progression of heart failure through two randomized trials - COAPT in the U.S. and RESHAPE-HF in Europe. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) received positive news when the U.S. Food and Drug Administration (FDA) approved its percutaneous valve repair system, MitraClip. We note that the vascular business is an important part of Abbott Labs' product portfolio. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) received positive news when the U.S. Food and Drug Administration (FDA) approved its percutaneous valve repair system, MitraClip. The approval of MitraClip will strengthen Abbott Labs' vascular business which already has drug-eluting stent, Xience Xpedition and BVS Absorb, under its portfolio. | Abbott Laboratories ( ABT ) received positive news when the U.S. Food and Drug Administration (FDA) approved its percutaneous valve repair system, MitraClip. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report To read this article on Zacks.com click here. Consequently, Abbott Labs will launch its MitraClip device immediately in the U.S. We note that MitraClip is already approved in the Europe and parts of Asia and Latin America. |
34225.0 | 2013-10-18 00:00:00 UTC | The Awful Truth About the Medical Device Tax | ABT | https://www.nasdaq.com/articles/awful-truth-about-medical-device-tax-2013-10-18 | nan | nan | "Over the past few decades, we've enriched the labs, drug companies, medical device makers, hospital administrators and purveyors of CT scans, MRIs, canes and wheelchairs...Meanwhile...we've squeezed everyone outside the system who gets stuck with the bills."
If you read Steven Brill's 26,000-word Time Magazinecover story "Bitter Pill: Why Medical Bills Are Killing Us," you're already versed in the unregulated free-for-all that is the medical industrial complex and its detrimental toll on the American patient.
Take a 64-year-old woman who was bankrupted in the space of a three-hour, $21,000 hospital visit for suffering from nothing more than heartburn. Or a man, age 42, whose treatment plan and initial chemotherapy doses for non-Hodgkin's lymphoma ran him $84,000. Simple, in-patient lab work for another patient, performed over a few days, ended up being more expensive than the price of a new car. A lung cancer diagnosis from a Northern California medical center ran a man $348,000 -- including a $77 bill for gauze pads and niacin pills at $24 a pop.
This kind of sticker shock is what you get in an anti-competitive marketplace unbounded by transparency. Because of confidentiality agreements hospitals are required to sign with medical device manufacturers, equipment prices are kept tightly under wraps, which hamstrings hospitals from shopping around for the best deal. Personal relationships between firms and physicians (who can be awarded consulting fees) further muddy the marketplace as physicians often buy equipment on behalf of hospitals without ever knowing the price or negotiating for a volume discount.
What results is the antithesis of a free market where price-gouging is the law of the land and it's the unwilling customers -- the patients -- who end up eating the costs. This year alone the health-care industry as a whole was allowed to make an unchecked $2.8 trillion off the backs of the sick and vulnerable.
So, when the Affordable Care Act imposed a 2.3% levy on sales for device manufacturers and importers that would raise $30 billion over a decade, it seemed like a Band-Aid on the gaping wound that is our health-care system; at best, it's a sanction to help offset the costs of implementing Obamacare. The New York Timescalled the medical device tax a "distraction from reforms to the industry that are urgently needed to lower health care costs."
But the tax actually goes too far, say many lawmakers. Members on both sides of the aisle -- as far to the right as Sen. Mitch McConnell (R-KY) and Rep. Eric Cantor (R-VA) and as left as Sen. Al Franken (D-MN) and Sen. Elizabeth Warren (D-MA) -- have voted for its repeal. As diverse as this bunch may be politically, they all share one common denominator: a trail of money that goes from the industry to their respective campaign kitties.
And there's a lot of money to go around -- $29 million a year to be exact. That's what AdvaMed, the industry's trade association, has spent on lobbying to ensure medical device companies get out of this tax. Members of AdvaMed are the most moneyed and powerful in the business and include 3M ( MMM ), Abbott Laboratories ( ABT ), Johnson & Johnson ( JNJ ), Kimberly-Clark ( KMB ), Eli Lilly ( LLY ), Pfizer (PFE), Roche (OTCMKTS:RHHBY), Siemens (SI) and hundreds more .
The argument being pushed by AdvaMed and its lawmaker mouthpieces against the medical device tax is that it will threaten innovation and jobs. The truth is that these firms already pay a very low effective tax rate, and some, like Abbot, take advantage of dozens of tax havens . While this new 2.3% tax will cut slightly into the massive profits the industry has enjoyed from inflated pricing, it's not nearly enough to compromise technological advancements or employment.
"Consider the device division of Johnson & Johnson, which in 2012 had an operating profit of $7.2 billion," reportsThe Nation . "By the company's own estimate, the device tax would amount to at most $300 million, and its investment in research and development amounts to only $1.7 billion."
Moreover, the law does nothing to oversee pricing practices or force competition among manufacturers that would not only incentivize innovation but keep the US from spending 50% more than Europe and Japan. Consulting firm McKinsey & Company found that an excess of $26 billion is levied on Medicare, insurance companies, and patients in this country every year.
Still, Congress stands behind this straw man "innovation and job killer" argument, and shamelessly so. Seventy-five House Republicans sent an urgent letter to Speaker Boehner demanding a vote for the repeal of the medical device tax. The letter was written by Ryan Strandlund, a member of AdvaMed's government affairs team.
Last February, H.R.523 - Protect Medical Innovation Act of 2013 was introduced by Erik Paulsen (R-MN) with 266 co-sponsors. Paulsen has made the bill one of his biggest priorities in Congress.
Paulsen has also collected more than $121,000 in campaign cash from the medical device industry. Other top House recipients include Ron Kind (D-WI) and Jim Matheson (D-Utah), both of whom have pushed to repeal the tax.
The congressional effort to ax the medical device levy hit an egregious low when members used it as the chief bargaining chip in the government shutdown negotiations. A group of 12 bipartisan senators, including Amy Klobuchar (D-MN) and Susan Collins (R-ME) -- making over $100,000 and $60,000 , respectively from the industry -- held as ransom for reopening the government, a two-year delay in enacting the tax.
Although tax repeal advocates lost that battle, the war wages on and those fighting the tax are nowhere near surrender. Senator Klobuchar said , "We have gained enormous momentum for repeal," and budget talks about the medical device tax are "certain" to move forward in Congress.
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. | Members of AdvaMed are the most moneyed and powerful in the business and include 3M ( MMM ), Abbott Laboratories ( ABT ), Johnson & Johnson ( JNJ ), Kimberly-Clark ( KMB ), Eli Lilly ( LLY ), Pfizer (PFE), Roche (OTCMKTS:RHHBY), Siemens (SI) and hundreds more . "Over the past few decades, we've enriched the labs, drug companies, medical device makers, hospital administrators and purveyors of CT scans, MRIs, canes and wheelchairs...Meanwhile...we've squeezed everyone outside the system who gets stuck with the bills." So, when the Affordable Care Act imposed a 2.3% levy on sales for device manufacturers and importers that would raise $30 billion over a decade, it seemed like a Band-Aid on the gaping wound that is our health-care system; at best, it's a sanction to help offset the costs of implementing Obamacare. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Members of AdvaMed are the most moneyed and powerful in the business and include 3M ( MMM ), Abbott Laboratories ( ABT ), Johnson & Johnson ( JNJ ), Kimberly-Clark ( KMB ), Eli Lilly ( LLY ), Pfizer (PFE), Roche (OTCMKTS:RHHBY), Siemens (SI) and hundreds more . Because of confidentiality agreements hospitals are required to sign with medical device manufacturers, equipment prices are kept tightly under wraps, which hamstrings hospitals from shopping around for the best deal. | Members of AdvaMed are the most moneyed and powerful in the business and include 3M ( MMM ), Abbott Laboratories ( ABT ), Johnson & Johnson ( JNJ ), Kimberly-Clark ( KMB ), Eli Lilly ( LLY ), Pfizer (PFE), Roche (OTCMKTS:RHHBY), Siemens (SI) and hundreds more . The New York Timescalled the medical device tax a "distraction from reforms to the industry that are urgently needed to lower health care costs." That's what AdvaMed, the industry's trade association, has spent on lobbying to ensure medical device companies get out of this tax. | Members of AdvaMed are the most moneyed and powerful in the business and include 3M ( MMM ), Abbott Laboratories ( ABT ), Johnson & Johnson ( JNJ ), Kimberly-Clark ( KMB ), Eli Lilly ( LLY ), Pfizer (PFE), Roche (OTCMKTS:RHHBY), Siemens (SI) and hundreds more . The New York Timescalled the medical device tax a "distraction from reforms to the industry that are urgently needed to lower health care costs." The argument being pushed by AdvaMed and its lawmaker mouthpieces against the medical device tax is that it will threaten innovation and jobs. |
34226.0 | 2013-10-17 00:00:00 UTC | Market Primer: Thursday, October 17: US Debt Deal Kicks The Can | ABT | https://www.nasdaq.com/articles/market-primer-thursday-october-17-us-debt-deal-kicks-can-2013-10-17 | nan | nan | Congress made a last minute deal with just hours to go before the budget deadline and avoided a sovereign default.
The US government agreed to a bill which will reopen the Federal government until January 15 and extend the nation's borrowing authority until February 7, meaning markets may be dealing with another budget battle in just a few months.
Asian markets cheered the deal, but US stock index futures slipped after investors seemingly bought on the rumor and sold on the fact.
Most of the attention has shifted away from the deal itself and onto the backlog of US data which will flood the markets now that the shutdown has been lifted. Several important economic indicators, including September payrolls, will be eagerly anticipated for a clearer picture of the US' economic health.
Top News
In other news around the markets:
Slipping sales in Southeast Asia prompted the Chinese trade ministry to warn that waning demand in emerging markets will likely have a negative impact on Chinese exports. A Spokesman for the country's Commerce Ministry said the Chinese government will support exporters to ensure trade growth reaches its 8 percent target this year. In a settlement with the US Commodity Futures Trading Commission, JPMorgan Chase & Co will pay $100 million and admit wrongdoing in the 'London Whale' case. The fine is one of many the firm will face over the incident; not to mention the $23 billion the firm has set aside for legal fees as it is being investigated by US authorities and regulators in connection to the case. Federal Reserve Bank of Dallas President Richard Fisher commented that big banks are to blame for crises and that they have been shielded from failure. He said banks should be forced to rely on equity and raise money in the stock market rather than borrowing. Canadian Prime Minister Stephen Harper announced that the country is expecting to balance its budget by 2015 and that the government will introduce a new law which will require balanced budgets in "normal times". Harper said new fiscal rules and set timelines for returning to balance will help mitigate damage during times of economic crisis.
Asian Markets
Asian markets were higher on the US budget deal, the Japanese NIKKEI was up 0.83 percent and Indonesia's JSX composited gained 0.50 percent. The NZ50 was up 0.36 percent and the ASX 200 gained 0.38 percent.
European Markets
Europe's markets got off to a rough start on Thursday, the UK's FTSE was down 0.56 percent and the eurozone's STOXX 600 lost 0.49 percent. The German DAX lost 0.76 percent and Italy's MIB was down 0.86 percent.
Commodities
Brent futures were up 0.82 percent and WTI futures were down 0.45 percent. Gold and silver were little changed and industrial metals were mixed with copper down 0.67 percent and aluminum up 0.11 percent.
Currencies
The dollar slipped on Thursday, the euro gained 0.69 percent against the American currency and the pound was up 0.73 percent against the dollar. The yen also gained against the greenback, up 0.80 percent.
Earnings
Notable earnings released on Wednesday included:
eBay Inc. (NASDAQ: EBAY ) reported third quarter EPS of $0.64 on revenue of $3.90 billion, compared to last year's EPS of $0.55 per share on revenue of $3.40 billion. Pepsico, Inc. (NYSE: PEP ) reported third quarter EPS of $1.24 on revenue of $16.91 billion, compared to last year's EPS of $1.20 on revenue of $16.65 billion. Bank of America Corporation (NYSE: BAC ) reported third quarter EPS of $0.20, compared to last year's EPS of $0.00 on revenue of $20.43 billion. American Express Company (NYSE: AXP ) reported third quarter EPS of $1.25 on revenue of $8.30 billion, compared to last year's EPS of $1.09 on revenue of $7.86 billion. Xilinx, Inc. (NASDAQ: XLNX ) reported report third quarter EPS of $0.58 on revenue of $598.90 million, compared to last year's EPS of $0.46 on revenue of $543.93 million.
Pre-Market Movers
Stocks moving in the pre-market included:
Newmont Mining Corp (NYSE: NEM ) gained 3.75 percent in pre-market trade after losing 2.34 percent over the past five days. International Business Machines Corp. (NYSE: IBM ) lost 6.09 percent in pre-market trade after gaining 2.98 percent over the past week Abbott Laboratories (NYSE: ABT ) lost 0.33 percent in pre-market trade after gaining 6.50 percent on Wednesday
Earnings reports expected on Thursday include:
Google Inc. (NASDAQ: GOOG ) is expected to report third quarter EPS of $10.36 on revenue of $14.84 billion, compared to last year's EPS of $9.03 per share on revenue of $11.33 billion. Goldman Sachs Group (NYSE: GS ) is expected to report third quarter EPS of $2.43 on revenue of $7.36 billion, compared to last year's EPS of $2.85 on revenue of $8.35 billion. Verizon Communications Inc. (NYSE: VZ ) is expected to report third quarter EPS of $0.75 on revenue of $30.17 billion, compared to last year's EPS of $0.64 on revenue of $29.01 billion. UnitedHealth Group Inc. (NYSE: UNH ) is expected to report third quarter EPS of $1.52 on revenue of $30.83 billion, compared to last year's EPS of $1.50 on revenue of $27.30 billion. Intuitive Surgical, Inc. (NASDAQ: ISRG ) is expected to report third quarter EPS of $3.39 on revenue of $525.61 million, compared to last year's EPS of $3.54 on revenue of $525.61 million.
Economics
Economic releases expected on Thursday include US housing starts, British retail sales and the eurozone's current account.
Good luck with your Thursday trades!
For a recap of Wednesday's market action, click .
Tune into Benzinga's pre-market info show with Dennis Dick and Joel Elconin here .
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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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. | International Business Machines Corp. (NYSE: IBM ) lost 6.09 percent in pre-market trade after gaining 2.98 percent over the past week Abbott Laboratories (NYSE: ABT ) lost 0.33 percent in pre-market trade after gaining 6.50 percent on Wednesday Earnings reports expected on Thursday include: Google Inc. (NASDAQ: GOOG ) is expected to report third quarter EPS of $10.36 on revenue of $14.84 billion, compared to last year's EPS of $9.03 per share on revenue of $11.33 billion. Asian markets cheered the deal, but US stock index futures slipped after investors seemingly bought on the rumor and sold on the fact. A Spokesman for the country's Commerce Ministry said the Chinese government will support exporters to ensure trade growth reaches its 8 percent target this year. | International Business Machines Corp. (NYSE: IBM ) lost 6.09 percent in pre-market trade after gaining 2.98 percent over the past week Abbott Laboratories (NYSE: ABT ) lost 0.33 percent in pre-market trade after gaining 6.50 percent on Wednesday Earnings reports expected on Thursday include: Google Inc. (NASDAQ: GOOG ) is expected to report third quarter EPS of $10.36 on revenue of $14.84 billion, compared to last year's EPS of $9.03 per share on revenue of $11.33 billion. Earnings Notable earnings released on Wednesday included: eBay Inc. (NASDAQ: EBAY ) reported third quarter EPS of $0.64 on revenue of $3.90 billion, compared to last year's EPS of $0.55 per share on revenue of $3.40 billion. American Express Company (NYSE: AXP ) reported third quarter EPS of $1.25 on revenue of $8.30 billion, compared to last year's EPS of $1.09 on revenue of $7.86 billion. | International Business Machines Corp. (NYSE: IBM ) lost 6.09 percent in pre-market trade after gaining 2.98 percent over the past week Abbott Laboratories (NYSE: ABT ) lost 0.33 percent in pre-market trade after gaining 6.50 percent on Wednesday Earnings reports expected on Thursday include: Google Inc. (NASDAQ: GOOG ) is expected to report third quarter EPS of $10.36 on revenue of $14.84 billion, compared to last year's EPS of $9.03 per share on revenue of $11.33 billion. Earnings Notable earnings released on Wednesday included: eBay Inc. (NASDAQ: EBAY ) reported third quarter EPS of $0.64 on revenue of $3.90 billion, compared to last year's EPS of $0.55 per share on revenue of $3.40 billion. UnitedHealth Group Inc. (NYSE: UNH ) is expected to report third quarter EPS of $1.52 on revenue of $30.83 billion, compared to last year's EPS of $1.50 on revenue of $27.30 billion. | International Business Machines Corp. (NYSE: IBM ) lost 6.09 percent in pre-market trade after gaining 2.98 percent over the past week Abbott Laboratories (NYSE: ABT ) lost 0.33 percent in pre-market trade after gaining 6.50 percent on Wednesday Earnings reports expected on Thursday include: Google Inc. (NASDAQ: GOOG ) is expected to report third quarter EPS of $10.36 on revenue of $14.84 billion, compared to last year's EPS of $9.03 per share on revenue of $11.33 billion. Federal Reserve Bank of Dallas President Richard Fisher commented that big banks are to blame for crises and that they have been shielded from failure. The NZ50 was up 0.36 percent and the ASX 200 gained 0.38 percent. |
34227.0 | 2013-10-16 00:00:00 UTC | Abbott Labs Beats Earnings, Reiterates Guidance - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-labs-beats-earnings-reiterates-guidance-analyst-blog-2013-10-16 | nan | nan | Abbott Laboratories ( ABT ) reported third quarter 2013 earnings of 55 cents per share, beating the Zacks Consensus Estimate of 51 cents.
Earnings increased 31.0% from the year-ago quarter, beating management's guidance range of 51-53 cents. Including one-time items, third quarter earnings were 49 cents per share, up from 21 cents in the year-ago quarter.
Abbott Labs generated sales of $5.4 billion in the third quarter of 2013, up 2.0% year over year, and in line with the Zacks Consensus Estimate.
The year-over-year growth was primarily driven by the solid performance of the Diagnostics and Medical Devices segments.
However, sales in the third quarter were adversely impacted by the disruption in international Nutrition sales. Moreover, unfavorable movement in foreign exchange rates negatively impacted sales by 2.3%.
Quarter in Detail
Abbott Labs operates through four segments, namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics, and Nutrition.
EPD sales declined 2.9% year over year to $1.2 billion including a negative impact of 3.5% due to currency fluctuations. This division primarily focuses on 14 key emerging markets where sales declined 3.4%.
Although recent macroeconomic factors and market pressure in certain emerging markets have resulted in somewhat slower sales growth in the third quarter, Abbott Labs expects growth rates in the emerging markets to continue to outpace the overall global economy and remain attractive in the long run. Sales in other markets including developed markets like Western Europe and Japan, among others declined 2.4%.
The Medical Devices business generated sales of $1.3 billion, up 1.9% mainly due to a strong performance in the Medical Optics business, which was up 7.3%. Cataract sales, accounting for 60% of total Medical Optics sales, outpaced the overall market and recorded double digit growth. The vascular business was up 0.6% driven by the continued uptake of drug eluting stent systems - Xience Xpedition and Absorb in key geographies. Diabetes Care sales were up 0.4% driven by growth in the emerging markets.
The Nutrition business grew 1.9% year over year to $1.6 billion. Pediatric Nutrition sales, accounting for 55% of total nutrition sales, grew 1.9% as sales in this business were adversely impacted by a supplier recall in early Aug 2013 in certain international markets. Adult Nutrition sales grew 2.0% led by solid growth from its key brand Ensure. Pediatric Nutrition sales from international markets are projected to be lower than previous expectations in the fourth quarter of 2013 and in the first half of 2014.
Diagnostics business sales increased 8.0% year over year to $1.1 billion. Key areas of focus in this division include the Core Laboratory Diagnostics, Molecular Diagnostics, and Point of Care Diagnostics businesses. Core Laboratory sales increased 6.3% and Point of Care Diagnostics increased 16.5%. Worldwide sales of Molecular Diagnostics increased 15.0%.
2013 Outlook Reiterated
Abbott Labs continues to expect earnings per share in the range of $1.98 to $2.04 in 2013. The Zacks Consensus Estimate currently stands at $2.00 per share, well within the company's guidance. Shares were up in pre-market trading.
Concurrent with the third quarter results, Abbott Labs announced a 57% increase in its quarterly dividend to 22 cents from 14 cents. The increased dividend will be paid in Feb 2014.
Our View
Abbott Labs currently carries a Zacks Rank #3 (Hold). Although earnings beat expectations, we were disappointed by the disruption in international markets of the Nutrition business. The disruption is likely to stretch into the first half of 2014. We note that the Nutrition division is the company's fastest growing business and hence a disruption in business will impact growth rates going forward.
Moreover, the business environment is likely to be challenging for Abbott Labs in the EPD segment due to austerity measures in developed markets and weak economic conditions elsewhere.
Nevertheless, we believe that Abbott Labs is extremely diversified with a presence in nutrition, diagnostics, generic pharmaceuticals and medical devices markets after having separated its proprietary pharmaceutical business into a new company called AbbVie ( ABBV ) in early 2013.
We are also impressed by the company's recent efforts to further broaden its expansive portfolio. During the third quarter, Abbott Labs completed the previously announced acquisition of OptiMedica in a bid to expand its vision care business into the rapidly developing laser-assisted cataract surgery market. The company also acquired IDEV Technologies to broaden its existing portfolio of endovascular products designed to treat patients with peripheral artery disease.
Right now, other large-cap pharma stocks like GlaxoSmithKline ( GSK ) and Bayer ( BAYRY ) look attractive. Both carry a Zacks Rank #2 (Buy).
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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. | Abbott Laboratories ( ABT ) reported third quarter 2013 earnings of 55 cents per share, beating the Zacks Consensus Estimate of 51 cents. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, the business environment is likely to be challenging for Abbott Labs in the EPD segment due to austerity measures in developed markets and weak economic conditions elsewhere. | Abbott Laboratories ( ABT ) reported third quarter 2013 earnings of 55 cents per share, beating the Zacks Consensus Estimate of 51 cents. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report To read this article on Zacks.com click here. Although recent macroeconomic factors and market pressure in certain emerging markets have resulted in somewhat slower sales growth in the third quarter, Abbott Labs expects growth rates in the emerging markets to continue to outpace the overall global economy and remain attractive in the long run. | Abbott Laboratories ( ABT ) reported third quarter 2013 earnings of 55 cents per share, beating the Zacks Consensus Estimate of 51 cents. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs generated sales of $5.4 billion in the third quarter of 2013, up 2.0% year over year, and in line with the Zacks Consensus Estimate. | Abbott Laboratories ( ABT ) reported third quarter 2013 earnings of 55 cents per share, beating the Zacks Consensus Estimate of 51 cents. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report To read this article on Zacks.com click here. EPD sales declined 2.9% year over year to $1.2 billion including a negative impact of 3.5% due to currency fluctuations. |
34228.0 | 2013-10-16 00:00:00 UTC | Mattel beats third quarter earnings and revenue estimates | ABT | https://www.nasdaq.com/articles/mattel-beats-third-quarter-earnings-and-revenue-estimates-2013-10-16 | nan | nan | Mattel beats third quarter earnings and revenue estimates
Julian Close 10/16/2013
Shares of Mattel ( MAT ) are trading higher this Wednesday morning, after the company announced its third quarter results. The company earned $1.21 per share, which beat The Street's estimate by 8%. Revenue was also slightly better than was forecast. Matel further claimed to have experienced growth in every region of the world in the third quarter, including an increase of 4% in European sales, despite Europe's toy industry's having had flat sales.
Mattel ( MAT ) is a global toy company comprising many well known brands including Barbie and Matchbox.
VisionChina ( VISN ) and Abbot Labs ( ABT ) top the list of other companies with positive news today, while Stanley Black and Decker ( SWK ) and Exelon ( EXC ) top the list of companies with negative news.
IK-> The technicals for MAT are bearish with a possible trend reversal. Support and resistance are not clear. The stock is up 3.6% today at $43.06. The company reported earnings today. Look at the January 36/38 bull-put spread for at least a $0.20 credit. USE LIMIT ORDERS. This trade has a target return of 11.1% and the stock has to fall 11.8% to cause a problem. [InvestorsKeyhole, Various news and data services]
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Originally published on InvestorsObserver.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | VisionChina ( VISN ) and Abbot Labs ( ABT ) top the list of other companies with positive news today, while Stanley Black and Decker ( SWK ) and Exelon ( EXC ) top the list of companies with negative news. Mattel beats third quarter earnings and revenue estimates Julian Close 10/16/2013 Shares of Mattel ( MAT ) are trading higher this Wednesday morning, after the company announced its third quarter results. Mattel ( MAT ) is a global toy company comprising many well known brands including Barbie and Matchbox. | VisionChina ( VISN ) and Abbot Labs ( ABT ) top the list of other companies with positive news today, while Stanley Black and Decker ( SWK ) and Exelon ( EXC ) top the list of companies with negative news. Mattel beats third quarter earnings and revenue estimates Julian Close 10/16/2013 Shares of Mattel ( MAT ) are trading higher this Wednesday morning, after the company announced its third quarter results. [InvestorsKeyhole, Various news and data services] The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | VisionChina ( VISN ) and Abbot Labs ( ABT ) top the list of other companies with positive news today, while Stanley Black and Decker ( SWK ) and Exelon ( EXC ) top the list of companies with negative news. Mattel beats third quarter earnings and revenue estimates Julian Close 10/16/2013 Shares of Mattel ( MAT ) are trading higher this Wednesday morning, after the company announced its third quarter results. [InvestorsKeyhole, Various news and data services] The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | VisionChina ( VISN ) and Abbot Labs ( ABT ) top the list of other companies with positive news today, while Stanley Black and Decker ( SWK ) and Exelon ( EXC ) top the list of companies with negative news. Mattel beats third quarter earnings and revenue estimates Julian Close 10/16/2013 Shares of Mattel ( MAT ) are trading higher this Wednesday morning, after the company announced its third quarter results. Mattel ( MAT ) is a global toy company comprising many well known brands including Barbie and Matchbox. |
34229.0 | 2013-10-16 00:00:00 UTC | DC Hijinx Cloud Earnings Season - Ahead of Wall Street | ABT | https://www.nasdaq.com/articles/dc-hijinx-cloud-earnings-season-ahead-wall-street-2013-10-16 | nan | nan | October 16, 2013
Mark Vickery here, covering for Sheraz Mian, who has the day off.
House Republicans on Tuesday couldn't organize to pass their own resolution, and the stock market tanked immediately upon the news. Senators on both sides of the aisle put down their double-bourbons and rejoined to carve out a new solution. If a debt ceiling agreement isn't reached by Thursday, the United States of America will default on its financial obligations, which would be majorly detrimental to the global economy.
…And -- oh yeah -- earnings season is hitting full throttle this week. Forgive us for our oversight.
Yahoo ( YHOO ) and Intel ( INTC ) reported pretty much in-line with expectations yesterday after the bell. Intel, though it performed admirably with gross margin growth, continues to struggle with a sinking PC market. Yahoo posted a slight beat but guidance was a bit lackluster. Ultimately, though, the big windfall for Yahoo will be if/when an Alibaba IPO takes place, which was not articulated much on yesterday's conference call.
Twitter has announced it will finally be publicly traded as of mid-November, under ticker symbol TWTR . This will add even more competition to the business space where Yahoo currently fights for market share.
After the bell today we'll see results from IBM ( IBM ) and eBay ( EBAY ). In fact, so many tech firms -- not to mention financial firms -- are reporting this week that we'll have a pretty decent idea of how Q3 earnings are beginning to shape up by Friday. Thus far, we've seen no major unexpected calamities, but no big blowout numbers either. Then again, we've yet to get to the heart of the lineup this season -- your Facebooks ( FB ), your Netflixes ( NFLX ) -- so there's plenty yet to come.
Abbott Labs ( ABT ) posted an earnings beat before the market open today, and announced a raise in quarterly dividend. Bank of America ( BAC ) performed close to expectations for its Q3 earnings this morning, as well.
Aside from getting an initial handle on earnings this season by the end of the week, we also hope this Beltway nonsense will be a thing of the past. Otherwise, we might expect this cloud to cast a big shadow over everything until some grown-ups decide to step in.
Mark Vickery
Senior Editor
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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. | Abbott Labs ( ABT ) posted an earnings beat before the market open today, and announced a raise in quarterly dividend. Mark Vickery Senior Editor ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report NETFLIX INC (NFLX): Free Stock Analysis Report YAHOO! House Republicans on Tuesday couldn't organize to pass their own resolution, and the stock market tanked immediately upon the news. | Abbott Labs ( ABT ) posted an earnings beat before the market open today, and announced a raise in quarterly dividend. Mark Vickery Senior Editor ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report NETFLIX INC (NFLX): Free Stock Analysis Report YAHOO! Yahoo ( YHOO ) and Intel ( INTC ) reported pretty much in-line with expectations yesterday after the bell. | Abbott Labs ( ABT ) posted an earnings beat before the market open today, and announced a raise in quarterly dividend. Mark Vickery Senior Editor ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report NETFLIX INC (NFLX): Free Stock Analysis Report YAHOO! Click to get this free report The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Mark Vickery Senior Editor ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report EBAY INC (EBAY): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report INTL BUS MACH (IBM): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report NETFLIX INC (NFLX): Free Stock Analysis Report YAHOO! Abbott Labs ( ABT ) posted an earnings beat before the market open today, and announced a raise in quarterly dividend. Yahoo ( YHOO ) and Intel ( INTC ) reported pretty much in-line with expectations yesterday after the bell. |
34230.0 | 2013-10-16 00:00:00 UTC | Sector Update: Healthcare Shares Flat to Higher; Isis Pharmaceutical Nabs $10 Mln Milestone Payment | ABT | https://www.nasdaq.com/articles/sector-update-healthcare-shares-flat-higher-isis-pharmaceutical-nabs-10-mln-milestone | nan | nan | Healthcare stocks:
JNJ: flat
PFE: +0.14%
ABT: flat
MRK: +1.39%
AMGN: flat
Healthcare shares are flat to higher in pre-market trade. Isis Pharmaceuticals ( ISIS ) said it has earned a $10 million milestone payment from Biogen Idec for the advancement of its ISIS-DMPK drug to treat myotonic dystrophy type 1.
And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. Sales were $5.36 bln, vs. expectations of $5.39 bln.
Looking forward, Abbott confirmed its full-year 2013 ongoing EPS guidance range of $1.98 to $2.04. The Street view is $2.00 per 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. | And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. ABT: flat Isis Pharmaceuticals ( ISIS ) said it has earned a $10 million milestone payment from Biogen Idec for the advancement of its ISIS-DMPK drug to treat myotonic dystrophy type 1. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. ABT: flat And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. ABT: flat And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. | ABT: flat And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. The Street view is $2.00 per share. |
34231.0 | 2013-10-16 00:00:00 UTC | Sector Update: Healthcare | ABT | https://www.nasdaq.com/articles/sector-update-healthcare-2013-10-16-0 | nan | nan | Healthcare shares are flat to higher in pre-market trade. Isis Pharmaceuticals ( ISIS ) said it has earned a $10 million milestone payment from Biogen Idec for the advancement of its ISIS-DMPK drug to treat myotonic dystrophy type 1.
And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. Sales were $5.36 bln, vs. expectations of $5.39 bln.
Looking forward, Abbott confirmed its full-year 2013 ongoing EPS guidance range of $1.98 to $2.04. The Street view is $2.00 per 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. | And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. Isis Pharmaceuticals ( ISIS ) said it has earned a $10 million milestone payment from Biogen Idec for the advancement of its ISIS-DMPK drug to treat myotonic dystrophy type 1. Looking forward, Abbott confirmed its full-year 2013 ongoing EPS guidance range of $1.98 to $2.04. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. Isis Pharmaceuticals ( ISIS ) said it has earned a $10 million milestone payment from Biogen Idec for the advancement of its ISIS-DMPK drug to treat myotonic dystrophy type 1. | And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | And, Abbott ( ABT ) is up 0.6% at $33.90 as it reports Q3 EPS of $0.55, vs. the analyst consensus of $0.52 per share on Capital IQ. Isis Pharmaceuticals ( ISIS ) said it has earned a $10 million milestone payment from Biogen Idec for the advancement of its ISIS-DMPK drug to treat myotonic dystrophy type 1. The Street view is $2.00 per share. |
34232.0 | 2013-10-15 00:00:00 UTC | Earnings Preview: Will Abbott Labs (ABT) Disappoint in Q3? - Analyst Blog | ABT | https://www.nasdaq.com/articles/earnings-preview-will-abbott-labs-abt-disappoint-q3-analyst-blog-2013-10-15 | nan | nan | Abbott Laboratories ( ABT ) is scheduled to report third quarter 2013 results before the opening bell on Oct 16, 2013.
Last quarter, Abbott Labs posted a 4.55% positive surprise. Let's see how things are shaping up for the third quarter.
Factors to Influence 3Q Results ?
Abbott Labs is an extremely diversified company with a presence in the diagnostics, nutrition, generics and medical devices markets after having separated its pharmaceutical business into a new company called AbbVie ( ABBV ) in Jan 2013.
However, the business environment continues to be challenging in 2013 due to austerity measures in developed markets and weak economic conditions elsewhere in the world. We believe the pricing pressure in the EU and health care reforms in the U.S. will continue to have a negative impact on sales.
Abbott Labs' Established Pharmaceuticals Division (EPD) continues to be impacted by lower-than-expected growth in Europe and the emerging markets. Hence, Abbott Labs now expects a declaration in pace of growth in this segment for the remainder of 2013.
Nevertheless, we expect the Nutrition and Diagnostics divisions to somewhat offset the decline in other segments.
Earnings Whispers ?
Our proven model does not conclusively show that Abbott Labs is likely to beat the Zacks Consensus Estimate in the third quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy) or at least 2 or 3 for this to happen. Unfortunately, this is not the case here as elaborated below.
Negative Zacks ESP : The Earnings ESP for Abbott Labs is -1.92%. This is because the Most Accurate estimate stands at $0.51 while the Zacks Consensus Estimate is higher at $0.52.
Zacks Rank : Abbott Labs carries a Zacks Rank #3 (Hold), which increases the predictive power of ESP. That said we also need to have a positive ESP to be confident of an earnings beat.
We caution against stocks with Zacks Ranks #4 and #5 (Sell rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revision momentum.
Stocks to Consider
Here are some other stocks you may want to consider as our model shows that these have the right combination of elements to post an earnings beat this season:
Eli Lilly and Company ( LLY ) has Earnings ESP of +1.92% and holds a Zacks Rank #3 (Hold). Eli Lilly will be reporting third quarter earnings on Oct 23.
Biogen Idec . ( BIIB ) has Earnings ESP of +0.91% and holds a Zacks Rank #2 (Buy). Biogen will be reporting third quarter earnings on Oct 28.
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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. | Abbott Laboratories ( ABT ) is scheduled to report third quarter 2013 results before the opening bell on Oct 16, 2013. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report To read this article on Zacks.com click here. However, the business environment continues to be challenging in 2013 due to austerity measures in developed markets and weak economic conditions elsewhere in the world. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) is scheduled to report third quarter 2013 results before the opening bell on Oct 16, 2013. Negative Zacks ESP : The Earnings ESP for Abbott Labs is -1.92%. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) is scheduled to report third quarter 2013 results before the opening bell on Oct 16, 2013. Negative Zacks ESP : The Earnings ESP for Abbott Labs is -1.92%. | Abbott Laboratories ( ABT ) is scheduled to report third quarter 2013 results before the opening bell on Oct 16, 2013. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs' Established Pharmaceuticals Division (EPD) continues to be impacted by lower-than-expected growth in Europe and the emerging markets. |
34233.0 | 2013-10-14 00:00:00 UTC | 3 Ultra Safe Stocks... Just in Case - Investment Ideas | ABT | https://www.nasdaq.com/articles/3-ultra-safe-stocks-just-case-investment-ideas-2013-10-14 | nan | nan | Tick, tock, tick, tock...
The U.S. Treasury Department warns that it is just days away from not having enough money to pay its bills unless the debt ceiling is raised. While it would seem obvious that debt payments would be prioritized over other obligations if needed, Treasury Secretary Jacob Lew has claimed that this might not be doable, stating that its "systems were not designed to not pay our bills" .
While this sounds scary, if you look at both the stock and bond markets, they seem pretty calm about the whole situation. The S&P 500 is trading above 1700 and within about 1% of its all-time high. And perhaps the best barometer - the yield on the 10 year U.S. Treasury note - is almost 30 basis points lower than where it was in early September:
While it appears that investors still think the odds of a default is near 0, keep in mind that the market also thought firms like Bear Stearns and Lehman Brothers were fine just hours before they collapsed. In other words, sometimes the market gets it wrong.
While a U.S. default seems unthinkable at the moment, shouldn't an investor have a contingency plan just in case?
When Risk-Free Isn't Risk Free
In your typical financial crisis, investors flee to the safety of U.S. government bonds. It happened during the financial crisis. It happened during the European debt crisis. That's why Treasury bonds are often the proxy for the "risk free" rate in finance.
But where do you go when risk-free is no longer risk free?
While an obvious answer would be "cash", if you're not willing to abandon stocks altogether, then there should be a few corners of the market that would likely weather the storm better than others. These would be stocks in the following sectors:
Consumer Staples
Healthcare, and
Utilities
Unsurprisingly, these are each defensive, low beta sectors that are high up on consumers' lists of needs.
3 Ultra Safe Stocks
While the ultimate ramifications of a U.S. default are nearly impossible to predict, these 3 stocks should at least hold up much better than the overall market:
Dollar Tree ( DLTR )
Dollar Tree is a discount retailer with thousands of stores in all 48 contiguous states. The company benefited tremendously from consumers "trading down" to their stores during the Great Recession, and it would likely see a similar boost in foot traffic following a U.S. default as households tighten their belts. It's tough to say exactly how the stock would perform, but if 2008 is any indication, it would be one of the few stocks to shift into. Shares of DLTR surged +61% that year.
Abbott Labs ( ABT )
This large-cap diversified healthcare company derives 70% of its sales from outside of the United States and operates in relatively inelastic, stable businesses like branded generic pharmaceuticals. With a beta of 0.25, shares of Abbott are not highly correlated to the S&P 500 and should significantly outperform during a market selloff.
Aqua America ( WTR )
Is there anything human beings need more than H2O? Aqua America is a water utility serving approximately 3 million people in Pennsylvania, Ohio, North Carolina, Illinois, Texas, New Jersey, Indiana, Florida, Virginia, and Georgia. The stock has a beta of just 0.18 and currently yields about 2.5%, which is close to what you would get on a 10-year Treasury note.
The Bottom Line
A U.S. default still seems unthinkable, but it is not impossible. Investors looking for some safety without fleeing the stock market altogether should consider these three ultra safe stocks... just in case.
Tick, tock, tick, tock...
Todd Bunton, CFA is the Growth & Income Stock Strategist for Zacks Investment Research and Editor of the Income Plus Investor service .
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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. | Abbott Labs ( ABT ) This large-cap diversified healthcare company derives 70% of its sales from outside of the United States and operates in relatively inelastic, stable businesses like branded generic pharmaceuticals. Learn More>> ABBOTT LABS (ABT): Free Stock Analysis Report DOLLAR TREE INC (DLTR): Free Stock Analysis Report AQUA AMER INC (WTR): Free Stock Analysis Report To read this article on Zacks.com click here. And perhaps the best barometer - the yield on the 10 year U.S. Treasury note - is almost 30 basis points lower than where it was in early September: While it appears that investors still think the odds of a default is near 0, keep in mind that the market also thought firms like Bear Stearns and Lehman Brothers were fine just hours before they collapsed. | Learn More>> ABBOTT LABS (ABT): Free Stock Analysis Report DOLLAR TREE INC (DLTR): Free Stock Analysis Report AQUA AMER INC (WTR): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) This large-cap diversified healthcare company derives 70% of its sales from outside of the United States and operates in relatively inelastic, stable businesses like branded generic pharmaceuticals. 3 Ultra Safe Stocks While the ultimate ramifications of a U.S. default are nearly impossible to predict, these 3 stocks should at least hold up much better than the overall market: Dollar Tree ( DLTR ) Dollar Tree is a discount retailer with thousands of stores in all 48 contiguous states. | Learn More>> ABBOTT LABS (ABT): Free Stock Analysis Report DOLLAR TREE INC (DLTR): Free Stock Analysis Report AQUA AMER INC (WTR): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) This large-cap diversified healthcare company derives 70% of its sales from outside of the United States and operates in relatively inelastic, stable businesses like branded generic pharmaceuticals. 3 Ultra Safe Stocks While the ultimate ramifications of a U.S. default are nearly impossible to predict, these 3 stocks should at least hold up much better than the overall market: Dollar Tree ( DLTR ) Dollar Tree is a discount retailer with thousands of stores in all 48 contiguous states. | Abbott Labs ( ABT ) This large-cap diversified healthcare company derives 70% of its sales from outside of the United States and operates in relatively inelastic, stable businesses like branded generic pharmaceuticals. Learn More>> ABBOTT LABS (ABT): Free Stock Analysis Report DOLLAR TREE INC (DLTR): Free Stock Analysis Report AQUA AMER INC (WTR): Free Stock Analysis Report To read this article on Zacks.com click here. When Risk-Free Isn't Risk Free In your typical financial crisis, investors flee to the safety of U.S. government bonds. |
34234.0 | 2013-10-03 00:00:00 UTC | Valeant Eyes New Growth Platform With Bausch & Lomb | ABT | https://www.nasdaq.com/articles/valeant-eyes-new-growth-platform-bausch-lomb-2013-10-03 | nan | nan | In the high-stakes M&A game,Valeant Pharmaceuticals ( VRX ) CEO Michael Pearson has shown skill in navigating the acquisition trail.
Pearson has made more than 50 buyouts since taking the helm in 2008 as he's moved to push the Canadian drugmaker into new markets and build up its product portfolio.
Pearson's aggressive acquisition strategy helpedValeant nearly quintuple revenue the past four years.
Despite the huge growth spurt, Pearson continues upping his M&A game, which has included snapping up many small bolt-on deals.
In August, Valeant closed on the $8.7 billion acquisition of contact lens giant Bausch & Lomb.
The Bausch & Lomb buyout is Valeant's largest deal.
It vaults Valeant's position in the growing eye-health arena while giving a nice lift to revenue and profit as well as generating cost synergies.
Valeant makes a broad range of pharmaceutical products primarily in dermatology, neurology, eye health and branded generics.
Its huge lineup includes the antidepressant Wellbutrin XL, Xenazine to treat Huntington's disease, the Restylane family of injectable skin fillers to counter wrinkles, and CeraVe skin care products, a brand sold over the counter.
Bausch & Lomb brings a lot to the table. The firm's broad portfolio of products includes prescription and OTC brands such as Ocuvite and PreserVision, vision care brands such as ReNu and Boston, and surgical brands like enVista and Storz.
"Eye health is an attractive specialty, both in the U.S. and globally," said Valeant Chief Financial Officer Howard Schiller on the second-quarter conference call.
He said of picking up B&L: "This acquisition expands our reach not only in existing markets, but now opens up new opportunities in territories such as China, Turkey and the Middle East. And the fact that Western Europe and Japan are largely OTC contact lens and lens solution businesses, and are profitable and growing, make our entry into those markets very attractive."
Stronger Foothold
The Bausch & Lomb deal builds up Valeant's small presence in the ophthalmology pharmaceutical space, says Morningstar analyst David Krempa.
"With this deal they are a much larger player, and they get into the consumer side with lenses and solutions and the surgical area," he said. "Bausch & Lomb takes them into areas they previously weren't in. They have a new platform in ophthalmology they can hopefully add on to and do the bolt-on acquisitions they've been so successful with."
The Bausch & Lomb deal comes as Valeant continues to build muscle in the dermatology arena through buyouts. It closed on the $344 million purchase of skin-cream maker Obagi Medical Products in late April. That buy followed December's $2.6 billion acquisition of Medicis, which brought Valeant anti-wrinkle injections like Dysport and Restylane.
