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Tag: Pharmacy Stocks

  • The Three Best Pharmacy Stocks to buy Anytime Soon

    The Three Best Pharmacy Stocks to buy Anytime Soon

    Investors are always keen to jump into pharmacy stocks.

    The global pharmaceutical market is as wide as the sea. We have companies with large, middle, and small caps that have massive potential in their specific range. The global pharma industry makes more than $1.2 trillion in sales each year. Now, that’s a huge marketplace, and it creates massive opportunities for investors in the long-term—in specific.

    With the global pandemic prolonging, the world doesn’t know what’s coming up next. But one thing is for sure that the health crisis has created another pharma segment—in the shape of the vaccine.

    Every big pharma company has tried its luck in vaccine development and many have been successful in the initial stages and some in the final. In that premise, we can see pharmaceutical stocks having a big upside in the long run.

    However, with the global crises, nothing can be taken for granted, especially the stock market. Looking at the pharmacy stocks, here are the three best in the market.

    AbbVie (ABBV)

    In last decade, AbbVie (ABBV) has developed into a giant in the market being one of the finest biopharma’s. CNBC’s Mad Money host and the market guru, Jim Cramer recently passed some comments regarding AbbVie. Cramer said:

    “AbbVie (ABBV) is a bargain.”

    People are not using Botox as they used to, but Cramer finds its migraine franchise amazing.

    AbbVie has grown as a dividend titan in the industry. The company has a dividend of $1.3 per share, with a yield of 4.98%. This is more than double compared tothe Large Cap Pharmaceuticals industry’s yield of 2.35% and the S&P 500’s yield of 1.47%. Over the last ten years, the drugmaker has raised its current annualized dividend to 10.2% to $5.20.

    Moreover, AbbVie’s earnings growth looks solid for the current fiscal year. As per Zacks, the company is anticipated to record $12.17 per share in 2021, which reflects an increase of 15.25% year-over-year.

    Biogen (BIIB)

    Biogen (BIIB) is leading biotech firm that focuses on the discovery, development, and commercialization of pharmaceutical treatments. The company strongly remains committed to the fields of neurology, immunology, and oncology.

    Biogen has a pending application at the US FDA whose fate is yet to be decided by the regulatory body. The FDA is undergoing Biogen’s investigational Alzheimer’s drug. Investors see this as a critical and turning point for the company. The approval of aducanumab for the company would do wonders in the long-term growth. Why? Because generic competition is eroding Biogen’s billion-dollar multiple sclerosis businesses.

    With the potential approval of aducanumab, Biogen would surely make megabucks. As per Alzheimer’s Association, approximately 5 million Americans suffer from Alzheimer’s. However, Biogen’s product is lagging some data, which is making the FDA take longer to decide. The regulatory body now must issue a decision by June 7. Till then keep following Biogen, it could be a massive win or big loss.

    Novartis (NVS)

    The Swiss pharma titan, Novartis (NVS) could be a decent bet in the near-term. The company has been involved in a couple of developments, lately.

    On Feb 11., Reuters reported that the Swiss drugmaker’s generics division is buying a GlaxoSmithKline antibiotics business which includes GSK’s brands Zinacef, Fortum, and Zinnat. The deal is expected to be worth $500 million.

    According to GSK, these three brands that are part of the deal made $140 million in sales across relevant markets in 2020. And, currently, they are out of patent protection.

    Moreover, the CEO of the company, Vas Narasimhantalking to Bloomberg TV said that they are in talks with different players to help them produce the COVID vaccines. That sounds interesting and the company claims it canfulfill the market demand to some extent—which is colossal since day one. 

    On top of all these developments, Novartis’ novel investigational treatment specifically targeting the ABL myristoyl pocket (STAMP), asciminib, has obtained the Breakthrough Therapy designation (BTD) by the FDA.

    The company has been granted to treat adult patients with Philadelphia chromosome-positive chronic myeloid leukemia (Ph+ CML) in the chronic phase (CP). This is a great breakthrough for the company and it plans for submission in the first half of this year.

