Vanguard Health Care ETF

Of the 23 analysts covering Bristol-Myers Squibb (BMY) in August 2017, six analysts recommended a “strong buy,” and four analysts recommended a “buy.” Ten analysts recommended a “hold,” and three analysts recommended a “sell.”

Johnson & Johnson’s (JNJ) revenues are expected to report 8.3% growth to $19.3 billion during 3Q17.

To strengthen the innovative health business, the company is focusing on the development of new drugs as well as expanding the market reach of existing products.

Eli Lilly (LLY) reported a ~6% rise in its revenue to $21.2 billion in 2016, compared to its revenue of $20.0 billion in 2015.

In 1Q17, Abbott Laboratories’ (ABT) Nutritional segment reported revenue of nearly $1.6 billion, a year-over-year (or YoY) fall of ~1%.

On June 6, Pfizer announced that it would invest ~$600 million in biotechnology and emerging growth companies through Pfizer Ventures.

Reducing medical costs would be a high priority in all economies, and generic drugs could provide a solution.

Analysts expect Pfizer (PFE) to see adjusted EPS of $0.74 in Q2 2018.

The Baupost Group lowered its position in Syneron Medical (ELOS) during 4Q14. The position accounted for a minor 0.4% of the total portfolio in 4Q14.

Analysts estimate a potential return of ~12.4% for Baxter’s stock over the next 12 months, with a 12-month target price of $40.44 per share.

Allergan develops various products through internal programs and in collaboration with other companies.

About 49.2% of Johnson & Johnson’s (JNJ) total revenues in 1Q18 came from the pharmaceutical segment, making it the largest revenue contributor for the company.

Johnson & Johnson is set to release its 4Q16 earnings on January 24, 2017.

According to estimates by Evaluate Pharma, a whopping $120 billion in sales was lost to patent expirations between 2009 and 2014.

Celgene has entered a strategic collaboration with Acceleron for the development of luspatercept.

Wall Street analysts expect that Universal Health Services (UHS) will report higher net profit margins in 3Q15 compared to margins in 3Q14.

Baxter International (BAX) reported ~$2.4 billion in total revenues in 1Q16. Of that, ~$898 million, or ~38%, came from Baxter’s Renal Products business.

The U.S. Commerce Department reported retail sales fell in February for the third month in a row, while the University of Michigan Consumer Sentiment Index jumped to a 14-year high…

The Baupost Group generated $21.5 billion in returns over its history. The recent 13F filing revealed that its 4Q14 portfolio declined more to $5.09 billion.

Jakafi (ruxolitinib) is Incyte’s only product and the only FDA-approved drug for the treatment of myelofibrosis and polycythemia vera, rare types of blood cancer.

Auto-enrollment is now being considered as an alternative to the individual mandate of Obamacare—something that would reduce the current penalty to $0.

In 2015, Cigna’s (CI) global supplemental benefits business earned revenues of about $3.1 billion, year-over-year (or YoY) growth of about 4.8%.

Pharmaceuticals segment Johnson & Johnson’s (JNJ) pharmaceutical segment comprises the cardiovascular, metabolics, immunology, infectious disease, neuroscience, oncology, and pulmonary hypertension franchises. Cardiovascular and metabolics franchise The cardiovascular and metabolics franchise reported revenue of $1.6 billion in 2Q17, a decrease of ~6.5% from 2Q16. The decline was driven by lower sales of Invokana due to discounts […]

Elanco, the animal healthcare arm of Eli Lilly, received exclusive and global rights to develop and commercialize Aratana’s (PETX) Gallipart, a drug that treats osteoarthritis in dogs.

In 2016, Pfizer’s (PFE) Medrol reported revenues of ~$450 million, which represented a ~12% rise on a YoY (year-over-year) basis.

The Health Care Select Sector SPDR ETF (XLV), which tracks the performance of the healthcare sector, showed a weaker performance in March 2017.

Eli Lilly’s (LLY) human pharmaceutical business reported revenues of $5.0 billion in 2Q17, an 11.0% rise compared to $4.5 billion in 2Q16.

Jeff Bezos’s primary focus remains his role as the CEO of Amazon, but he’s made investments in many other industries and companies.

