In fiscal 2017, Myriad Genetics (MYGN) captured market share in the academic and genetic business segments, owing to rapidly rising demand for its disease-specific panels. Myriad Genetics reported 40% year-over-year (or YoY) growth in volumes of disease-specific panels sold in fiscal 2017, which involved multiple large cancer centers and other large accounts.
Myriad Genetics makes up ~0.10% of the iShares Russell 2000 ETF’s (IWM) total portfolio holdings.
Using histopathology, dermatopathologists have been giving indeterminate results for 14% of the 2 million biopsies performed for detecting melanoma every year. In cases where melanoma is not detected in early stages, the five-year survival rate drops from 98% in cases of localized cancer to 20% for metastasized cancer. Healthcare costs associated with treating the late-stage disease are also ten times higher.
Myriad Genetics has projected the market worth of this underserved opportunity to be ~$0.8 billion by 2020. The company expects to achieve a market share of 10% for its myPath Melanoma test by 2020.
myPath Melanoma is expected to be an important component of Myriad Genetics’ competitive strategy against molecular diagnostic players such as Novartis (NVS), Roche Holdings (RHHBY), and Becton, Dickinson and Company (BDX).
myPath Melanoma science
myPath Melanoma bases its analysis on the 23-gene mRNA expression panel, which involves 13 genes related to immune functioning, five genes associated with cell signaling, and one with cell differentiation.
Hence, myPath Melanoma not only performs molecular analysis for tumor cells but also for identifying changes in immune response outside the tumor.
In fiscal 2017, Myriad Genetics (MYGN) submitted a dossier to Medicare as well as commercial insurers to secure reimbursement for the myPath Melanoma test. This RNA expression test has demonstrated high accuracy in differentiating benign lesions and melanoma.
Launched through the early access program in November 2013, myPath Melanoma is proving to be a valuable aid to the dermatopathologist in testing biopsy tissue to determine melanoma.
In the next article, we’ll discuss the EndoPredict test in greater detail.