Mike Benson

In 2014, AstraZeneca’s CVMD franchise generated nearly $9.8 billion, a 11% rise in sales as compared to $8.8 billion in 2013.

The revenues of Merck & Co.’s Animal Health segment have improved due to increased sales in the Companion Animal Products segment.

Major developments As discussed previously in this series, Johnson & Johnson’s (JNJ) 3Q16 performance was positive across all of its segments. However, the Consumer segment reported a decline in revenue, as the negative impact of foreign exchange more than offset operational growth. There were several major developments for JNJ during 3Q16. Pharmaceuticals segment In 3Q16, the […]

Johnson & Johnson’s (JNJ) Pharmaceuticals segment grew by 1.0% at constant exchange rates, reporting a revenue of $7,946 million for 2Q15 over 2Q14.

Eli Lilly’s (LLY) products are classified into two business segments: Human Pharmaceutical Products and Animal Health Products.

As discussed earlier, Novartis (NVS) reported EPS (earnings per share) of $1.21 on revenues of $12.9 billion during 4Q17.

Sage Therapeutics (SAGE) is focused on the development of the products for the treatment of life-threatening central nervous system (or CNS) disorders.

Headquartered in New Jersey, Johnson & Johnson (JNJ) is one of the largest pharmaceutical companies, with its products sold in over 200 countries worldwide. This series will look at how it has performed since its 2Q17 earnings announcement.

The total return for Lilly’s share price on the NYSE from July 2010 to June 2015 has been around 17.9%. This is lower than a few of the pharmaceutical ETFs.

Ionis Pharmaceuticals (IONS) reported year-over-year (or YoY) growth of 5% in revenues to $118 million during Q2 2018 as compared to the revenues of $112 million during the second quarter of 2017.

On January 26, 2017, the company was trading at a forward PE of ~15.8x. Based on the last five years’ multiple range, JNJ’s current valuation is neither high nor low.

Sanofi’s net revenues increased by ~2.5% to 33.8 billion euros in 2014, as compared to $23.2 billion in 2013.

Novartis (NVS) posted its 2Q15 earnings on July 21, 2015. The company achieved adjusted EPS of $1.27 for 2Q15, ~7% lower than in 2Q14.

Novartis’s revenue is mainly driven by the strong performance of its Innovative Medicines segment, while Sandoz and Alcon also contribute to the company’s overall growth.

For 3Q17, analysts estimate that Eli Lilly will post EPS of $1.03 on revenues of $5.5 billion.

Novartis met Wall Street analysts’ estimates for EPS (earnings per share) in 4Q16, reporting EPS of $1.12 as estimated but missing revenue estimates.

Merck & Co. (MRK) missed Wall Street analysts’ estimates for revenues but surpassed analysts’ estimates earnings per share.

Johnson & Johnson’s (JNJ) medical devices segment deals with vision care, cardiovascular care, specialty surgery, orthopedics, surgical care, and diabetes care.

Allergan’s US medical aesthetics segment includes facial aesthetics, medical dermatology products, and a wide range of silicone and saline breast implants.

Merck & Co.’s (MRK) current valuation is neither high nor low. Its valuation multiple has followed the industry’s overall trend over the last five years.

BMY has four key oncology products, including Erbitux, Opdivo, Sprycel, and Yervoy. Two of these contributed more than $1 billion in 2014.

GlaxoSmithKline (GSK) reported revenues of 7.64 billion pounds in 4Q17, a ~1% growth compared to 7.59 billion pounds in 4Q16.

Pfizer (PFE) released its third-quarter earnings on October 30.

AstraZeneca’s (AZN) CVMD (Cardiovascular and Metabolic Disease) segment contributed nearly 32.4% of total company revenues in 3Q16.

Bristol-Myers Squibb estimates that its revenues will be between $15.5 billion and $15.9 billion, which is nearly flat as compared to 2014 revenues of $15.9 billion.

Total sales from Merck’s Gardasil during 3Q16 reached $860 million, a rise of ~38% over the $625 million in 3Q15.

Novartis’s ADR (American depositary receipt) has fallen ~1.0% to date in October, while it’s risen nearly 3.3% in the last month.

Incyte reported EPS of -$0.19 on revenue of $382.3 million in Q1 2018 compared to revenue of $384.1 million in Q1 2017.

Humana reported revenues of about $54.3 billion in its 2015 results. This amounts to a 12% revenue growth in 2015, compared to ~$48.1 billion in 2014.

Wall Street analysts estimate that Celgene (CELG) stock has the potential to return 31.6% over the next 12 months.

AstraZeneca’s (AZN) oncology segment is another key focus area. The segment’s contribution increased to more than 15% in 2Q16.

Novartis, one of the world’s largest pharmaceutical companies by revenue, is set to release its 3Q16 earnings on October 25, 2016.

Foreign exchange rates seem to have had a negative impact on Johnson & Johnson’s growth rate since ~50% of total revenues are reported from sales outside the US.