"Ophthalmology is similar to dermatology in that it has a targeted physician population and it's consumer products that's cash pay," said Stifel analyst Annabel Samimy. "It also has a relatively brand-loyal physician and consumer base. Bausch & Lomb's lens, solutions and surgical products broadens them out meaningfully and gives them critical mass in ophthalmology. They're tagging on a whole new franchise, which is similar to what they did in dermatology."
Through a series of acquisitions, Valeant has consolidated the U.S. dermatology prescription market so that today it's the biggest player in that market, says Krempa.
He adds that Valeant faces more competition in ophthalmology than in dermatology. "Valeant is now stepping into a concentrated market and will face off againstNovartis ( NVS ), Allergan ( AGN ),Abbott ( ABT ) andJohnson & Johnson ( JNJ ), rather than the fragmented group of small companies that it competes with in dermatology," he wrote in a report soon after Valeant announced the Bausch & Lomb deal.
Krempa added: "Ophthalmology is unlikely to be as successful as dermatology for Valeant, as it will be at a severe disadvantage to industry giants Novartis and Johnson & Johnson, but the Bausch & Lomb brand maintains a solid position in the $36 billion industry. . .. (Yet) the acquisition looks highly accretive to shareholders and gives Valeant another major growth platform."
How Big A Deal?
Bausch & Lomb would contribute about $3.3 billion to full-year revenue, Schiller estimated in a statement announcing the buy.
On the call, he said the combined organization will deliver revenue between $5.8 billion and $6.2 billion in 2013. Valeant posted $3.54 billion in sales in 2012.
Also on the call, Schiller said Valeant expects to exceed its $800 million target in cost savings from the deal and plans to reduce the combined head count by 10% to 15%. The bulk of the savings are coming from efforts including cutting general and administrative expenses.
With Bausch & Lomb in the mix, the U.S. represents about 50% of sales with two leading specialty platforms, dermatology and aesthetics, and eye health, Schiller says. It also has a very strong and growing emerging markets position that represents about 25% of revenue, he adds. It has entered Western Europe and Japan with OTC contact lens and lens solution businesses.
Valeant has been faring handsomely with its current lineup. It's logged nine straight quarters of double-digit sales and earnings growth. In the most recent second quarter earnings climbed 33% to $1.34 a share. Sales surged 34% to to $1.095 billion.
Analysts polled by Thomson Reuters expect full-year earnings to rise 36% to $6.14 a share. They see a 40% gain in 2014.
"I expect them to keep doing more bolt-on deals in the short-term as they digest Bausch & Lomb," said Krempa. "Over time, I expect them to bring on some big deals too."
Pearson, he adds, "has done a good job transforming" the firm.
The deals he's done since he came onboard have added a lot of value, he says, and have been "highly accretive" to earnings.
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. | "Valeant is now stepping into a concentrated market and will face off againstNovartis ( NVS ), Allergan ( AGN ),Abbott ( ABT ) andJohnson & Johnson ( JNJ ), rather than the fragmented group of small companies that it competes with in dermatology," he wrote in a report soon after Valeant announced the Bausch & Lomb deal. It vaults Valeant's position in the growing eye-health arena while giving a nice lift to revenue and profit as well as generating cost synergies. Stronger Foothold The Bausch & Lomb deal builds up Valeant's small presence in the ophthalmology pharmaceutical space, says Morningstar analyst David Krempa. | "Valeant is now stepping into a concentrated market and will face off againstNovartis ( NVS ), Allergan ( AGN ),Abbott ( ABT ) andJohnson & Johnson ( JNJ ), rather than the fragmented group of small companies that it competes with in dermatology," he wrote in a report soon after Valeant announced the Bausch & Lomb deal. In August, Valeant closed on the $8.7 billion acquisition of contact lens giant Bausch & Lomb. And the fact that Western Europe and Japan are largely OTC contact lens and lens solution businesses, and are profitable and growing, make our entry into those markets very attractive." | "Valeant is now stepping into a concentrated market and will face off againstNovartis ( NVS ), Allergan ( AGN ),Abbott ( ABT ) andJohnson & Johnson ( JNJ ), rather than the fragmented group of small companies that it competes with in dermatology," he wrote in a report soon after Valeant announced the Bausch & Lomb deal. The Bausch & Lomb deal comes as Valeant continues to build muscle in the dermatology arena through buyouts. Krempa added: "Ophthalmology is unlikely to be as successful as dermatology for Valeant, as it will be at a severe disadvantage to industry giants Novartis and Johnson & Johnson, but the Bausch & Lomb brand maintains a solid position in the $36 billion industry. | "Valeant is now stepping into a concentrated market and will face off againstNovartis ( NVS ), Allergan ( AGN ),Abbott ( ABT ) andJohnson & Johnson ( JNJ ), rather than the fragmented group of small companies that it competes with in dermatology," he wrote in a report soon after Valeant announced the Bausch & Lomb deal. In August, Valeant closed on the $8.7 billion acquisition of contact lens giant Bausch & Lomb. The Bausch & Lomb buyout is Valeant's largest deal. |
34235.0 | 2013-10-03 00:00:00 UTC | X Factor: 5 Stocks Reaching Their Ex-Dividend Date on October 10 | ABT | https://www.nasdaq.com/articles/x-factor-5-stocks-reaching-their-ex-dividend-date-october-10-2013-10-03 | nan | nan | Many stocks will reach their ex-dividend date next Thursday, which is significant for investors as the seller of the stock on that date, not the buyer, receives the most recent dividend.
A stock must be bought one day before the ex-dividend date to claim any dividends that have been announced but not yet paid. The company determines on the record date, which usually occurs two days after the ex-dividend date, which shareholders qualify for the dividend. Shareholders listed as holders of record after the record date then receive their dividend on the date of payment established by the company. Those purchasing right before the record date forfeit the dividend and normally get the stock for a reduced amount.
It may seem an anachronism in this era of high frequency trading, but the dividend rate rules are in force since it can still take up to three business days for transactions to be credited to and settled in an investor's account.
Below are five stocks that schedule October 10 as their ex-dividend date. All annual yields are estimated.
Armour Residential REIT ( ARR ) yields 14.22% annually and has a market cap of $1.56 billion. The real estate investment trust , or REIT, will pay a monthly dividend of $0.05 on October 28, and its quarterly yield will be 1.18% based on yesterday's closing price of $4.23. The company has paid a monthly dividend since 2010.
Potash Corporation of Saskatchewan ( POT ) yields 4.31% annually and has a market cap of $28.14 billion. The producer and seller of fertilizers in the US and Canada will pay a quarterly dividend of $0.35 on November 5, and the quarterly yield will be 1.07% based on yesterday's closing price of $32.84. The company has paid a quarterly dividend since 1990.
Freeport-McMoRan ( FCX ) yields 3.78% annually and has a market cap of $34.26 billion. The gold and resource miner will pay a quarterly dividend of $0.3125 on November 1, and the quarterly yield of the dividend will be 0.93% based on yesterday's closing price of $33.51. The company has paid a quarterly dividend since 2003.
Abbott Laboratories ( ABT ) yields 1.67% annually and has a market cap of $52.12 billion. The global producer of health care products will pay a quarterly dividend of $0.14 on November 15, and the quarterly yield will be 0.41% based on yesterday's closing price of $33.90. The company has paid a quarterly dividend since 1983, and each dividend payment has either increased or remained the same from the prior quarter.
Chesapeake Energy Corporation ( CHK ) yields 1.35% annually and has a market cap of $16.85 billion. The developer of oil and natural gas properties in the US will pay a quarterly dividend of $0.0875 on October 31, and the quarterly yield will be 0.33% based on yesterday's closing price of $26.17. The company has paid a quarterly dividend since the second half of 2002, and each dividend payment has either increased or remained the same from the prior quarter.
These companies also have their ex-dividend date on October 10. All annual yields are estimated.
Fifth Street Finance (FSC) yields 11.30% annually and will pay a monthly dividend of $0.0958 on October 31.
Harsco Corporation (HSC) yields 3.36% annually and will pay a quarterly dividend of $0.205 on November 15.
General Growth Properties REIT (GGP) yields 2.64% annually and will pay a quarterly dividend of $0.13 on October 29.
Belo Corporation (BLC) yields 2.34% annually and will pay a quarterly dividend of $0.08 on December 6.
The Buckle (BKE) yields 1.50% annually and will pay a quarterly dividend of $0.20 on October 25.
Purchase -- and have your broker settle -- before the ex-dividend date to secure the dividend.
Twitter: @ChrisWitrak
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. | Abbott Laboratories ( ABT ) yields 1.67% annually and has a market cap of $52.12 billion. It may seem an anachronism in this era of high frequency trading, but the dividend rate rules are in force since it can still take up to three business days for transactions to be credited to and settled in an investor's account. The real estate investment trust , or REIT, will pay a monthly dividend of $0.05 on October 28, and its quarterly yield will be 1.18% based on yesterday's closing price of $4.23. | Abbott Laboratories ( ABT ) yields 1.67% annually and has a market cap of $52.12 billion. The real estate investment trust , or REIT, will pay a monthly dividend of $0.05 on October 28, and its quarterly yield will be 1.18% based on yesterday's closing price of $4.23. The producer and seller of fertilizers in the US and Canada will pay a quarterly dividend of $0.35 on November 5, and the quarterly yield will be 1.07% based on yesterday's closing price of $32.84. | Abbott Laboratories ( ABT ) yields 1.67% annually and has a market cap of $52.12 billion. The gold and resource miner will pay a quarterly dividend of $0.3125 on November 1, and the quarterly yield of the dividend will be 0.93% based on yesterday's closing price of $33.51. The company has paid a quarterly dividend since 1983, and each dividend payment has either increased or remained the same from the prior quarter. | Abbott Laboratories ( ABT ) yields 1.67% annually and has a market cap of $52.12 billion. The real estate investment trust , or REIT, will pay a monthly dividend of $0.05 on October 28, and its quarterly yield will be 1.18% based on yesterday's closing price of $4.23. These companies also have their ex-dividend date on October 10. |
34236.0 | 2013-09-25 00:00:00 UTC | After Hours Most Active for Sep 25, 2013 : MSFT, T, C, QQQ, HBAN, ABT, XOM, BAC, MET, DECK, ATVI, INTC | ABT | https://www.nasdaq.com/articles/after-hours-most-active-sep-25-2013-msft-t-c-qqq-hban-abt-xom-bac-met-deck-atvi-intc-2013 | nan | nan | The NASDAQ 100 After Hours Indicator is up .45 to 3,209. The total After hours volume is currently 29,227,843 shares traded.
The following are the most active stocks for the after hours session :
Microsoft Corporation ( MSFT ) is -0.015 at $32.49, with 2,078,500 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Mar 2014. The consensus EPS forecast is $0.7. MSFT's current last sale is 90.25% of the target price of $36.
AT&T Inc. ( T ) is +0.1 at $34.15, with 1,656,177 shares traded. Over the last four weeks they have had 5 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2013. The consensus EPS forecast is $0.5. T's current last sale is 89.87% of the target price of $38.
Citigroup Inc. ( C ) is +0.14 at $49.40, with 1,647,029 shares traded. As reported by Zacks, the current mean recommendation for C is in the "buy range".
PowerShares QQQ Trust, Series 1 ( QQQ ) is +0.04 at $78.60, with 1,521,704 shares traded. This represents a 28.2% increase from its 52 Week Low.
Huntington Bancshares Incorporated ( HBAN ) is unchanged at $8.35, with 1,500,129 shares traded. HBAN's current last sale is 98.24% of the target price of $8.5.
Abbott Laboratories ( ABT ) is +0.1 at $33.77, with 1,342,425 shares traded. ABT's current last sale is 84.43% of the target price of $40.
Exxon Mobil Corporation ( XOM ) is +0.0802 at $87.22, with 1,317,324 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2013. The consensus EPS forecast is $2. XOM's current last sale is 89.92% of the target price of $97.
Bank of America Corporation ( BAC ) is +0.01 at $14.15, with 833,194 shares traded. BAC's current last sale is 99.3% of the target price of $14.25.
MetLife, Inc. ( MET ) is +0.1061 at $47.96, with 781,144 shares traded. As reported by Zacks, the current mean recommendation for MET is in the "buy range".
Deckers Outdoor Corporation ( DECK ) is unchanged at $63.96, with 756,101 shares traded., following a 52-week high recorded in today's regular session.
Activision Blizzard, Inc ( ATVI ) is +0.015 at $16.97, with 730,516 shares traded. As reported by Zacks, the current mean recommendation for ATVI is in the "buy range".
Intel Corporation ( INTC ) is unchanged at $23.70, with 592,907 shares traded. As reported in the last short interest update the days to cover for INTC is 7.209683; this calculation is based on the average trading volume of the stock.
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. | Abbott Laboratories ( ABT ) is +0.1 at $33.77, with 1,342,425 shares traded. ABT's current last sale is 84.43% of the target price of $40. The following are the most active stocks for the after hours session : Microsoft Corporation ( MSFT ) is -0.015 at $32.49, with 2,078,500 shares traded. | Abbott Laboratories ( ABT ) is +0.1 at $33.77, with 1,342,425 shares traded. ABT's current last sale is 84.43% of the target price of $40. The total After hours volume is currently 29,227,843 shares traded. | Abbott Laboratories ( ABT ) is +0.1 at $33.77, with 1,342,425 shares traded. ABT's current last sale is 84.43% of the target price of $40. AT&T Inc. ( T ) is +0.1 at $34.15, with 1,656,177 shares traded. | Abbott Laboratories ( ABT ) is +0.1 at $33.77, with 1,342,425 shares traded. ABT's current last sale is 84.43% of the target price of $40. The following are the most active stocks for the after hours session : Microsoft Corporation ( MSFT ) is -0.015 at $32.49, with 2,078,500 shares traded. |
34237.0 | 2013-09-18 00:00:00 UTC | CE Mark for Abbott Product - Analyst Blog | ABT | https://www.nasdaq.com/articles/ce-mark-for-abbott-product-analyst-blog-2013-09-18 | nan | nan | Abbott Labs ( ABT ) recently announced that it has obtained the CE Marking (Conformite Europeenne) in Europe for its glucose monitoring system - FreeStyle Optium Neo Blood Glucose and Ketone Monitoring System.
The CE mark is a mandatory confirmation for products placed in the European markets.
In Jul 2013, Abbott Labs obtained the U.S. Food and Drug Administration (FDA) clearance for its FreeStyle Precision Pro Blood Glucose and β-Ketone Monitoring System.
We note that Abbott Labs continues to invest in the development of innovative technologies in its diabetes care business. The company is currently investing in the next-generation sensing technology which it expects to initially launch in the European markets in the second half of 2014.
Abbott Labs expects diabetes care sales growth to be relatively flat in the third quarter of 2013.
Although growth in the emerging markets is forecasted to be strong, Abbott Labs expects the implementation of Centers for Medicare and Medicaid Services (CMS) competitive bidding for Medicare patients to impact sales in the U.S. in the remainder of the year.
Sales from diabetes care business declined marginally in the second quarter of 2013. Share gains in the hospital and retail units in the U.S. were offset by market pricing and reimbursement pressures. International sales climbed 4% driven by the continued uptake of FreeStyle InsuLinx Meter along with growth in the emerging markets continues to positively impact sales in international markets.
We remind investors that Abbott Labs became a diversified medical products company focusing on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses following the separation of its research-based pharmaceuticals business into a new company, AbbVie Inc. ( ABBV ), in Jan 2013.
We believe the diversification bodes well for Abbott Labs and should enable the company to counter the challenging business environment as a result of austerity measures undertaken by developed markets in 2013 coupled with weak economic conditions elsewhere.
Abbott Labs, a large cap pharma company, currently carries a Zacks Rank #3 (Hold). Right now, large cap pharma stocks that look well-placed include Bayer ( BAYRY ) and Novo Nordisk ( NVO ). Both carry a Zacks Rank #2 (Buy).
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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. | Abbott Labs ( ABT ) recently announced that it has obtained the CE Marking (Conformite Europeenne) in Europe for its glucose monitoring system - FreeStyle Optium Neo Blood Glucose and Ketone Monitoring System. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. In Jul 2013, Abbott Labs obtained the U.S. Food and Drug Administration (FDA) clearance for its FreeStyle Precision Pro Blood Glucose and β-Ketone Monitoring System. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced that it has obtained the CE Marking (Conformite Europeenne) in Europe for its glucose monitoring system - FreeStyle Optium Neo Blood Glucose and Ketone Monitoring System. Abbott Labs expects diabetes care sales growth to be relatively flat in the third quarter of 2013. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced that it has obtained the CE Marking (Conformite Europeenne) in Europe for its glucose monitoring system - FreeStyle Optium Neo Blood Glucose and Ketone Monitoring System. Although growth in the emerging markets is forecasted to be strong, Abbott Labs expects the implementation of Centers for Medicare and Medicaid Services (CMS) competitive bidding for Medicare patients to impact sales in the U.S. in the remainder of the year. | Abbott Labs ( ABT ) recently announced that it has obtained the CE Marking (Conformite Europeenne) in Europe for its glucose monitoring system - FreeStyle Optium Neo Blood Glucose and Ketone Monitoring System. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Abbott Labs continues to invest in the development of innovative technologies in its diabetes care business. |
34238.0 | 2013-09-12 00:00:00 UTC | Abaxis Maintained at Neutral - Analyst Blog | ABT | https://www.nasdaq.com/articles/abaxis-maintained-at-neutral-analyst-blog-2013-09-12 | nan | nan | On Sep 11, we reaffirmed our long-term Neutral recommendation on Abaxis Inc. ( ABAX ) following a disappointing start to fiscal 2014. Currently, the stock carries a Zacks Rank #3 (Hold).
Why Still Neutral?
On Jul 25, Abaxis declared first-quarter fiscal 2014 results that widely missed the Zacks Consensus Estimates. EPS of 14 cents in the quarter was up 7.7% year over year but missed the Zacks Consensus Estimate by a significant 9 cents. Although revenue improved 3% to $43.2 million, it trailed the Zacks Consensus Estimate of $49 million.
Gross margin continued to remain under pressure due to business mix. Moreover, operating margin declined in the first quarter. Abaxis also witnessed pressure in the international market with lower sales. Despite encouraging growth in Asia-Pacific and rest of the world, the poor performance in Europe dragged overseas results.
Barring growth in the veterinary market, the overall quarterly performance was weak. Although the distribution relationship with MWI Veterinary Supply Inc. ( MWIV ) is yielding positive outcomes, the same with Abbott ( ABT ) in the medical market is yet to pay off.
On the positive side, Abaxis remains a strong player in its core veterinary market that continues to record healthy growth. Given the attractive market dynamics, we expect the current growth trend to continue in the future.
Furthermore, Abaxis operates in a niche market of portable medical and veterinary blood analysis systems and is slated for growth in both the divisions. The company will now launch its Piccolo system in the fast growing Chinese market.
Other Stocks to Consider
While we remain on the sidelines for Abaxis, we believe that Alere Inc. ( ALR ), carrying a Zacks Rank #1 (Strong Buy) is likely to do well. We are also positive about MWI Vet that carries a Zacks Rank #2 (Buy).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Although the distribution relationship with MWI Veterinary Supply Inc. ( MWIV ) is yielding positive outcomes, the same with Abbott ( ABT ) in the medical market is yet to pay off. ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. On the positive side, Abaxis remains a strong player in its core veterinary market that continues to record healthy growth. | ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. Although the distribution relationship with MWI Veterinary Supply Inc. ( MWIV ) is yielding positive outcomes, the same with Abbott ( ABT ) in the medical market is yet to pay off. Other Stocks to Consider While we remain on the sidelines for Abaxis, we believe that Alere Inc. ( ALR ), carrying a Zacks Rank #1 (Strong Buy) is likely to do well. | ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. Although the distribution relationship with MWI Veterinary Supply Inc. ( MWIV ) is yielding positive outcomes, the same with Abbott ( ABT ) in the medical market is yet to pay off. On the positive side, Abaxis remains a strong player in its core veterinary market that continues to record healthy growth. | Although the distribution relationship with MWI Veterinary Supply Inc. ( MWIV ) is yielding positive outcomes, the same with Abbott ( ABT ) in the medical market is yet to pay off. ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. On Jul 25, Abaxis declared first-quarter fiscal 2014 results that widely missed the Zacks Consensus Estimates. |
34239.0 | 2013-09-10 00:00:00 UTC | MedTech Industry Stock Update - Sept 2013 - Zacks Analyst Interviews | ABT | https://www.nasdaq.com/articles/medtech-industry-stock-update-sept-2013-zacks-analyst-interviews-2013-09-10 | nan | nan | As expected, the Patient Protection and Affordable Care Act (PPACA), particularly the medical device excise tax, has taken a heavy toll on the MedTech sector, hurting pricing decisions of the companies and subjecting them to tremendous margin pressure.
The small and the medium-sized players in the sector (comprising about 80% of the industry) are the worst hit by this public policy. The 2.3% excise tax (effective Jan 2013), which is imposed on the sale price instead of net profit, amounts to a material burden, wiping out almost a quarter's profit at many industry players.
On the other hand, the big players are trying every means to change their business models and cost structures to accommodate the excise tax. They are undertaking various restructuring initiatives to counter costs associated with the implementation of the new tax.
Restructuring, especially to offset the effect of tax, has already been adopted by key players such as St. Jude Medical, Inc. ( STJ ), Stryker Corporation ( SYK ), Zimmer Holdings ( ZMH ) and Quest Diagnostics ( DGX ). The companies are also trying to focus on strategic mergers and acquisitions (M&A), emerging market expansion or are reducing operations in order to weather the tax burden.
M&A Activities
As mentioned above, MedTech M&A has continued unabated so far in 2013. Wary of an uncertain economy, MedTech giants have resorted to the acquisition route to harness their strength and diversify offerings.
The most noteworthy move is observed in MedTech giant Medtronic Inc.'s ( MDT ) strategic shift from being a device manufacturer to a provider of broader healthcare services and solutions with meaningful clinical and economic value for hospitals, physicians, patients and payers. As an opening move, on Aug 12, 2013, the company acquired privately held Cardiocom, a provider of integrated telehealth and patient services for chronic disease management for a total consideration of $200 million.
Also worth mentioning is the mega $13.6 billion takeover agreement by Thermo Fisher Scientific ( TMO ) to acquire its major peer Life Technologies Corporation ( LIFE ). This is the biggest ever deal for Thermo Fisher which will inevitably strengthen the company's global foothold and commercial reach. With the recent overwhelming approval of LIFE's stockholders in favor of the deal, the acquisition is expected to close in early 2014.
Medical device M&As are not stopping here. In an effort to expand its atrial fibrillation portfolio in the $900 million global cardiac ablation catheter market, in August, St. Jude Medical acquired Geneva, Switzerland-based Endosense SA for $170 million. St. Jude plans to pay an additional $161 million in cash on the achievement of a regulatory milestone.
About the same time, Abbott Labs ( ABT ) completed two significant purchases. These include privately-held IDEV Technologies for $310 million and OptiMedica Corporation for $250 million, both in cash. While the former would strengthen Abbott Lab's vascular business the latter would boost its cataract surgery business which accounted for 60% of total vision care business sales.
We also make a note of MedTech giant Johnson & Johnson's ( JNJ ) $1 billion acquisition of privately-held, pharmaceutical discovery and development company, Aragon Pharmaceuticals, Inc.
In August, C. R. Bard, Inc. ( BCR ) entered into a $200 million definitive acquisition deal to purchase a leading developer and supplier of plant based hemostatic agents, Medafor, Inc. The acquisition will help Bard gain access to a proprietary technology platform and expand its global footprint. It will boost the company's surgical specialties portfolio (particularly surgical hemostats) in its Davol subsidiary.
In June, to strengthen its contraceptive portfolio, drug and pesticide maker Bayer ( BAYRY ) acquired contraceptive device maker Conceptus Inc. ( CPTS ) for approximately $1.1 billion in cash. This acquisition has added the Essure permanent (non-surgical) birth control system to Bayer's product portfolio.
Apart from the above mentioned takeovers and/or acquisitions, at the end of last year, Baxter International ( BAX ) entered into a $4 billion deal to acquire Gambro AB, a Sweden-based privately-owned renal products company. The deal, which is expected to close shortly, will strengthen the company's role in the hemodialysis market.
Also, Quest Diagnostics' acquisition of the lab-related clinical outreach service operations of California-based Dignity Health in Jun 2013 is in sync with its goal to create the planned "lab of the future." This acquisition is the third laboratory business acquired by the company in 2013.
In May, the company acquired the toxicology and clinical laboratory business from Concentra, a subsidiary of Humana, Inc. ( HUM ). Earlier, in January, the company had acquired the clinical and anatomic-pathology outreach laboratory businesses of Massachusetts-based UMass Memorial Medical Center. According to the company, this will help boost its long-term growth opportunities in the faster-growing esoteric markets.
In Mar 2013, Becton, Dickinson and Company ( BDX ) acquired Austria-based Cato Software Solutions, the manufacturer of a suite of comprehensive medication safety solutions for pharmacy intravenous medication preparation, physician therapy planning and nurse bedside documentation. In the same month, the leading vendor of cloud-based services for physician practices Athenahealth ( ATHN ) took over Epocrates, a pioneer of mobile health workflows and POC health apps.
Low global penetration and demand outstripping supply provide a positive long-term thesis for investing in the blood processing and supply chain management industry. With the acquisition of the transfusion medicine business of Pall Corporation ( PLL ), Haemonetics ( HAE ) entered the $1.2 billion whole blood collection market. Moreover, in May 2013, Haemonetics acquired Hemerus Medical that develops technologies for the collection of whole blood, and processing and storage of blood components.
The year 2012 had also witnessed significant M&A deals including the acquisition of Switzerland-based Synthes Inc. by Johnson & Johnson for a whopping $19.7 billion and Gen-Probe Inc. by Hologic ( HOLX ) for $3.8 billion. Moreover, Agilent Technologies ( A ) entered the Diagnostics and Genomics space through the $2.2 billion acquisition of cancer diagnostic company Dako.
In the light of the discussion above, the second half of 2013 is going to be dense with M&A deals in the MedTech space. We also expect a significant pickup in in-licensing activities and collaborations for the development of pipeline candidates. Several MedTech majors struggling in their core businesses are looking to explore potential emerging therapies through collaborations and alliances.
Divestments
Another trend that we have been observing of late is the divestment of non-core business segments. For example, to streamline its business, in July CR Bard agreed to divest certain assets of its Electrophysiology (EP) division to Boston Scientific. Management believes that the divestment will help the company to focus on other high-growth businesses, which in turn should boost its top line.
In Jun 2013, to focus on its high-margin Medical Devices and Medical Supplies businesses, healthcare products maker Covidien ( COV ) divested its pharmaceuticals business Mallinckrodt plc ( MNK ).
Quest Diagnostics has also been focusing on areas with high potential such as gene-based esoteric testing for cancer, cardiovascular disease, infectious disease and neurological disorders. As a part of this strategy, in Apr 2013, the company completed the divestiture of the HemoCue diagnostics products business.
Earlier, in Dec 2012, the company divested its OralDNA Labs salivary-diagnostics business in order to redirect its resources to core diagnostic information services. Johnson & Johnson is also currently looking for opportunities to sell or spin off its Ortho Clinical Diagnostics business.
In early January, Abbott Laboratories separated its research-based pharmaceuticals business by creating a new company, AbbVie ( ABBV ), to allow the two separate entities to focus on their core areas of expertise. In November last year, Becton, Dickinson and Company divested its Discovery Labware sub-segment (excluding Advanced Bioprocessing capability) to Corning ( GLW ).
Emerging Markets
Although the U.S. still holds the leading position with almost one-third of theglobal marketshare, a gradual slowing down of the established markets due to several prevailing headwinds are forcing MedTech companies to move beyond their comfort zone. Accordingly, emerging economies like Brazil, Russia, India and China -- collectively known as the BRICs -- as well as Turkey, Mexico, Malaysia, South Africa, South Korea and the Czech Republic are fast coming up in the medical devices space.
These emerging economies are seeing an increasing uptake of medical devices due largely to growing medical awareness and economic prosperity. An aging population, increasing wealth, government focus on healthcare infrastructure and expansion of medical insurance coverage make these markets a happy hunting ground for global medical device players. Expansion in emerging markets, especially those with double-digit annual growth rates, represents one of the best potential avenues for growth in 2013 and beyond.
The focus on emerging markets is all the more significant given the saturation and uncertain growth in the developed markets of the U.S., Europe and Japan. Companies like Medtronic, Boston Scientific, Edwards Lifescience ( EW ), Thermo Fisher Scientific, Life Technologies, Smith and Nephew ( SNN ) and many more are all vying to expand their presence in BRIC and other emerging markets. These companies are also looking to establish their manufacturing facilities abroad.
According to a McKinsey & Co. report (Sep 2012), healthcare spending in China has more than doubled from $156 billion in 2006 to $357 billion in 2011. It is expected to grow to $1 trillion by 2020. China is also setting up proper health insurance coverage that should boost the healthcare sector. It is expected that within the next decade, China will be the biggest healthcare market in the world, even outpacing the U.S.
Among the BRIC members, Brazil is currently the largest healthcare market in Latin America, covering almost one-fourth of the population. Though India has one of the largest and fastest growing healthcare markets in the world, it is considered to have the least developed healthcare infrastructure and spends relatively little in this area. In order to reverse the trend, during the 12th Plan (2012-2017), the Indian government planned to spend 2.5% of its GDP (up from 1.2% earlier) on healthcare and raise it to at least 3% by 2022.
Given the possibilities rife in the emerging markets, in the last few months Life Technologies has undertaken several bolstering initiatives. In Aug 2013 the company opened an advanced DNA forensics laboratory in Gurgaon, India.
In June, the company acquired a South Korea-based distributor, Life Science Korea, which is in line with its 'go direct' strategy in this country. In April, as a part of this strategy, Life Technologies acquired KDR Biotech Co., a reagents distributor based in Seoul, Korea. In China, on the other hand, the company came up with a licensing agreement with Suzhou Ribo Life Sciences Co. Ltd. in Jun 2013.
Thermo Fisher is also expanding its presence in emerging markets. It expects to garner 25% of total revenues from the high-growth Asia-Pacific region and emerging markets by 2016, up from 19% in 2011 and 10% in 2006. According to the company, China with its rapid industrialization, increasing focus on healthcare, new BioPharma R&D centers and government sponsored research has robust growth potential.
On the other hand, key growth drivers in India include outsourcing of clinical packaging and logistics by Pharma and Biotech companies, growing Biotech and food & beverage industries, and introduction of environmental regulations to address air quality issues in the wake of rapid industrialization.
Medtronic continues to record 20% growth in emerging markets, accounting for half of its overall growth. The adoption of its implantable cardioverter-defibrillators (ICDs) and pacers in emerging markets continues to improve. Moreover, commercialization of new products should accelerate sales growth in emerging markets.
After acquiring China Kanghui Holdings, which added strength to its orthopedic franchise in that country, Medtronic is keeping an eye on other accretive buyouts in the region. According to the company, the premium segments in China and India alone include a population of more than 380 million, leading to $5 billion of annual sales opportunity for Medtronic.
Boston Scientific is aiming to increase its below-average market share in the $700 million combined drug-eluting stent market in China and India, which is growing sharply at 20%. The company plans to invest $150 million in China over the next five years to build a local manufacturing operation.
Smith & Nephew on its part entered into two definitive agreements to expand in the BRIC countries. In Apr 2013, it contracted to purchase its Brazilian distributor, Pró Cirurgia Especializada (PCE).
PCE has been associated with the company for the last 30 years and has distributed its sports medicine, orthopedic reconstruction and trauma offerings in Brazil. In May 2013, the company announced another agreement to take over Adler Mediequip Private Limited and with it, the brands and assets of Sushrut Surgicals Private Limited, a leader in mid-tier, orthopedic trauma products for the Indian market.
Johnson & Johnson has already set up manufacturing and R&D centers in Brazil, China and India. The Guangzhou Bioseal Biotech deal marked the company's first MedTech acquisition in China. The company is expected to expand further in China on the back of the Synthes acquisition.
Other Issues at Work
Apart from the medical device excise tax, the MedTech industry is currently plagued by several issues, including pricing concerns, hospital admission and procedural volume pressure, Medicare reimbursement issues and regulatory overhang. While the debt crisis in Europe remains unresolved, economies throughout the world are trying to come to terms with myriad challenges. Consequently, procedural volumes in the U.S. have been hit by a high unemployment rate, which has resulted in the expiry of health insurance as well as a decline in enrollment in private health plans.
Governments across several European countries have taken up measures to curb spending on devices, which is taking a toll on utilization. Volume headwind is likely to linger as unemployment continues to influence procedure deferrals.
Last but not least, the highly regulated U.S. medical device industry is constrained by stringent and complex procedures, leading to approval delays. This sometimes demotivates companies, deterring them from investing in product development. According to a report based on a survey of over 200 medical technology companies (FDA Impact on U.S. Medical Technology Innovation), the U.S. FDA takes a significantly longer time to review compared to its European counterpart.
Zacks Industry Rank
Within the Zacks Industry classification, MedTech is broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: med instruments, med products, med/dental-supp and medical info systems.
We rank all the 260-plus industries in the 16 Zacks sectors based on the earnings outlook and fundamental strength of the constituent companies in each industry. To learn more visit: About Zacks Industry Rank.
As a guideline, the outlook for industries with Zacks Industry Rank of #88 and lower is 'Positive,' between #89 and #176 is 'Neutral' and #177 and higher is 'Negative.'
The Zacks Industry Rank for med instruments is #189, med products is #104, med/dental-supp is #118, while the medical info systems is #162. Analyzing the Zacks Industry Rank for different MedTech segments, it is obvious that while the outlook for med instruments stocks is negative, that for med products, med/dental-supp and medical info systems is neutral.
Earnings Trend of the Sector
So far, 100% of the Medical sector participants have reported second-quarter results, which have been fairly good with respect to beat ratios (percentage of companies coming out with positive surprises). However, the results were not impressive in terms of year-over-year growth.
The earnings "beat ratio" was 70.0%, while the revenue "beat ratio" was 48.0% in the second quarter. Total earnings for the companies in this sector declined 1.1% year over year despite marginal revenue growth of 2.4%. In fact, earnings and revenues showed a sharp decline from the first quarter 2013 growth of 4.5% and 8.1% respectively.
The earnings is expected to decline by 4.3% in the third quarter 2013 although it will increase by 1.1% in the subsequent quarter. However, the sector is expected to register a nominal growth of 0.5% for the full-year 2013. In terms of revenue expectation, the sector is expected to register 4.1% and 2.4% year-over-year growth in the third and fourth quarters of the year respectively, resulting in an annual growth rate of 2.8%.
Earnings Numbers
Medical device majors like Boston Scientific and St. Jude Medical are confronted with challenging economic conditions, a competitive environment, pressure on core segments and a larger-than-expected currency headwind. Although they managed to stay ahead of the Zacks Consensus Estimate for earnings and revenues in the second quarter, challenges continue to remain in the core stent and defibrillators businesses.
On the other hand, Medtronic barley managed to stay in line with the Zacks Consensus Estimate for earnings. While we are to some extent relieved with the signs of stability in Medtronic's core CRDM and pacing segments, challenges still remain in the Spine business, which is expected to remain sluggish, thereby affecting the company's overall performance.
Other adverse earnings reports from major industry players include the second quarter earnings miss of Intuitive Surgical ( ISRG ) due to a stiff capital spending environment and sluggish benign gynecologic procedures in the U.S. We witnessed a negative earnings surprise from Quest Diagnostics. We believe that the overall soft industry trends leading to a challenging volume environment for testing laboratories and utilization weaknesses are looming headwinds for Quest.
On the positive, earnings beat from big names like Johnson & Johnson, Laboratory Corporation of America Holdings ( LH ), Zimmer Holdings, Thermo Fisher, Life Technologies, Edwards Lifescience and Abbott Labs kept the hope alive.
OPPORTUNITIES
In spite of several core market challenges, the big two medical device players -- Medtronic and Boston Scientific -- are striving to gain share in the ICD market through several new product launches. They are also exploring new avenues of growth beyond the mature pacemaker and ICD markets. With gradual stability in the ICD market, they should be able to revive their top line. Also, better pipeline visibility and appropriate utilization of cash should increase confidence in the medical device sector.
Microarray product maker Affymetrix Inc. ( AFFX ) was languishing with its flagship GeneChip Expression products until management found a strategy to expand into high-growth markets for translational medicine, molecular diagnostics and applied markets. Consequently the shares of Affymetrix hit a 52-week high accompanied by a bullish Zacks Rank #1 (Strong Buy).
Zacks Rank #2 (Buy) stocks in the MedTech sector include The Cooper Companies Inc. ( COO ) and Boston Scientific among others. Cooper represents a value proposition based on factors such as margin expansion, acquisitions, product line expansion and geographical reach as well as share buybacks. On the other hand, we are positive about multiple initiatives taken by Boston Scientific to expand electrophysiology (EP) division.
Zacks Ranked #3 St. Jude is also doing well with its growing Atrial Fibrillation products portfolio that witnessed a major boost with the acquisition of Endosense and regulatory approval for its Mediguide catheters.
Beyond the MedTech majors, we are also optimistic about the Zacks Ranked #3 orthopedic device players, Zimmer Holdings and Stryker Corporation. The percentage of population over 65 in the U.S., Europe, Japan and other regions is expected to nearly double by the year 2030. In the U.S., the oldest baby boomers are now approaching retirement age. We believe the orthopedic giants stand to benefit from this aging demography.
Among scientific instrument makers, Thermo Fisher Scientific has been successfully expanding operating margins over the past few quarters on the back of operational efficiency. Thermo Fisher's market leading portfolio of analytical technologies and specialty diagnostic will be complemented by the upcoming buyout of Life Technologies. The latter has an expansive line of consumables for genomic, molecular and cell biology.
Among mid-cap MedTech stocks, Align Technology ( ALGN ) and AmSurg Corp. ( AMSG ) carrying a Zacks Rank #2 (Buy) look attractive.
CHALLENGES AND WEAKNESSES
Coming to the weakest link in the MedTech sector, we advise investors against names that offer little growth/opportunity over the near term. These include companies for which estimate revision trends for 2013 and 2014 reflect a bearish sentiment.
After posting dismal second quarter results and lowering its fiscal guidance, Intuitive Surgical ( ISRG ) currently retains a Zacks Rank #4 (Sell). Other Zacks Rank #4 (Sell) stocks which do not look inspiring are Allscripts Healthcare Solutions, Inc. ( MDRX ), Symmetry Medical, Inc. ( SMA ) and Merge Healthcare Inc. ( MRGE ).
Pricing compression on hips, knees and spine products, which impaired the performances of several orthopedic companies, remains a key concern, at the macro level. We remain skeptical about companies including Wright Medical Group ( WMGI ), which currently carries a Zacks Rank #4 (Sell).
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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. | About the same time, Abbott Labs ( ABT ) completed two significant purchases. ABBOTT LABS (ABT): Free Stock Analysis Report ATHENAHEALTH IN (ATHN): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BARD C R INC (BCR): Free Stock Analysis Report BECTON DICKINSO (BDX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report QUEST DIAGNOSTC (DGX): Free Stock Analysis Report HAEMONETICS CP (HAE): Free Stock Analysis Report HOLOGIC INC (HOLX): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LIFE TECHNOLOGS (LIFE): Free Stock Analysis Report MEDTRONIC (MDT): Free Stock Analysis Report MALLINCKRODT PL (MNK): Free Stock Analysis Report PALL CORP (PLL): Free Stock Analysis Report ST JUDE MEDICAL (STJ): Free Stock Analysis Report STRYKER CORP (SYK): Free Stock Analysis Report THERMO FISHER (TMO): Free Stock Analysis Report ZIMMER HOLDINGS (ZMH): Free Stock Analysis Report To read this article on Zacks.com click here. As expected, the Patient Protection and Affordable Care Act (PPACA), particularly the medical device excise tax, has taken a heavy toll on the MedTech sector, hurting pricing decisions of the companies and subjecting them to tremendous margin pressure. | ABBOTT LABS (ABT): Free Stock Analysis Report ATHENAHEALTH IN (ATHN): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BARD C R INC (BCR): Free Stock Analysis Report BECTON DICKINSO (BDX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report QUEST DIAGNOSTC (DGX): Free Stock Analysis Report HAEMONETICS CP (HAE): Free Stock Analysis Report HOLOGIC INC (HOLX): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LIFE TECHNOLOGS (LIFE): Free Stock Analysis Report MEDTRONIC (MDT): Free Stock Analysis Report MALLINCKRODT PL (MNK): Free Stock Analysis Report PALL CORP (PLL): Free Stock Analysis Report ST JUDE MEDICAL (STJ): Free Stock Analysis Report STRYKER CORP (SYK): Free Stock Analysis Report THERMO FISHER (TMO): Free Stock Analysis Report ZIMMER HOLDINGS (ZMH): Free Stock Analysis Report To read this article on Zacks.com click here. About the same time, Abbott Labs ( ABT ) completed two significant purchases. In Jun 2013, to focus on its high-margin Medical Devices and Medical Supplies businesses, healthcare products maker Covidien ( COV ) divested its pharmaceuticals business Mallinckrodt plc ( MNK ). | ABBOTT LABS (ABT): Free Stock Analysis Report ATHENAHEALTH IN (ATHN): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BARD C R INC (BCR): Free Stock Analysis Report BECTON DICKINSO (BDX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report QUEST DIAGNOSTC (DGX): Free Stock Analysis Report HAEMONETICS CP (HAE): Free Stock Analysis Report HOLOGIC INC (HOLX): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LIFE TECHNOLOGS (LIFE): Free Stock Analysis Report MEDTRONIC (MDT): Free Stock Analysis Report MALLINCKRODT PL (MNK): Free Stock Analysis Report PALL CORP (PLL): Free Stock Analysis Report ST JUDE MEDICAL (STJ): Free Stock Analysis Report STRYKER CORP (SYK): Free Stock Analysis Report THERMO FISHER (TMO): Free Stock Analysis Report ZIMMER HOLDINGS (ZMH): Free Stock Analysis Report To read this article on Zacks.com click here. About the same time, Abbott Labs ( ABT ) completed two significant purchases. Companies like Medtronic, Boston Scientific, Edwards Lifescience ( EW ), Thermo Fisher Scientific, Life Technologies, Smith and Nephew ( SNN ) and many more are all vying to expand their presence in BRIC and other emerging markets. | About the same time, Abbott Labs ( ABT ) completed two significant purchases. ABBOTT LABS (ABT): Free Stock Analysis Report ATHENAHEALTH IN (ATHN): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report BAYER A G -ADR (BAYRY): Free Stock Analysis Report BARD C R INC (BCR): Free Stock Analysis Report BECTON DICKINSO (BDX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report QUEST DIAGNOSTC (DGX): Free Stock Analysis Report HAEMONETICS CP (HAE): Free Stock Analysis Report HOLOGIC INC (HOLX): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LIFE TECHNOLOGS (LIFE): Free Stock Analysis Report MEDTRONIC (MDT): Free Stock Analysis Report MALLINCKRODT PL (MNK): Free Stock Analysis Report PALL CORP (PLL): Free Stock Analysis Report ST JUDE MEDICAL (STJ): Free Stock Analysis Report STRYKER CORP (SYK): Free Stock Analysis Report THERMO FISHER (TMO): Free Stock Analysis Report ZIMMER HOLDINGS (ZMH): Free Stock Analysis Report To read this article on Zacks.com click here. This acquisition is the third laboratory business acquired by the company in 2013. |
34240.0 | 2013-09-05 00:00:00 UTC | Good News for Abbott Labs - Analyst Blog | ABT | https://www.nasdaq.com/articles/good-news-for-abbott-labs-analyst-blog-2013-09-05 | nan | nan | Abbott Labs ( ABT ) recently announced encouraging initial results from a study on its ARCHITECTSTAT High Sensitive Troponin-I (hsTnI) test.
