Making money in pharmaceutical stocks is hard enough as without having to worry about the eventual disappearance of exclusivity rights. As we've seen throughout the years, a company that fails to innovate eventually dies. For pharmaceuticals, innovation is even more critical because generic competition is always waiting in the wings to pounce on any drug getting ready to come off patent.
Some of the biggest pharmaceutical names out there are raking in the cash and boasting high margins as they sit on a diverse portfolio of drugs. Others, however, should be biting their nails in worry, because their pipelines are perilously close to disaster. Here are four companies whose pipelines could come under some serious pressure over the next five years unless they begin to innovate and make changes now. (Ver)
Eli Lilly
There's a reason Eli Lilly trades at only 8 times trailing earnings and 10 times forward earnings: Its product portfolio looks like a graveyard.
Eli Lilly is set to lose patent rights on its best-seller Zyprexa, used for the treatment of schizophrenia, later this year, and on Evista, which is used for the treatment of breast cancer, in 2012. In 2013, Lilly will lose its exclusivity on Cymbalta, which combats depression, and Humalog, which treats diabetes. Add it up, and you'll see that $2.98 billion of Lilly's reported first-quarter revenue of $5.84 billion is facing major challenges over the next two years.
Generic competition from the likes of Teva Pharmaceuticals and Novartis´generic-drug division Sandoz is simply lying in wait.
Entradas
No hay comentarios:
Publicar un comentario