Cooper Companies (COO) is a $7.33 billion global medical device company. The company has two business units, CooperVision and CooperSurgical.
Biotechnology company valuation depends on two main factors: the commercial potential of its existing drug portfolio and the potential of its drug pipeline. Regeneron has consistently traded at higher valuation multiples compared to its industry peers.
Regeneron is developing new drugs in diverse therapeutic areas such as oncology, cardiovascular diseases, allergies, and inflammation.
Regeneron’s R&D efforts are targeted at strengthening the company’s position in the eye disease segment, as well as diversifying into new therapeutic areas such as oncology, rheumatoid arthritis, and cardiovascular diseases.
Regeneron has consistently underperformed its peers such as Gilead Sciences, Biogen, and Amgen in terms of EBITDA margins, as the company has a limited product portfolio.
On July 24, 2015, the FDA approved Praluent—generic name alirocumab—for lowering cholesterol. This injection is the first to be approved from the class of drugs called PCSK9 inhibitors.
Since September 2003, Regeneron has collaborated with Sanofi-Aventis for the development and commercialization of Zaltrap.
In October 2006, Regeneron entered into a collaboration agreement with Bayer HealthCare for the development and distribution of Eylea in markets outside the US.
Regeneron’s Eylea drug was originally approved for treating wet AMD and CRVO. In July 2014, the drug received a major approval from the FDA for diabetic macular edema (or DME).
Regeneron’s Eylea is a drug used to treat several eye diseases, including wet AMD, diabetic macular edema, and retinal vein occlusion.
Regeneron generates revenues in three ways: product sales, revenues earned through collaboration arrangements, and revenues earned from licensing proprietary technology.
With a market capitalization of $50.7 billion, Regeneron is one of the country’s major biotechnology companies. Its products and pipeline candidates focus on cancer, eye diseases, and cardiovascular diseases.
Amgen offers various nephrology drugs such as Epogen, Aranesp, Sensipar, and Mimpara. Both Epogen and Aranesp have been facing squeezed profits from tight competition.
Merck & Co.’s (MRK) profitability was affected by the fall in revenue by ~10.50% during 2Q15. The net income fell to $688 million in 2Q15.
The US sales for Merck products rose by 5% at constant currencies for 2Q15, excluding the contribution from Cubist Pharmaceuticals.
The animal health segment contributed ~8% of the total revenue in 2014. This contribution rose to ~9% for 2Q15 due to a rise in revenue by 10%.
Merck’s (MRK) global human health segment contributed over 90% of the total revenue. There are ten blockbuster drugs with a yearly contribution of over $1 billion each.
Merck & Co. (MRK) achieved 3% growth in its underlying base business at constant exchange rates in 2Q15—compared to 2Q14.
Merck & Co. (MRK) released its 2Q15 earnings on July 28. It reported top-line growth at constant currencies for its underlying base business in 2Q15.
Amgen’s key risks include market erosion due to generic competition for Neulasta and Neupogen. Its restructuring also involves a reduction of about 3,500–4,000 employees.