  • The 3 Best Pharmacy Stocks for long-term Investment

    The 3 Best Pharmacy Stocks for long-term Investment

    The pharma industry has been a long-term investment opportunity for investors over the years.

    The global pharmaceutical industry is a massive market that continues to grow each year. It is estimated to be more than $1.2 trillion in sales annually. The COVID-19 pandemic has been a massive catalyst in pushing pharma firms to their limit. The majority of the companies have tried their luck in developing the coronavirus vaccine—with several being successful and others under clinical trials.

    For investors, the pharmacy stocks have the potential to reap solid long-term results—with a broader market. Especially, with the demand for vaccines high all over the world, the pharma stocks could be making big profits in the future. So, let’s have a look at the three best pharma stocks for long-term investment.

    Pfizer (PFE)

    Pfizer (PFE) has been the highlight of last year. The US-based pharma firm was the first—in collaboration with BioNTech—to develop the COVID-19 vaccine. Despite the vaccine news, the stock price hasn’t skyrocketed as it was expected. So, there is much upside considering the stock being backed by Pfizer’s vaccine and other top-line products.

    Recently, the company reported its fourth-quarter results, with earnings on the lower side as per the expectations. The Q4 2020 adjusted earnings were $0.42 per share, topping by 14% Year-over-Year but missing analysts’ estimate of $0.51 per share. While, the sales increased by 12% to $11.68 billion, missing projected sales of $12.01 billion.

    Mizuho Securities analyst Vamil Divan said that the company has multiple parts under movement, but the long-term seems strong with its core assets performing well. Pfizer has reportedly said that they are expecting $15 billion of vaccine sales this year. So far, the company has vaccine sales of around $154 million.

    With much happening, Pfizer (PFE) stock is still in the buy range.

    Bristol-Myers (BMY)

    Bristol Myers Squibb (BMY) is one of the leading pharmaceutical firms in biologics in several therapeutic areas, including cancer. The company is set to release its fourth-quarter results on Feb. 4, 2021.

    According to Forbes, the overall outcome is expected to be slightly on the lighter side as per the analysts’ estimate. The quarterly results are affected by a slow sales growth rate of Opdivo. However, the company should see an increase in overall demand due to a rise in hospital visits.

    The company has announced that it has obtained positive outcomes from the second pivotal Phase 3 trial for its novel, oral, POETYK PSO-2. Bristol is working on selective tyrosine kinase 2 (TYK2) inhibitor for the treatment of plaque psoriasis—patients with moderate to severe disease. Almost 100 million people are suffering from psoriasis around the world. If the company goes on to successfully market its product, it would bring massive revenue in the longer run.

    Furthermore, Bristol Myers Squibb (BMY) has collaborated with The Rockefeller University for the rights to a Covid-19 therapy that combines two antibodies. The company stated that the vaccine variant of Rockefeller has delivered effective results against SARS-CoV-2. So, this deal could be another big plus for Bristol as we head forward.

    Anavex (AVXL)

    Anavex Life Sciences (AVXL) is a promising biopharma firm that has gained a lot of attention for its lead candidate of Alzheimer’s disease, Anavex 2-73 (A2-73). Recently, the company updated that it has completed 80enrollment for the Phase 2b/3 trials. While the remaining enrollment of 450 patients is anticipated in near-future.

    Over the past 12-months, AVXL shares have soared over 163%. As of Feb. 4, in pre-market trading, the stock is up by nearly 87% trading around $19.67. The bullish sentiment is pushed by the lead drug of Anavex.

    So far, the data shows that Anavex 2-73 is very effective against Alzheimer’s disease. According to World Health Organization, more than 50 million suffer from dementia—a type of Alzheimer—all over the world. And, around 10 million new cases arise each year.

    Being bullish on Anavex, Seeking Alpha’scontributor Lane Simonian stated that Anavex 2-73 has the best chance of long-term success among the rest of the drugs being studied by the company. So, Anavex (AVXL) is a stock to watch for long-term investment.