In the first quarter, Ionis Pharmaceuticals’ (IONS) revenue grew 24.7% year-over-year to $144.4 million from $115.8 million.

In Pfizer’s 2Q16 results, analysts expect to see EPS (or earnings-per-share) of $0.62 and revenues of ~$13.0 billion for 2Q16. The company has surpassed Wall Street analysts’ estimates for EPS over the last few quarters.

Mylan’s recent commercial developments include the acquisition of the Cold-EEZE brand from ProPhase Labs and the acquisition of Meda AB.

Lynparza (olaparib) is a poly(ADP-ribose) polymerase inhibitor, or PARP inhibitor, and part of Merck & Co. (MRK) and AstraZeneca’s (AZN) global strategic oncology collaboration.

Sales for Bristol-Myers Squibb’s (BMY) neuroscience segment declined over 80% in 2Q15, while the immunoscience segment’s sales improved ~15% in 2Q15 as compared to 2Q14.

Sales from Bristol-Myers Squibb’s Neuroscience segment declined by 94% in 1Q16. Sales from the Immunoscience segment improved by ~18.7% in 1Q16 over 1Q15.

Wall Street analysts estimate Bristol-Myers Squibb’s top line to rise 6.5% to ~$5.2 billion in 1Q18.

GlaxoSmithKline stock has risen ~6.4% in 1Q18, while its stock has risen ~12.6% YTD (year-to-date) as of April 6, 2018.

On May 17, Eli Lilly was trading at a forward PE multiple of 15.2x, which compares to the industry average of 13.6x.

GlaxoSmithKline (GSK) reported a 10.9% increase in its top line in its 2Q16 earnings on July 27, 2016. It met Wall Street analysts’ estimates for revenues and EPS.

Johnson & Johnson (JNJ) reported revenues of $20.0 billion during 1Q18, 12.6% growth as compared to revenues of $17.8 billion during 1Q17.

Wall Street analysts estimate that Gilead Sciences (GILD) stock has the potential to return 21.1% over the next 12 months.

The fundamental factors affecting stock prices and valuation include the performance of growth platforms as well as the exclusivity of blockbuster drugs.

During the last quarter, the oncology segment’s contribution to AstraZeneca (AZN) increased to over 15%. AZN’s key products for oncology are Zoladex, Faslodex, Iressa, and the new drug Tagrisso.

Merck’s (MRK) Keytruda (pembrolizumab) is approved to treat various forms of cancer.

MedMen’s (MMNFF) reported revenues are generated from direct sales through its retail stores. The company has reported no material revenues from cultivation or production wholesale operations.

Bristol-Myers Squibb’s (BMY) neuroscience segment sales fell over 37% in 3Q16, while the immunoscience segment sales rose ~18% in 3Q16 as compared to 3Q15.

Cymbalta, an antidepressant drug, reported revenues of $169.6 million in 1Q18, a 3% growth compared to $174.6 million in 1Q17.

Novartis is set to release its 4Q15 and full-year 2015 earnings on January 27, 2016. Analysts estimate an EPS of $1.32 for 4Q15.

Due to the decelerating revenue growth over all segments, Johnson & Johnson (JNJ) reported a decrease in its top line by ~8.8% in its 2Q15 earnings release on July 14, 2015.

Bristol-Myers Squibb’s (BMY) other segments include the Neuroscience segment, the Cardiovascular segment, and the Immuno-Science segment.

Pfizer (PFE) reported an EPS of $0.74 on revenues of ~$13.5 billion during the second quarter, which beat analysts’ estimate of ~$13.3 billion.

On April 9, 2018, Novartis AG announced that it had entered into an agreement to acquire AveXis for ~$8.7 billion.

Eli Lilly and Co. reported revenues of ~$5.7 billion for 1Q18 today, reflecting 9% growth from 1Q17.

On November 16, Curaleaf Holdings announced that the company opened Tallahassee’s largest medical marijuana dispensary.

Sanofi (SNY) missed Wall Street analysts’ estimates for revenues today but beat estimates for earnings per share.

Johnson & Johnson has returned nearly 1.2% year-to-date while Sanofi, Merck, and Novartis have returned ~0.5%, -4.4%, and -3.5%, respectively.

Gilead’s stock price has risen ~8.9% in the last 12 months. Wall Street analysts estimate that the stock price will fall ~4.5% over the next 12 months.

AstraZeneca’s oncology segment is another key focus area. The segment contributed 11.6% in 2014 and 12.1% in 2Q15. Key products for oncology are Zoladex and Faslodex.

Johnson & Johnson reported growth across all three of its segments: the pharmaceutical segment, the consumer health segment, and the medical devices segment.

Merial, Sanofi’s (SNY) Animal Health segment, reported total revenues of 725 million euros (about $818.6 million), which is a 9.1% increase over 2Q15.

On May 10, 2017, Allergan (AGN) was trading at a forward PE multiple of ~14.1x, as compared to the industry average of 11.9x.