The study is being conducted by researchers at the University of Edinburgh. The initial results from the study showed that the test can help the doctors improve the diagnosis and prognosis of patients with symptoms of heart attack.
Abbott further stated in its press release that the test could be particularly helpful for women who might have different symptoms and often are under-diagnosed. The test received CE Mark in Jan 2013. However, the test is not yet approved in the U.S., and is being used only for research purposes.
We note that Abbott Labs continues to invest in the development of next-generation instruments and other advanced technologies in its diagnostics business. In Jun 2013, Abbott Labs launched its hepatitis C virus genotyping test following approval by the U.S. Food and Drug Administration.
Abbott Labs' diagnostics business generated sales of $1.1 billion in the second quarter of 2013, up 5.3% year over year. The business is expected to post high single-digit growth in the third quarter of 2013 (excluding currency impact) driven by solid growth across all categories.
Abbott Labs is currently investing in six new system platforms across its three diagnostic businesses. We are encouraged by Abbott Labs traction in its diagnostics business and expect further momentum from new tests.
We remind investors that Abbott Labs became a diversified medical products company focusing on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses following the separation of its research-based pharmaceuticals business into a new company, AbbVie Inc . ( ABBV ), in Jan 2013.
We believe the diversification bodes well for Abbott Labs and should enable the company to counter the challenging business environment as a result of austerity measures undertaken by developed markets in 2013 coupled with weak economic conditions elsewhere.
Abbott Labs currently carries a Zacks Rank #3 (Hold). Right now, Alere Inc . ( ALR ) and Exactech, Inc. ( EXAC ) look well placed in the medical sector. While Alere carries a Zacks Rank #1 (Strong Buy), Exactech carries a Zacks Rank #2 (Buy).
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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. | Abbott Labs ( ABT ) recently announced encouraging initial results from a study on its ARCHITECTSTAT High Sensitive Troponin-I (hsTnI) test. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report To read this article on Zacks.com click here. The initial results from the study showed that the test can help the doctors improve the diagnosis and prognosis of patients with symptoms of heart attack. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced encouraging initial results from a study on its ARCHITECTSTAT High Sensitive Troponin-I (hsTnI) test. While Alere carries a Zacks Rank #1 (Strong Buy), Exactech carries a Zacks Rank #2 (Buy). | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced encouraging initial results from a study on its ARCHITECTSTAT High Sensitive Troponin-I (hsTnI) test. We are encouraged by Abbott Labs traction in its diagnostics business and expect further momentum from new tests. | Abbott Labs ( ABT ) recently announced encouraging initial results from a study on its ARCHITECTSTAT High Sensitive Troponin-I (hsTnI) test. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report To read this article on Zacks.com click here. However, the test is not yet approved in the U.S., and is being used only for research purposes. |
34241.0 | 2013-09-03 00:00:00 UTC | After Hours Most Active for Sep 3, 2013 : NOK, VOD, TSN, QQQ, MSFT, ABT, GE, CSCO, TLAB, BAC, VALE, AMAT | ABT | https://www.nasdaq.com/articles/after-hours-most-active-sep-3-2013-nok-vod-tsn-qqq-msft-abt-ge-csco-tlab-bac-vale-amat | nan | nan | The NASDAQ 100 After Hours Indicator is down -.45 to 3,091.31. The total After hours volume is currently 23,243,486 shares traded.
The following are the most active stocks for the after hours session :
Nokia Corporation ( NOK ) is +0.01 at $5.13, with 5,445,862 shares traded., following a 52-week high recorded in today's regular session.
Vodafone Group Plc ( VOD ) is +0.05 at $32.06, with 3,006,902 shares traded. RTT News Reports: Fitch Ratings Downgrades Verizon's IDR To 'A-' From 'A'; Outlook Stable
Tyson Foods, Inc. ( TSN ) is +0.05 at $28.89, with 1,444,367 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Sep 2013. The consensus EPS forecast is $0.71. As reported by Zacks, the current mean recommendation for TSN is in the "buy range".
PowerShares QQQ Trust, Series 1 ( QQQ ) is +0.0091 at $75.91, with 1,282,750 shares traded. This represents a 23.81% increase from its 52 Week Low.
Microsoft Corporation ( MSFT ) is unchanged at $31.88, with 1,048,330 shares traded. MSFT's current last sale is 87.34% of the target price of $36.5.
Abbott Laboratories ( ABT ) is -0.0901 at $32.84, with 908,236 shares traded. ABT's current last sale is 82.1% of the target price of $40.
General Electric Company ( GE ) is unchanged at $23.06, with 756,239 shares traded. As reported by Zacks, the current mean recommendation for GE is in the "buy range".
Cisco Systems, Inc. ( CSCO ) is unchanged at $23.48, with 639,017 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Oct 2013. The consensus EPS forecast is $0.47. As reported by Zacks, the current mean recommendation for CSCO is in the "buy range".
Tellabs, Inc. ( TLAB ) is unchanged at $2.25, with 624,917 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2014. The consensus EPS forecast is $0.01. TLAB's current last sale is 100% of the target price of $2.25.
Bank of America Corporation ( BAC ) is +0.01 at $14.26, with 595,428 shares traded. BAC's current last sale is 100.07% of the target price of $14.25.
VALE S.A. ( VALE ) is +0.02 at $15.26, with 511,288 shares traded. VALE's current last sale is 72.67% of the target price of $21.
Applied Materials, Inc. ( AMAT ) is unchanged at $15.11, with 499,287 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Apr 2014. The consensus EPS forecast is $0.29. AMAT's current last sale is 91.58% of the target price of $16.5.
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. | Abbott Laboratories ( ABT ) is -0.0901 at $32.84, with 908,236 shares traded. ABT's current last sale is 82.1% of the target price of $40. RTT News Reports: Fitch Ratings Downgrades Verizon's IDR To 'A-' From 'A'; Outlook Stable Tyson Foods, Inc. ( TSN ) is +0.05 at $28.89, with 1,444,367 shares traded. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Abbott Laboratories ( ABT ) is -0.0901 at $32.84, with 908,236 shares traded. ABT's current last sale is 82.1% of the target price of $40. | Abbott Laboratories ( ABT ) is -0.0901 at $32.84, with 908,236 shares traded. ABT's current last sale is 82.1% of the target price of $40. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Oct 2013. | ABT's current last sale is 82.1% of the target price of $40. Abbott Laboratories ( ABT ) is -0.0901 at $32.84, with 908,236 shares traded. The NASDAQ 100 After Hours Indicator is down -.45 to 3,091.31. |
34242.0 | 2013-08-22 00:00:00 UTC | Epizyme Wins Orphan Drug Status - Analyst Blog | ABT | https://www.nasdaq.com/articles/epizyme-wins-orphan-drug-status-analyst-blog-2013-08-22 | nan | nan | Recently, Epizyme, Inc. ( EPZM ) announced that the U.S. Food and Drug Administration (FDA) has granted orphan drug status to the company's pipeline candidate EPZ-5676. Epizyme is developing the candidate for treating a rare form of acute leukemia characterized by a re-arranged MML gene (mixed lineage leukemia). The re-arrangement is caused by chromosomal translocation. Epizyme is currently in phase I studies.
We note that the FDA grants orphan drug designation to those drugs that are meant for treating rare diseases affecting not more than 200,000 people in the U.S. The orphan drug designation granted to EPZ-5676 will facilitate its development by providing incentives such as tax credits and research and development grant funding.
We note that Epizyme has the entire rights pertaining to EPZ-5676 in the U.S. The company granted Celgene Corporation ( CELG ) an exclusive license to develop and commercialize the candidate in ex-U.S. markets. Moreover, in Apr 2013, Epizyme joined forces with Abbott Laboratories ( ABT ) for the development of a molecular companion diagnostic test for use with EPZ-5676.
Under this deal, Abbott Labs will use its fluorescence in situ hybridization technology to develop the test. It will help in identifying patients eligible for treatment with EPZ-5676. Financial details of the deal were not provided.
Epizyme was also in the news recently when it raised $88.7 million (gross) through an initial public offering. The funds will help Epizyme in developing its pipeline further.
Epizyme, a biopharmaceutical company, carries a Zacks Rank #3 (Hold). Gilead Sciences, Inc. ( GILD ) looks well-positioned in the biopharma space with a Zacks Rank #1 (Strong Buy).
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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. | Moreover, in Apr 2013, Epizyme joined forces with Abbott Laboratories ( ABT ) for the development of a molecular companion diagnostic test for use with EPZ-5676. ABBOTT LABS (ABT): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report EPIZYME INC (EPZM): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. The company granted Celgene Corporation ( CELG ) an exclusive license to develop and commercialize the candidate in ex-U.S. markets. | ABBOTT LABS (ABT): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report EPIZYME INC (EPZM): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, in Apr 2013, Epizyme joined forces with Abbott Laboratories ( ABT ) for the development of a molecular companion diagnostic test for use with EPZ-5676. Recently, Epizyme, Inc. ( EPZM ) announced that the U.S. Food and Drug Administration (FDA) has granted orphan drug status to the company's pipeline candidate EPZ-5676. | ABBOTT LABS (ABT): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report EPIZYME INC (EPZM): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, in Apr 2013, Epizyme joined forces with Abbott Laboratories ( ABT ) for the development of a molecular companion diagnostic test for use with EPZ-5676. Recently, Epizyme, Inc. ( EPZM ) announced that the U.S. Food and Drug Administration (FDA) has granted orphan drug status to the company's pipeline candidate EPZ-5676. | Moreover, in Apr 2013, Epizyme joined forces with Abbott Laboratories ( ABT ) for the development of a molecular companion diagnostic test for use with EPZ-5676. ABBOTT LABS (ABT): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report EPIZYME INC (EPZM): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report To read this article on Zacks.com click here. Recently, Epizyme, Inc. ( EPZM ) announced that the U.S. Food and Drug Administration (FDA) has granted orphan drug status to the company's pipeline candidate EPZ-5676. |
34243.0 | 2013-08-21 00:00:00 UTC | Profit From The Market's Misunderstanding Of This Spinoff Company | ABT | https://www.nasdaq.com/articles/profit-markets-misunderstanding-spinoff-company-2013-08-21 | nan | nan | There's no such thing as afree lunch , but spinoff companies are as close to free as you can get.
When a company is spun off, there's a high level of forced selling. One of the best ways to think about spinoffs: "There's a natural constituency of sellers and not a natural constituency of buyers," according to "Margin of Safety " author andhedge fund manager Seth Klarman.
Simply, many shareholders who ownshares of theparent company are not interested in owning the spinoff. This can be for a variety of reasons, such as different business fundamentals, weak management, or negativecash flow . In most cases, investors are selling the company for no good reason. While on the other side, the buyers are limited, as themarket is inefficient in digesting data on new spinoff companies.
Spinoffs Versus The Market
Yet, over the longterm , spinoffinvesting tends to outperform the broader market.
This is not new information. A 1993 study titled "Restructuring Through Spinoffs" found that spinoff companies outperformed the S&P 500index by 30% on average during their first three years. A similar study by Lehman Brothers concluded that between 2000 and 2005, spinoff companies outperformed the market by a whopping 45% during their first two years. JPMorgan Chase ( JPM ) came to similar conclusions, finding that spinoffs outpaced the market by 20% during their firstyear and a half between 1985 and 1995.
So far this year, spinoff companies have maintained that standard. The Guggenheim Spin-Off ( CSD ) exchange-tradedfund is up 30% this year, compared with the S&P 500's 16.5%.
Earlier this year, Abbott Laboratories ( ABT ) completed a split after realizing the company had grown into two distinct units. AbbVie ( ABBV ) now trades as the former pharma business of Abbott Labs, while Abbott continues as a health care products and medical devices company.
The idea of breaking up the health care and pharma businesses was to make the companies easier to value. However, it appears the market has gotten this one wrong. Spinoffs are great ways to fix mistakes. As a result, spinoffs generally have weak management, lower margins, lower returns onequity , or negativeearnings . This is not the case with AbbVie. Thestock had a nice run out of the gate, but interest and tradingvolume have since cooled off.
But investors should give AbbVie another look. Sometimes the market fundamentally misunderstands spinoffs. In this case, the market is treating AbbVie like a typical problematic spinoff -- but in reality, AbbVie appears more fundamentally sound than Abbott itself.
Breaking Down The Numbers
AbbVie is trading with a price-to-earnings (P/E ) ratio of 13, which is well below Abbott's 60. AbbVie has an impressive 33%operating margin for the past 12 months, compared with Abbott's 20%. Abbvie is also churning out areturn on capital employed (ROCE, equal tooperating income divided bycapital employed) of 43.5%, compared with Abbott's 21.6%.
While the companies' business models are debatable, there's no denying the strength of AbbVie'scash position anddividend yield . AbbVie has $5.50 in cash per share, which covers 12% of the share price, and the company generated $4 per share in cash flow from operations over the trailing 12 months.
AbbVie has a solid 3.6% dividend yield, which is in line with (and in most cases above) other major pharma companies and dwarfs the 1.6%yield of Abbott, its former parent. Yet unlike some of its peers, AbbVie'sdividend payout (as a percentage of earnings) is below 50%. AbbVie's board has also authorized a $1.5 billion share buyback program, representing just over 2% ofshares outstanding .
What About The Business?
AbbVie's key drug is Humira, an anti-inflammatory product used primarily for rheumatoid arthritis. In 2012, Humira accounted for around half of AbbVie's $18.4 billion pro formarevenues . Last year, the drug accounted for about 50% of the market for rheumatoid arthritis drugs, which is expected grow to more than $25 billion in 2017, up nearly 40% from 2012.
One concern is the fact that Humirawill losepatent protection in 2016 in the United States and in 2018 in Europe. However, AbbVie's total research and development (R&D) pipeline has more than 20compounds in Phase II or Phase III development, including five key products planned for launch before 2016.
Humira is also approved for a number of other uses, which includes HIV, Crohn's disease, psoriatic arthritis and several other ailments. These uses and the drugs in AbbVie's pipeline should help AbbVieoffset any fall-off in Humira revenues.
AbbVie, which gets more than half itsrevenue from outside North America, has a number of growth opportunities in the U.S. and internationally.Emerging markets should see tailwinds from increased spending on health care, and in the U.S., theAffordable Care Act (akaObamacare ) is expected to provide coverage for more than 30 million uninsured Americans next year. All in all, the company has company- and industry-specific tailwinds for which the market appears to be mispricing ABBV.
Risks to consider: As with any pharma company, there are risks thatpatents will be challenged or the company will fail to produce new revenue-generating products. AbbVie faces patent expirations for its top drug Humira in the next several years, which could be a negative if its other products fail to come to market in a timely fashion.
Action to take --> Consider buying shares of AbbVie, which has a well-developed R&D pipeline and a cheap valuation. With just a modest 20 times P/Emultiple on AbbVie management's 2013EPS forecast of $3.10, the stock should trade north of $60. Its solid cash position and robust dividend also give the stock somedownside protection.
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. | Earlier this year, Abbott Laboratories ( ABT ) completed a split after realizing the company had grown into two distinct units. A similar study by Lehman Brothers concluded that between 2000 and 2005, spinoff companies outperformed the market by a whopping 45% during their first two years. AbbVie faces patent expirations for its top drug Humira in the next several years, which could be a negative if its other products fail to come to market in a timely fashion. | Earlier this year, Abbott Laboratories ( ABT ) completed a split after realizing the company had grown into two distinct units. AbbVie ( ABBV ) now trades as the former pharma business of Abbott Labs, while Abbott continues as a health care products and medical devices company. As a result, spinoffs generally have weak management, lower margins, lower returns onequity , or negativeearnings . | Earlier this year, Abbott Laboratories ( ABT ) completed a split after realizing the company had grown into two distinct units. A 1993 study titled "Restructuring Through Spinoffs" found that spinoff companies outperformed the S&P 500index by 30% on average during their first three years. AbbVie ( ABBV ) now trades as the former pharma business of Abbott Labs, while Abbott continues as a health care products and medical devices company. | Earlier this year, Abbott Laboratories ( ABT ) completed a split after realizing the company had grown into two distinct units. A similar study by Lehman Brothers concluded that between 2000 and 2005, spinoff companies outperformed the market by a whopping 45% during their first two years. AbbVie ( ABBV ) now trades as the former pharma business of Abbott Labs, while Abbott continues as a health care products and medical devices company. |
34244.0 | 2013-08-21 00:00:00 UTC | Abbott Acquires OptiMedica - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-acquires-optimedica-analyst-blog-2013-08-21 | nan | nan | Abbott Labs ( ABT ) recently announced that it has completed the previously announced acquisition of privately-held OptiMedica Corporation for $250 million in cash.
The acquisition was announced in Jul 2013. This acquisition should expand Abbott Labs' vision care business into the femtosecond laser-assisted cataract surgery market.
OptiMedica's Catalys Precision Laser System carries a CE mark in the EU and has been approved in the U.S. as well. This laser system replaces certain manual steps in cataract surgery with precise, image-guided, femtosecond laser technology.
Hence, the acquisition will further boost the cataract surgery business at Abbott Labs' which currently account for 60% of total sales of the vision care business.
Abbott Labs's vision care business was up 2% in the second quarter of 2013 driven by solid cataract sales attributed to strong double-digit growth in the emerging markets and Tecnis of intraocular lenses (IOL).
Abbott Labs expects further growth in its cataract business to be driven by several important new product launches in 2013.
Key launches include Tecnis OptiBlue in Japan providing access to the largest segment of the Japanese market and Tecnis Toric in the U.S. enabling Abbott Labs to enter the faster growing premium segment of the IOL market.
Further, Abbott Labs expects to launch Tecnis Preloaded IOL in the U.S. in the second half of 2013 which should propel growth.
Hence, Abbott Labs expects mid-single digit growth (excluding currency translation impact) in the third quarter of 2013 driven by traction in the cataract surgery business.
We are impressed by Abbott Lab's efforts to drive growth in its promising vision care business.
We remind investors that Abbott Labs became a diversified medical products company focusing on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses following the separation of its research-based pharmaceuticals business into a new company, AbbVie Inc. ( ABBV ), in Jan 2013.
Abbott Labs currently carries a Zacks Rank #3 (Hold). Right now, Shire ( SHPG ) and Jazz Pharmaceuticals ( JAZZ ) look attractive, each with a Zacks Rank #2 (Buy).
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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. | Abbott Labs ( ABT ) recently announced that it has completed the previously announced acquisition of privately-held OptiMedica Corporation for $250 million in cash. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. This acquisition should expand Abbott Labs' vision care business into the femtosecond laser-assisted cataract surgery market. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced that it has completed the previously announced acquisition of privately-held OptiMedica Corporation for $250 million in cash. This acquisition should expand Abbott Labs' vision care business into the femtosecond laser-assisted cataract surgery market. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced that it has completed the previously announced acquisition of privately-held OptiMedica Corporation for $250 million in cash. Hence, the acquisition will further boost the cataract surgery business at Abbott Labs' which currently account for 60% of total sales of the vision care business. | Abbott Labs ( ABT ) recently announced that it has completed the previously announced acquisition of privately-held OptiMedica Corporation for $250 million in cash. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report JAZZ PHARMACEUT (JAZZ): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. This acquisition should expand Abbott Labs' vision care business into the femtosecond laser-assisted cataract surgery market. |
34245.0 | 2013-08-16 00:00:00 UTC | China: Will Tainted Baby Formula Spur Cultural Shift? | ABT | https://www.nasdaq.com/articles/china-will-tainted-baby-formula-spur-cultural-shift-2013-08-16 | nan | nan | In China, the Year of the Dragon saw a corresponding "Dragon Baby Boom." Beijing's birth rate was the highest since 2007, Hong Kong births rose 6.6% year-over-year, and Taiwan births hit a ten-year record. However, feeding Chinese infants has recently been a primarily foreign affair. According to a 2012 editorial in China's state-run Global Times , "only 100% foreign-owned formula brands are fully trusted" by the country's parents.
This bias, said Global Times , was "not a product of Chinese groveling before everything foreign, as some critics claim," but rather, a "deep, knee-jerk mistrust of homegrown dairy brands, which have yet to recover from a string of past abuses, the most infamous being the melamine scandal in 2008 that killed six infants and sickened tens of thousands of others."
The imported formula market in China grew roughly ninefold between 2002 and 2012, and is expected to hit $13 billion by 2015, per UNICEF projections . But what will happen now that New Zealand dairy producer Fonterra ( FCG ) has recalled tons of formula from Chinese shelves amid fears of botulism?
"I think the Chinese are going to start questioning if New Zealand dairy is reliable," Shawn Hackett , a Boynton Beach, Florida, money manager with a focus on agricultural commodities, tells Minyanville. "New Zealand's production has grown so much over the past five to eight years, and they've really grown too fast. Their whole MO was 'maximize growth, maximize growth, maximize growth,' but now they're feeling the pain of not taking care of the infrastructure behind it."
Hackett explains that there was also a "big baby formula price fixing scandal in China earlier this month," which involved Fonterra and five other companies: Abbott Labs ( ABT ), Mead Johnson ( MJN ), Danone (OTCMKTS:DANOY), Biostime (OTCMKTS:BTSDF), and Friesland. The resulting "20-30% decline in retail prices has hurt margins. Not only is there the problem of less demand, but because prices have been forced down, it's a double-whammy for companies."
Going forward, people "will buy their products," he continues, "but there's going to be a hesitancy there. At the end of the day, the only way to have 100% safe products is more natural baby feeding."
China, however, has one of the lowest breastfeeding rates in the world: 28% (16% in urban areas), compared to a worldwide average of about 40%. So, the Chinese government has embarked on a massive campaign to convince new mothers to breastfeed.
In May, UNICEF and the Chinese Center for Disease Control and Prevention launched the "10 Square Meters of Love" campaign, which calls for breastfeeding rooms to be provided in public buildings and offices throughout the country.
The city of Zhengzhou is rolling out "lactation rooms" on public buses to provide semi-private areas for nursing .
And "breast masseurs" are even beginning to appear .
Oddly, a report from Zhou Fang of the official Xinhua news agency claims that high-ranking government officials appear to be taking their own advice a bit too literally: They've begun engaging in breast milk orgies.
Per Taiwan's Want China Times , "the milk-drinking parties were a novelty sparked by recent revelations that wealthy businessmen in Shenzhen have been hiring wet nurses for their own use because they believe in the health benefits of human breast milk. Corrupt officials are often bribed with high quality feasts, and the milk orgies are merely an extension of this practice."
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. | Hackett explains that there was also a "big baby formula price fixing scandal in China earlier this month," which involved Fonterra and five other companies: Abbott Labs ( ABT ), Mead Johnson ( MJN ), Danone (OTCMKTS:DANOY), Biostime (OTCMKTS:BTSDF), and Friesland. This bias, said Global Times , was "not a product of Chinese groveling before everything foreign, as some critics claim," but rather, a "deep, knee-jerk mistrust of homegrown dairy brands, which have yet to recover from a string of past abuses, the most infamous being the melamine scandal in 2008 that killed six infants and sickened tens of thousands of others." In May, UNICEF and the Chinese Center for Disease Control and Prevention launched the "10 Square Meters of Love" campaign, which calls for breastfeeding rooms to be provided in public buildings and offices throughout the country. | The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Hackett explains that there was also a "big baby formula price fixing scandal in China earlier this month," which involved Fonterra and five other companies: Abbott Labs ( ABT ), Mead Johnson ( MJN ), Danone (OTCMKTS:DANOY), Biostime (OTCMKTS:BTSDF), and Friesland. Their whole MO was 'maximize growth, maximize growth, maximize growth,' but now they're feeling the pain of not taking care of the infrastructure behind it." | Hackett explains that there was also a "big baby formula price fixing scandal in China earlier this month," which involved Fonterra and five other companies: Abbott Labs ( ABT ), Mead Johnson ( MJN ), Danone (OTCMKTS:DANOY), Biostime (OTCMKTS:BTSDF), and Friesland. This bias, said Global Times , was "not a product of Chinese groveling before everything foreign, as some critics claim," but rather, a "deep, knee-jerk mistrust of homegrown dairy brands, which have yet to recover from a string of past abuses, the most infamous being the melamine scandal in 2008 that killed six infants and sickened tens of thousands of others." Per Taiwan's Want China Times , "the milk-drinking parties were a novelty sparked by recent revelations that wealthy businessmen in Shenzhen have been hiring wet nurses for their own use because they believe in the health benefits of human breast milk. | Hackett explains that there was also a "big baby formula price fixing scandal in China earlier this month," which involved Fonterra and five other companies: Abbott Labs ( ABT ), Mead Johnson ( MJN ), Danone (OTCMKTS:DANOY), Biostime (OTCMKTS:BTSDF), and Friesland. In China, the Year of the Dragon saw a corresponding "Dragon Baby Boom." However, feeding Chinese infants has recently been a primarily foreign affair. |
34246.0 | 2013-07-30 00:00:00 UTC | Pharma & Biotech Stock Outlook - July/Aug 2013 - Industry Outlook | ABT | https://www.nasdaq.com/articles/pharma-biotech-stock-outlook-july-aug-2013-industry-outlook-2013-07-30 | nan | nan | The pharmaceutical industry has been showing signs of recovery from one of the biggest patent cliffs in recent times. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs' ( SNT / BMY ) Plavix and Eli Lilly's ( LLY ) Zyprexa lost patent protection in the last few quarters. These products alone represented branded sales worth more than $15 billion.
However, the effect of the genericization of these products was felt mostly in 2012. While the industry won't be completely free from genericization, the major patent expiries are over and done with. New products should start contributing significantly to results and increased pipeline visibility and appropriate utilization of cash should increase confidence in the sector.
Some products that lost or are slated to lose patent protection in 2013 include:
Source: 10K
Collaborations, Acquisitions and Restructuring
The pharma sector witnessed major merger and acquisitions (M&A) activity over the last couple of years. Going forward, we expect small bolt-on acquisitions to continue. In-licensing activities and collaborations for the development of pipeline candidates have also increased significantly. Several pharma companies are focusing on in-licensing mid-to-late stage pipeline candidates that look promising, instead of developing a product from scratch, which involves a lot of funds and time.
Small biotech companies are open to in-licensing activities and collaborations. Most of these companies find it challenging to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. Therefore, it makes sense for them to seek deals with pharma companies that are sitting on huge piles of cash.
We would recommend investors put their money in biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. Therapeutic areas which could see a lot of in-licensing activity include oncology, central nervous system disorders, diabetes and immunology/inflammation. The hepatitis C virus (HCV) market is also attracting a lot of attention.
A couple of biotech companies that have been in the news recently due to acquisition rumors/talks are Onyx Pharmaceuticals ( ONXX ) and Alexion Pharmaceuticals ( ALXN ). Onyx has placed itself on the market after turning down an offer from biotech major, Amgen (AMGN). Meanwhile, Roche ( RHHBY ) is rumored to be interested in Alexion.
Another trend that we are seeing in recent months is the divestment of non-core business segments. Pfizer sold its Capsugel unit and its Nutrition business in Aug 2011 and Nov 2012, respectively. More recently, Pfizer spun off its animal health business into a new company, Zoetis ( ZTS ).
Meanwhile, GlaxoSmithKline ( GSK ) divested certain non-core brands from its Consumer Healthcare segment. In Aug 2011, AstraZeneca ( AZN ) sold its Astra Tech business to DENTSPLY ( XRAY ). The monetization of non-core assets will allow the pharma/biotech companies to focus on their areas of expertise. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Johnson & Johnson ( JNJ ) also announced its plans to explore strategic alternatives for its ortho-clinical diagnostics business, including a possible divestiture.
Emerging Markets and Biosimilars
Another trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan ( MYL ), Pfizer, Merck, Eli Lilly, Glaxo and Sanofi are all looking to expand their presence in India, China, Brazil and other emerging markets. Until recently, most of the commercialization efforts were focused on the U.S. market -- the largest pharmaceutical market -- along with Europe and Japan.
Emerging markets are slowly and steadily gaining more importance, and several companies are now shifting their focus to these areas. However, while higher demand for medicines, government initiatives for healthcare, new patient population and increasing use of generics should help drive demand, we point out that emerging markets are also not immune from genericization.
Meanwhile, growth in Europe will continue to be pressurized by austerity and cost-containment measures.
We are also seeing several companies entering into deals for the development of biosimilars, generic versions of biologics. Companies like Merck, Amgen, Biogen ( BIIB ), Actavis ( ACT ) and Teva ( TEVA ) are all targeting the highly lucrative biosimilars market.
2Q Earnings
So far, 51.1% of the companies falling under the Medical sector have reported second quarter 2013 results. While earnings-beat ratios (percentage of companies coming out with positive surprises) were pretty impressive, revenue-beat ratios and growth ratios were weak.
To date, second quarter 2013 earnings "beat ratio" was 70.8% while the revenue "beat ratio" was 29.2%. Total earnings for this sector were up 1.9%, below the 3.0% growth recorded in the first quarter of 2013. Total revenues moved up 4.1% in the quarter versus 10.7% growth in the first quarter of 2013.
Looking at the consensus earnings expectations for the rest of the year, earnings are expected to decline 3.6% in the third quarter and grow 1.2% in the fourth quarter. Overall, 2013 earnings are expected to decline 0.2%.
This is mainly due to weakness in the pharma industry which accounts for about two-thirds of the sector's total earnings. Tough comparisons at Pfizer, Merck and others tell the pharmaceutical industry's earnings growth challenge. Both Pfizer and Merck are facing generic competition for key products.
For a detailed look at the earnings outlook for the Medical and other sectors, please check our weekly Zacks Earnings Trends report.
Focus on New Products
2012 saw the FDA approving 35 novel medicines including the following:
Source: FDA
Source: FDA
Most of these products should be major contributors to the top-line in 2013. Stivarga, Kalydeco, Xtandi and Kyprolis, especially, represent strong commercial potential.
So far in 2013, quite a few important products have gained approval including Biogen's oral multiple sclerosis drug Tecfidera, Johnson & Johnson's type II diabetes drug Invokana, Merck's Liptruzet (cholesterol) and Forest's Fetzima (major depressive disorder). Biogen's Tecfidera is off to a strong start with its launch -- quarter sales are surpassing expectations by a wide margin.
Zacks Industry Rank
Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs.
We rank all the 260-plus industries in the 16 Zacks sectors based on the earnings outlook and fundamental strength of the constituent companies in each industry. To learn more, visit: About Zacks Industry Rank .
As a point of reference, the outlook for industries with Zacks Industry Rank #88 and lower is 'Positive,' between $89 and #176 is 'Neutral' and #177 and higher is 'Negative.'
The Zacks Industry Rank for large-cap pharma is #195, med-biomed/gene is #101, med-drugs is #83, while the med-generic drugs is #168. Analyzing the Zacks Industry Rank for different medical segments, it is obvious that while the outlook for large-cap pharma stocks is negative, that for med-drugs is positive. Meanwhile, the outlook for med-biomed/gene and med-generic drugs is neutral.
OPPORTUNITIES
While several companies will continue to face challenges like EU austerity measures and genericization, the pharma industry should be out of the worst of the genericization phase from 2013. Many companies which had faced generic headwinds in the last couple of years should see their results improve from 2013. Cost-cutting, downsizing, streamlining of the pipeline, growth in emerging markets and product approvals should support growth.
Among large-cap pharma stocks, Johnson & Johnson ( JNJ ) currently holds a Zacks Rank #2 (Buy). The company has performed well in the first half of 2013 and the momentum should continue through the remainder of the year. The company has been trying to offset the declining sales of some of its important products by bringing in new products through in-licensing deals and acquisitions. We believe the diversity and strength of the company's underlying businesses will continue to provide strong growth in future. The Synthes deal should continue driving results.
Forest Labs ( FRX ), another Zacks Rank #2 stock, is doing well with first quarter fiscal 2014 results beating expectations. The company has launched several new products over the past few quarters and continues to make impressive progress with its pipeline.
In the biotech space, we are positive on Biogen ( BIIB ). Tecfidera, the company's recently launched oral multiple sclerosis drug, is off to a strong start with launch quarter sales coming in at $192 million (including inventory stocking of $82 million). While Tecfidera has the potential to gain the top spot in the oral multiple sclerosis market, Avonex and Tysabri should continue contributing significantly to sales. Biogen is also progressing with its hemophilia pipeline.
We are also positive on Amgen ( AMGN ). Amgen should be able to deliver on its long-term strategy based on expansion in key markets, launch of new manufacturing technologies, and pipeline development. Enbrel should continue performing well. Amgen's late-stage pipeline is also moving along. While Amgen is a Zacks Rank #2 stock, Biogen is a Zacks Rank #3 (Hold) stock. Gilead, another Zacks Rank #2 stock, continues to do well in the HIV segment and is also progressing with its HCV pipeline.
Medivation ( MDVN ), a Zacks Rank #1 (Strong Buy) company, should continue delivering with its prostate cancer therapy, Xtandi, performing well. Based on the data we have seen so far, we believe Xtandi has blockbuster potential. It is currently in several studies including for the pre-chemo setting. Expansion into the pre-chemo setting would be a major positive for Medivation.
Among generic companies, Actavis ( ACT ) looks well-positioned. We view the acquisition of Actavis Group as a smart strategic move and we believe the company will be able to achieve its guidance easily. We are also positive on the upcoming acquisition of Warner Chilcott (WCRX), which makes strategic and financial sense. With fewer major patent expiries slated to occur in the next few years, we are encouraged by Actavis' focus on building its branded and biosimilars pipeline. The company carries a Zacks Rank #3.
WEAKNESSES
We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles. The FDA has been exercising more caution in granting approval to new products and several candidates are facing delays in receiving final approval.
Bristol-Myers Squibb ( BMY ) currently carries a Zacks Rank #5 (Strong Sell). While the company's second quarter results were in-line with expectations, Bristol-Myers cut its outlook for 2013 reflecting negative currency movement and the recall of Fervex, a local over-the-counter (OTC) product in France and other international markets. Moreover, Eliquis' performance has been disappointing.
The Medicines Company ( MDCO ) also carries a Zacks Rank #5. Earnings estimates for this company have been declining with third quarter results expected to remain flat on a sequential basis.
Other companies that currently carry a Zacks Rank #4 (Sell) include Novo Nordisk ( NVO ), Novartis ( NVS ), Dendreon Corp. ( DNDN ) and XOMA Corporation ( XOMA ), among others.
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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. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS INC (ACT): Free Stock Analysis Report ALEXION PHARMA (ALXN): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report ONYX PHARMA INC (ONXX): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report WARNER CHIL PLC (WCRX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs' ( SNT / BMY ) Plavix and Eli Lilly's ( LLY ) Zyprexa lost patent protection in the last few quarters. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS INC (ACT): Free Stock Analysis Report ALEXION PHARMA (ALXN): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report ONYX PHARMA INC (ONXX): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report WARNER CHIL PLC (WCRX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Major blockbuster drugs like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories' ( FRX ) Lexapro, Sanofi / Bristol-Myers Squibbs' ( SNT / BMY ) Plavix and Eli Lilly's ( LLY ) Zyprexa lost patent protection in the last few quarters. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS INC (ACT): Free Stock Analysis Report ALEXION PHARMA (ALXN): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report ONYX PHARMA INC (ONXX): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report WARNER CHIL PLC (WCRX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. Zacks Industry Rank Within the Zacks Industry classification, pharma and biotech are broadly grouped into the Medical sector (one of 16 Zacks sectors) and further sub-divided into four industries at the expanded level: large-cap pharma, med-biomed/gene, med-drugs and med-generic drugs. | Abbott Labs ( ABT ) split into two separate publicly traded companies; while one company deals in diversified medical products, the other, AbbVie ( ABBV ), is focusing on research-based pharmaceuticals. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ACTAVIS INC (ACT): Free Stock Analysis Report ALEXION PHARMA (ALXN): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report ASTRAZENECA PLC (AZN): Free Stock Analysis Report BIOGEN IDEC INC (BIIB): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report FOREST LABS A (FRX): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MEDIVATION INC (MDVN): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report ONYX PHARMA INC (ONXX): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report WARNER CHIL PLC (WCRX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report ZOETIS INC (ZTS): Free Stock Analysis Report To read this article on Zacks.com click here. 2Q Earnings So far, 51.1% of the companies falling under the Medical sector have reported second quarter 2013 results. |
34247.0 | 2013-07-26 00:00:00 UTC | Abaxis Earnings Widely Miss Q1 Estimates - Analyst Blog | ABT | https://www.nasdaq.com/articles/abaxis-earnings-widely-miss-q1-estimates-analyst-blog-2013-07-26 | nan | nan | Abaxis Inc. ( ABAX ) reported first-quarter fiscal 2014 earnings per share (EPS) of 14 cents, a miss of 9 cents over the Zacks Consensus Estimate. However, the result was a cent higher than the year-ago EPS.
Revenues improved 3% year over year to $43.2 million, trailing the Zacks Consensus Estimate of $49 million in the quarter.
Quarter in Detail
On a geographic basis, revenues from North America (accounting for 80% of total revenues) rose 4.5% to $34.7 million, while revenues from the international market (representing 20%) decreased 3.8% to $8.5 million. However, excluding the impact of the CRO deal that was closed in the first quarter of fiscal 2013, overseas revenues improved 17% year over year.
Within the customer group, Veterinary market revenues grew 12% year over year to $36.4 million, while sales in the Medical market declined 29% year over year to roughly $6 million. Excluding sales to the U.S. government, worldwide Medical sales decreased 27% year over year to $5.7 million.
The overall disappointing performance in the Medical business during the quarter was primarily due to decline in Piccolo instrument sales and the transition from a direct sales model to a distribution model with Abbott Point of Care under Abbott Laboratories ( ABT ). Sales from the Other customer group declined 22% year over year to approximately $0.8 million.
Total consumable sales increased 4% from the prior-year quarter, while instrumental sales decreased 12% on a year-over-year basis. Sales of medical and veterinary reagent discs declined 3% to $22.8 million in the quarter. Moreover, service revenues from Abaxis Veterinary Reference Laboratories (AVRL) maintained its growth momentum and recorded significant upside of 157% year over year to $2.2 million.
With an 8.6% downfall in the first-quarter gross profit to $20.9 million, gross margin contracted a massive 600 basis points (bps) to 48.4%. The decline was attributed to lower margin of medical products sold to Abbott, higher sales of other low-margin consumables and instruments under the Vet market and a tough comparable quarter.
The company recorded higher research and development expenses (up 7% to $3.2 million) but lower sales and marketing expenditure (down 14.8% to $10.0 million) and general and administrative expenses (down 8% to $3.1 million) on a year-over-year basis. Despite the lower operating expenses (down 10% to $16.3 million), operating margin contracted 70 bps to $10.7% in the quarter.
Abaxis exited the quarter with cash and cash equivalents and short-term investments of roughly $85.5 million, up 9.3% on a sequential basis.
Our Take
Abaxis reported a disappointing quarter to begin fiscal 2014 on a dismal note. Barring growth in the veterinary market, the overall quarterly performance was weak. Although the distribution relationship with MWI Veterinary Supply ( MWIV ) is yielding positive outcomes, the same with Abbott in the medical market is yet to pay off. The considerable margin downfall was another cause of concern. Furthermore, the sluggish international performance remains an overhang.
Nonetheless, low worldwide penetration provides further scope for substantial growth in the niche industry which Abaxis serves. The company is well poised to gain positive momentum on the heels of strategic initiatives.
The stock carries a Zacks Rank #3 (Hold). While we remain on the sidelines for Abaxis, Alere Inc. ( ALR ), carrying a Zacks Rank #2 (Buy) is worth considering.
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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 overall disappointing performance in the Medical business during the quarter was primarily due to decline in Piccolo instrument sales and the transition from a direct sales model to a distribution model with Abbott Point of Care under Abbott Laboratories ( ABT ). ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. The decline was attributed to lower margin of medical products sold to Abbott, higher sales of other low-margin consumables and instruments under the Vet market and a tough comparable quarter. | ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. The overall disappointing performance in the Medical business during the quarter was primarily due to decline in Piccolo instrument sales and the transition from a direct sales model to a distribution model with Abbott Point of Care under Abbott Laboratories ( ABT ). Within the customer group, Veterinary market revenues grew 12% year over year to $36.4 million, while sales in the Medical market declined 29% year over year to roughly $6 million. | ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. The overall disappointing performance in the Medical business during the quarter was primarily due to decline in Piccolo instrument sales and the transition from a direct sales model to a distribution model with Abbott Point of Care under Abbott Laboratories ( ABT ). Revenues improved 3% year over year to $43.2 million, trailing the Zacks Consensus Estimate of $49 million in the quarter. | The overall disappointing performance in the Medical business during the quarter was primarily due to decline in Piccolo instrument sales and the transition from a direct sales model to a distribution model with Abbott Point of Care under Abbott Laboratories ( ABT ). ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ALERE INC (ALR): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. Abaxis Inc. ( ABAX ) reported first-quarter fiscal 2014 earnings per share (EPS) of 14 cents, a miss of 9 cents over the Zacks Consensus Estimate. |
34248.0 | 2013-07-11 00:00:00 UTC | Abbott Lab's Xience Xpedition in Japan - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-labs-xience-xpedition-in-japan-analyst-blog-2013-07-11 | nan | nan | Abbott Laboratories ( ABT ) recently announced that it has received approval for the Xience Xpedition Everolimus Eluting Coronary Stent System from the Ministry of Health, Labor and Welfare (MHLW) in Japan. The stent system has been approved for the treatment of coronary artery disease (CAD).
We note that Abbott Labs was expecting an approval for the same and plans to launch Xience Xpedition in Japan later this year. The Xience drug-eluting stent family is an important part of Abbott Labs' vascular business. Abbott Labs has been consistently making efforts for the last three years to innovate its Xience drug-eluting stent franchise (including Xience V, Prime, nano and Xpedition).
Xience nano and Xience Prime were launched in the US in 2011 while Xience Prime and Xience V were launched in Japan in Apr 2012 and Jan 2010, respectively. The launch of Xience Xpedition in the US in Jan 2013 and its approval in Japan will further boost the sales potential of the franchise.
Another promising device for CAD in Abbott Labs' kitty is Absorb. Last month, Abbott Labs initiated a randomized controlled study in Japan to evaluate Absorb, its bioresorbable vascular scaffold (BVS) device, in patients suffering from CAD.
The vascular business is an important part of Abbott Labs' product portfolio. The company is continuously working to boost its vascular products portfolio and expects to launch several products in the next five years. We believe the launch of new products should help Abbott Labs combat the decline in vascular sales due to pricing pressure.
The vascular business generated sales of $742 million in the first quarter of 2013, down 7.7% from the year-ago period. Of the total vascular sales, approximately $387 million came from the sale of drug-eluting stents and the BVS product portfolio.
We expect the continued uptake of Xience Xpedition in the US along with the expected launch of Xience Xpedition in Japan later in 2013 and traction in Absorb device should drive growth in the vascular business in the upcoming quarters.
We note that Boston Scientific ( BSX ) also has an everolimus-eluting stent platform.
Abbot Labs currently carries a Zacks Rank #3 (Hold). Right now, Baxano Surgical, Inc. ( BAXS ) and LeMaitre Vascular, Inc. ( LMAT ) look attractive with a Zacks Rank #2 (Buy).
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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. | Abbott Laboratories ( ABT ) recently announced that it has received approval for the Xience Xpedition Everolimus Eluting Coronary Stent System from the Ministry of Health, Labor and Welfare (MHLW) in Japan. ABBOTT LABS (ABT): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report LEMAITRE VASCLR (LMAT): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Abbott Labs was expecting an approval for the same and plans to launch Xience Xpedition in Japan later this year. | ABBOTT LABS (ABT): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report LEMAITRE VASCLR (LMAT): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) recently announced that it has received approval for the Xience Xpedition Everolimus Eluting Coronary Stent System from the Ministry of Health, Labor and Welfare (MHLW) in Japan. The Xience drug-eluting stent family is an important part of Abbott Labs' vascular business. | ABBOTT LABS (ABT): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report LEMAITRE VASCLR (LMAT): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) recently announced that it has received approval for the Xience Xpedition Everolimus Eluting Coronary Stent System from the Ministry of Health, Labor and Welfare (MHLW) in Japan. Xience nano and Xience Prime were launched in the US in 2011 while Xience Prime and Xience V were launched in Japan in Apr 2012 and Jan 2010, respectively. | Abbott Laboratories ( ABT ) recently announced that it has received approval for the Xience Xpedition Everolimus Eluting Coronary Stent System from the Ministry of Health, Labor and Welfare (MHLW) in Japan. ABBOTT LABS (ABT): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report LEMAITRE VASCLR (LMAT): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Abbott Labs was expecting an approval for the same and plans to launch Xience Xpedition in Japan later this year. |
34249.0 | 2013-07-09 00:00:00 UTC | Roche Seeks Label Expansion for Test - Analyst Blog | ABT | https://www.nasdaq.com/articles/roche-seeks-label-expansion-for-test-analyst-blog-2013-07-09 | nan | nan | Roche ( RHHBY ) recently announced that it has submitted a Premarket Approval (PMA) supplement to the US Food and Drug Administration (FDA) for its cobas Human Papillomavirus (HPV) test.
The company is looking to get the test approved for an additional indication.
Roche is seeking an additional cervical cancer primary screening indication for the test.
Approval for the above mentioned indication will enable the use of the cobas HPV test as a first-line test to screen patients for cervical cancer rather than using Pap cytology.
The PMA was filed based on a new three-year follow-up data from the ATHENA study wherein more than 47,000 women were screened for cervical disease with Pap and HPV tests in the US.
The FDA had approved the cobas HPV test in Apr 2011 for the screening of patients 21 years of age and above with abnormal Pap test results and to co-test with Pap in women between 30 and 65 years of age to assess the presence or absence of high-risk HPV genotypes.
We note that Roche provides tests for the detection of HPV, chlamydia and gonorrhea (CT/NG) along with genotyping of HPV to identify high-risk HPV types which are known to be associated with progression to cervical cancer.
Apart from providing therapeutic products and services for diverse medical needs, Roche continues to focus on innovative diagnostic solutions for the early detection and treatment of diseases.
Roche launched 55 major products in key markets in its diagnostics division in 2012. The product launches included advances in lab automation, patient testing and diabetes management coupled with expansion of the existing test menus.
We note that Roche's diagnostics segment accounted for 22.5% of total sales in 2012 with a 4% increase in sales.
We are encouraged by Roche's efforts to broaden its diagnostics portfolio. Roche invested CHF 900 million in 2012 to develop its technologies and products.
Roche plans to launch 13 different solutions in 2013, out of which 5 were launched in the first quarter of 2013.
We note that Abbott Labs' ( ABT ) RealTime High Risk HPV molecular diagnostic test also enables detection of HPV which is the prime cause of cervical cancer.
Roche currently carries a Zacks Rank #4 (Sell). Right now, Valeant Pharmaceuticals ( VRX ) and Santarus, Inc . ( SNTS ) look attractive, each with a Zacks Rank #1 (Strong Buy).
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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 Abbott Labs' ( ABT ) RealTime High Risk HPV molecular diagnostic test also enables detection of HPV which is the prime cause of cervical cancer. ABBOTT LABS (ABT): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANTARUS INC (SNTS): Free Stock Analysis Report VALEANT PHARMA (VRX): Free Stock Analysis Report To read this article on Zacks.com click here. Roche ( RHHBY ) recently announced that it has submitted a Premarket Approval (PMA) supplement to the US Food and Drug Administration (FDA) for its cobas Human Papillomavirus (HPV) test. | We note that Abbott Labs' ( ABT ) RealTime High Risk HPV molecular diagnostic test also enables detection of HPV which is the prime cause of cervical cancer. ABBOTT LABS (ABT): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANTARUS INC (SNTS): Free Stock Analysis Report VALEANT PHARMA (VRX): 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. | ABBOTT LABS (ABT): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANTARUS INC (SNTS): Free Stock Analysis Report VALEANT PHARMA (VRX): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Abbott Labs' ( ABT ) RealTime High Risk HPV molecular diagnostic test also enables detection of HPV which is the prime cause of cervical cancer. The FDA had approved the cobas HPV test in Apr 2011 for the screening of patients 21 years of age and above with abnormal Pap test results and to co-test with Pap in women between 30 and 65 years of age to assess the presence or absence of high-risk HPV genotypes. | We note that Abbott Labs' ( ABT ) RealTime High Risk HPV molecular diagnostic test also enables detection of HPV which is the prime cause of cervical cancer. ABBOTT LABS (ABT): Free Stock Analysis Report ROCHE HLDG LTD (RHHBY): Get Free Report SANTARUS INC (SNTS): Free Stock Analysis Report VALEANT PHARMA (VRX): Free Stock Analysis Report To read this article on Zacks.com click here. Roche is seeking an additional cervical cancer primary screening indication for the test. |
34250.0 | 2013-07-05 00:00:00 UTC | Will Earnings Growth Bottom in Q2? - Earnings Trends | ABT | https://www.nasdaq.com/articles/will-earnings-growth-bottom-q2-earnings-trends-2013-07-05 | nan | nan | APPLE INC (AAPL): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. |
34251.0 | 2013-07-05 00:00:00 UTC | Will Earnings Growth Bottom in Q2? - Earnings Trends | ABT | https://www.nasdaq.com/articles/will-earnings-growth-bottom-q2-earnings-trends-2013-07-05-0 | nan | nan | APPLE INC (AAPL): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. |
34252.0 | 2013-07-05 00:00:00 UTC | Will Earnings Growth Bottom in Q2? - Earnings Trends | ABT | https://www.nasdaq.com/articles/will-earnings-growth-bottom-q2-earnings-trends-2013-07-05-2 | nan | nan | APPLE INC (AAPL): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. |
34253.0 | 2013-07-05 00:00:00 UTC | Will Earnings Growth Bottom in Q2? - Earnings Outlook | ABT | https://www.nasdaq.com/articles/will-earnings-growth-bottom-q2-earnings-outlook-2013-07-05-0 | nan | nan | APPLE INC (AAPL): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. |
34254.0 | 2013-07-05 00:00:00 UTC | Will Earnings Growth Bottom in Q2? - Earnings Outlook | ABT | https://www.nasdaq.com/articles/will-earnings-growth-bottom-q2-earnings-outlook-2013-07-05 | nan | nan | APPLE INC (AAPL): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. |
34255.0 | 2013-07-05 00:00:00 UTC | Will Earnings Growth Bottom in Q2? - Earnings Outlook | ABT | https://www.nasdaq.com/articles/will-earnings-growth-bottom-q2-earnings-outlook-2013-07-05-1 | nan | nan | APPLE INC (AAPL): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. |
34256.0 | 2013-07-05 00:00:00 UTC | Will Earnings Growth Bottom in Q2? - Earnings Outlook | ABT | https://www.nasdaq.com/articles/will-earnings-growth-bottom-q2-earnings-outlook-2013-07-05-2 | nan | nan | APPLE INC (AAPL): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. | APPLE INC (AAPL): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report DARDEN RESTRNT (DRI): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report ORACLE CORP (ORCL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report WALGREEN CO (WAG): 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. |
34257.0 | 2013-06-17 00:00:00 UTC | GE and Three Others Named Top Dividend Growers of Last Week | ABT | https://www.nasdaq.com/articles/ge-and-three-others-named-top-dividend-growers-last-week-2013-06-17 | nan | nan | During the past week, GuruFocus recognized four companies as dividend growers. In order to be considered for this list, the company had to: � Have a dividend yield of more than 3%.
� Have a strong history of stable and increasing dividends.
� Maintain Guru ownership.
� Have a market cap of greater than $10 billion.
The following four companies come from various industries and sectors of the market, but they all fit the necessary criteria needed to qualify them as dividend growers.
A comparison of the companies' historical dividend growth:
General Electric ( GE )
On June 14, General Electric declared a dividend of $0.19 per share, setting the dividend yield for the company at 3.10%. The dividend is payable on June 25 to share holders of the record at the close of business June 24, 2013.
The company's dividend growth history is as follows:
� 10-year: -4.6%
� 5-year: -10.8%
� 3-year: 3.5%
General Electric has offered a quarterly cash dividend since Dec. 1995. The dividend has consistently grown since June 2009.
General Electric is a technology, media and financial services company. The Company provides products and services ranging from aircraft engines, power generation, water processing, and security technology to medical imaging, business and consumer financing, media content and industrial products.
In 2011 GE paid $6.45 billion in dividends, returning $17 million to shareholders every day.
The first quarter financial results reported:
� Operating earnings of $4.1 billion, or $0.39 per share, up 14% and 15% respectively from the first quarter of 2012.
� Twelfth consecutive quarter of strong operating earnings growth.
� GE Capital earnings up 9%; 1Q ENI balance of $402 billion.
� Profit growth in five of eight businesses versus prior-year period.
GE has a market cap of $247.14 billion; its shares were traded at around $23.75 with a P/E ratio of 16.60 and a P/S ratio of 1.70.
According to the Peter Lynch Valuation Chart, General Electric appears to be overvalued :
There are currently 22 gurus that hold stake in GE. Click here to see their holding histories.
Abbott Laboratories ( ABT )
On June 14, Abbott Laboratories declared a dividend of $0.14 per share, making the dividend yield 3.5%. This dividend is payable on August 15 to shareholders of the record at the close of business July 15, 2013.
The company's dividend growth history is as follows:
� 10-year: 8.9%
� 5-year: 9.5%
� 3-year: 6.5%
Abbott Laboratories has offered a quarterly cash dividend since 1983. This dividend marks the 358 th consecutive quarterly dividend to be paid by Abbott since 1924.
Abbott's board has also authorized the repurchase of up to $3 billion of the corporation's common stock. The program replaces the previous $5 billion program announced in Oct. 2008 and was recently completed.
Abbott Laboratories is a global healthcare company devoted to the development of products and technologies that span the breadth of healthcare. The company's portfolio consists of leading, science-based offerings in diagnostics, medical devices, nutritionals and branded generic pharmaceuticals. Abbott serves people in over 150 countries and employs approximately 70,000 people.
Abbott Laboratories has a market cap of $57.54 billion; its shares were traded at around $37.07 with a P/E ratio of 11.20 and a P/S ratio of 1.70. The company had an annual average earnings growth of 10.3% over the past ten years. GuruFocus rated Abbott the business predictability rank of 3.5 stars.
The Peter Lynch Valuation Chart shows Abbott Laboratories to be undervalued :
There are 22 gurus that currently hold stake in Abbott. Click here to see their holding histories.
Equity Residential ( EQR )
On June 13, Equity Residential declared a dividend of $0.40 per share, setting the dividend yield at 3.30%. This cash dividend is payable on July 10 to shareholders of the record at the close of business on June 24, 2013.
Equity Residential's dividend growth history is as follows:
� 10-year: -0.9%
� 5-year: -2%
� 3-year: 2.1%
Equity Residential has offered a consistent quarterly cash dividend since 1993.
Equity Residential is an S&P 500 company focused on the acquisition, development and management of high-quality apartment properties in top U.S. growth markets. Equity Residential owns or has investments in more than 400 properties in 13 states and the District of Columbia.
Equity Residential has a market cap of $20.33 billion; its shares were traded at around $56.38 with a P/E ratio of 227.20 and a P/S ratio of 8.50. The company had an annual average earnings growth of 2.4% over the past ten years.
The Peter Lynch Valuation shows that Equity Residential appears to be undervalued:
There are currently seven gurus that hold stake in Equity Residential. Click here to see their holding histories.
Philip Morris International ( PM )
On June 12, Philip Morris International declared a dividend of $0.85 per share, setting the dividend yield for the company at 3.60%. This cash dividend is payable on July 12 to shareholders of the record at the close of business on June 27, 2013.
Philip Morris' dividend growth history is as follows:
� 10-year: 0%
� 5-year: 18.7%
� 3-year: 9.7%
Philip Morris has offered a consistently increasing quarterly cash dividend since June 2008.
Philip Morris International is the leading international tobacco company, with seven of the world's top 15 international brands, including Marlboro, the number one cigarette brand worldwide. PMI's products are sold in more than 180 markets.
In 2012, the company held an estimated 16.3% share of the total international cigarette market outside of the U.S., or 28.8% excluding China.
Philip Morris has a market cap of $151.89 billion; its shares were traded at around $92.57 with a P/E ratio of 17.80 and a P/S ratio of 2.00. The company had an annual average earnings growth of 14.5% over the past five years.
According to the Peter Lynch Valuation Chart, Philip Morris appears to be overvalued :
There are currently 28 gurus that hold stake in Philip Morris. Click here to view their holding histories.
To view a complete list of high yielding dividend stocks found among the gurus' portfolios, click here. About GuruFocus: GuruFocus.com tracks the stocks picks and portfolio holdings of the world's best investors. This value investing site offers stock screeners and valuation tools. And publishes daily articles tracking the latest moves of the world's best investors. GuruFocus also provides promising stock ideas in 3 monthly newsletters sent to Premium Members .
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. | Abbott Laboratories ( ABT ) On June 14, Abbott Laboratories declared a dividend of $0.14 per share, making the dividend yield 3.5%. According to the Peter Lynch Valuation Chart, General Electric appears to be overvalued : There are currently 22 gurus that hold stake in GE. The company's portfolio consists of leading, science-based offerings in diagnostics, medical devices, nutritionals and branded generic pharmaceuticals. | Abbott Laboratories ( ABT ) On June 14, Abbott Laboratories declared a dividend of $0.14 per share, making the dividend yield 3.5%. A comparison of the companies' historical dividend growth: General Electric ( GE ) On June 14, General Electric declared a dividend of $0.19 per share, setting the dividend yield for the company at 3.10%. Philip Morris International ( PM ) On June 12, Philip Morris International declared a dividend of $0.85 per share, setting the dividend yield for the company at 3.60%. | Abbott Laboratories ( ABT ) On June 14, Abbott Laboratories declared a dividend of $0.14 per share, making the dividend yield 3.5%. A comparison of the companies' historical dividend growth: General Electric ( GE ) On June 14, General Electric declared a dividend of $0.19 per share, setting the dividend yield for the company at 3.10%. The company's dividend growth history is as follows: � 10-year: 8.9% � 5-year: 9.5% � 3-year: 6.5% Abbott Laboratories has offered a quarterly cash dividend since 1983. | Abbott Laboratories ( ABT ) On June 14, Abbott Laboratories declared a dividend of $0.14 per share, making the dividend yield 3.5%. The company's dividend growth history is as follows: � 10-year: 8.9% � 5-year: 9.5% � 3-year: 6.5% Abbott Laboratories has offered a quarterly cash dividend since 1983. Equity Residential's dividend growth history is as follows: � 10-year: -0.9% � 5-year: -2% � 3-year: 2.1% Equity Residential has offered a consistent quarterly cash dividend since 1993. |
34258.0 | 2013-06-14 00:00:00 UTC | Abbott Progresses with Absorb in Japan - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-progresses-with-absorb-in-japan-analyst-blog-2013-06-14 | nan | nan | Abbott Labs ( ABT ) recently announced that it has initiated a randomized controlled study in Japan to evaluate Absorb, its bioresorbable vascular scaffold (BVS) device, in patients suffering from coronary artery disease (CAD).
About 400 patients will be enrolled in the study, ABSORB Japan, that will compare Absorb BVS to the company's Xience family of metallic drug eluting stents. The primary endpoint of the study is target lesion failure (TLF) in the first year, which will test both the safety and efficacy of the device.
Moreover, the trial includes state-of-the-art imaging techniques which will help to study the impact of treatment with Absorb in the blood vessel.
Abbott Labs expects to use results from this trial to support regulatory filings with the Japanese Pharmaceutical and Medical Devices Agency (PMDA) for gaining approval for the device. We note that Absorb obtained CE mark in Europe. However, it is not approved in the US yet.
The vascular business is a core part of Abbott Labs' product portfolio and generated sales of $742 million in the first quarter of 2013, down 7.7% from the year-ago period. Of the total vascular sales, approximately $387 million came from the sale of drug-eluting stents and the BVS product portfolio.
Abbott Labs is continuously working to boost its vascular products portfolio and expects to launch several products in the next five years. The launch of new products should help the company to combat the decline in vascular sales due to pricing pressure, in our view.
We remind investors that Abbott Labs became a diversified medical products company focusing on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses following the separation of its research-based pharmaceuticals business into a new company, AbbVie Inc . ( ABBV ), in Jan 2013.
The business environment continues to be challenging in 2013 due to austerity measures undertaken by developed markets and weak economic conditions elsewhere. We believe Abbott Labs' diversification in varied business lines will enable the company to counter the challenging business environment and maintain top-line growth.
Abbott Labs currently carries a Zacks Rank #3 (Hold). Right now, AtriCure, Inc. ( ATRC ) and Baxano Surgical, Inc . ( BAXS ) look well placed. Both carry a Zacks Rank #2 (Buy).
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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. | Abbott Labs ( ABT ) recently announced that it has initiated a randomized controlled study in Japan to evaluate Absorb, its bioresorbable vascular scaffold (BVS) device, in patients suffering from coronary artery disease (CAD). ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report To read this article on Zacks.com click here. The vascular business is a core part of Abbott Labs' product portfolio and generated sales of $742 million in the first quarter of 2013, down 7.7% from the year-ago period. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced that it has initiated a randomized controlled study in Japan to evaluate Absorb, its bioresorbable vascular scaffold (BVS) device, in patients suffering from coronary artery disease (CAD). The vascular business is a core part of Abbott Labs' product portfolio and generated sales of $742 million in the first quarter of 2013, down 7.7% from the year-ago period. | Abbott Labs ( ABT ) recently announced that it has initiated a randomized controlled study in Japan to evaluate Absorb, its bioresorbable vascular scaffold (BVS) device, in patients suffering from coronary artery disease (CAD). ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report To read this article on Zacks.com click here. We remind investors that Abbott Labs became a diversified medical products company focusing on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses following the separation of its research-based pharmaceuticals business into a new company, AbbVie Inc . | Abbott Labs ( ABT ) recently announced that it has initiated a randomized controlled study in Japan to evaluate Absorb, its bioresorbable vascular scaffold (BVS) device, in patients suffering from coronary artery disease (CAD). ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report BAXANO SURGICAL (BAXS): Free Stock Analysis Report To read this article on Zacks.com click here. About 400 patients will be enrolled in the study, ABSORB Japan, that will compare Absorb BVS to the company's Xience family of metallic drug eluting stents. |
34259.0 | 2013-06-12 00:00:00 UTC | Bear of the Day: Covidien (COV) - Bear of the Day | ABT | https://www.nasdaq.com/articles/bear-day-covidien-cov-bear-day-2013-06-12 | nan | nan | In the wake of its dismal fiscal 2013 second quarter results, analysts covering Covidien PLC ( COV ), the $30 billion medical products maker, slashed earnings estimates for both this year and next by 17% each.
Not only did net income decline by 10.2% due to higher expenses, the company also warned about future investment-related expenses due to Japanese yen fluctuations that would further drag down their margins.
Plus, they are in the process of selling their Pharmaceuticals division, which is profitable and will create more uncertain expenses during the divestiture process this month.
Here's a visual of the dramatic drop in analysts estimates since the company's April 26 report, after which it slipped to a Zacks #5 Rank (Strong Sell)...
Regulation, Tax, and Cost Headwinds
The medical-technology excise tax of 2.3% has started to weigh on the bottom line from the second quarter of fiscal 2013. The tax will be a part of the SG&A expense and is expected to be approximately $25 million per quarter.
Moreover, increased investment-related expenses related to emerging markets growth is likely to keep margins under pressure going forward. The company's net income from continuing operations dropped 10.2% in the second quarter of fiscal 2013 due to higher expenses, which dampened solid sales growth.
Covidien is slated to spin-off its Pharmaceutical unit at the end of Jun 2013. The Pharma business is performing well on the back of new products and is contributing significantly to the top line. Following its divestment, Covidien will be left with only the Medical Devices and Supplies businesses.
Although the divestment will allow the company to focus on high-margin surgical products, uncertainty looms over the growth prospects of these two businesses, given the current difficult healthcare environment.
Path of Least Resistance
At $64, COV is trading about $2 below where it was when it earned a Zacks #5 Rank on May 9. After a gap lower to $62 in the aftermath of its last quarterly report, the stock climbed back above $66 but has met steady selling pressure there.
And the whole Medical Products industry group is under pressure with a Zacks Industry Rank of 171 out of 265 industries, with 72 companies including competitor Baxter ( BAX ).
Trading over 17 times forward estimates, COV looks poised to at least test the $61-62 support area if not lower into the high $50s. Until the earnings estimate story turns around, this one should be hands off for a while.
Kevin Cook is a Senior Stock Strategist withZacks.com
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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. | Kevin Cook is a Senior Stock Strategist withZacks.com ABBOTT LABS (ABT): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports To read this article on Zacks.com click here. In the wake of its dismal fiscal 2013 second quarter results, analysts covering Covidien PLC ( COV ), the $30 billion medical products maker, slashed earnings estimates for both this year and next by 17% each. The company's net income from continuing operations dropped 10.2% in the second quarter of fiscal 2013 due to higher expenses, which dampened solid sales growth. | Kevin Cook is a Senior Stock Strategist withZacks.com ABBOTT LABS (ABT): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports To read this article on Zacks.com click here. In the wake of its dismal fiscal 2013 second quarter results, analysts covering Covidien PLC ( COV ), the $30 billion medical products maker, slashed earnings estimates for both this year and next by 17% each. And the whole Medical Products industry group is under pressure with a Zacks Industry Rank of 171 out of 265 industries, with 72 companies including competitor Baxter ( BAX ). | Kevin Cook is a Senior Stock Strategist withZacks.com ABBOTT LABS (ABT): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports To read this article on Zacks.com click here. In the wake of its dismal fiscal 2013 second quarter results, analysts covering Covidien PLC ( COV ), the $30 billion medical products maker, slashed earnings estimates for both this year and next by 17% each. Here's a visual of the dramatic drop in analysts estimates since the company's April 26 report, after which it slipped to a Zacks #5 Rank (Strong Sell)... Regulation, Tax, and Cost Headwinds The medical-technology excise tax of 2.3% has started to weigh on the bottom line from the second quarter of fiscal 2013. | Kevin Cook is a Senior Stock Strategist withZacks.com ABBOTT LABS (ABT): Free Stock Analysis Report BAXTER INTL (BAX): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report SPDR-HLTH CR (XLV): ETF Research Reports To read this article on Zacks.com click here. In the wake of its dismal fiscal 2013 second quarter results, analysts covering Covidien PLC ( COV ), the $30 billion medical products maker, slashed earnings estimates for both this year and next by 17% each. Here's a visual of the dramatic drop in analysts estimates since the company's April 26 report, after which it slipped to a Zacks #5 Rank (Strong Sell)... Regulation, Tax, and Cost Headwinds The medical-technology excise tax of 2.3% has started to weigh on the bottom line from the second quarter of fiscal 2013. |
34260.0 | 2013-06-03 00:00:00 UTC | After Hours Most Active for Jun 3, 2013 : MMR, BAC, FE, ZNGA, NOK, GNW, MSFT, QQQ, ABT, SIRI, INTC, DTV | ABT | https://www.nasdaq.com/articles/after-hours-most-active-jun-3-2013-mmr-bac-fe-znga-nok-gnw-msft-qqq-abt-siri-intc-dtv-2013 | nan | nan | The NASDAQ 100 After Hours Indicator is down -1.85 to 2,988.94. The total After hours volume is currently 38,498,721 shares traded.
The following are the most active stocks for the after hours session :
McMoRan Exploration Company ( MMR ) is unchanged at $16.75, with 3,425,428 shares traded. As reported in the last short interest update the days to cover for MMR is 12.16322; this calculation is based on the average trading volume of the stock.
Bank of America Corporation ( BAC ) is -0.011 at $13.54, with 3,128,000 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2013. The consensus EPS forecast is $0.25. BAC's current last sale is 104.15% of the target price of $13.
FirstEnergy Corporation ( FE ) is unchanged at $39.16, with 2,044,510 shares traded. FE's current last sale is 89% of the target price of $44.
Zynga Inc. ( ZNGA ) is -0.03 at $2.97, with 1,751,437 shares traded. ZNGA's current last sale is 92.81% of the target price of $3.2.
Nokia Corporation ( NOK ) is unchanged at $3.48, with 1,595,481 shares traded. NOK's current last sale is 116% of the target price of $3.
Genworth Financial Inc ( GNW ) is unchanged at $10.85, with 1,364,381 shares traded. GNW's current last sale is 94.35% of the target price of $11.5.
Microsoft Corporation ( MSFT ) is -0.6647 at $34.93, with 1,346,802 shares traded., following a 52-week high recorded in today's regular session.
PowerShares QQQ Trust, Series 1 ( QQQ ) is -0.04 at $73.33, with 1,103,560 shares traded. This represents a 22.14% increase from its 52 Week Low.
Abbott Laboratories ( ABT ) is -0.561 at $36.60, with 908,617 shares traded. ABT's current last sale is 91.5% of the target price of $40.
Sirius XM Radio Inc. ( SIRI ) is -0.01 at $3.45, with 827,185 shares traded. As reported in the last short interest update the days to cover for SIRI is 8.121301; this calculation is based on the average trading volume of the stock.
Intel Corporation ( INTC ) is -0.03 at $25.21, with 655,352 shares traded. As reported in the last short interest update the days to cover for INTC is 7.129979; this calculation is based on the average trading volume of the stock.
DIRECTV ( DTV ) is +0.0123 at $61.67, with 472,832 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2013. The consensus EPS forecast is $1.32. As reported by Zacks, the current mean recommendation for DTV is in the "buy range".
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories ( ABT ) is -0.561 at $36.60, with 908,617 shares traded. ABT's current last sale is 91.5% of the target price of $40. As reported in the last short interest update the days to cover for MMR is 12.16322; this calculation is based on the average trading volume of the stock. | Abbott Laboratories ( ABT ) is -0.561 at $36.60, with 908,617 shares traded. ABT's current last sale is 91.5% of the target price of $40. As reported in the last short interest update the days to cover for MMR is 12.16322; this calculation is based on the average trading volume of the stock. | Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2013. Abbott Laboratories ( ABT ) is -0.561 at $36.60, with 908,617 shares traded. ABT's current last sale is 91.5% of the target price of $40. | ABT's current last sale is 91.5% of the target price of $40. Abbott Laboratories ( ABT ) is -0.561 at $36.60, with 908,617 shares traded. The following are the most active stocks for the after hours session : McMoRan Exploration Company ( MMR ) is unchanged at $16.75, with 3,425,428 shares traded. |
34261.0 | 2013-05-30 00:00:00 UTC | Stocks Market News for May 30, 2013 - Market News | ABT | https://www.nasdaq.com/articles/stocks-market-news-for-may-30-2013-market-news-2013-05-30 | nan | nan | Benchmarks slipped into the red after investors reduced their holdings of high yielding dividend stocks. On Tuesday, major indices gained following encouraging domestic reports. But yesterday, the absence of any domestic reports meant investors shifted their attention to the uncertainty surrounding the Federal Reserve's bond purchase program. In the previous week itself, Federal Reserve chairman Ben Bernanke raised concerns over the program which pushed benchmark treasury yields higher. Among the S&P 500 industry groups consumer staples, utilities and health care sectors took a hammering yesterday.
The Dow Jones Industrial Average (DJI) lost 0.7% to close the day at 15,302.80. The S&P 500 decreased 0.7% to finish yesterday's trading session at 1,648.36. The tech-laden Nasdaq Composite Index slipped 0.6% to end at 3,467.52. The fear-gauge CBOE Volatility Index (VIX) gained 2.4% to settle at 14.83. Consolidated volumes on the New York Stock Exchange, American Stock Exchange and Nasdaq were roughly 6.7 billion shares, below 2013's average of 6.4 billion shares. Declining stocks outnumbered the advancers. For the 21% that advanced, 77% declined.
Benchmarks gains on Tuesday were nullified by yesterday's losses. On Tuesday major indices gained after the Street received an encouraging report on the housing sector. The report revealed that home prices reached its highest level in the past seven years. Till now in 2013, the Dow Jones, the S&P 500 and the Nasdaq have gained 16.8%, 15.6% and 14.8%, respectively. A series of domestic reports are scheduled to be released tomorrow, the second estimate of the GDP, initial claims and pending home sales.
But on Wednesday investors reduced their holdings of high yielding dividend stocks which they had preferred at the beginning of the year. This was primarily because investors remained unsure about how long the Federal Reserve will continue with its bond buying program. Benchmark treasury yields have increased since the last week and touched its highest level in more than a year. This increase occurred after Federal Reserve Chairman Ben Bernanke provided indications that the bond buying program would be tapered off.
On the earnings front, Michael Kors Holdings Ltd (NYSE: KORS ) reported its fourth quarter results. The company's earnings came in above the Street's estimates. The company shares gained 3.2% after the announcement of its quarterly results. For the year 2013, the company is aiming for earnings per share of $2.43 to $2.47 and revenue of $2.65 billion to $2.75 billion compared to the Street's estimates of earnings per share of $2.45 and revenue of $2.82 billion. The company's Chief Executive John Idol said: "We're encouraged by our sales results to date."
Consumer staples sector was the biggest loser among the S&P 500 industry groups and the Consumer Staples Select Sect. SPDR (XLP) lost 1.9%. Stocks such as The Procter & Gamble Company (NYSE: PG ), The Coca-Cola Company (NYSE: KO ), Philip Morris International Inc. (NYSE: PM ), Wal-Mart Stores, Inc. (NYSE: WMT ) and CVS Caremark Corporation (NYSE: CVS ) lost 2.4%, 2.7%, 1.2%, 1.4% and 1.6%, respectively.
Health care stocks also took beating yesterday and the Health Care SPDR (XLV) lost 1.6%. Stocks such as Johnson & Johnson (NYSE: JNJ ), Eli Lilly & Co. (NYSE: LLY ), GlaxoSmithKline plc (NYSE: GSK ), Abbott Laboratories (NYSE: ABT ) and Merck & Co., Inc. (NYSE: MRK ) decreased 2.2%, 1.5%, 3.0%, 2.2% and 1.6%, respectively.
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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. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Eli Lilly & Co. (NYSE: LLY ), GlaxoSmithKline plc (NYSE: GSK ), Abbott Laboratories (NYSE: ABT ) and Merck & Co., Inc. (NYSE: MRK ) decreased 2.2%, 1.5%, 3.0%, 2.2% and 1.6%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report CVS CAREMARK CP (CVS): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MICHAEL KORS (KORS): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report WAL-MART STORES (WMT): Free Stock Analysis Report To read this article on Zacks.com click here. But yesterday, the absence of any domestic reports meant investors shifted their attention to the uncertainty surrounding the Federal Reserve's bond purchase program. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Eli Lilly & Co. (NYSE: LLY ), GlaxoSmithKline plc (NYSE: GSK ), Abbott Laboratories (NYSE: ABT ) and Merck & Co., Inc. (NYSE: MRK ) decreased 2.2%, 1.5%, 3.0%, 2.2% and 1.6%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report CVS CAREMARK CP (CVS): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MICHAEL KORS (KORS): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report WAL-MART STORES (WMT): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks such as The Procter & Gamble Company (NYSE: PG ), The Coca-Cola Company (NYSE: KO ), Philip Morris International Inc. (NYSE: PM ), Wal-Mart Stores, Inc. (NYSE: WMT ) and CVS Caremark Corporation (NYSE: CVS ) lost 2.4%, 2.7%, 1.2%, 1.4% and 1.6%, respectively. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Eli Lilly & Co. (NYSE: LLY ), GlaxoSmithKline plc (NYSE: GSK ), Abbott Laboratories (NYSE: ABT ) and Merck & Co., Inc. (NYSE: MRK ) decreased 2.2%, 1.5%, 3.0%, 2.2% and 1.6%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report CVS CAREMARK CP (CVS): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MICHAEL KORS (KORS): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report WAL-MART STORES (WMT): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks such as The Procter & Gamble Company (NYSE: PG ), The Coca-Cola Company (NYSE: KO ), Philip Morris International Inc. (NYSE: PM ), Wal-Mart Stores, Inc. (NYSE: WMT ) and CVS Caremark Corporation (NYSE: CVS ) lost 2.4%, 2.7%, 1.2%, 1.4% and 1.6%, respectively. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Eli Lilly & Co. (NYSE: LLY ), GlaxoSmithKline plc (NYSE: GSK ), Abbott Laboratories (NYSE: ABT ) and Merck & Co., Inc. (NYSE: MRK ) decreased 2.2%, 1.5%, 3.0%, 2.2% and 1.6%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report CVS CAREMARK CP (CVS): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MICHAEL KORS (KORS): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report PROCTER & GAMBL (PG): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report WAL-MART STORES (WMT): Free Stock Analysis Report To read this article on Zacks.com click here. On Tuesday, major indices gained following encouraging domestic reports. |
34262.0 | 2013-05-28 00:00:00 UTC | Vanguard Cuts Fees on Popular Dividend ETF | ABT | https://www.nasdaq.com/articles/vanguard-cuts-fees-popular-dividend-etf-2013-05-28 | nan | nan | Vanguard, the third-largest U.S. ETF sponsor, lowered the annual expense ratio on its popular Vanguard Dividend Appreciation ETF (NYSE: VIG ) to 0.1 percent from 0.13 percent effective Tuesday.
VIG is the largest dividend ETF by assets with $16.2 billion and has raked in $2.1 billion of that total this year, ETF Trends reported .
Fee reductions are nothing new for Vanguard, the pioneer of low cost index funds. In February, the firm cut fees on eight of its ETFs , including popular global funds such as the Vanguard FTSE Emerging Markets ETF (NYSE: VWO ) and the Vanguard FTSE Europe ETF (NYSE: VGK ).
VIG is not the first dividend ETF Vanguard has lowered fees on this year. In February, fees on the Vanguard High Dividend Yield ETF (NYSE: VYM ) were lowered to to 0.1 percent from 0.13 percent .
Prior to the fee reduction, VIG was cheaper than 88 percent of comparable ETFs , according to Vanguard .
VIG's top-10 holdings including PepsiCo (NYSE: PEP ), Wal-Mart (NYSE: WMT ) and Chevron (NYSE: CVX ). Eight of VIG's top-10 holdings are Dow components with PepsiCo and Abbott Labs (NYSE: ABT ) the exceptions.
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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. | Eight of VIG's top-10 holdings are Dow components with PepsiCo and Abbott Labs (NYSE: ABT ) the exceptions. Vanguard, the third-largest U.S. ETF sponsor, lowered the annual expense ratio on its popular Vanguard Dividend Appreciation ETF (NYSE: VIG ) to 0.1 percent from 0.13 percent effective Tuesday. Prior to the fee reduction, VIG was cheaper than 88 percent of comparable ETFs , according to Vanguard . | Eight of VIG's top-10 holdings are Dow components with PepsiCo and Abbott Labs (NYSE: ABT ) the exceptions. Vanguard, the third-largest U.S. ETF sponsor, lowered the annual expense ratio on its popular Vanguard Dividend Appreciation ETF (NYSE: VIG ) to 0.1 percent from 0.13 percent effective Tuesday. In February, the firm cut fees on eight of its ETFs , including popular global funds such as the Vanguard FTSE Emerging Markets ETF (NYSE: VWO ) and the Vanguard FTSE Europe ETF (NYSE: VGK ). | Eight of VIG's top-10 holdings are Dow components with PepsiCo and Abbott Labs (NYSE: ABT ) the exceptions. Vanguard, the third-largest U.S. ETF sponsor, lowered the annual expense ratio on its popular Vanguard Dividend Appreciation ETF (NYSE: VIG ) to 0.1 percent from 0.13 percent effective Tuesday. In February, the firm cut fees on eight of its ETFs , including popular global funds such as the Vanguard FTSE Emerging Markets ETF (NYSE: VWO ) and the Vanguard FTSE Europe ETF (NYSE: VGK ). | Eight of VIG's top-10 holdings are Dow components with PepsiCo and Abbott Labs (NYSE: ABT ) the exceptions. In February, the firm cut fees on eight of its ETFs , including popular global funds such as the Vanguard FTSE Emerging Markets ETF (NYSE: VWO ) and the Vanguard FTSE Europe ETF (NYSE: VGK ). VIG is not the first dividend ETF Vanguard has lowered fees on this year. |
34263.0 | 2013-05-22 00:00:00 UTC | CE Mark for Abbott's Xience Xpedition 48 - Analyst Blog | ABT | https://www.nasdaq.com/articles/ce-mark-for-abbotts-xience-xpedition-48-analyst-blog-2013-05-22 | nan | nan | Abbott Laboratories ( ABT ) recently announced that it received CE Mark in Europe for its drug eluting stent - Xience Xpedition 48 Everolimus Eluting Coronary Stent System.
Xience Xpedition 48 is the latest addition to Abbott Labs' Xience drug-eluting stent franchise. The product is designed to enable treatment for very long blockages in the vessels that supply blood to the heart due to coronary artery disease (CAD).
The Xience drug-eluting stent family is a core part of Abbott Labs' vascular business. We note that Abbott Labs has been consistently making efforts to innovate its Xience drug-eluting stent franchise (includes Xience V, Prime, nano and Xpedition) over the last three years.
Xience nano and Xience Prime were launched in the US in 2011 while Xience Prime and Xience V were launched in Japan in Apr 2012 and Jan 2010, respectively. The launch of Xience Xpedition in the US in Jan 2013 further boosted the franchise. Moreover, Abbott Labs expects Xience Xpedition to gain approval in Japan by mid-2013.
The continued uptake of Xience Xpedition in the US along with the expected launch of Xience Xpedition in Japan coupled with other products should drive growth in the vascular business in the second quarter of 2013.
Following the separation of its research-based pharmaceuticals business into a new company, AbbVie ( ABBV ), in Jan 2013, Abbott Labs became a diversified medical products company with focus on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses.
We believe the diversification bodes well for Abbott Labs and should enable the company to counter the challenging business environment in 2013 as a result of austerity measures undertaken by developed markets in 2013 coupled with weak economic conditionsand a mixed global economy.
Abbott Labs currently carries a Zacks Rank #3 (Hold). Right now, AtriCure, Inc. ( ATRC ) and TranS1 Inc ( TSON ) look well placed with a Zacks Rank #2 (Buy).
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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. | Abbott Laboratories ( ABT ) recently announced that it received CE Mark in Europe for its drug eluting stent - Xience Xpedition 48 Everolimus Eluting Coronary Stent System. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report TRANS1 INC (TSON): Free Stock Analysis Report To read this article on Zacks.com click here. The product is designed to enable treatment for very long blockages in the vessels that supply blood to the heart due to coronary artery disease (CAD). | Abbott Laboratories ( ABT ) recently announced that it received CE Mark in Europe for its drug eluting stent - Xience Xpedition 48 Everolimus Eluting Coronary Stent System. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report TRANS1 INC (TSON): Free Stock Analysis Report To read this article on Zacks.com click here. Following the separation of its research-based pharmaceuticals business into a new company, AbbVie ( ABBV ), in Jan 2013, Abbott Labs became a diversified medical products company with focus on branded generic pharmaceutical, medical devices, diagnostic and nutritional businesses. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report TRANS1 INC (TSON): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) recently announced that it received CE Mark in Europe for its drug eluting stent - Xience Xpedition 48 Everolimus Eluting Coronary Stent System. We note that Abbott Labs has been consistently making efforts to innovate its Xience drug-eluting stent franchise (includes Xience V, Prime, nano and Xpedition) over the last three years. | Abbott Laboratories ( ABT ) recently announced that it received CE Mark in Europe for its drug eluting stent - Xience Xpedition 48 Everolimus Eluting Coronary Stent System. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report ATRICURE INC (ATRC): Free Stock Analysis Report TRANS1 INC (TSON): Free Stock Analysis Report To read this article on Zacks.com click here. Xience Xpedition 48 is the latest addition to Abbott Labs' Xience drug-eluting stent franchise. |
34264.0 | 2013-05-06 00:00:00 UTC | Covidien Provides 2013 Outlook - Analyst Blog | ABT | https://www.nasdaq.com/articles/covidien-provides-2013-outlook-analyst-blog-2013-05-06 | nan | nan | Covidien plc ( COV ) has revealed its guidance for fiscal 2013 after adjusting for the spin-off of the Pharmaceutical business, which is expected to take place at the end of third quarter of fiscal 2013. It has also provided a separate guidance for Mallinckrodt plc.
For fiscal 2013, Covidien expects net revenue to grow by 4% to 5% (earlier 5% to 8%) year over year. The company's core Medical Devices segment is expected to be up 4%-6% (earlier 5%-8%) and the Medical Supplies business is expected to grow 1%-2% (earlier 1%-3%) year over year.
Further, adjusted operating margin (excluding one-time items) is anticipated in the range of 22.0%-22.5% (earlier 22%-23%). Effective tax rate is expected in the band of 17.0% and 17.5% (earlier 17.5% and 18.5%) for fiscal 2013. Average shares outstanding are expected between 470 million and 475 million.
Covidien has lowered its guidance due to unfavorable foreign currency fluctuations. Management believes that once the impact of the medical device tax and unfavorable foreign exchange rate is accounted into the financials after a year, Covidien will likely deliver better top-line performance and experience higher earnings growth for 2014.
In addition to the guidance, Covidien has released historical financial statements from fiscal 2010 to 2012 and the first quarter of fiscal 2013, after adjusting for the forthcoming discontinued operations.
In a separate press release, Covidien provided the first full-year guidance for Mallinckrodt, which is expected to operate as a separate, publicly traded company from mid-2013. For fiscal 2013, the Pharmaceuticals division is anticipated to grow 7%-11%, on the back of new products.
Our Take
Although adverse foreign exchange translation is likely to hamper growth at Covidien in fiscal 2013, we believe that this international healthcare major will be able to maintain its growth momentum in the long run. The company is adequately placed to achieve its long-term revenues and earnings growth targets based on its attractive fundamentals, strategic R&D investment, effective execution, new product cycle and expansion into emerging markets.
The company had announced its decision to divest this unit in Dec 2011 in an effort to focus on its high-margin surgical product portfolio. However, we are cognizant regarding the divestment-related risks associated with the spin-off.
In Jan 2013, Abbott Laboratories ( ABT ) also divested its research-based pharmaceuticals business into a new company, AbbVie ( ABBV ) for the same reason as Covidien. Since its inception, AbbVie's share price increased almost 30%, which is encouraging. ABT has also performed well following the divestment, with share price increasing 18%, year-to-date.
Covidien currently carries a Zacks Rank #3 (Hold). While we remain on the sidelines regarding Covidien due to a difficult healthcare environment, medical products company, Conceptus ( CPTS ), carrying a Zacks Rank #1 (Strong Buy), warrants a look.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In Jan 2013, Abbott Laboratories ( ABT ) also divested its research-based pharmaceuticals business into a new company, AbbVie ( ABBV ) for the same reason as Covidien. ABT has also performed well following the divestment, with share price increasing 18%, year-to-date. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report CONCEPTUS INC (CPTS): Free Stock Analysis Report To read this article on Zacks.com click here. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report CONCEPTUS INC (CPTS): Free Stock Analysis Report To read this article on Zacks.com click here. In Jan 2013, Abbott Laboratories ( ABT ) also divested its research-based pharmaceuticals business into a new company, AbbVie ( ABBV ) for the same reason as Covidien. ABT has also performed well following the divestment, with share price increasing 18%, year-to-date. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report CONCEPTUS INC (CPTS): Free Stock Analysis Report To read this article on Zacks.com click here. In Jan 2013, Abbott Laboratories ( ABT ) also divested its research-based pharmaceuticals business into a new company, AbbVie ( ABBV ) for the same reason as Covidien. ABT has also performed well following the divestment, with share price increasing 18%, year-to-date. | In Jan 2013, Abbott Laboratories ( ABT ) also divested its research-based pharmaceuticals business into a new company, AbbVie ( ABBV ) for the same reason as Covidien. ABT has also performed well following the divestment, with share price increasing 18%, year-to-date. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report COVIDIEN PLC (COV): Free Stock Analysis Report CONCEPTUS INC (CPTS): Free Stock Analysis Report To read this article on Zacks.com click here. |
34265.0 | 2013-04-29 00:00:00 UTC | Amarin's Performance Issues: Here To Stay? | ABT | https://www.nasdaq.com/articles/amarins-performance-issues-here-stay-2013-04-29 | nan | nan | ByDallas Salazar:
Amarin Corporation ( AMRN ) is one of the most controversial and debated stocks in recent memory. Plenty of information exists that helps validate both the bull and bear case to the stock with recent events taking place that have more than proven the short-term bears correct. Fortunately for the Amarin faithful, the company is in a unique position to begin and continue a steady upward climb in share price without overcoming the main foundation to the bear argument, something that is extremely rare and could make this stock an extremely long and painful trade for the bears.