AstraZeneca’s (AZN) key focus is its oncology segment. The segment’s contribution increased to more than 12% in 1Q16. Its key products include Zoladex, Faslodex, and Iressa.

Approximately 85% of all lung cancers in the United States are non-small cell lung cancers, and 10% to 15% of these are EGFR mutation-positive.

Novartis’s Innovative Medicines segment, formerly referred to as the Pharmaceutical segment, consists of products for a variety of therapeutic areas.

Enbrel, Pfizer’s (PFE) blockbuster drug, reported a 14% decline to $506 million in the first quarter.

The overall contribution of the Innovative Medicines segment is ~67% of Novartis’s total revenues.

The oncology segment is another key focus area of AstraZeneca (AZN). The oncology segment’s contribution increased from ~11.6% in 2014 to ~12.1% in 2015.

Allergan (AGN) plans to release its 1Q18 earnings on April 30. Wall Street expect AGN’s earnings per share to reach $3.36.

Merck’s Relebactam is an investigational drug for the treatment of certain forms of imipenem-non-susceptible bacterial infections.

Bristol-Myers Squibb beat Wall Street analysts’ estimates for earnings per share and revenues in 1Q18.

Eli Lilly’s (LLY) Human Pharmaceuticals business includes cardiovascular products Effient, Cialis, and Adcirca, which reported lower sales in 1Q18.

Teva’s respiratory drugs franchise provides solutions for asthma, COPD, and allergic rhinitis. Respiratory drugs contributed nearly 11% of total revenues for Teva’s Specialty Medicines in 2014.

Novo Nordisk (NVO) stock has risen ~18.6% in 2Q17. It has risen ~16.9% year-to-date as of July 7, 2017.

Pfizer (PFE) released its 1Q18 earnings today, reporting another strong quarter for the Innovative health business.

On June 14, 2017, Pfizer (PFE) announced an agreement with Basilea Pharmaceutica for exclusive commercial rights for Cresemba in Europe.

Bristol-Myers Squibb’s (BMY) neuroscience segment’s sales declined by 63.0% in 2015 from 2014, while its immunoscience segment’s sales improved ~14.1%.

On June 1, GlaxoSmithKline (GSK) completed the buyout of a 36.5% stake in Novartis (NVS) in a consumer healthcare joint venture.

Merial reported total revenues of 691 million euros, a 14.2% increase at constant exchange rates over 2Q14.

GSK reported EPS of 24.60 British pence on revenue of 7.22 billion pounds, surpassing Wall Street analysts’ consensus estimates.

As of January 2015, Johnson & Johnson’s ownership structure is dominated by passive investments. They account for more than 80% of the total ownership structure.

Healthcare service provider Envision Healthcare (EVHC) announced its agreement to be acquired by KKR (KKR) last week.

Sesen Bio (SESN), formerly known as Eleven Biotherapeutics, is developing next-generation antibody-drug conjugate therapies. The stock jumped ~26.1% to $2.27 yesterday.

Pfizer trades at a forward enterprise-value-to-EBITDA multiple of 10.3x, which is much lower than the industry average of 11.6x.

As per analysts’ estimates, Eli Lilly’s (LLY) revenues could rise ~3.6% to $5.6 billion in 2Q17.

Alcon, NVS’s eye care segment, saw its 4Q16 revenues fall ~2% to ~$1.4 billion, including no change in sales but a -2% impact from foreign exchange.

GlaxoSmithKline is a major shareholder of ViiV Healthcare. Its HIV products reported revenue of 1.12 billion pounds during 2Q17.

Eli Lilly and Company’s (LLY) Human Pharmaceutical segment includes cardiovascular products such as Cialis, Effient, and other products.

Due to Pfizer’s (PFE) strong Innovative Products business and product pipeline, analysts estimate that it will generate $0.54 in earnings per share in 1Q16.

Johnson & Johnson’s net profit margin improved to 25.4% for 2Q15 compared to 22.2% for 2Q14 due to the divestiture of some low profitability products and improved sales of high profitability products.

AstraZeneca’s (AZN) oncology products include legacy oncology products as well as new oncology products.

AGN’s analysts estimate EPS of $4.72 on revenues of $4.27 billion for 4Q17, which would be 10.5% higher YoY (year-over-year).

Sanofi’s (SNY) Consumer Healthcare franchise’s products include Allegra, Doliprane, and Nasacort. The segment reported a 3.1% decline in revenues at 905 million euros in 1Q16, compared to its 1Q15 revenues.

In 2Q15, Novartis (NVS) achieved revenues of $12.69 billion, an increase of ~6.3% over 1Q15.

Bristol-Myers Squibb (BMY) reported a growth of 9% in 1Q16. Analyst estimates forecast a high-single-digit growth to low-double-digit in revenues in 2016.

BeiGene (BGNE) released its Q2 2018 earnings on August 9. BGNE surpassed analysts’ estimates for revenues but missed its EPS estimates.

In this article, we’ll discuss the performances of a few stocks from the cannabis industry (SEED) for the week that ended on November 30.