What are we talking about?
Amarin Corporation Plc is a biopharmaceutical company focused on the commercialization and development of therapeutics to improve cardiovascular health. Their flagship drug is Vascepa, a drug developed to treat patients with hypertriglyceridemia (high levels of fats in the blood), specifically those with TG's GSK ) Lovaza, Pfizer's ( PFE ) Lipitor, AstraZeneca's ( AZN ) Crestor, and Abbott Laboratories ( ABT ) Tricor. Each of these drugs has routinely eclipsed the 1 billion a year in sales mark, giving them the prestigious title of blockbuster. Blockbusters are the holy grail of pharmaceutical companies. They greatly help fund research and development, marketing, acquisitions, and every other function of the company.
Why the broken chart?
(click to enlarge)
It doesn't take a seasoned trading veteran to recognize that Amarin has had a horrible run over the last twelve months and as I said above, the bears have been correct in shorting this stock (selling borrowed shares of a stock with a promise to buy and return them at a later date, meaning the sellers think the price will go down). The company has a current market cap of 1.03 billion and has a 52-week trading range of $6.34-$15.96. The stock has lost 45% in the last 6 months and 20% since January alone. It's trading at a 60% discount to the mean sell side price target of $19.50. It has been a consistent loser and has been an absolute failure when looked at on a 12 months basis. Most of this share price drop has been the result of Amarin not receiving New Chemical Entity (NCE) status from the FDA following its approval of Vascepa on 7/26/2012. NCE is paramount to the exclusivity protection of a drug and therefore its projected sales, which entirely dictates the market cap and share price potential of Amarin. Without the promise of protection against generic competition, Amarin has found it difficult to find a partner to help them market and sell their drug. Sales expectations have slowly been guided down from a peak of 2 billion to 500 million. They have been forced to try to launch and sell their product on their own which puts them at a huge disadvantage when compared to the alternative route. The bears have punished the stock for not having NCE and this is the foundation of their argument against Amarin.
Why should I consider this a buying opportunity?
Even without NCE, Amarin has the possibility of being granted NCE once a month when the FDA updates its Orange Book, there are numerous reasons this dip should be bought, most notably the fact that Vascepa is a superior drug to the four listed above. That's right, Vascepa has fundamental advantages for patients its competitors simply do not. Remember, the share price drop hasn't taken place because Vascepa isn't a better product, it's taken place based on exclusivity fears. For instance, GSK's Lovaza has an Atrial Fibrillation (increases in the frequency of a heart rhythm problem) warning on its label and raises LDL, which is considered the "bad" cholesterol. Abbott Labs' Tricor increases HDL, generally considered a "good" cholesterol but for those being treated for extremely high levels of cholesterol any increase is considered not good. Vascepa can be taken without an increase to either.
Peace also has built in advantages that will be priced into the stock, in my opinion, going forward. For instance, Amarin's ANCHOR trial results have shown the drug's ability to reduce ApoC-III, which increases cardiovascular event risk. An increase in ApoC-III levels induces the development of hypertriglyceridemia, exactly what these drugs are meant to treat. Amarin's ANCHOR study has shown to this point the drugs efficacy in treatment of patients when combined with statins. Although the REDUCE-IT study isn't expected to be completed until 2016, the results of the ANCHOR study showing the ability to lower triglyceride levels in patients on statin therapy and reduce ApoC-III, which is associated with cardiovascular risk, look extremely promising for the future results of the REDUCE-IT study. The FDA also recently accepted Amarin's NDA for Vascepa to treat patients with high triglycerides, specifically those with TGs >200mg/dL and = 500mg/dL, which is basically 1 in 5 adults. This would increase Amarin's current market by ten. If approved for this, they could very reasonably reach 2 billion in sales. This along with the stock trading just above its 52-week low is reason enough to justify the risk-to-reward ratio of buying the stock as many believe this is a mere formality before approval.
There's also the recent "patent cliff" experienced by Pfizer's drug Lipitor, that with growing prescriptions for Vascepa and even a short-term exclusivity could have a large pharma convinced this is a short-term patch for the massive drop off in revenue that comes with their drugs exclusivity running out. If Amarin can continue to increase the uses and treatable patient populations for Vascepa, they may be able to attract a partner or a buyout from a company needing to help transition their move to a more streamlined and focused approach. Sales for Lipitor have been hammered starting in Q3/2011 because of generic competition, the same exclusivity fears that have pounded Amarin's stock have played out in the chart below, illustrating just why the market is so concerned about NCE. Remember, Amarin does in fact have a short-term exclusivity even without NCE:
(click to enlarge)
(click to enlarge)
The question becomes, assuming NCE continues to be delayed or is never granted, can Amarin show enough initial sales or expand the approved market to a point to get, at minimum, a partnership to help sell and market their unique drug. I believe they can and I also believe that Pfizer's recent drop off in Lipitor sales and the following collapse in revenue is motivation enough to at least get previously closed off eyes to open. Big pharma companies are currently asking themselves "how do we remain extremely profitable and sustain operations if we're investing less and less in R&D," and I think that as Vascepa becomes a drug that is uniquely suited to treat particular patient populations they become a very attractive answer.
What's the bottom line? Where's the trade?
With Amarin trading as of 4/26/13 at $6.84, this is after a 7% rise on Friday, I think the risk-to-reward is in favor of the bulls both short term and long term. Most pharma stocks typically trade at three times projected sales and then increase to six times actual sales produced. Even with a baseline projected sales of 500mm/year and the 20% short interest in the stock, Amarin is trading well under industry average. If you believe that the NDA recently submitted will be approved and expand the patient base for Vascepa, this greatly increases both the floor and ceiling of the share price. The short-term price of Amarin will be heavily dependent on prescription sales numbers, but the long-term price will be tethered to how wide a net Vascepa can cast and if they can eventually attract a partner. As, what I think will be, better and better prescription numbers trickle in, the shorts will have to slowly cover their positions in turn helping the price of the stock. I think this could turn into a significant pain trade for the bears and that Amarin could be a suitable place to invest medium to long term IRA money or short-term money from an investor's speculative bucket.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
See also 6 Reasons To Buy Licensing Giant Iconix Brand Group on seekingalpha.com
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 flagship drug is Vascepa, a drug developed to treat patients with hypertriglyceridemia (high levels of fats in the blood), specifically those with TG's GSK ) Lovaza, Pfizer's ( PFE ) Lipitor, AstraZeneca's ( AZN ) Crestor, and Abbott Laboratories ( ABT ) Tricor. If Amarin can continue to increase the uses and treatable patient populations for Vascepa, they may be able to attract a partner or a buyout from a company needing to help transition their move to a more streamlined and focused approach. Sales for Lipitor have been hammered starting in Q3/2011 because of generic competition, the same exclusivity fears that have pounded Amarin's stock have played out in the chart below, illustrating just why the market is so concerned about NCE. | Their flagship drug is Vascepa, a drug developed to treat patients with hypertriglyceridemia (high levels of fats in the blood), specifically those with TG's GSK ) Lovaza, Pfizer's ( PFE ) Lipitor, AstraZeneca's ( AZN ) Crestor, and Abbott Laboratories ( ABT ) Tricor. Remember, the share price drop hasn't taken place because Vascepa isn't a better product, it's taken place based on exclusivity fears. For instance, Amarin's ANCHOR trial results have shown the drug's ability to reduce ApoC-III, which increases cardiovascular event risk. | Their flagship drug is Vascepa, a drug developed to treat patients with hypertriglyceridemia (high levels of fats in the blood), specifically those with TG's GSK ) Lovaza, Pfizer's ( PFE ) Lipitor, AstraZeneca's ( AZN ) Crestor, and Abbott Laboratories ( ABT ) Tricor. Fortunately for the Amarin faithful, the company is in a unique position to begin and continue a steady upward climb in share price without overcoming the main foundation to the bear argument, something that is extremely rare and could make this stock an extremely long and painful trade for the bears. (click to enlarge) It doesn't take a seasoned trading veteran to recognize that Amarin has had a horrible run over the last twelve months and as I said above, the bears have been correct in shorting this stock (selling borrowed shares of a stock with a promise to buy and return them at a later date, meaning the sellers think the price will go down). | Their flagship drug is Vascepa, a drug developed to treat patients with hypertriglyceridemia (high levels of fats in the blood), specifically those with TG's GSK ) Lovaza, Pfizer's ( PFE ) Lipitor, AstraZeneca's ( AZN ) Crestor, and Abbott Laboratories ( ABT ) Tricor. (click to enlarge) It doesn't take a seasoned trading veteran to recognize that Amarin has had a horrible run over the last twelve months and as I said above, the bears have been correct in shorting this stock (selling borrowed shares of a stock with a promise to buy and return them at a later date, meaning the sellers think the price will go down). Most of this share price drop has been the result of Amarin not receiving New Chemical Entity (NCE) status from the FDA following its approval of Vascepa on 7/26/2012. |
34266.0 | 2013-04-26 00:00:00 UTC | Earnings Beat for ABAX, Sluggish Overall - Analyst Blog | ABT | https://www.nasdaq.com/articles/earnings-beat-for-abax-sluggish-overall-analyst-blog-2013-04-26 | nan | nan | Provider of portable blood analysis systems for human and veterinary patient-care, Abaxis Inc. ( ABAX ) reported fourth-quarter fiscal 2013 earnings per share ("EPS") of 30 cents, a beat of 3 cents over the Zacks Consensus Estimate. The result also sailed past the year-ago EPS by 42.8%.
Considering a $17.5 million gain from the company's litigation settlement in the second quarter of fiscal 2013, the annual EPS was pegged at $1.23, compared with the year-ago 58 cents. The Zacks Consensus Estimate for EPS in fiscal 2013 was 80 cents.
Revenues soared 17% year over year to $50 million, although missing the Zacks Consensus Estimate of $51 million in the quarter. For the full year, revenues came in at $186 million, recording annualized growth of 19% and ahead of the Zacks Consensus Estimate by a million.
Quarter in Detail
On a geographic basis, revenues from North America (accounting for 84% of total revenues) were up 18% to $41.9 million, while revenues from the international market (representing 16%) climbed 10% to $8.1 million. Even amid a challenging macroeconomic scenario in Spain and Italy, international growth came as an encouragement for the company.
According to ABAX, this was primarily on the back of growth in its higher margin consumable sales that represented 72% of the total revenue in the reported quarter.
Within the customer group, Veterinary market revenues witnessed a significant upside of 25% on a year-over-year basis to $42.9 million, while sales in the Medical market declined 18% year over year to roughly $6.3 million. Excluding sales to the U.S. government, worldwide Medical sales decreased 20% year over year to $5.7 million.
The overall disappointing performance in the medical business during the quarter was primarily due to the transition from a direct sales model to a distribution model with Abbott Laboratories ( ABT ). However, sales from the Other customer group declined 2.8% year over year to approximately $758 million.
Total consumable sales increased 16% from the prior-year quarter, while instrumental sales increased 8% on a year-over-year basis. Sales of medical and veterinary reagent discs surged 14% to $27 million in the fourth quarter. Total medical and veterinary instrument unit sales improved 13% to 1,485 units. Moreover, service revenues from Abaxis Veterinary Reference Laboratories (AVRL) maintained its growth momentum and recorded sales of $1.8 million, up 31% on a sequential basis.
Margins
Despite a 12% increase in the fourth-quarter gross profit to $26.2 million, gross margin contracted 230 basis points (bps) to 52.5%. The decline was attributed to lower ASPs on medical products sold to Abbott and higher sales of other low-margin products.
The company recorded higher research and development expenses (up 2.5% to $3.2 million) and sales and marketing (up 1% to $11.3 million) expenditure and general and administrative expenses (up 3.2% to $2.7 million) on a year-over-year basis. Despite the increase in operating expenses (up 1.5% to $17.2 million), income from operations surged 39.5% to $8.9 million, leading to a significant 292 bps expansion in operating margin to 17.9%.
Abaxis exited the fiscal with cash and cash equivalents and short-term investments of roughly $78.3 million, up from $67.5 million at the end of fiscal 2012.
Our Take
In spite of number of positives including quarterly and fiscal earnings beat, we are not so encouraged with quarter's result of Abaxis, which seems quite sluggish. The difficult economic conditions in Europe are still taking a toll on the company's international performance.
In addition, the distribution relationship with Abbott is yet to bring fruitful outcomes. Besides, we are wary about the company's increasing reliance on distributors to boost sales and the competitive landscape with larger players. However, we believe that Abaxis serves a niche market and is well poised to maintain its growth momentum.
Abaxis carries a Zacks Rank #3 (Hold). Medical products companies such as Cyberonics Inc. ( CYBX ), and Health Net Inc. ( HNT ), which carry a Zacks Rank #1 (Strong Buy) are worth considering.
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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 overall disappointing performance in the medical business during the quarter was primarily due to the transition from a direct sales model to a distribution model with Abbott Laboratories ( ABT ). ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report HEALTH NET INC (HNT): Free Stock Analysis Report To read this article on Zacks.com click here. Considering a $17.5 million gain from the company's litigation settlement in the second quarter of fiscal 2013, the annual EPS was pegged at $1.23, compared with the year-ago 58 cents. | ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report HEALTH NET INC (HNT): Free Stock Analysis Report To read this article on Zacks.com click here. The overall disappointing performance in the medical business during the quarter was primarily due to the transition from a direct sales model to a distribution model with Abbott Laboratories ( ABT ). Provider of portable blood analysis systems for human and veterinary patient-care, Abaxis Inc. ( ABAX ) reported fourth-quarter fiscal 2013 earnings per share ("EPS") of 30 cents, a beat of 3 cents over the Zacks Consensus Estimate. | The overall disappointing performance in the medical business during the quarter was primarily due to the transition from a direct sales model to a distribution model with Abbott Laboratories ( ABT ). ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report HEALTH NET INC (HNT): Free Stock Analysis Report To read this article on Zacks.com click here. Revenues soared 17% year over year to $50 million, although missing the Zacks Consensus Estimate of $51 million in the quarter. | The overall disappointing performance in the medical business during the quarter was primarily due to the transition from a direct sales model to a distribution model with Abbott Laboratories ( ABT ). ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report HEALTH NET INC (HNT): Free Stock Analysis Report To read this article on Zacks.com click here. For the full year, revenues came in at $186 million, recording annualized growth of 19% and ahead of the Zacks Consensus Estimate by a million. |
34267.0 | 2013-04-23 00:00:00 UTC | Abbott - Epizyme Collaborate - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-epizyme-collaborate-analyst-blog-2013-04-23 | nan | nan | Abbott Laboratories(ABT) recently announced a strategic deal with Epizyme, Inc. for the development of a molecular companion diagnostic test for use with EPZ-5676.
EPZ-5676 is being developed by Epizyme for the treatment of mixed lineage leukemia (MLL-r).
Under this deal, Abbott Labs will use its fluorescence in situhybridization (FISH) technology to develop the test. It will help in identifying patients eligible for treatment with Epizyme's EPZ-5676. Financial details of the deal were not provided.
In Feb 2013, Abbott Labs collaborated with Johnson & Johnson's ( JNJ ) Janssen Biotech, Inc. and Pharmacyclics, Inc. (PCYC) to use Abbott Labs' proprietary FISH technology for developing a molecular companion diagnostic test that will help identify patients with a genetic subtype of chronic lymphocytic leukemia (CLL).
The FISH-based test will be used for the identification of high-risk CLL patients who are more likely to respond to ibrutinib. Ibrutinib is being developed for several B-cell malignancies including chronic leukemia and lymphoma. Pharmacyclics expects to file a New Drug Application (NDA) with the US Food and Drug Administration (FDA) for the use of ibrutinib in patients with relapsed or refractory mantle cell lymphoma (MCL) before the end of 2013.
We note that Abbott Labs separated its business into two publicly-traded companies on Jan 1, 2013 - one in diversified medical products and the other in research-based pharmaceuticals.
Abbott Labs is extremely diversified with attractive nutrition and diagnostics businesses. AbbottLabs carries a Zacks Rank #3 (Hold). Right now, NuVasive, Inc. (NUVA) looks more attractive with a Zacks Rank #1 (Strong Buy).
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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. | Abbott Laboratories(ABT) recently announced a strategic deal with Epizyme, Inc. for the development of a molecular companion diagnostic test for use with EPZ-5676. ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report To read this article on Zacks.com click here. In Feb 2013, Abbott Labs collaborated with Johnson & Johnson's ( JNJ ) Janssen Biotech, Inc. and Pharmacyclics, Inc. (PCYC) to use Abbott Labs' proprietary FISH technology for developing a molecular companion diagnostic test that will help identify patients with a genetic subtype of chronic lymphocytic leukemia (CLL). | Abbott Laboratories(ABT) recently announced a strategic deal with Epizyme, Inc. for the development of a molecular companion diagnostic test for use with EPZ-5676. ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report To read this article on Zacks.com click here. In Feb 2013, Abbott Labs collaborated with Johnson & Johnson's ( JNJ ) Janssen Biotech, Inc. and Pharmacyclics, Inc. (PCYC) to use Abbott Labs' proprietary FISH technology for developing a molecular companion diagnostic test that will help identify patients with a genetic subtype of chronic lymphocytic leukemia (CLL). | ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories(ABT) recently announced a strategic deal with Epizyme, Inc. for the development of a molecular companion diagnostic test for use with EPZ-5676. In Feb 2013, Abbott Labs collaborated with Johnson & Johnson's ( JNJ ) Janssen Biotech, Inc. and Pharmacyclics, Inc. (PCYC) to use Abbott Labs' proprietary FISH technology for developing a molecular companion diagnostic test that will help identify patients with a genetic subtype of chronic lymphocytic leukemia (CLL). | Abbott Laboratories(ABT) recently announced a strategic deal with Epizyme, Inc. for the development of a molecular companion diagnostic test for use with EPZ-5676. ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report PHARMACYCLICS (PCYC): Free Stock Analysis Report To read this article on Zacks.com click here. Under this deal, Abbott Labs will use its fluorescence in situhybridization (FISH) technology to develop the test. |
34268.0 | 2013-04-19 00:00:00 UTC | S&P Likes The Biggest Dividend ETF | ABT | https://www.nasdaq.com/articles/sp-likes-biggest-dividend-etf-2013-04-19 | nan | nan | Dividend stocks and ETFs have been all the rage this year, underscoring the risk off nature of the broader market's rally .
Low volatility, high dividend sectors such as utilities health care and consumer staples have driven stocks higher. With a potentially bumpy ride ahead for investors over the next few months, dividends may take on increased appeal.
"While we believe equities should move higher in the next twelve months, the journey will likely be a volatile one. With that in mind, we think investors might find investment strategies focused on consistent dividend-paying stocks appealing. Not only can they help protect against downside in a market pullback, they can also aid returns during a subsequent potential market rally," said S&P Capital IQ in a new research note.
The research firm pointed out that since 1926, more than 40 percent of the total return for the S&P 500 has come from reinvested dividends.
Investors have plenty of dividend ETFs from which to choose, but the largest by assets is the Vanguard Dividend Appreciation ETF (NYSE: VIG ). The Vanguard Dividend Appreciation ETF, which is home to nearly $14.6 billion in assets under management, garnered an Overweight rating from S&P Capital IQ.
VIG has annual expense ratio of 0.13 percent, making it less expensive than 88 percent of comparable funds, according to Vanguard . The ETF tracks the NASDAQ US Dividend Achievers Select Index, which requires constituents to have increased dividends every year for at least the past decade.
"While the stocks inside this portfolio have strong records of dividend increases, investors should be mindful that dividend increases due not occur in perpetuity," said S&P in the note. "So we think looking at the underlying holdings' earnings potential to see if there is room for dividend growth is warranted. We believe that a dividend-to-earnings payout percentage of below 70% gives a company flexibility to invest for growth and still raise its dividend. As of the end of 2012, the S&P 500's payout ratio was 43%, versus an average of 52% since the mid-1930s."
VIG holds 147 stocks and its top-10 holdings represented 39.5 percent of the ETF's weight as of March 31. The ETF yields around 2.2 percent and is surprisingly light on some of investors' favorite dividend sectors. Telecommunications and utilities combine for just 1.3 percent of VIG's weight while health care receives an allocation of 8.4 percent.
VIG makes up for that with a 24 percent weight to consumer staples names. In fact, four of VIG's top-five holdings - PepsiCo (NYSE: PEP ), Procter & Gamble (NYSE: PG ), Coca-Cola (NYSE: KO ) and Wal-Mart (NYSE: WMT ) - are also four of the top six holdings in the Consumer Staples Select Sector SPDR (NYSE: XLP ).
Other prominent sector weights in VIG include 18.7 percent to indusrials, 12.8 percent to consumer discretionary and 12.4 percent to energy. Eight of the ETF's 10 largest holdings are members of the Dow Jones Industrial Average with Pepsi and Abbott Labs (NYSE: ABT ) being the outliers.
Through March VIG and its mutual fund equivalent, the Vanguard Dividend Appreciation Index Fund ( VDAIX ) had a "beta of 0.84 and the standard deviation of 12.8 for both funds were relatively low compared to the S&P 500 Index and the broader equity ETF and mutual fund universes that S&P Capital IQ has rankings on," according to S&P.
VIG has outperformed the SPDR S&P 500 (NYSE: SPY ) over the past 12, 24 and 36 months while being less volatile than SPY over all those time frames. In the past year, VIG is up 16.2 percent compared to 15 percent for SPY.
For more on ETFs, click here .
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Eight of the ETF's 10 largest holdings are members of the Dow Jones Industrial Average with Pepsi and Abbott Labs (NYSE: ABT ) being the outliers. Low volatility, high dividend sectors such as utilities health care and consumer staples have driven stocks higher. The Vanguard Dividend Appreciation ETF, which is home to nearly $14.6 billion in assets under management, garnered an Overweight rating from S&P Capital IQ. | Eight of the ETF's 10 largest holdings are members of the Dow Jones Industrial Average with Pepsi and Abbott Labs (NYSE: ABT ) being the outliers. Low volatility, high dividend sectors such as utilities health care and consumer staples have driven stocks higher. Investors have plenty of dividend ETFs from which to choose, but the largest by assets is the Vanguard Dividend Appreciation ETF (NYSE: VIG ). | Eight of the ETF's 10 largest holdings are members of the Dow Jones Industrial Average with Pepsi and Abbott Labs (NYSE: ABT ) being the outliers. Investors have plenty of dividend ETFs from which to choose, but the largest by assets is the Vanguard Dividend Appreciation ETF (NYSE: VIG ). In fact, four of VIG's top-five holdings - PepsiCo (NYSE: PEP ), Procter & Gamble (NYSE: PG ), Coca-Cola (NYSE: KO ) and Wal-Mart (NYSE: WMT ) - are also four of the top six holdings in the Consumer Staples Select Sector SPDR (NYSE: XLP ). | Eight of the ETF's 10 largest holdings are members of the Dow Jones Industrial Average with Pepsi and Abbott Labs (NYSE: ABT ) being the outliers. Investors have plenty of dividend ETFs from which to choose, but the largest by assets is the Vanguard Dividend Appreciation ETF (NYSE: VIG ). In the past year, VIG is up 16.2 percent compared to 15 percent for SPY. |
34269.0 | 2013-04-19 00:00:00 UTC | Abbott Labs Recalls Glucose Meter - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-labs-recalls-glucose-meter-analyst-blog-2013-04-19 | nan | nan | Abbott Laboratories ( ABT ) recently announced that the company is initiating a voluntary recall of its FreeStyle InsuLinx Blood Glucose Meters in the US.
Abbott Labs decided to recall the its FreeStyle InsuLinx Blood Glucose Meters as it found that the device displayed and stored wrong test results in patients with extremely high blood glucose levels.
Abbott Labs estimates that there are approximately 50,000 active FreeStyle InsuLinx Meter users in the US and asked them to take appropriate measures.
Following the identification of the deficiency, the company has started the process of informing the concerned persons about the same.
Abbott Labs has also notified the US Food and Drug Administration (FDA) and all relevant healthcare authorities in the other countries about the defect.
We note that Abbott Labs obtained U.S. regulatory approval for its FreeStyle InsuLinx Meter in the first quarter of 2013. Earlier in 2011, the company obtained CE mark and Health Canada approval for ts FreeStyle InsuLinx Blood Glucose Meters. The CE mark is a mandatory confirmation for products placed in the European markets.
We remind investors that in Jan 2013, Abbott Labs separated its research-based pharmaceuticals business by creating a new company - AbbVie ( ABBV ). The decision to spin off the business was taken in Oct 2011 when Abbott decided to separate its business into two publicly traded companies - one in diversified medical products and the other in research-based pharmaceuticals.
Following the move, Abbott Labs became a diversified medical products company including branded generic pharmaceutical, devices, diagnostic and nutritional businesses.
Abbott intends to increase its presence in emerging markets, which provide a substantial opportunity for growth, given the rise in middle-class income and aging population. The diversification should enable Abbott to penetrate these markets and capture market share.
In particular, the nutrition and diagnostics business should maintain momentum and boost the bottom line due to an improvement in operating margins.
Abbott Labs currently carries a Zacks Rank #3 (Hold). As of now, Nuvasive ( NUVA ) looks attractive with a Zacks Rank #1 (Strong Buy). Exactech ( EXAC ) also looks well placed with a Zacks Rank #2 (Buy).
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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. | Abbott Laboratories ( ABT ) recently announced that the company is initiating a voluntary recall of its FreeStyle InsuLinx Blood Glucose Meters in the US. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Following the move, Abbott Labs became a diversified medical products company including branded generic pharmaceutical, devices, diagnostic and nutritional businesses. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) recently announced that the company is initiating a voluntary recall of its FreeStyle InsuLinx Blood Glucose Meters in the US. Abbott Labs decided to recall the its FreeStyle InsuLinx Blood Glucose Meters as it found that the device displayed and stored wrong test results in patients with extremely high blood glucose levels. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) recently announced that the company is initiating a voluntary recall of its FreeStyle InsuLinx Blood Glucose Meters in the US. Abbott Labs decided to recall the its FreeStyle InsuLinx Blood Glucose Meters as it found that the device displayed and stored wrong test results in patients with extremely high blood glucose levels. | Abbott Laboratories ( ABT ) recently announced that the company is initiating a voluntary recall of its FreeStyle InsuLinx Blood Glucose Meters in the US. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Earlier in 2011, the company obtained CE mark and Health Canada approval for ts FreeStyle InsuLinx Blood Glucose Meters. |
34270.0 | 2013-04-18 00:00:00 UTC | Company News for April 18, 2013 - Corporate Summary | ABT | https://www.nasdaq.com/articles/company-news-for-april-18-2013-corporate-summary-2013-04-18 | nan | nan | • Intel Corporation (NASDAQ: INTC ) reported first quarter earnings per share of $0.40, missing the Zacks Consensus Estimate of $0.42
• CSX Corporation (NYSE: CSX ) posted first quarter earnings per share of $0.45, beating the Zacks Consensus Estimate of $0.40
• Abbott Laboratories (NYSE: ABT ) reported first quarter earnings per share of $0.42, in line with the Zacks Consensus Estimate
• The Bank of New York Mellon Corporation (NYSE: BK ) posted first quarter earnings per share of $0.57 higher than the Zacks Consensus Estimate of $0.52
• Dover Corp. (NYSE: DOV ) reported first quarter earnings per share of $1.10, ahead of the Zacks Consensus Estimate of $1.08
• Mattel, Inc. (NASDAQ: MAT ) posted first quarter earnings per share of $0.11, higher than the Zacks Consensus Estimate of $0.08
• PNC Financial Services (NYSE: PNC ) reported first quarter earnings per share of $1.76, breezing past the Zacks Consensus Estimate of $1.57
• St. Jude Medical, Inc. (NYSE: STJ ) posted first quarter earnings per share of $0.92, in line with the Zacks Consensus Estimate
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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. | • Intel Corporation (NASDAQ: INTC ) reported first quarter earnings per share of $0.40, missing the Zacks Consensus Estimate of $0.42 • CSX Corporation (NYSE: CSX ) posted first quarter earnings per share of $0.45, beating the Zacks Consensus Estimate of $0.40 • Abbott Laboratories (NYSE: ABT ) reported first quarter earnings per share of $0.42, in line with the Zacks Consensus Estimate • The Bank of New York Mellon Corporation (NYSE: BK ) posted first quarter earnings per share of $0.57 higher than the Zacks Consensus Estimate of $0.52 • Dover Corp. (NYSE: DOV ) reported first quarter earnings per share of $1.10, ahead of the Zacks Consensus Estimate of $1.08 • Mattel, Inc. (NASDAQ: MAT ) posted first quarter earnings per share of $0.11, higher than the Zacks Consensus Estimate of $0.08 • PNC Financial Services (NYSE: PNC ) reported first quarter earnings per share of $1.76, breezing past the Zacks Consensus Estimate of $1.57 • St. Jude Medical, Inc. (NYSE: STJ ) posted first quarter earnings per share of $0.92, in line with the Zacks Consensus Estimate ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF NY MELL (BK): Free Stock Analysis Report CSX CORP (CSX): Free Stock Analysis Report DOVER CORP (DOV): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report MATTEL INC (MAT): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report ST JUDE MEDICAL (STJ): 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. | • Intel Corporation (NASDAQ: INTC ) reported first quarter earnings per share of $0.40, missing the Zacks Consensus Estimate of $0.42 • CSX Corporation (NYSE: CSX ) posted first quarter earnings per share of $0.45, beating the Zacks Consensus Estimate of $0.40 • Abbott Laboratories (NYSE: ABT ) reported first quarter earnings per share of $0.42, in line with the Zacks Consensus Estimate • The Bank of New York Mellon Corporation (NYSE: BK ) posted first quarter earnings per share of $0.57 higher than the Zacks Consensus Estimate of $0.52 • Dover Corp. (NYSE: DOV ) reported first quarter earnings per share of $1.10, ahead of the Zacks Consensus Estimate of $1.08 • Mattel, Inc. (NASDAQ: MAT ) posted first quarter earnings per share of $0.11, higher than the Zacks Consensus Estimate of $0.08 • PNC Financial Services (NYSE: PNC ) reported first quarter earnings per share of $1.76, breezing past the Zacks Consensus Estimate of $1.57 • St. Jude Medical, Inc. (NYSE: STJ ) posted first quarter earnings per share of $0.92, in line with the Zacks Consensus Estimate ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF NY MELL (BK): Free Stock Analysis Report CSX CORP (CSX): Free Stock Analysis Report DOVER CORP (DOV): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report MATTEL INC (MAT): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report ST JUDE MEDICAL (STJ): 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. | • Intel Corporation (NASDAQ: INTC ) reported first quarter earnings per share of $0.40, missing the Zacks Consensus Estimate of $0.42 • CSX Corporation (NYSE: CSX ) posted first quarter earnings per share of $0.45, beating the Zacks Consensus Estimate of $0.40 • Abbott Laboratories (NYSE: ABT ) reported first quarter earnings per share of $0.42, in line with the Zacks Consensus Estimate • The Bank of New York Mellon Corporation (NYSE: BK ) posted first quarter earnings per share of $0.57 higher than the Zacks Consensus Estimate of $0.52 • Dover Corp. (NYSE: DOV ) reported first quarter earnings per share of $1.10, ahead of the Zacks Consensus Estimate of $1.08 • Mattel, Inc. (NASDAQ: MAT ) posted first quarter earnings per share of $0.11, higher than the Zacks Consensus Estimate of $0.08 • PNC Financial Services (NYSE: PNC ) reported first quarter earnings per share of $1.76, breezing past the Zacks Consensus Estimate of $1.57 • St. Jude Medical, Inc. (NYSE: STJ ) posted first quarter earnings per share of $0.92, in line with the Zacks Consensus Estimate ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF NY MELL (BK): Free Stock Analysis Report CSX CORP (CSX): Free Stock Analysis Report DOVER CORP (DOV): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report MATTEL INC (MAT): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report ST JUDE MEDICAL (STJ): 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. | • Intel Corporation (NASDAQ: INTC ) reported first quarter earnings per share of $0.40, missing the Zacks Consensus Estimate of $0.42 • CSX Corporation (NYSE: CSX ) posted first quarter earnings per share of $0.45, beating the Zacks Consensus Estimate of $0.40 • Abbott Laboratories (NYSE: ABT ) reported first quarter earnings per share of $0.42, in line with the Zacks Consensus Estimate • The Bank of New York Mellon Corporation (NYSE: BK ) posted first quarter earnings per share of $0.57 higher than the Zacks Consensus Estimate of $0.52 • Dover Corp. (NYSE: DOV ) reported first quarter earnings per share of $1.10, ahead of the Zacks Consensus Estimate of $1.08 • Mattel, Inc. (NASDAQ: MAT ) posted first quarter earnings per share of $0.11, higher than the Zacks Consensus Estimate of $0.08 • PNC Financial Services (NYSE: PNC ) reported first quarter earnings per share of $1.76, breezing past the Zacks Consensus Estimate of $1.57 • St. Jude Medical, Inc. (NYSE: STJ ) posted first quarter earnings per share of $0.92, in line with the Zacks Consensus Estimate ABBOTT LABS (ABT): Free Stock Analysis Report BANK OF NY MELL (BK): Free Stock Analysis Report CSX CORP (CSX): Free Stock Analysis Report DOVER CORP (DOV): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report MATTEL INC (MAT): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report ST JUDE MEDICAL (STJ): 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. |
34271.0 | 2013-04-18 00:00:00 UTC | Abbott Launches Automated Solution - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-launches-automated-solution-analyst-blog-2013-04-18 | nan | nan | Abbott Laboratories ( ABT ) recently announced that the company has launched ACCELERATOR a3600 - its next-generation track system to increase efficiency in laboratories.
A laboratory automation track system, ACCELERATOR a3600 enables processing for up to 3,600 samples per hour along with handling multiple tube sizes and types simultaneously.
Moreover, this system automates routine, manual tasks which in turn should lead to reduction in error and improvement in efficiency. Further, automation helps laboratories around the world to cope with staffing shortages, budget constraints, and increased demands.
Abbott Labs developed ACCELERATOR a3600 with its Swiss partner Inpeco SA to address the growing need for faster processing in tests while handling increased volume.
We note that the diagnostics business is one of the key businesses for Abbott Labs after having separated its proprietary pharmaceutical business into a new company called AbbVie ( ABBV ) on Jan 1, 2013.
Abbott Labs continues to focus on the development of next-generation instruments and other advanced technologies along with expansion in emerging markets in its diagnostics business. In particular, improvement in operating margins is a key area of emphasis in this segment.
A few days ago, Abbott Labs announced that the company obtained CE Marking (Conformite Europeenne) for its ARCHITECT Galectin-3 assay test. The CE mark is mandatory confirmation for products placed in the European markets. Abbott developed this test in collaboration with BG Medicine, Inc. ( BGMD ) to run on its ARCHITECT immunochemistry platform.
The test is primarily aimed to enable doctors in assessing the prognosis of patients diagnosed with chronic heart failure (HF). ARCHITECT Galectin-3 assay test is available in several European countries.
Galectin-3 can indicate heart failure by chalking out the pathophysiology of HF. Subsequently, the doctors can identify the susceptible patients for heart failure who are at high risk.
We believe that Abbott Labs is extremely diversified with a presence in the nutrition, diagnostics, generic pharmaceuticals and medical devices markets. In particular, the nutrition and diagnostics business should maintain momentum and boost the bottom line due to an improvement in operating margins.
Abbott Labs currently carries a Zacks Rank #3 (Hold). Nuvasive ( NUVA ) currently looks attractive with a Zacks Rank #1 (Strong Buy)
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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. | Abbott Laboratories ( ABT ) recently announced that the company has launched ACCELERATOR a3600 - its next-generation track system to increase efficiency in laboratories. Nuvasive ( NUVA ) currently looks attractive with a Zacks Rank #1 (Strong Buy) ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. A laboratory automation track system, ACCELERATOR a3600 enables processing for up to 3,600 samples per hour along with handling multiple tube sizes and types simultaneously. | Abbott Laboratories ( ABT ) recently announced that the company has launched ACCELERATOR a3600 - its next-generation track system to increase efficiency in laboratories. Nuvasive ( NUVA ) currently looks attractive with a Zacks Rank #1 (Strong Buy) ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. A laboratory automation track system, ACCELERATOR a3600 enables processing for up to 3,600 samples per hour along with handling multiple tube sizes and types simultaneously. | Abbott Laboratories ( ABT ) recently announced that the company has launched ACCELERATOR a3600 - its next-generation track system to increase efficiency in laboratories. Nuvasive ( NUVA ) currently looks attractive with a Zacks Rank #1 (Strong Buy) ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. We note that the diagnostics business is one of the key businesses for Abbott Labs after having separated its proprietary pharmaceutical business into a new company called AbbVie ( ABBV ) on Jan 1, 2013. | Abbott Laboratories ( ABT ) recently announced that the company has launched ACCELERATOR a3600 - its next-generation track system to increase efficiency in laboratories. Nuvasive ( NUVA ) currently looks attractive with a Zacks Rank #1 (Strong Buy) ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. A few days ago, Abbott Labs announced that the company obtained CE Marking (Conformite Europeenne) for its ARCHITECT Galectin-3 assay test. |
34272.0 | 2013-04-17 00:00:00 UTC | Abbott Reports In-Line 1Q Earnings - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbott-reports-in-line-1q-earnings-analyst-blog-2013-04-17 | nan | nan | Abbott Laboratories ( ABT ) reported first quarter 2013 earnings of 42 cents per share, in line with the Zacks Consensus Estimate and 5.0% above the year-ago earnings. Including one-time items, first quarter earnings decreased 56.4% to 34 cents per share.
Abbott Labs generated revenues of $5.4 billion in the first quarter of 2013, up 1.8% year over year and in line with the Zacks Consensus Estimate. The year over year growth was primarily driven by the Nutrition and Diagnostics segments.
However, unfavorable movement in foreign exchange rates negatively impacted revenues by 1.7%.
We note that the reported quarter is the first full quarter for Abbott Labs after having separated its proprietary pharmaceutical business into a new company called AbbVie ( ABBV ) on Jan 1, 2013.
Quarter in Detail
Abbott Labs now operates through four segments, namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics, and Nutritionals.
EPD sales declined 1.9% year over year to $1.2 billion including a negative impact of 1.9% due to currency fluctuation. This division primarily focuses on key emerging markets where sales grew 4.4%. However, sales in other markets which include developed markets, such as Western Europe and Japan, among others declined 7.0% primarily due to carry-over effects of austerity measures undertaken in Europe in 2012 and pricing actions in Japan.
Abbott Labs expects key emerging markets sales to grow in double-digits in 2013 - performance is expected to improve from the second quarter as the company strengthens its position in these markets. Meanwhile, performance in other countries should also improve from the second half of the year with the lessening of the impact of austerity measures and pricing actions.
The Medical Devices business generated sales of $1.3 billion, down 4.6% mainly due to a decline in the vascular business. The vascular business was down 7.7% due to an expected decline of certain royalty and supply arrangement revenues (including Promus) along with the negative impact from pricing. Diabetes Care sales declined 0.5% while Medical Optics sales declined 0.6%.
The Nutrition business grew 8.7% year over year to $1.7 billion fueled by solid growth in emerging markets which account for 45% of the total sales in this division. Nutrition sales in the US increased 2.1% to $718 million. Outside the US, sales grew 14.2% to $981 million. Pediatric Nutrition sales grew 13.2% while Adult Nutrition sales grew 3.1%.
Diagnostics business sales increased 4.4% year over year to $1.0 billion. Key areas of focus in this division include the Core Laboratory Diagnostics, Molecular Diagnostics, and Point of Care Diagnostics businesses. Core Laboratory sales increased 3.6% and Point of Care Diagnostics increased 17.3%. Worldwide sales of Molecular Diagnostics increased 0.7%.
2013 Outlook Reiterated
Abbott Labs continues to expect earnings per share in the range of $1.98 to $2.04 in 2013. The Zacks Consensus Estimate currently stands at $2.01 per share.
For the second quarter of 2013, Abbott Labs estimates earnings per share in the range of 43 cents to 45 cents. The Zacks Consensus Estimate of 45 cents per share is within the company's guidance.
We believe that Abbott Labs is extremely diversified with a presence in the nutrition, diagnostics, generic pharmaceuticals and medical devices markets. In particular, the Nutrition business should maintain momentum and boost the bottom line due to an improvement in operating margins.
Abbott Labs currently carries a Zacks Rank #3 (Hold). As of now, Nuvasive ( NUVA ) looks attractive with a Zacks Rank #1 (Strong Buy). Exactech ( EXAC ) also looks well placed with a Zacks Rank #2 (Buy).
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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. | Abbott Laboratories ( ABT ) reported first quarter 2013 earnings of 42 cents per share, in line with the Zacks Consensus Estimate and 5.0% above the year-ago earnings. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Quarter in Detail Abbott Labs now operates through four segments, namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics, and Nutritionals. | Abbott Laboratories ( ABT ) reported first quarter 2013 earnings of 42 cents per share, in line with the Zacks Consensus Estimate and 5.0% above the year-ago earnings. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Key areas of focus in this division include the Core Laboratory Diagnostics, Molecular Diagnostics, and Point of Care Diagnostics businesses. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ( ABT ) reported first quarter 2013 earnings of 42 cents per share, in line with the Zacks Consensus Estimate and 5.0% above the year-ago earnings. Abbott Labs generated revenues of $5.4 billion in the first quarter of 2013, up 1.8% year over year and in line with the Zacks Consensus Estimate. | Abbott Laboratories ( ABT ) reported first quarter 2013 earnings of 42 cents per share, in line with the Zacks Consensus Estimate and 5.0% above the year-ago earnings. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report EXACTECH INC (EXAC): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs generated revenues of $5.4 billion in the first quarter of 2013, up 1.8% year over year and in line with the Zacks Consensus Estimate. |
34273.0 | 2013-04-16 00:00:00 UTC | Gold Is Still on the Fritz | ABT | https://www.nasdaq.com/articles/gold-still-fritz-2013-04-16 | nan | nan | Gold (NYSEARCA:GLD), the major story of the past two trading days, had a very erratic session today. The yellow metal traded in an intraday range between $1,321 and $1,402 and had multiple $30 moves in either direction. It's likely that this volatility will continue during the coming days and weeks as the market attempts to find a true value. Today's volume in gold was high, but not as high as yesterday's volume. Gold contracts traded north of 400,000 contracts, which was more than 1.5x the open interest.
The S&P recovered from yesterday's drop by retracing 61.8% of yesterday's open, a key Fibonacci level. In individual trading, the only S&P sector that was lower on the day was telecom, while the leading sector was materials, up over 1.5%.
Economic data was generally better. Housing starts rose to 1.036 million homes in March, the highest annualized level since mid-2008. The increase from the prior month's 968,000 rate was led by a surge in multi-family homes. However, building permits showed a sharp decline to an annualized rate of 902,000, down from 939,000 the month prior, which highlights the weaker NAHB housing conditions survey we received yesterday.
As for earnings, Goldman Sachs (GS) beat in the morning, but sold off heavily at the open. Tech giants Intel ( INTC ) and Yahoo ( YHOO ) also beat. For Intel, in the tech business, even a so-so quarter will be viewed in a more favorable light. Freight company CSX ( CSX ) steadily beat EPS estimates, but more importantly, it raised its quarterly dividend to $0.15 from $0.14 and announced a 2-year $1 billion stock buyback plan.
Tomorrow's Financial Outlook
Tomorrow theeconomic calendaris pretty bare with only the Fed's Beige Book, a survey of economic conditions from the 12 Fed districts. Earnings releases will play a bigger role tomorrow with Abbott Labs ( ABT ), Mattel ( MAT ), Bank of New York Mellon (BK), Bank of America (BAC), St Jude Medical (STJ), American Express (AXP), SanDisk (SNDK), Steel Dynamics (STLD), eBay (EBAY), and Sallie Mae (SLM) reporting.
Globally, the UK will release employment figures, and Japan will release its trade balance data from March. Recently, Japan trade data has trended toward a sharp deficit, which has caused the yen to strengthen versus other major currencies. In the UK, the 3-month unemployment rate is expected to stay unchanged at 7.8% with no change in the jobless claims rate.
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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. | Earnings releases will play a bigger role tomorrow with Abbott Labs ( ABT ), Mattel ( MAT ), Bank of New York Mellon (BK), Bank of America (BAC), St Jude Medical (STJ), American Express (AXP), SanDisk (SNDK), Steel Dynamics (STLD), eBay (EBAY), and Sallie Mae (SLM) reporting. However, building permits showed a sharp decline to an annualized rate of 902,000, down from 939,000 the month prior, which highlights the weaker NAHB housing conditions survey we received yesterday. Recently, Japan trade data has trended toward a sharp deficit, which has caused the yen to strengthen versus other major currencies. | Earnings releases will play a bigger role tomorrow with Abbott Labs ( ABT ), Mattel ( MAT ), Bank of New York Mellon (BK), Bank of America (BAC), St Jude Medical (STJ), American Express (AXP), SanDisk (SNDK), Steel Dynamics (STLD), eBay (EBAY), and Sallie Mae (SLM) reporting. Today's volume in gold was high, but not as high as yesterday's volume. Twitter: @Minyanville The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Earnings releases will play a bigger role tomorrow with Abbott Labs ( ABT ), Mattel ( MAT ), Bank of New York Mellon (BK), Bank of America (BAC), St Jude Medical (STJ), American Express (AXP), SanDisk (SNDK), Steel Dynamics (STLD), eBay (EBAY), and Sallie Mae (SLM) reporting. However, building permits showed a sharp decline to an annualized rate of 902,000, down from 939,000 the month prior, which highlights the weaker NAHB housing conditions survey we received yesterday. Globally, the UK will release employment figures, and Japan will release its trade balance data from March. | Earnings releases will play a bigger role tomorrow with Abbott Labs ( ABT ), Mattel ( MAT ), Bank of New York Mellon (BK), Bank of America (BAC), St Jude Medical (STJ), American Express (AXP), SanDisk (SNDK), Steel Dynamics (STLD), eBay (EBAY), and Sallie Mae (SLM) reporting. Today's volume in gold was high, but not as high as yesterday's volume. Economic data was generally better. |
34274.0 | 2013-04-16 00:00:00 UTC | Pre-Market Earnings Report for April 17, 2013 : BAC, ABT, PNC, BK, ASML, MAT, DOV, STJ, DGX, TXT, HBAN, FCFS | ABT | https://www.nasdaq.com/articles/pre-market-earnings-report-april-17-2013-bac-abt-pnc-bk-asml-mat-dov-stj-dgx-txt-hban-fcfs | nan | nan | The following companies are expected to report earnings prior to market open on 04/17/2013. Visit our Earnings Calendar for a full list of expected earnings releases.
Bank of America Corporation ( BAC ) is reporting for the quarter ending March 31, 2013. The bank company's consensus earnings per share forecast from the 21 analysts that follow the stock is $0.23. This value represents a 25.81% decrease compared to the same quarter last year. In the past year BAC has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 50%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for BAC is 11.98 vs. an industry ratio of 11.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Abbott Laboratories ( ABT ) is reporting for the quarter ending March 31, 2013. The large cap pharmaceutical company's consensus earnings per share forecast from the 14 analysts that follow the stock is $0.42. This value represents a 10.53% increase compared to the same quarter last year. In the past year ABT has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 1.33%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 17.98 vs. an industry ratio of 15.70, implying that they will have a higher earnings growth than their competitors in the same industry.
PNC Financial Services Group, Inc. ( PNC ) is reporting for the quarter ending March 31, 2013. The bank company's consensus earnings per share forecast from the 23 analysts that follow the stock is $1.57. This value represents a 5.99% decrease compared to the same quarter last year. In the past year PNC has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 24.82%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for PNC is 9.73 vs. an industry ratio of 11.30.
Bank Of New York Mellon Corporation ( BK ) is reporting for the quarter ending March 31, 2013. The bank company's consensus earnings per share forecast from the 14 analysts that follow the stock is $0.52. This value represents a 1.89% decrease compared to the same quarter last year. In the past year BK has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2013 Price to Earnings ratio for BK is 11.88 vs. an industry ratio of 11.30, implying that they will have a higher earnings growth than their competitors in the same industry.
ASML Holding N.V. ( ASML ) is reporting for the quarter ending March 31, 2013. The capital goods company's consensus earnings per share forecast from the 4 analysts that follow the stock is $0.53. This value represents a 54.31% decrease compared to the same quarter last year. In the past year ASML has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ASML is 23.65 vs. an industry ratio of 19.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Mattel, Inc. ( MAT ) is reporting for the quarter ending March 31, 2013. The toy (game/hobby) company's consensus earnings per share forecast from the 8 analysts that follow the stock is $0.08. This value represents a 33.33% increase compared to the same quarter last year. Zacks Investment Research reports that the 2013 Price to Earnings ratio for MAT is 15.36 vs. an industry ratio of 10.70, implying that they will have a higher earnings growth than their competitors in the same industry.
Dover Corporation ( DOV ) is reporting for the quarter ending March 31, 2013. The machinery company's consensus earnings per share forecast from the 9 analysts that follow the stock is $1.08. This value represents a 2.86% increase compared to the same quarter last year. In the past year DOV has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 1.87%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for DOV is 13.42 vs. an industry ratio of 14.90.
St. Jude Medical, Inc. ( STJ ) is reporting for the quarter ending March 31, 2013. The medical products company's consensus earnings per share forecast from the 16 analysts that follow the stock is $0.92. This value represents a 6.98% increase compared to the same quarter last year. In the past year STJ has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 2.22%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for STJ is 11.15 vs. an industry ratio of 13.90.
Quest Diagnostics Incorporated ( DGX ) is reporting for the quarter ending March 31, 2013. The medical (outpatient/home care) company's consensus earnings per share forecast from the 13 analysts that follow the stock is $1.04. This value represents a 2.80% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2013 Price to Earnings ratio for DGX is 13.24 vs. an industry ratio of 8.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Textron Inc. ( TXT ) is reporting for the quarter ending March 31, 2013. The diversified operations company's consensus earnings per share forecast from the 7 analysts that follow the stock is $0.47. This value represents a 14.63% increase compared to the same quarter last year. The last two quarters TXT had negative earnings surprises; the latest report they missed by -1.75%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for TXT is 12.55 vs. an industry ratio of 14.40.
Huntington Bancshares Incorporated ( HBAN ) is reporting for the quarter ending March 31, 2013. The bank (midwest) company's consensus earnings per share forecast from the 18 analysts that follow the stock is $0.16. This value represents a 5.88% decrease compared to the same quarter last year. In the past year HBAN has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 11.76%. Zacks Investment Research reports that the 2013 Price to Earnings ratio for HBAN is 10.67 vs. an industry ratio of 13.20.
First Cash Financial Services, Inc. ( FCFS ) is reporting for the quarter ending March 31, 2013. The retail company's consensus earnings per share forecast from the 5 analysts that follow the stock is $0.68. This value represents a 17.24% increase compared to the same quarter last year. In the past year FCFS has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2013 Price to Earnings ratio for FCFS is 15.70 vs. an industry ratio of 17.70.
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. | Abbott Laboratories ( ABT ) is reporting for the quarter ending March 31, 2013. In the past year ABT has beat the expectations every quarter. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 17.98 vs. an industry ratio of 15.70, implying that they will have a higher earnings growth than their competitors in the same industry. | Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 17.98 vs. an industry ratio of 15.70, implying that they will have a higher earnings growth than their competitors in the same industry. Abbott Laboratories ( ABT ) is reporting for the quarter ending March 31, 2013. In the past year ABT has beat the expectations every quarter. | Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 17.98 vs. an industry ratio of 15.70, implying that they will have a higher earnings growth than their competitors in the same industry. Abbott Laboratories ( ABT ) is reporting for the quarter ending March 31, 2013. In the past year ABT has beat the expectations every quarter. | In the past year ABT has beat the expectations every quarter. Abbott Laboratories ( ABT ) is reporting for the quarter ending March 31, 2013. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABT is 17.98 vs. an industry ratio of 15.70, implying that they will have a higher earnings growth than their competitors in the same industry. |
34275.0 | 2013-04-11 00:00:00 UTC | Abbott's Heart FailureTest in Europe - Analyst Blog | ABT | https://www.nasdaq.com/articles/abbotts-heart-failuretest-in-europe-analyst-blog-2013-04-11 | nan | nan | Abbott Labs ( ABT ) recently announced that the company obtained CE Marking (Conformite Europeenne) for its ARCHITECT Galectin-3 assay test.
We note that CE mark is mandatory confirmation for products placed in the European markets. Abbott developed this test in collabration with BG Medicine, Inc. ( BGMD ) to run on the ARCHITECT immunochemistry platform of Abbott..
The test is primarily aimed to enable doctors in assessing the prognosis of patients diagnosed with chronic heart failure (HF). ARCHITECT Galectin-3 assay test is available in several European countries.
Galectin-3 can indicate heart failure by chalking out the pathophysiology of heart failure. Subsequently, the doctors can identify susceptible patients for heart failure who are at high risk.
Abbott continues to focus on the development of next-generation instruments and other advanced technologies along with expansion in emerging markets in its diagnostics business.
Abbott looks to improve operating margins in this segment. In 2012, the company took steps to streamline various commercial operations in order to reduce costs and thereby improve efficiencies.
Meanwhile, Abbott is working on boosting its vascular products portfolio and expects to launch several products in the next five years.
The company intends to work on increasing international MitraClip sales and developing ABSORB, its bioresorbable vascular scaffold (BVS) device.
Abbott is also focusing on strengthening its drug eluting product portfolio, powered by the launch of Xience Xpedition drug-eluting stent in Europe in Aug 2012 and in the US in Jan 2013. Abbott expects to launch Xpedition in Japan in mid-2013 and market products in the Xience family.
We believe that Abbott is extremely diversified with businesses in nutrition, diagnostics, generic pharmaceuticals and medical devices after spinning off its pharmaceuticals business into a separate company, Abbvie Inc. ( ABBV ).
Abbott currently carries a Zacks Rank #3 (Hold). Right now, Nuvasive, Inc . ( NUVA ) looks better placed in the medical devices sector with a Zacks Rank #1 (Buy).
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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. | Abbott Labs ( ABT ) recently announced that the company obtained CE Marking (Conformite Europeenne) for its ARCHITECT Galectin-3 assay test. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. The company intends to work on increasing international MitraClip sales and developing ABSORB, its bioresorbable vascular scaffold (BVS) device. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced that the company obtained CE Marking (Conformite Europeenne) for its ARCHITECT Galectin-3 assay test. Meanwhile, Abbott is working on boosting its vascular products portfolio and expects to launch several products in the next five years. | ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) recently announced that the company obtained CE Marking (Conformite Europeenne) for its ARCHITECT Galectin-3 assay test. Abbott developed this test in collabration with BG Medicine, Inc. ( BGMD ) to run on the ARCHITECT immunochemistry platform of Abbott.. | Abbott Labs ( ABT ) recently announced that the company obtained CE Marking (Conformite Europeenne) for its ARCHITECT Galectin-3 assay test. ABBVIE INC (ABBV): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report BG MEDICINE INC (BGMD): Free Stock Analysis Report NUVASIVE INC (NUVA): Free Stock Analysis Report To read this article on Zacks.com click here. Meanwhile, Abbott is working on boosting its vascular products portfolio and expects to launch several products in the next five years. |
34276.0 | 2013-04-04 00:00:00 UTC | Pharma & Biotech Stock Outlook - Apr 2013 - Zacks Analyst Interviews | ABT | https://www.nasdaq.com/articles/pharma-biotech-stock-outlook-apr-2013-zacks-analyst-interviews-2013-04-04 | nan | nan | The pharmaceutical industry has been showing signs of recovery from one of the biggest patent cliffs in recent times. The last few quarters saw major blockbusters like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories' ( FRX ) Lexapro, Sanofi/Bristol-Myers' ( SNY / BMY ) Plavix and Eli Lilly's ( LLY ) Zyprexa losing patent protection. These products alone represented branded sales worth more than $15 billion.
However, the effect of the genericization of these products was felt mostly in 2012. While the industry won't be completely free from genericization, the major patent expiries are over and done with. New products should start contributing significantly to results and increased pipeline visibility and appropriate utilization of cash should increase confidence in the sector.
Some products that are slated to lose patent protection in 2013 include:
Collaborations and Acquisitions
The pharma sector witnessed major merger and acquisitions (M&A) activity over the last couple of years. Going forward, we expect small bolt-on acquisitions to continue.
We also expect a significant pickup in in-licensing activities and collaborations for the development of pipeline candidates. Instead of developing a product from scratch, which involves a lot of funds and time, pharma companies are shopping for mid-to-late stage pipeline candidates that look promising.
Small biotech companies are open to in-licensing activities and collaborations. Most of these companies find it challenging to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. Therefore, it makes sense for them to seek deals with pharma companies that are sitting on huge piles of cash.
We would recommend investors to put their money in biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. Therapeutic areas which could see a lot of in-licensing activity include oncology, central nervous system disorders, diabetes and immunology/inflammation. The hepatitis C virus (HCV) market is also attracting a lot of attention.
Another trend that we are seeing in recent months is the divestment of non-core business segments. Pfizer sold its Capsugel unit and its Nutrition business in Aug 2011 and Nov 2012, respectively. Earlier this year, the company's Animal Health business started trading separately.
Meanwhile, GlaxoSmithKline ( GSK ) divested certain non-core brands from its Consumer Healthcare segment. In Aug 2011, AstraZeneca ( AZN ) sold its Astra Tech business to DENTSPLY ( XRAY ). The monetization of non-core assets will allow the pharma/biotech companies to focus on their areas of expertise.
Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. Johnson & Johnson ( JNJ ) also announced its plans to explore strategic alternatives for its ortho-clinical diagnostics business, including a possible divestiture.
Emerging Markets and Biosimilars
Another trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan ( MYL ), Pfizer, Merck, Eli Lilly, Glaxo and Sanofi are all looking to expand their presence in India, China, Brazil and other emerging markets. Until recently, most of the commercialization efforts were focused on the US -- the largest pharmaceutical market -- along with Europe and Japan.
Emerging markets are slowly and steadily gaining more importance and several companies are now shifting their focus to these areas. According to the IMS Institute, spending on medicines in "pharmerging" markets will almost double to $345 billion - $375 billion in five years from $194 billion in 2011.
However, while higher demand for medicines, government initiatives for healthcare, new patient population, and increasing use of generics should help drive demand, we point out that emerging markets are also not immune from genericization.
Meanwhile, according to the IMS Institute, annual growth in the branded medicines market will remain flat or increase up to 3% to $615 billion - $645 billion through 2016 from $596 billion in 2011.
As far as developed nations are concerned, the IMS Institute expects US spending to go up by $35 billion - $45 billion (1-4%) in the next five years (from 2011). The introduction of medicines targeting unmet needs and higher patient access resulting from Obamacare are expected to drive growth.
However, growth in Europe will continue to be pressurized by austerity and cost-containment measures.
We are also seeing several companies entering into deals for the development of biosimilars, generic versions of biologics. Companies like Merck, Amgen, Biogen ( BIIB ), Actavis ( ACT ) and Teva ( TEVA ) are all targeting the highly lucrative biosimilars market.
A Look at Fourth Quarter Results
Despite facing challenges like EU austerity measures, genericization and lower-than-expected contributions from new products, companies like Eli Lilly, Bristol-Myers Squibbs, Merck, and Pfizer delivered stronger-than-expected results. However, companies like Amgen, Glaxo, and Forest Labs missed the Zacks Consensus Estimate.
While guidance provided by Johnson & Johnson and Merck lagged expectations, Amgen and Eli Lilly provided an encouraging outlook.
A look at the Earnings ESP (Expected Surprise Prediction - Zacks' proprietary methodology for determining which stocks have the best chance to surprise with their next earnings announcement) in the table below shows that companies like Pfizer, Biogen, Teva, Actavis, Celgene ( CELG ) and Bristol-Myers Squibb could beat the Zacks Consensus Estimate in the first quarter of 2013. Meanwhile, Johnson & Johnson, Gilead, Amgen, Allergan and Mylan are likely to deliver below expectations.
Major Product Approvals in 2012
Most of these products should be major contributors to the top-line in 2013. Stivarga, Kalydeco, Xtandi and Kyprolis, especially, represent strong commercial potential.
Meanwhile, key regulatory decisions expected this year include a response regarding the approvability of Forest Labs' levomilnacipran (depression) and cariprazine (schizophrenia and bipolar mania), Merck's Atozet (primary or mixed hyperlipidemia) and Biogen's rFIXFc (hemophilia B) among others. Biogen's oral multiple sclerosis drug, Tecfidera, and Johnson & Johnson's type II diabetes drug, Invokana, gained FDA approval last week.
OPPORTUNITIES
We continue to have a Neutral outlook on large-cap pharma stocks. While the companies will continue to face challenges like EU austerity measures and genericization, the pharma industry should be out of the worst of the genericization phase from 2013.
Several companies which had faced generic headwinds in the last couple of years should see their results recover from 2013. Cost-cutting, downsizing, streamlining of the pipeline, growth in emerging markets and product approvals should support growth.
Zacks Rank #2 (Buy) stocks in the pharma sector include Eli Lilly ( LLY ) and Novo Nordisk ( NVO ), among others. Despite the presence of generic competition for key products, share buybacks and cost control should help Eli Lilly achieve its 2013 guidance.
In the biotech space, we are positive on Biogen ( BIIB ). We are optimistic on Tecfidera, the company's oral multiple sclerosis drug which gained approval last week. Key products, Avonex and Tysabri, should continue contributing significantly to sales. The company is also progressing with its hemophilia pipeline.
We are also positive on Amgen ( AMGN ). Amgen's 2013 guidance was above expectations. The company also provided an update on its long-term strategy. Amgen should be able to deliver on its long-term strategy based on expansion in key markets, launch of new manufacturing technologies, and pipeline development. Enbrel should continue performing well. Amgen's late-stage pipeline is also moving along.
Both Biogen and Amgen are Zacks Rank #2 stocks. Gilead, another Zacks Rank #2 stock, continues to do well in the HIV segment.
Osiris Therapeutics ( OSIR ), a stem cell company, currently carries a Zacks Rank #1 (Strong Buy). Prochymal's approval in Canada and New Zealand were major milestones for the company. Meanwhile, the Biosurgery segment is also gaining traction. A partnership deal for Prochymal would be a major boost for the stock.
Among generic companies, Mylan carries a Zacks Rank #2. We are encouraged by Mylan's geographic reach and product depth and robust generic product pipeline.
WEAKNESSES
We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles. The FDA has been exercising more caution in granting approval to new products and several candidates are facing delays in receiving final approval.
Although Forest Labs ( FRX ) carries a Zacks Rank #3 (Hold), we remain concerned about the headwinds being faced by the company in the form of generic competition and slow ramp up of new products.
Companies that currently carry a Zacks Rank #4 (Sell) include Affymax, Inc. ( AFFY ), Protalix BioTherapeutics ( PLX ), Elan Corp ( ELN ) and Jazz Pharmaceuticals ( JAZZ ) among others. Affymax is currently evaluating strategic options like a sale, merger, restructuring, wind-down of operations and filing for bankruptcy. The company took this decision after it recalled all lots of Omontys (peginesatide) voluntarily along with its partner Takeda Pharmaceutical Co. ( TKPYY ) in Feb 2013.
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DENTSPLY INTL (XRAY): 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. | Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. The last few quarters saw major blockbusters like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories' ( FRX ) Lexapro, Sanofi/Bristol-Myers' ( SNY / BMY ) Plavix and Eli Lilly's ( LLY ) Zyprexa losing patent protection. | ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. A Look at Fourth Quarter Results Despite facing challenges like EU austerity measures, genericization and lower-than-expected contributions from new products, companies like Eli Lilly, Bristol-Myers Squibbs, Merck, and Pfizer delivered stronger-than-expected results. | ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. A Look at Fourth Quarter Results Despite facing challenges like EU austerity measures, genericization and lower-than-expected contributions from new products, companies like Eli Lilly, Bristol-Myers Squibbs, Merck, and Pfizer delivered stronger-than-expected results. | Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. We would recommend investors to put their money in biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. |
34277.0 | 2013-04-04 00:00:00 UTC | Pharma & Biotech Stock Outlook - Apr 2013 - Industry Outlook | ABT | https://www.nasdaq.com/articles/pharma-biotech-stock-outlook-apr-2013-industry-outlook-2013-04-04 | nan | nan | The pharmaceutical industry has been showing signs of recovery from one of the biggest patent cliffs in recent times. The last few quarters saw major blockbusters like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories' ( FRX ) Lexapro, Sanofi/Bristol-Myers' ( SNY / BMY ) Plavix and Eli Lilly's ( LLY ) Zyprexa losing patent protection. These products alone represented branded sales worth more than $15 billion.
However, the effect of the genericization of these products was felt mostly in 2012. While the industry won't be completely free from genericization, the major patent expiries are over and done with. New products should start contributing significantly to results and increased pipeline visibility and appropriate utilization of cash should increase confidence in the sector.
Some products that are slated to lose patent protection in 2013 include:
Collaborations and Acquisitions
The pharma sector witnessed major merger and acquisitions (M&A) activity over the last couple of years. Going forward, we expect small bolt-on acquisitions to continue.
We also expect a significant pickup in in-licensing activities and collaborations for the development of pipeline candidates. Instead of developing a product from scratch, which involves a lot of funds and time, pharma companies are shopping for mid-to-late stage pipeline candidates that look promising.
Small biotech companies are open to in-licensing activities and collaborations. Most of these companies find it challenging to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. Therefore, it makes sense for them to seek deals with pharma companies that are sitting on huge piles of cash.
We would recommend investors to put their money in biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. Therapeutic areas which could see a lot of in-licensing activity include oncology, central nervous system disorders, diabetes and immunology/inflammation. The hepatitis C virus (HCV) market is also attracting a lot of attention.
Another trend that we are seeing in recent months is the divestment of non-core business segments. Pfizer sold its Capsugel unit and its Nutrition business in Aug 2011 and Nov 2012, respectively. Earlier this year, the company's Animal Health business started trading separately.
Meanwhile, GlaxoSmithKline ( GSK ) divested certain non-core brands from its Consumer Healthcare segment. In Aug 2011, AstraZeneca ( AZN ) sold its Astra Tech business to DENTSPLY ( XRAY ). The monetization of non-core assets will allow the pharma/biotech companies to focus on their areas of expertise.
Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. Johnson & Johnson ( JNJ ) also announced its plans to explore strategic alternatives for its ortho-clinical diagnostics business, including a possible divestiture.
Emerging Markets and Biosimilars
Another trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan ( MYL ), Pfizer, Merck, Eli Lilly, Glaxo and Sanofi are all looking to expand their presence in India, China, Brazil and other emerging markets. Until recently, most of the commercialization efforts were focused on the US -- the largest pharmaceutical market -- along with Europe and Japan.
Emerging markets are slowly and steadily gaining more importance and several companies are now shifting their focus to these areas. According to the IMS Institute, spending on medicines in "pharmerging" markets will almost double to $345 billion - $375 billion in five years from $194 billion in 2011.
However, while higher demand for medicines, government initiatives for healthcare, new patient population, and increasing use of generics should help drive demand, we point out that emerging markets are also not immune from genericization.
Meanwhile, according to the IMS Institute, annual growth in the branded medicines market will remain flat or increase up to 3% to $615 billion - $645 billion through 2016 from $596 billion in 2011.
As far as developed nations are concerned, the IMS Institute expects US spending to go up by $35 billion - $45 billion (1-4%) in the next five years (from 2011). The introduction of medicines targeting unmet needs and higher patient access resulting from Obamacare are expected to drive growth.
However, growth in Europe will continue to be pressurized by austerity and cost-containment measures.
We are also seeing several companies entering into deals for the development of biosimilars, generic versions of biologics. Companies like Merck, Amgen, Biogen ( BIIB ), Actavis ( ACT ) and Teva ( TEVA ) are all targeting the highly lucrative biosimilars market.
A Look at Fourth Quarter Results
Despite facing challenges like EU austerity measures, genericization and lower-than-expected contributions from new products, companies like Eli Lilly, Bristol-Myers Squibbs, Merck, and Pfizer delivered stronger-than-expected results. However, companies like Amgen, Glaxo, and Forest Labs missed the Zacks Consensus Estimate.
While guidance provided by Johnson & Johnson and Merck lagged expectations, Amgen and Eli Lilly provided an encouraging outlook.
A look at the Earnings ESP (Expected Surprise Prediction - Zacks' proprietary methodology for determining which stocks have the best chance to surprise with their next earnings announcement) in the table below shows that companies like Pfizer, Biogen, Teva, Actavis, Celgene ( CELG ) and Bristol-Myers Squibb could beat the Zacks Consensus Estimate in the first quarter of 2013. Meanwhile, Johnson & Johnson, Gilead, Amgen, Allergan and Mylan are likely to deliver below expectations.
Major Product Approvals in 2012
Most of these products should be major contributors to the top-line in 2013. Stivarga, Kalydeco, Xtandi and Kyprolis, especially, represent strong commercial potential.
Meanwhile, key regulatory decisions expected this year include a response regarding the approvability of Forest Labs' levomilnacipran (depression) and cariprazine (schizophrenia and bipolar mania), Merck's Atozet (primary or mixed hyperlipidemia) and Biogen's rFIXFc (hemophilia B) among others. Biogen's oral multiple sclerosis drug, Tecfidera, and Johnson & Johnson's type II diabetes drug, Invokana, gained FDA approval last week.
OPPORTUNITIES
We continue to have a Neutral outlook on large-cap pharma stocks. While the companies will continue to face challenges like EU austerity measures and genericization, the pharma industry should be out of the worst of the genericization phase from 2013.
Several companies which had faced generic headwinds in the last couple of years should see their results recover from 2013. Cost-cutting, downsizing, streamlining of the pipeline, growth in emerging markets and product approvals should support growth.
Zacks Rank #2 (Buy) stocks in the pharma sector include Eli Lilly ( LLY ) and Novo Nordisk ( NVO ), among others. Despite the presence of generic competition for key products, share buybacks and cost control should help Eli Lilly achieve its 2013 guidance.
In the biotech space, we are positive on Biogen ( BIIB ). We are optimistic on Tecfidera, the company's oral multiple sclerosis drug which gained approval last week. Key products, Avonex and Tysabri, should continue contributing significantly to sales. The company is also progressing with its hemophilia pipeline.
We are also positive on Amgen ( AMGN ). Amgen's 2013 guidance was above expectations. The company also provided an update on its long-term strategy. Amgen should be able to deliver on its long-term strategy based on expansion in key markets, launch of new manufacturing technologies, and pipeline development. Enbrel should continue performing well. Amgen's late-stage pipeline is also moving along.
Both Biogen and Amgen are Zacks Rank #2 stocks. Gilead, another Zacks Rank #2 stock, continues to do well in the HIV segment.
Osiris Therapeutics ( OSIR ), a stem cell company, currently carries a Zacks Rank #1 (Strong Buy). Prochymal's approval in Canada and New Zealand were major milestones for the company. Meanwhile, the Biosurgery segment is also gaining traction. A partnership deal for Prochymal would be a major boost for the stock.
Among generic companies, Mylan carries a Zacks Rank #2. We are encouraged by Mylan's geographic reach and product depth and robust generic product pipeline.
WEAKNESSES
We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles. The FDA has been exercising more caution in granting approval to new products and several candidates are facing delays in receiving final approval.
Although Forest Labs ( FRX ) carries a Zacks Rank #3 (Hold), we remain concerned about the headwinds being faced by the company in the form of generic competition and slow ramp up of new products.
Companies that currently carry a Zacks Rank #4 (Sell) include Affymax, Inc. ( AFFY ), Protalix BioTherapeutics ( PLX ), Elan Corp ( ELN ) and Jazz Pharmaceuticals ( JAZZ ) among others. Affymax is currently evaluating strategic options like a sale, merger, restructuring, wind-down of operations and filing for bankruptcy. The company took this decision after it recalled all lots of Omontys (peginesatide) voluntarily along with its partner Takeda Pharmaceutical Co. ( TKPYY ) in Feb 2013.
ABBOTT LABS (ABT): Free Stock Analysis Report
BRISTOL-MYERS (BMY): Free Stock Analysis Report
CELGENE CORP (CELG): Free Stock Analysis Report
GILEAD SCIENCES (GILD): Free Stock Analysis Report
GLAXOSMITHKLINE (GSK): Free Stock Analysis Report
JOHNSON & JOHNS (JNJ): Free Stock Analysis Report
LILLY ELI & CO (LLY): Free Stock Analysis Report
MERCK & CO INC (MRK): Free Stock Analysis Report
MYLAN INC (MYL): Free Stock Analysis Report
PFIZER INC (PFE): Free Stock Analysis Report
SANOFI-AVENTIS (SNY): Free Stock Analysis Report
TEVA PHARM ADR (TEVA): Free Stock Analysis Report
VERTEX PHARM (VRTX): Free Stock Analysis Report
DENTSPLY INTL (XRAY): 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. | Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. The last few quarters saw major blockbusters like Merck's ( MRK ) Singulair, Pfizer's ( PFE ) Lipitor, Forest Laboratories' ( FRX ) Lexapro, Sanofi/Bristol-Myers' ( SNY / BMY ) Plavix and Eli Lilly's ( LLY ) Zyprexa losing patent protection. | ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. A Look at Fourth Quarter Results Despite facing challenges like EU austerity measures, genericization and lower-than-expected contributions from new products, companies like Eli Lilly, Bristol-Myers Squibbs, Merck, and Pfizer delivered stronger-than-expected results. | Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. A Look at Fourth Quarter Results Despite facing challenges like EU austerity measures, genericization and lower-than-expected contributions from new products, companies like Eli Lilly, Bristol-Myers Squibbs, Merck, and Pfizer delivered stronger-than-expected results. | Abbott Labs ( ABT ) split into two separate publicly traded companies -- while one company deals in diversified medical products, the other, AbbVie is focusing on research-based pharmaceuticals. ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report CELGENE CORP (CELG): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report MERCK & CO INC (MRK): Free Stock Analysis Report MYLAN INC (MYL): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report TEVA PHARM ADR (TEVA): Free Stock Analysis Report VERTEX PHARM (VRTX): Free Stock Analysis Report DENTSPLY INTL (XRAY): Free Stock Analysis Report To read this article on Zacks.com click here. We would recommend investors to put their money in biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics. |
34278.0 | 2013-04-03 00:00:00 UTC | Stock Market News for April 3, 2013 - Market News | ABT | https://www.nasdaq.com/articles/stock-market-news-for-april-3-2013-market-news-2013-04-03 | nan | nan | Encouraging factory orders data and strong domestic auto sales boosted investor confidence on Tuesday. Improving payment rates in the healthcare sector added to the bullish mood. Investors also derived optimism from a conclusion to the Cyprus deal. Among the top ten S&P 500 industry groups, healthcare stocks gained the most while materials stocks were the biggest losers.
The Dow Jones Industrial Average (DJI) gained 0.6% to close the day at 14,662.01. The S&P 500 increased 0.5% to finish yesterday's trading session at 1,570.25. The tech-laden Nasdaq Composite Index gained 0.5% to end at 3,254.86. The fear-gauge CBOE Volatility Index (VIX) dropped almost 5.9% to settle at 12.78. Consolidated volumes on the New York Stock Exchange, American Stock Exchange and Nasdaq were roughly 5.9 billion shares, below 2012's average of 6.48 billion shares. Declining stocks outnumbered the advancers. For the 47% that advanced, 49% declined.
Since the beginning of this year, economic data has been mostly positive indicating an improving economy. Riding on positive domestic data, the Dow Jones and the S&P 500 neared all-time highs. The Dow Jones increased as much as 111 points in intra-day trade while the S&P 500 was just 2.4 points shy of its all-time high. The S&P 500 has gained 10.3% this year.
Strong factory orders data boosted investor confidence yesterday. According to the U.S. Department of Commerce, in February, new orders for manufactured goods increased 3% above the consensus estimate of 2.2%. This data follows a decrease of 1% in January. This is the highest level attained on NAICS (North American Industry Classification System) basis since 1992. Factory orders have gone up for two out of the previous three months. Shipments increased 0.9% while inventories data was up marginally, by 0.2%.
Meanwhile, sales of domestic vehicles remained flat. In March, sales of domestic vehicles were reported at 12.1 million, marginally higher than consensus estimate of 12 million. Although vehicle sales are not a major factor when it comes to changes in retail sales, it constitutes about 20% of the retail sales data.
The U.S. government said that it would increase payment rates by 3.3% in 2014 for health insurers that provide coverage through the Medicare Advantage program. This decision follows an announcement in February that a payment cut of 2.3% would be made. Currently, almost 14 million Americans are a part of this program. Following these developments, investors turned bullish towards the healthcare sector. The sector has gained almost 16% this year.
On the international front, investors received a boost after the conclusion of the Cyprus bailout deal. According to the deal, Cyprus will receive a 10 billion Euro loan along with a time period of 5 years to improve its financial situation. According to data released by the European Union, the unemployment rate in the Euro Zone has increased to 12.0% from 11.9% in January. In terms of numbers, about 19 million people are jobless in the Euro Zone. Month over month, the number of unemployed people has increased by 1.8 million.
Among the top ten S&P 500 industry groups, healthcare stocks performed the best. The Health Care SPDR (XLV) gained 1.5%. Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.9, 1.4%, 2.3%, 4.0% and 0.5%, respectively.
Materials stocks suffered the most. The Materials Select Sector SPDR (XLB) lost 1.0%. Stocks such as Monsanto Company (NYSE: MON ), the Dow Chemical Company (NYSE: DOW ), Praxair, Inc. (NYSE: PX ), Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX ) and PPG Industries, Inc. (NYSE: PPG ) declined 1.7%, 1.3%, 0.1%, 1.4% and 0.4%, respectively.
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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 such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.9, 1.4%, 2.3%, 4.0% and 0.5%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report DOW CHEMICAL (DOW): Free Stock Analysis Report FREEPT MC COP-B (FCX): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report MONSANTO CO-NEW (MON): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PPG INDS INC (PPG): Free Stock Analysis Report PRAXAIR INC (PX): Free Stock Analysis Report To read this article on Zacks.com click here. Encouraging factory orders data and strong domestic auto sales boosted investor confidence on Tuesday. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.9, 1.4%, 2.3%, 4.0% and 0.5%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report DOW CHEMICAL (DOW): Free Stock Analysis Report FREEPT MC COP-B (FCX): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report MONSANTO CO-NEW (MON): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PPG INDS INC (PPG): Free Stock Analysis Report PRAXAIR INC (PX): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks such as Monsanto Company (NYSE: MON ), the Dow Chemical Company (NYSE: DOW ), Praxair, Inc. (NYSE: PX ), Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX ) and PPG Industries, Inc. (NYSE: PPG ) declined 1.7%, 1.3%, 0.1%, 1.4% and 0.4%, respectively. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.9, 1.4%, 2.3%, 4.0% and 0.5%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report DOW CHEMICAL (DOW): Free Stock Analysis Report FREEPT MC COP-B (FCX): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report MONSANTO CO-NEW (MON): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PPG INDS INC (PPG): Free Stock Analysis Report PRAXAIR INC (PX): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks such as Monsanto Company (NYSE: MON ), the Dow Chemical Company (NYSE: DOW ), Praxair, Inc. (NYSE: PX ), Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX ) and PPG Industries, Inc. (NYSE: PPG ) declined 1.7%, 1.3%, 0.1%, 1.4% and 0.4%, respectively. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.9, 1.4%, 2.3%, 4.0% and 0.5%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report DOW CHEMICAL (DOW): Free Stock Analysis Report FREEPT MC COP-B (FCX): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report MONSANTO CO-NEW (MON): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PPG INDS INC (PPG): Free Stock Analysis Report PRAXAIR INC (PX): Free Stock Analysis Report To read this article on Zacks.com click here. In March, sales of domestic vehicles were reported at 12.1 million, marginally higher than consensus estimate of 12 million. |
34279.0 | 2013-04-02 00:00:00 UTC | Setback for Novartis in India - Analyst Blog | ABT | https://www.nasdaq.com/articles/setback-for-novartis-in-india-analyst-blog-2013-04-02 | nan | nan | Novartis ( NVS ) recently suffered a setback when the Indian Supreme Court denied patent for the company's oncology drug, Glivec (imatinib mesylate) under the Indian patent law.
Novartis filed the case to seek a patent for Glivec. It also sought clarification on certain aspects of the patent law. Novartis has never been granted an original patent for Glivec in India.
The Supreme Court in India denied Novartis' appeal challenging the rejection of a patent for Glivec. The ruling by the Indian Supreme Court will discourage further innovative drug discovery by Novartis in India.
We remind investors that in 2009, Novartis filed a Special Leave Petition with the Indian Supreme Court thereby challenging the denial of the Glivec beta crystal form patent on two grounds, based on Sections 3(d) and 3(b) of the Indian patent law.
We note that Glivec is indicated for some forms of chronic myeloid leukemia (CML) and gastrointestinal stromal tumors (GIST). Launched in 2001, Glivec is now patented in almost 40 countries including China, Russia and Taiwan.
Glivec is one of the leading selling oncology drugs in Novartis' portfolio. Glivec reported sales of $4.7 billion in 2012, up 4% year over year driven by solid demand for treating adults suffering from metastatic and/or unresectable KIT+ gastrointestinal stromal tumors (GIST).
The year-over-year sales growth was also driven by Glivec's use as an adjuvant treatment for certain adult patients following resection of KIT+ GIST and as a targeted therapy for Philadelphia chromosome-positive chronic myeloid leukemia (Ph+ CML).
Novartis carries a Zacks Rank #4 (Sell). Pharma companies that currently look better-positioned include Abbott Laboratories ( ABT ), Furiex Pharmaceuticals ( FURX ) and Novo Nordisk ( NVO ). All three are Zacks Rank #2 (Buy) 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. | Pharma companies that currently look better-positioned include Abbott Laboratories ( ABT ), Furiex Pharmaceuticals ( FURX ) and Novo Nordisk ( NVO ). ABBOTT LABS (ABT): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report To read this article on Zacks.com click here. We note that Glivec is indicated for some forms of chronic myeloid leukemia (CML) and gastrointestinal stromal tumors (GIST). | ABBOTT LABS (ABT): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report To read this article on Zacks.com click here. Pharma companies that currently look better-positioned include Abbott Laboratories ( ABT ), Furiex Pharmaceuticals ( FURX ) and Novo Nordisk ( NVO ). Novartis ( NVS ) recently suffered a setback when the Indian Supreme Court denied patent for the company's oncology drug, Glivec (imatinib mesylate) under the Indian patent law. | ABBOTT LABS (ABT): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report To read this article on Zacks.com click here. Pharma companies that currently look better-positioned include Abbott Laboratories ( ABT ), Furiex Pharmaceuticals ( FURX ) and Novo Nordisk ( NVO ). Novartis ( NVS ) recently suffered a setback when the Indian Supreme Court denied patent for the company's oncology drug, Glivec (imatinib mesylate) under the Indian patent law. | Pharma companies that currently look better-positioned include Abbott Laboratories ( ABT ), Furiex Pharmaceuticals ( FURX ) and Novo Nordisk ( NVO ). ABBOTT LABS (ABT): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report NOVARTIS AG-ADR (NVS): Free Stock Analysis Report To read this article on Zacks.com click here. Novartis ( NVS ) recently suffered a setback when the Indian Supreme Court denied patent for the company's oncology drug, Glivec (imatinib mesylate) under the Indian patent law. |
34280.0 | 2013-04-01 00:00:00 UTC | Glaxo's Influenza Vaccine Gets CRL - Analyst Blog | ABT | https://www.nasdaq.com/articles/glaxos-influenza-vaccine-gets-crl-analyst-blog-2013-04-01 | nan | nan | GlaxoSmithKline ( GSK ) recently received a complete response letter (CRL) from the US Food and Drug Administration (FDA) regarding the company's influenza vaccine candidate, Q-Pan H5N1 (pandemic influenza A virus monovalent adjuvanted vaccine).
The FDA issued the CRL due to an administrative issue. Glaxo noted in its press release that the issue has already been resolved and it is working with the FDA to gain approval.
Glaxo is looking to get Q-Pan H5N1 vaccine approved for active immunization for the prevention of disease in adults who are at increased risk of exposure to the H5N1 influenza virus subtype contained in the vaccine.
We note that in Nov 2012, the FDA's Vaccines and Related Biological Products Advisory Committee (VRBPAC) voted in favor of the H5N1 vaccine unanimously (14-0). The VRBPAC found the safety and immunogenicity data on Q-Pan H5N1 to be sufficient to support approval in adults.
Glaxo has collaborated with the Biomedical Advanced Development and Research Authority (BARDA) of the US Department of Health and Human Services for the development of the H5N1 vaccine since 2006.
We note that Glaxo boasts of a strong vaccine portfolio which includes vaccines like Infanrix/Pediarix, Rotarix, Synflorix and Cervarix. In Dec 2012, the portfolio was further boosted by the US approval of its influenza vaccine, Fluarix Quadrivalent, for the prevention of influenza caused by types A and B strains in adults and children aged 3 years and above.
Glaxo, a large cap pharma stock, carries a Zacks Rank #4 (Sell). Large-cap pharma companies that currently look better-positioned include Eli Lilly and Company ( LLY ), Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ). All three are Zacks Rank #2 (Buy) 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. | Large-cap pharma companies that currently look better-positioned include Eli Lilly and Company ( LLY ), Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ). ABBOTT LABS (ABT): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. GlaxoSmithKline ( GSK ) recently received a complete response letter (CRL) from the US Food and Drug Administration (FDA) regarding the company's influenza vaccine candidate, Q-Pan H5N1 (pandemic influenza A virus monovalent adjuvanted vaccine). | Large-cap pharma companies that currently look better-positioned include Eli Lilly and Company ( LLY ), Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ). ABBOTT LABS (ABT): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. GlaxoSmithKline ( GSK ) recently received a complete response letter (CRL) from the US Food and Drug Administration (FDA) regarding the company's influenza vaccine candidate, Q-Pan H5N1 (pandemic influenza A virus monovalent adjuvanted vaccine). | ABBOTT LABS (ABT): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Large-cap pharma companies that currently look better-positioned include Eli Lilly and Company ( LLY ), Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ). GlaxoSmithKline ( GSK ) recently received a complete response letter (CRL) from the US Food and Drug Administration (FDA) regarding the company's influenza vaccine candidate, Q-Pan H5N1 (pandemic influenza A virus monovalent adjuvanted vaccine). | Large-cap pharma companies that currently look better-positioned include Eli Lilly and Company ( LLY ), Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ). ABBOTT LABS (ABT): Free Stock Analysis Report GLAXOSMITHKLINE (GSK): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. GlaxoSmithKline ( GSK ) recently received a complete response letter (CRL) from the US Food and Drug Administration (FDA) regarding the company's influenza vaccine candidate, Q-Pan H5N1 (pandemic influenza A virus monovalent adjuvanted vaccine). |
34281.0 | 2013-04-01 00:00:00 UTC | Lilly Progresses with Empagliflozin - Analyst Blog | ABT | https://www.nasdaq.com/articles/lilly-progresses-with-empagliflozin-analyst-blog-2013-04-01 | nan | nan | Eli Lilly ( LLY ) and Boehringer Ingelheim recently submitted a New Drug Application (NDA) for their type II diabetes candidate, empagliflozin, in the US. Earlier this year, Eli Lilly and Boehringer Ingelheim had announced positive top-line results on empagliflozin from four phase III trials. Empagliflozin (10 and 25 mg taken once daily), a sodium glucose co-transporter-2 (SGLT-2) inhibitor, was found to be more effective in lowering blood sugar levels compared to placebo.
Meanwhile, the companies also announced that their marketing authorization application (MAA) for empagliflozin has been accepted for review by the European Medicines Agency (EMA). We note that Eli Lilly is not the only company looking to develop a SGLT-2 inhibitor. In fact, Johnson & Johnson ( JNJ ) recently gained FDA approval for its SGLT-2 inhibitor, Invokana.
Eli Lilly currently carries a Zacks Rank #2 (Buy). We are pleased with the company's efforts to strengthen its diabetes franchise. Eli Lilly's diabetes franchise consists of products like Humulin, Humalog, and Tradjenta among others.
Last month, Eli Lilly and Boehringer Ingelheim had announced the commencement of a phase IIIb study with Tradjenta in type II diabetes patients with prevalent albuminuria who are currently receiving standard treatment for diabetic nephropathy.
The 24-week, multicenter, multinational, randomized, double-blind, placebo-controlled, parallel-group study, MARINA (efficacy, safety & Modification of Albuminuria in type 2 diabetes subjects with Renal disease with LINAgliptin), will evaluate the glycemic efficacy and safety of once-daily Tradjenta (5 mg). The study is slated to complete in 2014.
Currently, Novo Nordisk ( NVO ) also looks well-positioned in the pharma sector with a Zacks Rank #2. Abbott Labs ( ABT ) is another company that currently holds a Zacks Rank #2.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Labs ( ABT ) is another company that currently holds a Zacks Rank #2. ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Eli Lilly ( LLY ) and Boehringer Ingelheim recently submitted a New Drug Application (NDA) for their type II diabetes candidate, empagliflozin, in the US. | ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) is another company that currently holds a Zacks Rank #2. Eli Lilly ( LLY ) and Boehringer Ingelheim recently submitted a New Drug Application (NDA) for their type II diabetes candidate, empagliflozin, in the US. | ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Labs ( ABT ) is another company that currently holds a Zacks Rank #2. Eli Lilly ( LLY ) and Boehringer Ingelheim recently submitted a New Drug Application (NDA) for their type II diabetes candidate, empagliflozin, in the US. | Abbott Labs ( ABT ) is another company that currently holds a Zacks Rank #2. ABBOTT LABS (ABT): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Eli Lilly ( LLY ) and Boehringer Ingelheim recently submitted a New Drug Application (NDA) for their type II diabetes candidate, empagliflozin, in the US. |
34282.0 | 2013-04-01 00:00:00 UTC | Sanofi Invests in Emerging Markets - Analyst Blog | ABT | https://www.nasdaq.com/articles/sanofi-invests-in-emerging-markets-analyst-blog-2013-04-01 | nan | nan | Sanofi ( SNY ) recently announced that it has started constructing a new manufacturing facility in the Saigon High Tech Park - Ho Chi Minh City, Vietnam. Sanofi plans to invest approximately $75 million on this new plant. The new plant is expected to be fully operational by the end of 2015.
The manufacturing facility is expected to produce pharmaceuticals and consumer healthcare products with an initial capacity of 90 million units per year, which is expandable up to 150 million units.
We believe that the manufacturing facility will help Sanofi to meet the demand in Vietnam and Association of South East Asian Nations (ASEAN) markets.
The signing of the deal comes close on the heals of Sanofi's collaboration with a French biopharmaceutical company, Transgene, for the production of immunotherapy products and creating of an industrial platform for the same. The platform will include Transgene's candidates.
Sanofi and Transgene will invest €10 million in the platform, which will be located at the Genzyme Polyclonals site at Lyon, Gerland. The platform will be solely owned by Sanofi.
Construction, qualification and validation of the manufacturing facility are expected to commence in the third quarter of 2013. Sanofi expects the first batch of commercial grade drugs to be available in 2015.
We note that Sanofi is looking to combat the threat of genericization hanging over many of its drugs by signing deals/making acquisitions. The company's focus on the high potential emerging markets is also impressive.
Sanofi carries a Zacks Rank #3 (Hold) in the short run. However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. All three stocks carry a Zacks Rank #2 (Buy).
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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, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Sanofi ( SNY ) recently announced that it has started constructing a new manufacturing facility in the Saigon High Tech Park - Ho Chi Minh City, Vietnam. | However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): 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. | ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. The manufacturing facility is expected to produce pharmaceuticals and consumer healthcare products with an initial capacity of 90 million units per year, which is expandable up to 150 million units. | However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Sanofi ( SNY ) recently announced that it has started constructing a new manufacturing facility in the Saigon High Tech Park - Ho Chi Minh City, Vietnam. |
34283.0 | 2013-04-01 00:00:00 UTC | Abaxis Pinned at Neutral - Analyst Blog | ABT | https://www.nasdaq.com/articles/abaxis-pinned-at-neutral-analyst-blog-2013-04-01 | nan | nan | On Mar 28, we reiterated our long-term Neutral recommendation on Abaxis Inc. ( ABAX ) following healthy third quarter fiscal 2013 results. This manufacturer of portable blood analysis systems for human medical and veterinary purpose carries a Zacks Rank #3 (Hold).
Why the Reiteration?
On Jan 31, Abaxis reported third-quarter fiscal 2013 EPS of 22 cents, a beat of 10% over the Zacks Consensus Estimate. The result also sailed past the year-ago EPS by 69.2%. Revenues surged 32% year over year to $49.8 million, surpassing the Zacks Consensus Estimate of $46 million in the quarter.
Abaxis serves a niche market with low worldwide penetration supporting solid growth across all geographical regions. Considering its distribution relationship with MWI Veterinary Supply ( MWIV ) and Abbott Point of Care, a part of Abbott ( ABT ), the company is well poised to expand its foothold in target markets. Abaxis' focus and investment towards further penetration of the North American and overseas markets should continue to support the current double-digit growth trend in the future.
The company's mainstay veterinary segment (accounting for 80% of total revenues) continues to record robust growth. Increasing service revenue from Abaxis Veterinary Reference Laboratories (AVRL) is another upside. Under the medical segment, Piccolo system placements remained at an encouraging level with higher uptake across North America as well as Europe. The company is also working on getting large-scale business for Piccolo.
On the tepid side, Abaxis' gross margin went downhill for the second consecutive quarter due to unfavorable product mix in the vet market and lower average selling price in the medical market.
Additionally, the company's is highly dependent on distributors like Henry Schein ( HSIC ) in various countries. Over-reliance on sole distributors in lucrative target markets and failure to maintain a healthy relationship is another cause of concern. Moreover, the competitive environment remains tough. Despite a strong quarter with several takeaways, looming concerns keep us on the sidelines.
There was no earnings momentum over the last 30 days. The Zacks Consensus Estimate for 2013 and 2014 is currently pegged at 80 cents and $1.13 per share. The estimates represent respectively a year-over-year increase of 37.4% and 41.2%.
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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. | Considering its distribution relationship with MWI Veterinary Supply ( MWIV ) and Abbott Point of Care, a part of Abbott ( ABT ), the company is well poised to expand its foothold in target markets. ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report HENRY SCHEIN IN (HSIC): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. This manufacturer of portable blood analysis systems for human medical and veterinary purpose carries a Zacks Rank #3 (Hold). | ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report HENRY SCHEIN IN (HSIC): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. Considering its distribution relationship with MWI Veterinary Supply ( MWIV ) and Abbott Point of Care, a part of Abbott ( ABT ), the company is well poised to expand its foothold in target markets. Revenues surged 32% year over year to $49.8 million, surpassing the Zacks Consensus Estimate of $46 million in the quarter. | ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report HENRY SCHEIN IN (HSIC): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. Considering its distribution relationship with MWI Veterinary Supply ( MWIV ) and Abbott Point of Care, a part of Abbott ( ABT ), the company is well poised to expand its foothold in target markets. On Jan 31, Abaxis reported third-quarter fiscal 2013 EPS of 22 cents, a beat of 10% over the Zacks Consensus Estimate. | Considering its distribution relationship with MWI Veterinary Supply ( MWIV ) and Abbott Point of Care, a part of Abbott ( ABT ), the company is well poised to expand its foothold in target markets. ABAXIS INC (ABAX): Free Stock Analysis Report ABBOTT LABS (ABT): Free Stock Analysis Report HENRY SCHEIN IN (HSIC): Free Stock Analysis Report MWI VET SUPPLY (MWIV): Free Stock Analysis Report To read this article on Zacks.com click here. On Mar 28, we reiterated our long-term Neutral recommendation on Abaxis Inc. ( ABAX ) following healthy third quarter fiscal 2013 results. |
34284.0 | 2013-04-01 00:00:00 UTC | Roche Mulls Bid For Genetic Sequencing Company Life Technologies | ABT | https://www.nasdaq.com/articles/roche-mulls-bid-genetic-sequencing-company-life-technologies-2013-04-01 | nan | nan | According to news reports, Roche Holdings ( RHHBY ) is mulling to bid for a diagnostics company called Life Technologies (Life Tech). While Life Tech has a decent presence in several business verticals including laboratory equipment and scientific instruments, it is the rapidly growing genome sequencing business that must have caught the attention of the Swiss healthcare major.
The move signifies Roche's continued interest in gene sequencing after multiple attempts including a hostile bid to acquire Illumina, which failed about a year ago. Below we take a close look at the event and its impact on Roche Holdings.
We have a $58 price estimate for Roche Holdings , which is in line with the current market price. Roche shares have risen almost 30% in the past year.
See Full Analysis for Roche Holdings Here
Genetic Sequencing: Holds Key For Growth
Genetic sequencing helps in decoding DNA at granular levels, which in turn allows doctors to develop specific treatments targeting a patient's needs. While significantly higher costs and a longer analysis time have historically hindered the use of genetic sequencing, the scenario is changing with the introduction of new improved devices. The average prices of genetic sequencing devices have been declining with growing competition. Further, as processes are getting improved, the analysis time has also come down from days to a few hours. Going forward, these factors will boost the use of genetic sequencing to develop differentiated drugs and companion diagnostics in areas of high unmet need, especially oncology.
Realizing the growth potential, Roche has intensified its focus on combining more of its pharmaceutical pipeline drugs with the development of companion diagnostics. The importance of genetic sequencing for Roche became evident when the drug maker aggressively tried to acquire one of the genetic sequencing market leaders, Illumina, last year. However, the latter fended off the hostile takeover attempt as it believed that Roche's final offer of close to $6.5 billion, which was after many upwards revision, was still too low.
What Does Life Technologies Offer?
Life Tech's business unit Ion Torrent recently launched a same-day gene sequencing device, which is what Roche has been looking for with the Illumina acquisition. While Illumina would have given Roche ready access to its already well-established same-day gene sequencing machine, what could motivate Roche is that Life Tech's machine can do the job at $1,000 per sequence, at least one-third the price compared with Illumina. With its R&D capabilities and global reach coupled with Life Tech's genome sequencing products, Roche can bolster its efforts of transitioning gene sequencing into clinical and routine diagnostics.
The acquisition will give Roche an opportunity to boost its revenues from the pharma franchise as well as increase its market share in the diagnostics market, which could trigger an upside to our $58 price estimate. The growth potential can be seen from its targeted skin cancer drug Zelboraf. The drug is based on a similar mechanism as it comes with a companion diagnostic test that identifies patients with a specific genetic mutation and will benefit from the treatment. Zelboraf witnessed a huge uptake in demand as revenues clocked over $250 million in just one year of its launch in late 2011.
The Serious Contenders
In addition to Roche Holdings, there are a couple of potential suitors for Life Tech. Some of them include core diagnostics companies like Thermo Fisher Scientific and Danaher Corp. However, the steady cash flows have attracted various private equity players as well. A buyout consortium of Blackstone Group, Carlyle Group, TPG Capital and Temasek Holdings are said to take part in the bidding. Roche has also joined a buyout group comprising KKR and Hellman & Friedman to bid for the diagnostics company.
But, Roche Holdings and Thermo Fisher Scientific are expected to emerge as the most serious and suitable contenders for the acquisition even as it is yet to seen if they are interested in buying the whole company. The former would be more interested in acquiring the generic sequencing business as it may not want to spend nearly $11 billion (current market capitalization of Life Tech) on an acquisition that comes with other low growth diagnostics businesses. Further, Life Tech's other businesses are a good fit for Thermo Fisher's existing portfolio. Separate bids for separate businesses seem a little difficult as this will potentially increase Life Tech shareholders' tax burden. However, the potential bidders could acquire Life Tech entirely and then divest the businesses they are not interested in.
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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 move signifies Roche's continued interest in gene sequencing after multiple attempts including a hostile bid to acquire Illumina, which failed about a year ago. While significantly higher costs and a longer analysis time have historically hindered the use of genetic sequencing, the scenario is changing with the introduction of new improved devices. Life Tech's business unit Ion Torrent recently launched a same-day gene sequencing device, which is what Roche has been looking for with the Illumina acquisition. | The move signifies Roche's continued interest in gene sequencing after multiple attempts including a hostile bid to acquire Illumina, which failed about a year ago. See Full Analysis for Roche Holdings Here Genetic Sequencing: Holds Key For Growth Genetic sequencing helps in decoding DNA at granular levels, which in turn allows doctors to develop specific treatments targeting a patient's needs. While Illumina would have given Roche ready access to its already well-established same-day gene sequencing machine, what could motivate Roche is that Life Tech's machine can do the job at $1,000 per sequence, at least one-third the price compared with Illumina. | See Full Analysis for Roche Holdings Here Genetic Sequencing: Holds Key For Growth Genetic sequencing helps in decoding DNA at granular levels, which in turn allows doctors to develop specific treatments targeting a patient's needs. The importance of genetic sequencing for Roche became evident when the drug maker aggressively tried to acquire one of the genetic sequencing market leaders, Illumina, last year. While Illumina would have given Roche ready access to its already well-established same-day gene sequencing machine, what could motivate Roche is that Life Tech's machine can do the job at $1,000 per sequence, at least one-third the price compared with Illumina. | The importance of genetic sequencing for Roche became evident when the drug maker aggressively tried to acquire one of the genetic sequencing market leaders, Illumina, last year. The former would be more interested in acquiring the generic sequencing business as it may not want to spend nearly $11 billion (current market capitalization of Life Tech) on an acquisition that comes with other low growth diagnostics businesses. However, the potential bidders could acquire Life Tech entirely and then divest the businesses they are not interested in. |
34285.0 | 2013-03-28 00:00:00 UTC | What Lessons Does Cyprus Teach Us? - Analyst Blog | ABT | https://www.nasdaq.com/articles/what-lessons-does-cyprus-teach-us-analyst-blog-2013-03-28 | nan | nan | Last Saturday, Cyprus finally reached an agreement on the terms of its bailout with a group of international lenders, consisting of the IMF, ECB and EU. The original set of terms was a bitter pill to swallow.
Particularly unpalatable was the proposal to tax insured deposits at 6.75%. The final agreement eliminates this clause altogether.
Ultimately, uninsured depositors will have to bear the entire burden of rescuing Cyprus's two beleaguered banks - Cyprus Popular Bank and Bank of Cyprus. In order to receive the euro 10 billion ($13 billion) bailout package, Cyprus will have to itself put up a substantial amount. The Popular Bank of Cyprus, also known as Laiki Bank, will be closed. Its good assets and insured deposits will be transferred to Bank of Cyprus.
Deposits above euro 1,00,000 will be utilized to fund the amount to be paid by Cyprus. These frozen deposits are expected to amount to euro 4.2 billion ($5.5 billion) and depositors could lose up to 30%-40%. This is substantially higher than the originally proposed rate of 9.9% on these deposits.
Incidentally, most of these deposits are from Russia. Weak financial regulation and low corporate taxes have turned Cyprus into a destination for funds from affluent individuals and businesses from all over the world. This is why the country is hugely dependent on its financial sector. In fact, Russian funds amount to $31 billion in bank deposits. This figure is particularly relevant when compared to Cyprus' GDP of $25 billion.
However, all this has come to an end thanks to the terms of the bailout. The fact that foreign depositors will be paying for the country's bailout has effectively ended Cyprus' lucrative offshore banking sector. This will lead to a huge loss of income, a rise in unemployment and a reduction in GDP. Brokerage agency Exotix has forecast a 10% decline in GDP this year itself.
Further action would mean going against the very spirit of the European Union. This would mean more trouble for Cyprus' economy, already facing a downgrade from rating agency Fitch. It would also send a negative signal to those parking funds in other troubled euro zone countries like Spain, Italy and Greece.
What the Cyprus deal illustrates is that the Eurozone still has economic issues which remain a long-term concern. In any case, the rest of the region is anything but in the pink of economic health. This is particularly relevant to U.S. companies with large exposure to the Eurozone. According to Citi Research, a division of Citigroup Inc. ( C ),as of 2010 several large U.S. companies drew significant revenues from the region.
These include the likes of General Electric Company ( GE ), The Coca-Cola Company ( KO ), Philip Morris International, Inc. ( PM ), McDonald's Corp. ( MCD ), Abbott Laboratories ( ABT ), News Corp. ( NWSA ) and Ford Motor Co. ( F ). Earlier this month, FedEx Corporation ( FDX ) lowered its earnings forecast, saying that it had been affected by the global economic situation. Meanwhile, Caterpillar, Inc. ( CAT ), a significant indicator of the health of the world's economy, said monthly sales had declined significantly.
According to Goldman Sachs ( GS ), around 50% of international sales of US companies can be attributed to Europe. Until now, share prices have been unaffected by the precarious European situation combined with such heavy exposure. However, markets have been sensitive on occasion. Indices had declined after Jeroen Dijsselbloem, head of the Eurogroup of Eurozone finance ministers, said that the approach used in Cyprus would be used in other countries facing similar problems.
Of course, stocks recovered when he said: "Cyprus is a specific case with exceptional challenges," but such concerns linger in the background. And capital controls cannot be one of them. This would go against the very spirit of the currency union and lead to a further loss of confidence. The Cyprus pact has put the brakes on a greater crisis for now. But, surely, the Eurozone will have to find a more permanent solution to its economic malaise.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | These include the likes of General Electric Company ( GE ), The Coca-Cola Company ( KO ), Philip Morris International, Inc. ( PM ), McDonald's Corp. ( MCD ), Abbott Laboratories ( ABT ), News Corp. ( NWSA ) and Ford Motor Co. ( F ). ABBOTT LABS (ABT): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report CATERPILLAR INC (CAT): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report GOLDMAN SACHS (GS): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report NEWS CORP INC-A (NWSA): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report To read this article on Zacks.com click here. Last Saturday, Cyprus finally reached an agreement on the terms of its bailout with a group of international lenders, consisting of the IMF, ECB and EU. | These include the likes of General Electric Company ( GE ), The Coca-Cola Company ( KO ), Philip Morris International, Inc. ( PM ), McDonald's Corp. ( MCD ), Abbott Laboratories ( ABT ), News Corp. ( NWSA ) and Ford Motor Co. ( F ). ABBOTT LABS (ABT): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report CATERPILLAR INC (CAT): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report GOLDMAN SACHS (GS): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report NEWS CORP INC-A (NWSA): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report To read this article on Zacks.com click here. Meanwhile, Caterpillar, Inc. ( CAT ), a significant indicator of the health of the world's economy, said monthly sales had declined significantly. | ABBOTT LABS (ABT): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report CATERPILLAR INC (CAT): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report GOLDMAN SACHS (GS): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report NEWS CORP INC-A (NWSA): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report To read this article on Zacks.com click here. These include the likes of General Electric Company ( GE ), The Coca-Cola Company ( KO ), Philip Morris International, Inc. ( PM ), McDonald's Corp. ( MCD ), Abbott Laboratories ( ABT ), News Corp. ( NWSA ) and Ford Motor Co. ( F ). Ultimately, uninsured depositors will have to bear the entire burden of rescuing Cyprus's two beleaguered banks - Cyprus Popular Bank and Bank of Cyprus. | These include the likes of General Electric Company ( GE ), The Coca-Cola Company ( KO ), Philip Morris International, Inc. ( PM ), McDonald's Corp. ( MCD ), Abbott Laboratories ( ABT ), News Corp. ( NWSA ) and Ford Motor Co. ( F ). ABBOTT LABS (ABT): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report CATERPILLAR INC (CAT): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report FEDEX CORP (FDX): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report GOLDMAN SACHS (GS): Free Stock Analysis Report COCA COLA CO (KO): Free Stock Analysis Report MCDONALDS CORP (MCD): Free Stock Analysis Report NEWS CORP INC-A (NWSA): Free Stock Analysis Report PHILIP MORRIS (PM): Free Stock Analysis Report To read this article on Zacks.com click here. In order to receive the euro 10 billion ($13 billion) bailout package, Cyprus will have to itself put up a substantial amount. |
34286.0 | 2013-03-28 00:00:00 UTC | Stock Market News for March 28, 2013 - Market News | ABT | https://www.nasdaq.com/articles/stock-market-news-for-march-28-2013-market-news-2013-03-28 | nan | nan | Major indices ended mixed following investor concerns over Cyprus' banks operations and weaker-than-expected pending home sales data. Banks in Cyprus are scheduled to re-open on Thursday under strict vigilance. Among the top ten S&P 500 industry groups, healthcare stocks emerged as the biggest gainers while financial stocks were the biggest losers.
The Dow Jones Industrial Average (DJI) lost 0.2% to close the day at 14,526.16. The S&P 500 decreased 0.06% to finish yesterday's trading session at 1,562.85. The tech-laden Nasdaq Composite Index gained 0.1% to end at 3,256.52. The fear-gauge CBOE Volatility Index (VIX) gained almost 3.0% to settle at 13.15. Consolidated volumes on the New York Stock Exchange, American Stock Exchange and Nasdaq were roughly 5.1 billion shares, below 2012's average of 6.48 billion shares. Advancing stocks outnumbered the decliners. For the 52% that advanced, 44% declined.
For the first quarter 2013, the Dow Jones has gained 10.9%, registering its best performance since gaining 11.3% in the first quarter in 1998. The S&P 500 has gained 9.6% while the Nasdaq has gained 7.9%. The S&P 500 in en route to post gains for the fifth consecutive month. Since the past two weeks the S&P 500 is trading within a band of 10 points but hasn't surpassed its all-time high. Yesterday's trading session started with losses as concerns over Cyprus' bank operations still prevailed among investors. This triggered a sell off owing to which the indices entered negative territory. Later during the trading session, investors took the fall in benchmarks as a buying opportunity and benchmarks recovered from their lows and ended mixed.
Cyprus has caught investors' attention since mid-March when the country was on the brink of a financial meltdown. Although the country has negotiated a "painful" deal with its Euro Zone partners, investors closely observing the situation. For the first time since March 16, the banks are set to open on Thursday, but will continue operations under strict restrictions. These restrictions are intended to help banks avoid a "run-on".
However, other banks in Cyprus, apart from Bank of Cyrus, whose deposits amount to 68 billion Euros or 60% of the deposits in the country, will remain unaffected. Most of the money originates from Russia. For the first time since the introduction of the currency Euro, limits will be imposed on how much money an individual or a company can use internationally. People travelling abroad can carry a maximum of 3000 Euros in cash while usage of credit and debit cards has been restricted to 5000 Euros per month. International fund transfers of more than 5000 Euros have been restricted. These transfers can be made only after getting approval and is meant for daily business purposes. Encashment of checks will be banned but money can be transferred into accounts. Cash withdrawal limit will be restricted to a maximum of 300 Euros per day.
On the domestic front, according to the National Association of Realtors, Pending Home Sales Index slipped in February. This data, based on contract signings, declined 0.4% in comparison with the consensus estimate of 1%. In February the index was 104.8, below 105.2 in the previous month but well above 96.6 in February 2012.
Among the top ten S&P 500 industry groups, healthcare stocks performed the best. Health Care SPDR (XLV) gained 0.5%. Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.5%, 0.1%, 0.8%, 1.5% and 4.3%, respectively.
Financial stocks suffered the most. Financial Select Sector SPDR (XLF) declined 0.4%. Stocks such as Bank of America Corp (NYSE: BAC ), Wells Fargo & Co (NYSE: WFC ), JPMorgan Chase & Co. (NYSE: JPM ), PNC Financial Services (NYSE: PNC ) and Citigroup Inc. (NYSE: C ) gained 0.4%, 0.9%, 1.8%, 0.1% and 0.8%, respectively.
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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. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.5%, 0.1%, 0.8%, 1.5% and 4.3%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report JPMORGAN CHASE (JPM): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report WELLS FARGO-NEW (WFC): Free Stock Analysis Report To read this article on Zacks.com click here. Major indices ended mixed following investor concerns over Cyprus' banks operations and weaker-than-expected pending home sales data. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.5%, 0.1%, 0.8%, 1.5% and 4.3%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report JPMORGAN CHASE (JPM): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report WELLS FARGO-NEW (WFC): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks such as Bank of America Corp (NYSE: BAC ), Wells Fargo & Co (NYSE: WFC ), JPMorgan Chase & Co. (NYSE: JPM ), PNC Financial Services (NYSE: PNC ) and Citigroup Inc. (NYSE: C ) gained 0.4%, 0.9%, 1.8%, 0.1% and 0.8%, respectively. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.5%, 0.1%, 0.8%, 1.5% and 4.3%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report JPMORGAN CHASE (JPM): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report WELLS FARGO-NEW (WFC): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks such as Bank of America Corp (NYSE: BAC ), Wells Fargo & Co (NYSE: WFC ), JPMorgan Chase & Co. (NYSE: JPM ), PNC Financial Services (NYSE: PNC ) and Citigroup Inc. (NYSE: C ) gained 0.4%, 0.9%, 1.8%, 0.1% and 0.8%, respectively. | Stocks such as Johnson & Johnson (NYSE: JNJ ), Pfizer Inc. (NYSE: PFE ), Abbott Laboratories (NYSE: ABT ), Amgen, Inc. (NASDAQ: AMGN ) and Gilead Sciences, Inc. (NASDAQ: GILD ) gained 0.5%, 0.1%, 0.8%, 1.5% and 4.3%, respectively. ABBOTT LABS (ABT): Free Stock Analysis Report AMGEN INC (AMGN): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report CITIGROUP INC (C): Free Stock Analysis Report GILEAD SCIENCES (GILD): Free Stock Analysis Report JOHNSON & JOHNS (JNJ): Free Stock Analysis Report JPMORGAN CHASE (JPM): Free Stock Analysis Report PFIZER INC (PFE): Free Stock Analysis Report PNC FINL SVC CP (PNC): Free Stock Analysis Report WELLS FARGO-NEW (WFC): Free Stock Analysis Report To read this article on Zacks.com click here. The S&P 500 has gained 9.6% while the Nasdaq has gained 7.9%. |
34287.0 | 2013-03-28 00:00:00 UTC | Bristol-Myers Reaches 52-Week High - Analyst Blog | ABT | https://www.nasdaq.com/articles/bristol-myers-reaches-52-week-high-analyst-blog-2013-03-28 | nan | nan | Shares of Bristol-Myers Squibb Company ( BMY ) hit a 52-week high of $40.84 towards the end of the trading session on Mar 27, 2013. The long-term expected earnings growth rate for this stock is 5.3%.
On Jan 24, 2013 Bristol-Myers reported higher-than-expected earnings in the final quarter of 2012 on the back of lower costs. However, adjusted earnings in the final quarter of 2012 were 11% below the year-ago earnings.
The year-over-year decline in earnings was due to reduced sales of hypertension treatment Avapro/Avalide and blood-thinner Plavix, which went off-patent in the US in Mar 2012 and May 2012, respectively. Bristol-Myers co-developed the drugs with Sanofi ( SNY ) .
Bristol-Myers is looking to strengthen its product portfolio by launching new drugs to make up for the loss of revenues following the genericization of key drugs, especially Plavix. The company met with a fair amount of success in this respect in 2012. Many new products were approved in 2012. The approval of Eliquis for reducing the risk of strokes and systemic embolism in patients suffering from nonvalvular atrial fibrillation (NVAF) in the US, EU and Japan has boosted the stock.
In Jul 2012, Erbitux' label was successfully expanded in the US when the FDA cleared the drug as a first-line treatment in combination with FOLFIRI in patients with wild-type KRAS, epidermal growth factor receptor (EGFR)-expressing metastatic colorectal cancer. The EU approval of Forxiga for treating type II diabetes patients is another significant event for Bristol-Myers in 2012. Many important products were approved in 2011 as well. We expect Bristol-Myers to continue launching new products in 2013 as well. Given the strong product portfolio, we expect Bristol-Myers to easily achieve its 2013 earnings guidance of $1.78-$1.88 per share.
Moreover, Bristol-Myers is looking to combat the generic threat hanging over its key drugs through partnering deals and acquisitions. In Feb 2013, Bristol-Myers announced that it has inked a deal with Reckitt Benckiser Group plc for three years. As per the terms of the deal, Reckitt Benckiser will get exclusive rights to commercialize several over-the-counter drugs in Bristol-Myers' portfolio targeting Latin American markets (primarily Mexico and Brazil). In Aug 2012, Bristol-Myers acquired Amylin Pharmaceuticals, Inc. in a bid to diversify its business to combat the generic threat and bolster its position in the lucrative diabetes market. We believe that such strategic deals/acquisitions will help Bristol-Myers augment its product portfolio/pipeline, thereby driving the top line.
Other Stocks to Consider
Bristol-Myers, a large-cap pharma company, carries a Zacks Rank #3 (Hold). Large cap pharma stocks such as Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ) appear to be more attractive. Both the stocks carry a Zacks Rank #2 (Buy).
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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. | Large cap pharma stocks such as Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ) appear to be more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. The approval of Eliquis for reducing the risk of strokes and systemic embolism in patients suffering from nonvalvular atrial fibrillation (NVAF) in the US, EU and Japan has boosted the stock. | ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Large cap pharma stocks such as Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ) appear to be more attractive. Other Stocks to Consider Bristol-Myers, a large-cap pharma company, carries a Zacks Rank #3 (Hold). | ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Large cap pharma stocks such as Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ) appear to be more attractive. Bristol-Myers is looking to strengthen its product portfolio by launching new drugs to make up for the loss of revenues following the genericization of key drugs, especially Plavix. | Large cap pharma stocks such as Abbott Laboratories ( ABT ) and Novo Nordisk ( NVO ) appear to be more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report BRISTOL-MYERS (BMY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Bristol-Myers is looking to strengthen its product portfolio by launching new drugs to make up for the loss of revenues following the genericization of key drugs, especially Plavix. |
34288.0 | 2013-03-28 00:00:00 UTC | Sanofi/Transgene Inks Immunotherapy Deal - Analyst Blog | ABT | https://www.nasdaq.com/articles/sanofi-transgene-inks-immunotherapy-deal-analyst-blog-2013-03-28 | nan | nan | Sanofi ( SNY ) recently entered into a collaboration Transgene for the production of immunotherapy products and creating of an industrial platform for the same. The platform will include Transgene's candidates.
Sanofi and Transgene, a French biopharmaceutical company, will invest €10 million in the platform, which will be located at the Genzyme Polyclonals site at Lyon, Gerland. The platform will be solely owned by Sanofi. We note that Genzyme Polyclonals site is already engaged in manufacturing polyclonal antibodies for the global markets. The platform possesses the capability to facilitate the registration of immunotherapy candidates in the US and EU.
Construction, qualification and validation of the manufacturing facility are expected to commence in the third quarter of 2013. Sanofi expects the first batch of commercial grade drugs to be available in 2015.
Under the terms of the agreement, Sanofi and its subsidiary, Genzyme will function as Contract Manufacturing Organization (CMO) for Transgene. Sanofi will manufacture Transgene's immunotherapy drugs, including modified vaccinia ankara vaccine, for clinical studies as well as commercial purposes. For 15 years, Transgene will be recognized as a preferred customer of the manufacturing facility.
The signing of the deal comes close on the heals of the positive recommendation issued by the European Medicines Agency's (EMA) Committee for Medicinal Products for Human Use (CHMP) for Aubagio (teriflunomide). The company is looking to get Aubagio approved for the treatment of relapsing forms of multiple sclerosis (RMS) in adult patients.
We are pleased with Sanofi's efforts to develop its pipeline, which should fetch significant revenue contributions upon approval. We believe that the pipeline at Sanofi must deliver, since many of its drugs are facing generic competition.
Sanofi carries a Zacks Rank #3 (Hold) in the short run. However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. All three stocks carry a Zacks Rank #2 (Buy).
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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, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Sanofi and Transgene, a French biopharmaceutical company, will invest €10 million in the platform, which will be located at the Genzyme Polyclonals site at Lyon, Gerland. | However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. Sanofi will manufacture Transgene's immunotherapy drugs, including modified vaccinia ankara vaccine, for clinical studies as well as commercial purposes. | ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. Sanofi and Transgene, a French biopharmaceutical company, will invest €10 million in the platform, which will be located at the Genzyme Polyclonals site at Lyon, Gerland. | However, large cap pharma stocks such as Novo Nordisk ( NVO ), Eli Lilly and Company ( LLY ) and Abbott Laboratories ( ABT ) currently look more attractive. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SANOFI-AVENTIS (SNY): Free Stock Analysis Report To read this article on Zacks.com click here. The platform will include Transgene's candidates. |
34289.0 | 2013-03-27 00:00:00 UTC | Weekly Healthcare Note: Abbott Labs And Intuitive Surgical | ABT | https://www.nasdaq.com/articles/weekly-healthcare-note-abbott-labs-and-intuitive-surgical-2013-03-27 | nan | nan | The past week has been eventful for the healthcare sector. During the week, Abbott Labs ( ABT ) got conflicting responses relating to the pending approval of MitraClip. While the FDA staff recommended against approving the device seeking more data, an advisory panel to the FDA voted in favor of the device saying benefits outweigh risks.
Meanwhile, Intuitive Surgical ( ISRG ) announced an increase in its stock buyback program by an additional $1 billion amidst a steep decline in its stock price.
Abbott Labs
Abbott's MitraClip is used in patients with mitral regurgitation (one of the most common heart valve conditions), which is estimated to affect almost 1 in 10 individuals aged 75 and older. The device improves the heart's efficiency to pump blood. W
hile MitraClip is already available in various markets following European CE Mark approval in 2008, it is still an investigational device in the major U.S. market pending FDA approval. On Monday, the FDA staff made negative comments about MitraClip seeking more data to show the device's safety and effectiveness. However, on Wednesday, an eight members advisory panel voted unanimously to recommend the device's safety. But, efficacy for its intended use remained under questioned with a 4-4 vote. Overall, the panel voted 5-3 saying that the device's benefits outweighed its risks. The FDA usually follows advisory panel's recommendation in issuing approval.
While we expect the device to get the approval, it will mostly be limited for the patients who are at high-risk for surgery. Recently, the device showed a huge 96% implant success rate in patients at high-risk to be treated with surgery. The device also exhibited a few adverse effects along with a lower-than-expected mortality rate.
The diversified health maker has been facing near term headwinds in its vascular division due to weakness in the U.S. drug-eluting stent market and growing competition. Approval for new products like MitraClip will lend support to its vascular franchise. However, if the FDA decides to pay heed to its staff recommendation and wait for data from another study (expected by 2019), Abbott's market share may remain under pressure.
See our complete analysis for Abbott Labs
Intuitive Surgical
Intuitive Surgical has increased its stock buyback program by $1 billion taking the total amount for stock buyback to $1.21 billion. The move comes with an aim to win back investors' confidence as concerns are rising about the safety and cost effectiveness of its robotic surgery system called da Vinci. In the last couple of days, Intuitive Surgical's stock has been hit by a wave of selling due to various reports. First, a new comprehensive study by Columbia University suggested that surgery through the system costs significantly higher than the standard minimally invasive procedure, and that too without any major benefits.
Further, the da Vinci system has seen a significant increase in adverse event reports including many incidences of deaths and injuries. The news that the FDA is asking surgeons at major hospitals to list complications witnessed with the surgical system, triggered selling in the stock as investors feared potential backlash from the FDA. Adding to the selling pressure was also an adverse comment from the American Congress of Obstetricians and Gynecologists, stating that robotic surgery for hysterectomies doesn't improve outcomes and it should not be the first choice of procedure. A group of surgeons, however, rebutted the comment in a public letter released during last weekend. We recently discussed impact of these events in a note Downside Risks To Intuitive Surgical's $600 Fair Value.
The medical device maker should be comfortable in funding its $1.2 billion stock buy-back program considering nearly $3 billion in cash and cash equivalents it has been sitting on. The buyback is expected to begin on April 23 after Intuitive Surgical reports Q1 results.
See our complete analysis of Intuitive Surgical
Submit a Post at Trefis Powered by Data and Interactive Charts | Understand What Drives a Stock at Trefis
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. | During the week, Abbott Labs ( ABT ) got conflicting responses relating to the pending approval of MitraClip. The move comes with an aim to win back investors' confidence as concerns are rising about the safety and cost effectiveness of its robotic surgery system called da Vinci. First, a new comprehensive study by Columbia University suggested that surgery through the system costs significantly higher than the standard minimally invasive procedure, and that too without any major benefits. | During the week, Abbott Labs ( ABT ) got conflicting responses relating to the pending approval of MitraClip. While the FDA staff recommended against approving the device seeking more data, an advisory panel to the FDA voted in favor of the device saying benefits outweigh risks. On Monday, the FDA staff made negative comments about MitraClip seeking more data to show the device's safety and effectiveness. | During the week, Abbott Labs ( ABT ) got conflicting responses relating to the pending approval of MitraClip. While the FDA staff recommended against approving the device seeking more data, an advisory panel to the FDA voted in favor of the device saying benefits outweigh risks. W hile MitraClip is already available in various markets following European CE Mark approval in 2008, it is still an investigational device in the major U.S. market pending FDA approval. | During the week, Abbott Labs ( ABT ) got conflicting responses relating to the pending approval of MitraClip. While the FDA staff recommended against approving the device seeking more data, an advisory panel to the FDA voted in favor of the device saying benefits outweigh risks. See our complete analysis for Abbott Labs Intuitive Surgical Intuitive Surgical has increased its stock buyback program by $1 billion taking the total amount for stock buyback to $1.21 billion. |
34290.0 | 2013-03-25 00:00:00 UTC | FDA Panel Favors Abbott's MitraClip - Analyst Blog | ABT | https://www.nasdaq.com/articles/fda-panel-favors-abbotts-mitraclip-analyst-blog-2013-03-25 | nan | nan | Abbott Laboratories ( ABT ) recently announced that the US Food and Drug Administration (FDA) Circulatory System Devices Panel of the Medical Devices Advisory Committee has voted in favor of the company's device MitraClip.
The committee acknowledged that the benefits of treatment with the MitraClip device considerably outweighed the risks in patients suffering from major symptomatic mitral regurgitation (MR).
8 votes out of nine were in favor of the device being reasonably safe. On the subject of efficacy, 4 votes were in favor while 5 votes were against the same.
The favorable recommendation was based on positive data from EVEREST II, EVEREST II High Risk and REALISM STUDIES wherein Mitra Clip demonstrated positive results.
These patients were at a high risk for open mitral valve surgery. The device is delivered to the heart through a blood vessel in the leg (the femoral vein). The MitraClip system aims to bring down MR by clipping together the leaflets of the mitral valve so that the heart can pump blood in a more efficient manner.
The MitraClip system received CE mark (mandatory confirmation for products placed in the European market) in 2008 and is marketed in Europe and in parts of Asia and Latin America.
Abbott expects that the panel's opinion will positively impact FDA's decision when it decides on the approval of the MitraClip for the treatment of significant MR in the US later in 2013.
Meanwhile, Abbott is working on boosting its vascular products portfolio and expects to launch several products in the next five years. The company intends to work on increasing international MitraClip sales and developing ABSORB, its bioresorbable vascular scaffold (BVS) device.
Abbott is also focusing on strengthening its drug eluting product portfolio, powered by the launch of Xience Xpedition drug-eluting stent in Europe in Aug 2012 and in the US in Jan 2013. Abbott expects to launch Expedition in Japan in mid-2013 and market products in the Xience family.
Abbott currently carries a Zacks Rank #3 (Hold). Right now, pharma companies that look attractive include Novo Nordisk ( NVO ), Furiex Pharmaceuticals Inc. ( FURX ) and Abbvie Inc. ( ABV ). All three carry a Zacks Rank #2 (Buy).
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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. | Abbott Laboratories ( ABT ) recently announced that the US Food and Drug Administration (FDA) Circulatory System Devices Panel of the Medical Devices Advisory Committee has voted in favor of the company's device MitraClip. ABBOTT LABS (ABT): Free Stock Analysis Report AMBEV-PR ADR (ABV): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. The committee acknowledged that the benefits of treatment with the MitraClip device considerably outweighed the risks in patients suffering from major symptomatic mitral regurgitation (MR). | Abbott Laboratories ( ABT ) recently announced that the US Food and Drug Administration (FDA) Circulatory System Devices Panel of the Medical Devices Advisory Committee has voted in favor of the company's device MitraClip. ABBOTT LABS (ABT): Free Stock Analysis Report AMBEV-PR ADR (ABV): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. The favorable recommendation was based on positive data from EVEREST II, EVEREST II High Risk and REALISM STUDIES wherein Mitra Clip demonstrated positive results. | Abbott Laboratories ( ABT ) recently announced that the US Food and Drug Administration (FDA) Circulatory System Devices Panel of the Medical Devices Advisory Committee has voted in favor of the company's device MitraClip. ABBOTT LABS (ABT): Free Stock Analysis Report AMBEV-PR ADR (ABV): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott expects that the panel's opinion will positively impact FDA's decision when it decides on the approval of the MitraClip for the treatment of significant MR in the US later in 2013. | Abbott Laboratories ( ABT ) recently announced that the US Food and Drug Administration (FDA) Circulatory System Devices Panel of the Medical Devices Advisory Committee has voted in favor of the company's device MitraClip. ABBOTT LABS (ABT): Free Stock Analysis Report AMBEV-PR ADR (ABV): Free Stock Analysis Report FURIEX PHARMACT (FURX): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report To read this article on Zacks.com click here. These patients were at a high risk for open mitral valve surgery. |
34291.0 | 2013-03-18 00:00:00 UTC | Weekly Healthcare Note: Boston Scientific And Abbott Labs | ABT | https://www.nasdaq.com/articles/weekly-healthcare-note-boston-scientific-and-abbott-labs-2013-03-18 | nan | nan | The past week has been eventful for the healthcare sector, impacting two medical device companies under our coverage. During the week, Boston Scientific ( BSX ) released data from a clinical trial called "Prevail", where its Watchman devices produced better safety results than what the earlier trial had suggested. However, its efficacy was similar to standard blood thinner Warfarin in preventing stroke in atrial fibrillation patients. Meanwhile, Abbott Labs' ( ABT ) MitraClip heart valve showed positive results in patients with conditions considered high risk for surgery.
Boston Scientific
Watchman is implanted in atrial fibrillation (irregular heartbeat) patients to reduce the risk of strokes. In the highly anticipated "Prevail" clinical trial data released last week, Watchman posted a significant drop in serious complications (build-up of fluid around the heart and stroke) rate compared with the previous "Protect AF" trial. While in the "Protect AF" trial, Watchman demonstrated similar efficacy as Warfarin, a standard blood thinner, the data showed a high rate of complications, compelling the FDA to hold back approval. With the new results, the company will hope the FDA will grant approval for the new device soon.
The device has already seen a huge uptake in international markets with implants growing over by nearly 65% on a year-over-year basis (Read Boston Scientific Revised To $8 On Acquisitions, New Products & Cost Cutting Efforts ). If approved, it will be the only device of its kind in the U.S. at this time and will have the first mover advantage in a potentially large market. Atrial fibrillation affects almost 3 million people in the U.S. alone. However, what can limit the device's potential is that it has no major efficacy over Warfarin. Without demonstrating that, the use of the device is expected to remain limited to patients with high risk of bleeding, a serious side-effect of Warfarin.
The device is part of the CRDM division, which includes products like implantable cardioverter defibrillators (ICDs) and pacemakers, in our model. The division has witnessed a sharp decline in revenues due to weak demand for its ICDs. Going forward, we expect the device maker's market share to continue to decline, although at a slower rate. This is mainly due to products like Watchman.
See our complete analysis of Boston Scientific
Abbott Labs
Abbott's MitraClip is used in patients with mitral regurgitation, one of the most common heart valve conditions. The device improves the heart's efficiency to pump blood. According to a recent trial data, MitraClip showed a massive 96% implant success rate in patients at high-risk to be treated with surgery. The device also exhibited a few adverse effects along with a lower-than-expected mortality rate.
Abbott's Vascular division is facing near-term challenges due to weakness in the U.S. drug-eluting stent market and growing competition. Further, the healthcare company's contract to supply Promus stent to Boston Scientific expired in mid-2012 and the latter started manufacturing a new version of Promus internally since then. All these factors have dragged down growth as Abbott generates a significant chunk of Vascular revenues from its stents.
However, with new products like MitraClip, we expect Abbott to improve its market share going forward. Mitral regurgitation is estimated to affect almost 1 in 10 individuals aged 75 and older. While MitraClip is already available in various markets following European CE Mark approval in 2008, the major U.S. market still evades it. With the impressive efficacy in patients at high-risk to be treated with surgery, Abbott can certainly hope to get approval for the patients group very soon, if not for all the patients.
See our complete analysis for Abbott Labs
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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. | Meanwhile, Abbott Labs' ( ABT ) MitraClip heart valve showed positive results in patients with conditions considered high risk for surgery. While in the "Protect AF" trial, Watchman demonstrated similar efficacy as Warfarin, a standard blood thinner, the data showed a high rate of complications, compelling the FDA to hold back approval. The device has already seen a huge uptake in international markets with implants growing over by nearly 65% on a year-over-year basis (Read Boston Scientific Revised To $8 On Acquisitions, New Products & Cost Cutting Efforts ). | Meanwhile, Abbott Labs' ( ABT ) MitraClip heart valve showed positive results in patients with conditions considered high risk for surgery. While in the "Protect AF" trial, Watchman demonstrated similar efficacy as Warfarin, a standard blood thinner, the data showed a high rate of complications, compelling the FDA to hold back approval. See our complete analysis of Boston Scientific Abbott Labs Abbott's MitraClip is used in patients with mitral regurgitation, one of the most common heart valve conditions. | Meanwhile, Abbott Labs' ( ABT ) MitraClip heart valve showed positive results in patients with conditions considered high risk for surgery. During the week, Boston Scientific ( BSX ) released data from a clinical trial called "Prevail", where its Watchman devices produced better safety results than what the earlier trial had suggested. See our complete analysis of Boston Scientific Abbott Labs Abbott's MitraClip is used in patients with mitral regurgitation, one of the most common heart valve conditions. | Meanwhile, Abbott Labs' ( ABT ) MitraClip heart valve showed positive results in patients with conditions considered high risk for surgery. Boston Scientific Watchman is implanted in atrial fibrillation (irregular heartbeat) patients to reduce the risk of strokes. While in the "Protect AF" trial, Watchman demonstrated similar efficacy as Warfarin, a standard blood thinner, the data showed a high rate of complications, compelling the FDA to hold back approval. |
34292.0 | 2013-03-15 00:00:00 UTC | Data on Abbott's MitraClip - Analyst Blog | ABT | https://www.nasdaq.com/articles/data-on-abbotts-mitraclip-analyst-blog-2013-03-15 | nan | nan | Abbott ( ABT ) recently released positive data from the EVEREST II (Endovascular Valve Edge-to-Edge REpair STudy) High Surgical Risk cohort.
The study evaluated Abbott's MitraClip system for the treatment of mitral regurgitation (MR) - a common form of heart valve insufficiency.
The device is delivered to the heart through a blood vessel in the leg (the femoral vein). Furthermore, the MitraClip system aims to bring down MR by clipping together the leaflets of the mitral valve so that the heart can pump blood in a more efficient manner.
We note that Abbott's MitraClip system is currently under review for approval by the US Food and Drug Administration (FDA). An amended filing was submitted to the FDA in Dec 2011, which is expected to be reviewed by a FDA panel in the first half of 2013.
The MitraClip system received CE mark (mandatory confirmation for products placed in the European market) in 2008 and is marketed in Europe and in parts of Asia and Latin America.
The study suggested that treatment with the MitraClip device provides a new option to patients, who are at a high risk of open mitral valve surgery, to return to normal activities along with a reduction in hospitalization for heart failure.
Having separated its proprietary pharmaceutical business into a separate company in Jan 2013, the diagnostics business presents a key opportunity for growth to Abbott. The business primarily focuses on the development of next-generation instruments and other advanced technologies, expansion in emerging markets along with margin improvement.
Abbott currently carries a Zacks Rank #3 (Hold). Large-cap pharma companies that currently look attractive include Eli Lilly ( LLY ), Novo Nordisk ( NVO ) and Shire ( SHPG ). All three carry a Zacks Rank #2 (Buy).
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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. | Abbott ( ABT ) recently released positive data from the EVEREST II (Endovascular Valve Edge-to-Edge REpair STudy) High Surgical Risk cohort. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. The study evaluated Abbott's MitraClip system for the treatment of mitral regurgitation (MR) - a common form of heart valve insufficiency. | ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ( ABT ) recently released positive data from the EVEREST II (Endovascular Valve Edge-to-Edge REpair STudy) High Surgical Risk cohort. The study evaluated Abbott's MitraClip system for the treatment of mitral regurgitation (MR) - a common form of heart valve insufficiency. | ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ( ABT ) recently released positive data from the EVEREST II (Endovascular Valve Edge-to-Edge REpair STudy) High Surgical Risk cohort. The study evaluated Abbott's MitraClip system for the treatment of mitral regurgitation (MR) - a common form of heart valve insufficiency. | Abbott ( ABT ) recently released positive data from the EVEREST II (Endovascular Valve Edge-to-Edge REpair STudy) High Surgical Risk cohort. ABBOTT LABS (ABT): Free Stock Analysis Report LILLY ELI & CO (LLY): Free Stock Analysis Report NOVO-NORDISK AS (NVO): Free Stock Analysis Report SHIRE PLC-ADR (SHPG): Free Stock Analysis Report To read this article on Zacks.com click here. Furthermore, the MitraClip system aims to bring down MR by clipping together the leaflets of the mitral valve so that the heart can pump blood in a more efficient manner. |
34293.0 | 2013-03-14 00:00:00 UTC | Merck Jumps As IMPROVE-IT Study Will Continue | ABT | https://www.nasdaq.com/articles/merck-jumps-improve-it-study-will-continue-2013-03-14 | nan | nan | Merck's ( MRK ) stock jumped Tuesday as investors cheered the Data Safety Monitoring Board's recommendation that the "IMPROVE-IT" trial, which is being conducted to prove the efficacy and safety of Merck's blockbuster drug Vytorin, should continue until its projected deadline of September 2014. Vyotrin, which garnered $1.7 billion in revenues in 2012, is seeing dwindling sales following concerns around its safety and efficacy (Read Singulair Patent Loss Hits Merck's Earnings But International Growth Helps ). Many expected potential safety issues to emerge in the interim review. However, the recommendation is expected to help ease these concerns and should put a stop to the continued decline in the drug's sales. Below we discuss the impact of the event in conjunction with other trends on Merck's cardiovascular drugs franchise.
See our complete analysis for Merck
The Cardiovascular Division: Growth Under Pressure
Merck has had a decent presence in the cardiovascular drugs market through 2010-11, with drugs like Zetia, Vytorin, Zocor and Cozaar/Hyzaar in its portfolio. However, the division has been hurt by the patent cliff as its once largest selling drugs Cozaar/Hyzaar, which garnered over $2 billion in revenue in 2010, lost patent exclusivity in large markets including the U.S. and Europe in late 2010. Further, the sales of Vyotrin (a combination of Merck's own drugs, Zocor and Zetia) have come under pressure after questions were raised around its efficacy and safety, which we will discuss later in this note.
NoReprieve FromPipeline In The Near Term
The drug maker was earlier banking on FDA approval for Tredaptive to boost near-term growth in the division after putting the development of MK-0524B on hold. However, the failure of Tredaptive has deprived the drug maker of over $500 million in potential peak revenues (Read Merck Faces Setback As Tredaptive Fails In Large Clinical Study ). At this point it is unclear whether Vorapaxar, a blood thinner, will receive approval or not due to safety concerns raised by clinical studies. Even if it receives approval, it will mostly be for prevention of cardiovascular events instead of a broader use, including use in patients with a history of strokes. This will cap the drug's revenue potential.
How The Extension Of "IMPROVE-IT" Matters
Several smaller studies claimed that while Vyotrin has proven to be effective in lowering cholesterol, there is little statistically significant evidence that it reduces chances of heart attacks, strokes, and other cardiovascular problems. Further, it may not add major benefits to statins like Pfizer's ( PFE ) Lipitor, a conventional treatment for reducing cholesterol. In addition, some studies showed several major side-effects, prompting many physicians to avoid prescribing the drug. Merck has been conducting the much larger "IMPROVE-IT" trial since 2005 to match the results exhibited in earlier smaller trials on the basis of which the drug was approved initially.
The recommendation to continue the trial implies that no major safety issues have emerged until now as against investor expectations. This will help Vyotrin win back confidence of some physicians, which could help drive the drug's sales. We are updating our model to reflect these developments on Vyotrin and MK-0524B.
However, the extension of the trial also means that not enough positive data has been found to close the trial at this stage, which would have put Vyotrin back on high growth trajectory in 2013 itself. Investors will now have to wait for final results until next year, which will give the drug less time to gather steam as its patent is scheduled to expire in early 2017. The division's current largest selling drug, Zetia, will also lose patent protection during same period.
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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. | Vyotrin, which garnered $1.7 billion in revenues in 2012, is seeing dwindling sales following concerns around its safety and efficacy (Read Singulair Patent Loss Hits Merck's Earnings But International Growth Helps ). NoReprieve FromPipeline In The Near Term The drug maker was earlier banking on FDA approval for Tredaptive to boost near-term growth in the division after putting the development of MK-0524B on hold. How The Extension Of "IMPROVE-IT" Matters Several smaller studies claimed that while Vyotrin has proven to be effective in lowering cholesterol, there is little statistically significant evidence that it reduces chances of heart attacks, strokes, and other cardiovascular problems. | Merck's ( MRK ) stock jumped Tuesday as investors cheered the Data Safety Monitoring Board's recommendation that the "IMPROVE-IT" trial, which is being conducted to prove the efficacy and safety of Merck's blockbuster drug Vytorin, should continue until its projected deadline of September 2014. However, the division has been hurt by the patent cliff as its once largest selling drugs Cozaar/Hyzaar, which garnered over $2 billion in revenue in 2010, lost patent exclusivity in large markets including the U.S. and Europe in late 2010. Submit a Post at Trefis Powered by Data and Interactive Charts| Understand What Drives a Stock at Trefis The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Merck's ( MRK ) stock jumped Tuesday as investors cheered the Data Safety Monitoring Board's recommendation that the "IMPROVE-IT" trial, which is being conducted to prove the efficacy and safety of Merck's blockbuster drug Vytorin, should continue until its projected deadline of September 2014. See our complete analysis for Merck The Cardiovascular Division: Growth Under Pressure Merck has had a decent presence in the cardiovascular drugs market through 2010-11, with drugs like Zetia, Vytorin, Zocor and Cozaar/Hyzaar in its portfolio. Further, the sales of Vyotrin (a combination of Merck's own drugs, Zocor and Zetia) have come under pressure after questions were raised around its efficacy and safety, which we will discuss later in this note. | Merck's ( MRK ) stock jumped Tuesday as investors cheered the Data Safety Monitoring Board's recommendation that the "IMPROVE-IT" trial, which is being conducted to prove the efficacy and safety of Merck's blockbuster drug Vytorin, should continue until its projected deadline of September 2014. Further, the sales of Vyotrin (a combination of Merck's own drugs, Zocor and Zetia) have come under pressure after questions were raised around its efficacy and safety, which we will discuss later in this note. This will help Vyotrin win back confidence of some physicians, which could help drive the drug's sales. |
34294.0 | 2013-03-13 00:00:00 UTC | Johnson & Johnson: FDA Rejects Broader Use Of Anticlotting Drug Xarelto | ABT | https://www.nasdaq.com/articles/johnson-johnson-fda-rejects-broader-use-anticlotting-drug-xarelto-2013-03-13 | nan | nan | For the second time, the FDA has rejected Johnson & Johnson's ( JNJ ) application to expand the use of Xarelto to prevent heart attacks and strokes in patients who have previously experienced severe chest pain or heart attack (acute coronary syndrome or ACS). While JNJ's management has reiterated its confidence in the efficacy of the drug and clinical data, we believe that the chances of the drug getting approval for the condition are bleak now.
Nonetheless, we still think that Pfizer ( PFE ) should be able to get similar approval for Eliquis, considered as the closest competitor of Xarelto. Both of these drugs are anti-coagulants (blood thinners) and currently approved for preventing strokes with indications of abnormal heart rhythms and preventing blood clots in patients with knee or hip replacements.
See our complete analysis for : Johnson & Johnson |Pfizer
Johnson & Johnson: A Lost Opportunity?
Acute coronary syndrome (clotting in coronary arteries) is one of the most prevalent diseases in the world, causing over 1.2 million hospitalizations each year. Despite many available treatments, heart attacks are still one the leading causes of death globally. Both anti-platelet agents like Aspirin and anti-coagulants (anti-thrombotics) like Warfarin can be used to prevent clotting and heart attacks in ACS patients. But, current standard anti-coagulant drug Warfarin is used mostly in special circumstances due to little efficacy.
Attracted by the multi-billion dollar opportunity, leading pharma companies, including J&J and Pfizer, have been striving hard to tap the available opportunity through their anti-coagulants Xarelto and Eliquis respectively. They have been pitching their drugs against the current standard anti-coagulant drug Warfarin. However, with the second rejection for ACS indication, JNJ's plans seem to have hit the roadblock. While the full details of rejection remain unclear for now, what may have worked against Xarelto is that while it reduced the risk of major heart attacks in ACS patients in clinical trials, some patients witnessed serious bleeding. Bleeding is a major side effect of blood thinning drugs, sometimes even leading to death, and side effects matter as much as the drug's efficacy in determining a drug's future.
Further, the ALTAS clinical trial data, which was submitted to the FDA, compared Xarelto with placebos instead of Warfarin. Xarelto will need more clinical data to prove its efficacy over Warfarin. We think that getting the approval will now be even more difficult for Xarelto and we will adjust our revenue expectations from the drug going forward. Earlier, we were expecting Xarelto to receive conditional approval with some label warning. However, we will be closely watching for further details on what led to the rejection of Xarelto and if there is any ray of hope.
No Concerns For Pfizer For Now
Nonetheless, we don't see any concern for Eliquis as it has exhibited significant safety over Warfarin and Aspirin (ARISTOTLE and AVERROES trials) in reducing the risk of stroke and dangerous blood clots without major bleeding among all non-Aarfarin drugs, including Xarelto and Pradax. The drug was recently approved for patients suffering from atrial fibrillation, which is not caused by a heart valve problem, even as Pfizer is looking to add another major condition, venous thromboembolism, for Eliquis.
Last month, Eliquis, when compared with a placebo, managed to significantly reduce blood clots risks in patients suffering from venous thromboembolism or VTE (a blood clot within a vein). We see these impressive clinical results as a positive sign for approvals. Eliquis will not be able to achieve its full sales potential of $3 billion without its extension for treatment of VTE and ACS.
We are in the process of updating our $75 and $27 price estimates for Johnson & Johnson and Pfizer respectively to reflect the earnings, the reporting structure changes and recent developments.
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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. | Both anti-platelet agents like Aspirin and anti-coagulants (anti-thrombotics) like Warfarin can be used to prevent clotting and heart attacks in ACS patients. No Concerns For Pfizer For Now Nonetheless, we don't see any concern for Eliquis as it has exhibited significant safety over Warfarin and Aspirin (ARISTOTLE and AVERROES trials) in reducing the risk of stroke and dangerous blood clots without major bleeding among all non-Aarfarin drugs, including Xarelto and Pradax. The drug was recently approved for patients suffering from atrial fibrillation, which is not caused by a heart valve problem, even as Pfizer is looking to add another major condition, venous thromboembolism, for Eliquis. | Both of these drugs are anti-coagulants (blood thinners) and currently approved for preventing strokes with indications of abnormal heart rhythms and preventing blood clots in patients with knee or hip replacements. No Concerns For Pfizer For Now Nonetheless, we don't see any concern for Eliquis as it has exhibited significant safety over Warfarin and Aspirin (ARISTOTLE and AVERROES trials) in reducing the risk of stroke and dangerous blood clots without major bleeding among all non-Aarfarin drugs, including Xarelto and Pradax. Last month, Eliquis, when compared with a placebo, managed to significantly reduce blood clots risks in patients suffering from venous thromboembolism or VTE (a blood clot within a vein). | For the second time, the FDA has rejected Johnson & Johnson's ( JNJ ) application to expand the use of Xarelto to prevent heart attacks and strokes in patients who have previously experienced severe chest pain or heart attack (acute coronary syndrome or ACS). While the full details of rejection remain unclear for now, what may have worked against Xarelto is that while it reduced the risk of major heart attacks in ACS patients in clinical trials, some patients witnessed serious bleeding. No Concerns For Pfizer For Now Nonetheless, we don't see any concern for Eliquis as it has exhibited significant safety over Warfarin and Aspirin (ARISTOTLE and AVERROES trials) in reducing the risk of stroke and dangerous blood clots without major bleeding among all non-Aarfarin drugs, including Xarelto and Pradax. | For the second time, the FDA has rejected Johnson & Johnson's ( JNJ ) application to expand the use of Xarelto to prevent heart attacks and strokes in patients who have previously experienced severe chest pain or heart attack (acute coronary syndrome or ACS). While JNJ's management has reiterated its confidence in the efficacy of the drug and clinical data, we believe that the chances of the drug getting approval for the condition are bleak now. While the full details of rejection remain unclear for now, what may have worked against Xarelto is that while it reduced the risk of major heart attacks in ACS patients in clinical trials, some patients witnessed serious bleeding. |
34295.0 | 2013-03-13 00:00:00 UTC | BSX's Stent Tops Abbott - Analyst Blog | ABT | https://www.nasdaq.com/articles/bsxs-stent-tops-abbott-analyst-blog-2013-03-13 | nan | nan | Boston Scientific 's ( BSX ) recently released endpoint data of a clinical trial showed the excellence of the company's Promus Element Everolimus-Eluting Platinum Chromium (PtCr) Coronary Stent System over its major peer Abbott Laboratories ' ( ABT ) Cobalt Chromium (CoCr) Xience V Everolimus-Eluting Coronary Stent System.
This was a huge achievement for BSX. The data, which was tracked for a period of three years, was presented in the American College of Cardiology in San Francisco. The report reflects the efficiency of Promus Element over Abbott's Xience V over that period of time.
The 3-year trial reported a 3.5% target lesion revascularization (TLR) rate for the Promus Element Stent, compared to 4.9% for the Xience V Stent. Moreover, keeping at par with the company's earlier data, the trial result portrayed that unplanned stenting has been significantly reduced with Promus Element compared to Xience V including a significantly lower rate of inadequate lesion coverage. A separate data showed improved blood flow through Promus Element as it has less vessel straightening characteristics compared to Xience V.
The drug-eluting stent business in the U.S. continues to witness challenges of pricing pressure, lower procedural volume and lower penetration rates. Global sales of the coronary stent system (within Interventional Cardiology) declined 12.6% to $333 million. The downside was due to disappointing performances of the drug-eluting stents that declined 12.4% to $312 million and the bare-metal stents that plunged 16% to $21 million.
However, Boston Scientific is resorting to all available means to return to growth. The company has a strong pipeline of products under development, the launch of which should drive the top line. Last month, BSX received CE Mark approval for the Promus PREMIER Everolimus-Eluting Platinum Chromium Coronary Stent System. Subsequent to the approval, the company has been working on the European market launch of this next-generation durable polymer drug-eluting stent.
We also note that Boston Scientific is striving to penetrate the emerging markets, including India, Brazil and China, with its Element platform. The company expects this to continue to accelerate growth through the end of the current fiscal. We expect these factors to benefit the company over the long term. With approximately 4 million people across the world suffering from cardiovascular disease and being treated with stents, Boston Scientific is optimistic about delivering better numbers in the upcoming quarters.
Boston Scientific now carries a Zacks Rank #3 (Hold). Other medical device stocks worth a look are Cyberonics Inc. ( CYBX ) and Given Imaging. ( GIVN ). Both the stocks carry a Zacks Rank #1 (Strong Buy).
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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. | Boston Scientific 's ( BSX ) recently released endpoint data of a clinical trial showed the excellence of the company's Promus Element Everolimus-Eluting Platinum Chromium (PtCr) Coronary Stent System over its major peer Abbott Laboratories ' ( ABT ) Cobalt Chromium (CoCr) Xience V Everolimus-Eluting Coronary Stent System. ABBOTT LABS (ABT): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report GIVEN IMAGING (GIVN): Free Stock Analysis Report To read this article on Zacks.com click here. Last month, BSX received CE Mark approval for the Promus PREMIER Everolimus-Eluting Platinum Chromium Coronary Stent System. | Boston Scientific 's ( BSX ) recently released endpoint data of a clinical trial showed the excellence of the company's Promus Element Everolimus-Eluting Platinum Chromium (PtCr) Coronary Stent System over its major peer Abbott Laboratories ' ( ABT ) Cobalt Chromium (CoCr) Xience V Everolimus-Eluting Coronary Stent System. ABBOTT LABS (ABT): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report GIVEN IMAGING (GIVN): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, keeping at par with the company's earlier data, the trial result portrayed that unplanned stenting has been significantly reduced with Promus Element compared to Xience V including a significantly lower rate of inadequate lesion coverage. | Boston Scientific 's ( BSX ) recently released endpoint data of a clinical trial showed the excellence of the company's Promus Element Everolimus-Eluting Platinum Chromium (PtCr) Coronary Stent System over its major peer Abbott Laboratories ' ( ABT ) Cobalt Chromium (CoCr) Xience V Everolimus-Eluting Coronary Stent System. ABBOTT LABS (ABT): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report GIVEN IMAGING (GIVN): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, keeping at par with the company's earlier data, the trial result portrayed that unplanned stenting has been significantly reduced with Promus Element compared to Xience V including a significantly lower rate of inadequate lesion coverage. | Boston Scientific 's ( BSX ) recently released endpoint data of a clinical trial showed the excellence of the company's Promus Element Everolimus-Eluting Platinum Chromium (PtCr) Coronary Stent System over its major peer Abbott Laboratories ' ( ABT ) Cobalt Chromium (CoCr) Xience V Everolimus-Eluting Coronary Stent System. ABBOTT LABS (ABT): Free Stock Analysis Report BOSTON SCIENTIF (BSX): Free Stock Analysis Report CYBERONICS INC (CYBX): Free Stock Analysis Report GIVEN IMAGING (GIVN): Free Stock Analysis Report To read this article on Zacks.com click here. Both the stocks carry a Zacks Rank #1 (Strong Buy). |
34296.0 | 2013-03-03 00:00:00 UTC | Coronado Biosciences: 2013 - Year Of The Worm | ABT | https://www.nasdaq.com/articles/coronado-biosciences-2013-year-worm-2013-03-03 | nan | nan | By Iggy Igette :
It is indeed the Year of the Worm. Last year, I wrote about Coronado Biosciences ( CNDO ) and "The Hygiene Hypothesis," a theory that explains why exposure to parasites and worms can be mutually beneficial for the survival of not only the worms, but also their human hosts.
Coronado Biosciences exists for one main reason: autoimmune conditions. The charts and diagrams posted in this article can be found on the company's website. Over the last several decades, as industrialized countries developed and improved their fight against "the bugs" with better antibiotics, anti-viral, and anti-worm medications, we claimed victory against bacteria, viruses, and parasites that have existed mutually not only in our environment but within our own body for thousands of years.
To our surprise, what we have also noticed is that while the battle is being won against the bugs, the incidence of autoimmune conditions has increased over time.
There are over 100 immune-mediated diseases; the ones that have emerged in the headlines cause high morbidity, mortality, and healthcare costs to our society. These include type 1 diabetes; multiple sclerosis; inflammatory bowel disease, including Crohn's disease and ulcerative colitis; and rheumatoid and psoriatic arthritis. Even the growing incidence of autism has been attributed to a possible immune-mediated disorder.
Autoimmune conditions are chronic. We have no "cure." The healthcare costs of treating these conditions are astoundingly high.
Abbott Lab's ( ABT ) Humira, Johnson and Johnson's ( JNJ ) Remicade, Teva's ( TEVA ) Copaxone, Elan's ( ELN ) Tysabri, Biogen's (BIIB) Avonex, Pfizer's (PFE) Rebif, Novartis' (NVS) Gilenya, all represent billions of dollars of injectable treatment for autoimmune conditions.
Take, for example, the costs of treatment for just three conditions that require "injectable" medications (often lifelong) for maintenance treatment. We are looking at the treatment costs of only the U.S. and Japan as well as the prevalence of disease:
With these three autoimmune conditions alone, over $10 billion dollars are spent in the Annual Market Sales of medication treatments. This cost curve will only rise over time as the incidences of these autoimmune disorders increase over time, not only here in the U.S., but in developing countries around the world.
Notice the Distribution of Autoimmune Disorders around the world (see below); areas that have a high prevalence of autoimmune disorders have a low parasite/helminths infestations incidence.
This is a very simple correlation: areas that have more worms equal less autoimmune conditions. Areas that have less worms equal more autoimmune conditions. Basically if you grew up in a "third world" country, your chances for worm infestation are high and your likelihood of developing an autoimmune condition is low.
Why do we see this correlation? The Hygiene Hypothesis explains that over the centuries, there has been a symbiotic, mutually beneficial relationship between humans and the "parasites" that live within us. In order for the parasite to survive inside its host, it "modulates" our immune system in a way that allows the host to live longer (and indirectly the parasites live longer). This "immune modulation" allows our immune system to not only avoid attacking the parasite, but prevents it from attacking our own bodies as well (autoimmune disease).
So what is Coronado Biosciences doing to address worms and autoimmune conditions? Well, Coronado has Pig Whipworm Eggs (Trichuris Suis Ova: TSO).
Four efficacy clinical trials have already been completed with positive results: TSO treatment in Crohn's disease, ulcerative colitis, multiple sclerosis, and even treatment of acute myeloid leukemia.
Here's a brief synopsis of these completed studies:
Multiple Sclerosis Study:
Five patients with MS brain MRI documented a mean of 6.6 MS brain lesions at baseline. Treatment with oral TSO was administered over three months. Follow up MRI after treatment shows the number of brain lesions decreased to 2.0. Two months after TSO discontinuation, the mean number of lesions rose back up to 5.8. No adverse reaction to TSO was noted.
Twenty-nine patients with active Crohn's disease were treated with TSO orally every three weeks for 24 weeks. At 12 weeks and 24 weeks data was collected indicating that 79.3% of patients experiencing a positive response and 72.4% achieved remission. There were no severe side effects of TSO reported.
Fifty-four patients with active Ulcerative Colitis participated in a randomized, double-blind, placebo controlled study (some patients received placebo while others received TSO). Duration of study was 24 weeks long. The graph below shows the difference in positive response between TSO group and placebo group. The worm group had a more than doubled percentage improvement over the placebo group.
The fourth study involves treatment of AML (Leukemia) with a second product with positive results as well. I am going to skip discussion of this study to focus on autoimmune disorders.
So what's been going on with Coronado Bioscience since my last article?
Here are some milestone highlights:
June 2012:
Company receives Notice of Allowance for First US patent covering CNDO-109.
Company receives Orphan Drug Designation from FDA for CNDO-109 for treatment of AML.
Company added to Russell 3000 Index.
August 2012:
Company announces initiation of Phase 2 study for treatment of ulcerative colitis.
Company announces initiation of Phase 2 study for treatment of Crohn's disease.
September 2012:
Company granted First US patent covering CNDO -109.
November 2012:
Company announces study for treatment of Autism.
Company initiates Phase 1 and Phase 2 trials of CNDO-109 treatment of Leukemia.
December 2012:
Company acquires TSO manufacturing rights from Ovamed. This will enable production of Phase 3 supplies of TSO and establish control over TSO manufacturing.
January 2013:
Company appoints Harlan Weisman, M.D., as its new Chairman and CEO. Dr. Weisman has substantial expertise in launching novel biologics. Here is some information that was copied and pasted from the company's press release:
February 2013
Company announces initiation of study evaluating TSO in psoriasis.
So why is 2013 the Year of the Worm?
Three Issued US Patents with Five Additional Patents
Manufacturing Rights in Place for Phase 3 Studies
A Pipeline Full of Worms
Two Major Crohn's Disease Studies Results in 2013 Involving Approximately 500 Patients
On December 20, 2012 Wedbush Securities initiated coverage on CNDO with an outperform rating and a $13 price target.
On January 3, 2013 CNDO is the top pick for 2013 by John McCamant of the Medical Technology Stock Letter with an 18-month target of $20 per share.
On January 22, 2013 Roth Capital named Coronado Biosciences a Top 2013 Biotech Pick with a one year price target of $24.
On March 1, 2013 Piper Jaffray Initiated CNDO with an Overweight with Price Target $17.
If the upcoming TRUST studies verify successful treatment of Crohn's Disease with their worms, our treatment paradigm for various autoimmune conditions may shift: shifting away from the multi billion dollars market of immune suppressing injectable medications and toward a symbiotic relationship that has lasted for centuries between human and worms.
Disclosure: I am long [[CNDO]]. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.
See also Apple: Is It Finally Time To Buy? on seekingalpha.com
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. | Abbott Lab's ( ABT ) Humira, Johnson and Johnson's ( JNJ ) Remicade, Teva's ( TEVA ) Copaxone, Elan's ( ELN ) Tysabri, Biogen's (BIIB) Avonex, Pfizer's (PFE) Rebif, Novartis' (NVS) Gilenya, all represent billions of dollars of injectable treatment for autoimmune conditions. Over the last several decades, as industrialized countries developed and improved their fight against "the bugs" with better antibiotics, anti-viral, and anti-worm medications, we claimed victory against bacteria, viruses, and parasites that have existed mutually not only in our environment but within our own body for thousands of years. Basically if you grew up in a "third world" country, your chances for worm infestation are high and your likelihood of developing an autoimmune condition is low. | Abbott Lab's ( ABT ) Humira, Johnson and Johnson's ( JNJ ) Remicade, Teva's ( TEVA ) Copaxone, Elan's ( ELN ) Tysabri, Biogen's (BIIB) Avonex, Pfizer's (PFE) Rebif, Novartis' (NVS) Gilenya, all represent billions of dollars of injectable treatment for autoimmune conditions. Last year, I wrote about Coronado Biosciences ( CNDO ) and "The Hygiene Hypothesis," a theory that explains why exposure to parasites and worms can be mutually beneficial for the survival of not only the worms, but also their human hosts. Four efficacy clinical trials have already been completed with positive results: TSO treatment in Crohn's disease, ulcerative colitis, multiple sclerosis, and even treatment of acute myeloid leukemia. | Abbott Lab's ( ABT ) Humira, Johnson and Johnson's ( JNJ ) Remicade, Teva's ( TEVA ) Copaxone, Elan's ( ELN ) Tysabri, Biogen's (BIIB) Avonex, Pfizer's (PFE) Rebif, Novartis' (NVS) Gilenya, all represent billions of dollars of injectable treatment for autoimmune conditions. We are looking at the treatment costs of only the U.S. and Japan as well as the prevalence of disease: With these three autoimmune conditions alone, over $10 billion dollars are spent in the Annual Market Sales of medication treatments. Three Issued US Patents with Five Additional Patents Manufacturing Rights in Place for Phase 3 Studies A Pipeline Full of Worms Two Major Crohn's Disease Studies Results in 2013 Involving Approximately 500 Patients On December 20, 2012 Wedbush Securities initiated coverage on CNDO with an outperform rating and a $13 price target. | Abbott Lab's ( ABT ) Humira, Johnson and Johnson's ( JNJ ) Remicade, Teva's ( TEVA ) Copaxone, Elan's ( ELN ) Tysabri, Biogen's (BIIB) Avonex, Pfizer's (PFE) Rebif, Novartis' (NVS) Gilenya, all represent billions of dollars of injectable treatment for autoimmune conditions. Last year, I wrote about Coronado Biosciences ( CNDO ) and "The Hygiene Hypothesis," a theory that explains why exposure to parasites and worms can be mutually beneficial for the survival of not only the worms, but also their human hosts. Company announces initiation of Phase 2 study for treatment of Crohn's disease. |
34297.0 | 2013-03-01 00:00:00 UTC | After Hours Most Active for Mar 1, 2013 : CERS, SIRI, ABT, SBGL, ABBV, VOD, BAC, NOK, QQQ, AMD, INTC, HOLX | ABT | https://www.nasdaq.com/articles/after-hours-most-active-mar-1-2013-cers-siri-abt-sbgl-abbv-vod-bac-nok-qqq-amd-intc-holx | nan | nan | The NASDAQ 100 After Hours Indicator is down -.84 to 2,746.91. The total After hours volume is currently 28,730,449 shares traded.
The following are the most active stocks for the after hours session :
Cerus Corporation ( CERS ) is -0.11 at $3.55, with 2,817,070 shares traded. As reported in the last short interest update the days to cover for CERS is 45.834328; this calculation is based on the average trading volume of the stock.
Sirius XM Radio Inc. ( SIRI ) is +0.005 at $3.14, with 2,157,260 shares traded. SIRI's current last sale is 95.15% of the target price of $3.3.
Abbott Laboratories ( ABT ) is +0.04 at $33.64, with 2,078,381 shares traded. ABT's current last sale is 89.71% of the target price of $37.5.
Sibanye Gold Limited ( SBGL ) is +0.2619 at $6.12, with 2,058,647 shares traded.
AbbVie Inc. ( ABBV ) is unchanged at $37.81, with 2,057,147 shares traded. ABBV's current last sale is 100.83% of the target price of $37.5.
Vodafone Group Plc ( VOD ) is -0.01 at $25.40, with 1,778,199 shares traded. VOD's current last sale is 78.88% of the target price of $32.2.
Bank of America Corporation ( BAC ) is -0.01 at $11.33, with 1,016,747 shares traded. BAC's current last sale is 87.15% of the target price of $13.
Nokia Corporation ( NOK ) is -0.03 at $3.56, with 744,895 shares traded. As reported in the last short interest update the days to cover for NOK is 8.366578; this calculation is based on the average trading volume of the stock.
PowerShares QQQ Trust, Series 1 ( QQQ ) is +0.02 at $67.40, with 692,034 shares traded. This represents a 12.26% increase from its 52 Week Low.
Advanced Micro Devices, Inc. ( AMD ) is +0.01 at $2.43, with 644,665 shares traded. AMD's current last sale is 88.36% of the target price of $2.75.
Intel Corporation ( INTC ) is +0.04 at $21.06, with 524,249 shares traded. INTC's current last sale is 94.65% of the target price of $22.25.
Hologic, Inc. ( HOLX ) is unchanged at $21.61, with 366,664 shares traded. Over the last four weeks they have had 8 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2013. The consensus EPS forecast is $0.4. As reported by Zacks, the current mean recommendation for HOLX is in the "buy range".
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories ( ABT ) is +0.04 at $33.64, with 2,078,381 shares traded. ABT's current last sale is 89.71% of the target price of $37.5. The following are the most active stocks for the after hours session : Cerus Corporation ( CERS ) is -0.11 at $3.55, with 2,817,070 shares traded. | Abbott Laboratories ( ABT ) is +0.04 at $33.64, with 2,078,381 shares traded. ABT's current last sale is 89.71% of the target price of $37.5. The total After hours volume is currently 28,730,449 shares traded. | Abbott Laboratories ( ABT ) is +0.04 at $33.64, with 2,078,381 shares traded. ABT's current last sale is 89.71% of the target price of $37.5. The total After hours volume is currently 28,730,449 shares traded. | ABT's current last sale is 89.71% of the target price of $37.5. Abbott Laboratories ( ABT ) is +0.04 at $33.64, with 2,078,381 shares traded. The following are the most active stocks for the after hours session : Cerus Corporation ( CERS ) is -0.11 at $3.55, with 2,817,070 shares traded. |
34298.0 | 2013-02-27 00:00:00 UTC | Medtronic Earnings Meet Expectations But European Weakness A Concern | ABT | https://www.nasdaq.com/articles/medtronic-earnings-meet-expectations-european-weakness-concern-2013-02-27 | nan | nan | Medtronic ( MDT ) announced its third quarter earnings for fiscal 2013 on Tuesday, registering mid-single digit growth in revenues, in-line with our expectations. Overall revenue grew by 4% to $4 billion, excluding the currency impact. The medical device maker's key division, pacemakers & defibrillators along with spinal franchise continued to witness a decline in sales. However, growth in cardiovascular, diabetes and surgical technologies businesses more than offset the decline. Gross margins declined slightly mainly due to foreign exchange fluctuations. Below we highlight the key trends coming out of the earnings release.
See our complete analysis of Medtronic here
Revenues Grow, But European Weakness A Concern
On a quarterly basis, the medical device maker recorded a 1% decline (excluding the currency effect) in revenue from pacemakers & defibrillators division as pricing pressure weighed on growth even as overall procedural volumes were stable during the period. Bulk purcha | Medtronic ( MDT ) announced its third quarter earnings for fiscal 2013 on Tuesday, registering mid-single digit growth in revenues, in-line with our expectations. The medical device maker's key division, pacemakers & defibrillators along with spinal franchise continued to witness a decline in sales. See our complete analysis of Medtronic here Revenues Grow, But European Weakness A Concern On a quarterly basis, the medical device maker recorded a 1% decline (excluding the currency effect) in revenue from pacemakers & defibrillators division as pricing pressure weighed on growth even as overall procedural volumes were stable during the period. | Medtronic ( MDT ) announced its third quarter earnings for fiscal 2013 on Tuesday, registering mid-single digit growth in revenues, in-line with our expectations. The medical device maker's key division, pacemakers & defibrillators along with spinal franchise continued to witness a decline in sales. See our complete analysis of Medtronic here Revenues Grow, But European Weakness A Concern On a quarterly basis, the medical device maker recorded a 1% decline (excluding the currency effect) in revenue from pacemakers & defibrillators division as pricing pressure weighed on growth even as overall procedural volumes were stable during the period. | Medtronic ( MDT ) announced its third quarter earnings for fiscal 2013 on Tuesday, registering mid-single digit growth in revenues, in-line with our expectations. The medical device maker's key division, pacemakers & defibrillators along with spinal franchise continued to witness a decline in sales. See our complete analysis of Medtronic here Revenues Grow, But European Weakness A Concern On a quarterly basis, the medical device maker recorded a 1% decline (excluding the currency effect) in revenue from pacemakers & defibrillators division as pricing pressure weighed on growth even as overall procedural volumes were stable during the period. | However, growth in cardiovascular, diabetes and surgical technologies businesses more than offset the decline. Gross margins declined slightly mainly due to foreign exchange fluctuations. See our complete analysis of Medtronic here Revenues Grow, But European Weakness A Concern On a quarterly basis, the medical device maker recorded a 1% decline (excluding the currency effect) in revenue from pacemakers & defibrillators division as pricing pressure weighed on growth even as overall procedural volumes were stable during the period. |
34299.0 | 2013-02-27 00:00:00 UTC | After Hours Most Active for Feb 27, 2013 : F, GRPN, JCI, ABT, ABBV, JCP, GTAT, QQQ, BAC, TLAB, ENDP, ACWI | ABT | https://www.nasdaq.com/articles/after-hours-most-active-feb-27-2013-f-grpn-jci-abt-abbv-jcp-gtat-qqq-bac-tlab-endp-acwi | nan | nan | The NASDAQ 100 After Hours Indicator is down -1.06 to 2,740.2. The total After hours volume is currently 31,871,127 shares traded.
The following are the most active stocks for the after hours session :
Ford Motor Company ( F ) is +0.0301 at $12.79, with 13,290,050 shares traded. F's current last sale is 85.27% of the target price of $15.
Groupon, Inc. ( GRPN ) is -1.34 at $4.64, with 10,031,806 shares traded. RTT News Reports: Groupon Q4 Loss Widens, Shares Plunge
Johnson Controls, Inc. ( JCI ) is +0.0012 at $31.41, with 4,570,953 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Sep 2013. The consensus EPS forecast is $0.89. JCI's current last sale is 95.19% of the target price of $33.
Abbott Laboratories ( ABT ) is +0.1201 at $34.38, with 2,093,690 shares traded. ABT's current last sale is 91.68% of the target price of $37.5.
AbbVie Inc. ( ABBV ) is unchanged at $36.73, with 2,082,586 shares traded. ABBV's current last sale is 97.95% of the target price of $37.5.
J.C. Penney Company, Inc. Holding Company ( JCP ) is -1.25 at $19.91, with 1,319,299 shares traded. RTT News Reports: Vornado Chairman Roth Named CEO As Fascitelli Resigns
GT Advanced Technologies, Inc. ( GTAT ) is unchanged at $3.07, with 1,083,932 shares traded. RTT News Reports: GT Advanced Technologies Provides Q4 Outlook - Quick Facts
PowerShares QQQ Trust, Series 1 ( QQQ ) is +0.01 at $67.24, with 1,054,976 shares traded. This represents a 11.99% increase from its 52 Week Low.
Bank of America Corporation ( BAC ) is -0.01 at $11.29, with 1,021,463 shares traded. BAC's current last sale is 86.85% of the target price of $13.
Tellabs, Inc. ( TLAB ) is +0.01 at $2.04, with 735,744 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Sep 2013. The consensus EPS forecast is $0.01. TLAB's current last sale is 90.67% of the target price of $2.25.
Endo Health Solutions Inc. ( ENDP ) is -0.4187 at $30.38, with 606,100 shares traded.ENDP is scheduled to provide an earnings report on 2/28/2013, for the fiscal quarter ending Dec2012. The consensus earnings per share forecast is 1.56 per share, which represents a 140 percent increase over the EPS one Year Ago
iShares MSCI ACWI Index Fund ( ACWI ) is -0.0588 at $49.85, with 507,710 shares traded. This represents a 21.41% increase from its 52 Week Low.
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. | Abbott Laboratories ( ABT ) is +0.1201 at $34.38, with 2,093,690 shares traded. ABT's current last sale is 91.68% of the target price of $37.5. The following are the most active stocks for the after hours session : Ford Motor Company ( F ) is +0.0301 at $12.79, with 13,290,050 shares traded. | Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Sep 2013. Abbott Laboratories ( ABT ) is +0.1201 at $34.38, with 2,093,690 shares traded. ABT's current last sale is 91.68% of the target price of $37.5. | Abbott Laboratories ( ABT ) is +0.1201 at $34.38, with 2,093,690 shares traded. ABT's current last sale is 91.68% of the target price of $37.5. RTT News Reports: Groupon Q4 Loss Widens, Shares Plunge Johnson Controls, Inc. ( JCI ) is +0.0012 at $31.41, with 4,570,953 shares traded. | Abbott Laboratories ( ABT ) is +0.1201 at $34.38, with 2,093,690 shares traded. ABT's current last sale is 91.68% of the target price of $37.5. The NASDAQ 100 After Hours Indicator is down -1.06 to 2,740.2. |
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