Adjusting performance on a risk basis As new insurees flood the insurance market and baby boomers approach retirement, the healthcare space should expect dramatic increases in demand. Alongside an increase in demand, however, has been a tightening of reimbursement policy and a more stringent regulatory environment. These variables present unique risks and opportunities for healthcare […]

The 12-month consensus analyst recommendation for Johnson & Johnson on January 29 was a “buy.”

Based on its closing price on January 8, the company had reported returns of 9.01% in the last week, -6.19% in the last month, and -15.36% in the last quarter.

On February 20, 2018, Ionis announced that the company has licensed the drug IONIS-AZ5-2.5Rx to AstraZeneca (AZN).

Johnson & Johnson’s gross profit margin decreased to 64.1% in 4Q17, a ~5% decrease compared to 69.1% in 4Q16.

Abbott Laboratories’ (ABT) Medical Device segment is its largest business division, contributing ~36% to the company’s total sales in 4Q17.

Eli Lilly (LLY) plans to release its 4Q17 and 2017 earnings on January 31, 2018. For 4Q17, analysts expect LLY to report earnings per share of $1.07 on revenues of ~$5.9 billion.

Lurica, one of the blockbuster drugs from Pfizer’s portfolio, is expected to report revenue growth during 4Q17—likely driven by increased US sales.

Arrowhead Pharmaceuticals’ therapeutic candidate ARO-LUNG1 is being developed for an undisclosed disease of the lung. This is the first candidate to utilize the company’s TRiM platform.

In Merck’s cardiovascular product portfolio, Adempas reported revenues of $70 million in 3Q17 compared to $48 million in 3Q16.

For 4Q17, revenues for Johnson & Johnson’s immunology franchise are expected to increase due to the strong performance of Stelara.

In December 2016, the U.S. Attorney’s office for the District of Massachusetts issued an indictment against six former Insys (INSY) employees.

Accelerate Diagnostics (AXDX) currently competes with companies with automated microbiological testing products on the market like Becton Dickinson (BDX), bioMerieux, Danaher (DHR), Bruker (BRKR), Luminex (LMNX), and T2 Biosystems (TTOO).

Incyte’s revenue sources include revenue from Iclusig sales in European markets, Jakafi sales in US markets, and royalties from Jakavi and Olumiant sales.

Eli Lilly’s Strattera had revenues of $137 million in 3Q17, a decline of ~31% compared to $199 million in 3Q16.

In 3Q17, Johnson & Johnson’s (JNJ) Zytiga generated revenues of $669 million, which reflected ~15% growth on a year-over-year (or YoY) basis and 20% growth on a quarter-over-quarter basis.

Eucrisa growth trends On December 14, 2016, Pfizer (PFE) announced that it had secured FDA approval for its mild-to-moderate AD (atopic dermatitis) therapy, Eucrisa (crisaborole) 2% ointment, for patients over two years old. This drug was added to Pfizer’s portfolio through the acquisition of Anacor Pharmaceuticals, which was completed in June 2016 for ~$5.2 billion. […]

Gilead’s other products As discussed earlier, Gilead Sciences’ (GILD) other products include cardiovascular, inflammation, oncology, and respiratory products. The above chart compares Gilead’s revenue from other products over the last few quarters. Between 3Q16 and 3Q17, revenue from other products fell 1% to $559 million from $564 million. Cardiovascular drugs Letairis, Lexiscan, and Ranexa are Gilead’s cardiovascular products. […]

In its 3Q17 earnings conference call, Merck & Co. (MRK) announced its plans to capture long-term overall survival data in its pivotal Keynote-189 study.

In 3Q17, Eli Lilly’s (LLY) Alimta generated revenues of $514.5 million, a ~10% increase on a year-over-year (or YoY) basis and a 3% decline on a quarter-over-quarter basis.

Merck & Co.’s (MRK) Keytruda (pembrolizumab) sales increased ~194% in 3Q17 to ~$1.1 billion.

Eli Lilly’s cardiovascular franchise includes the drugs Cialis and Effient, but for 3Q17, both drugs reported lower sales.

On November 10, 2015, the FDA approved Exelixis’s (EXEL) Cotellic in combination with Roche Holdings’ (RHHBY) Zelboraf (vemurafenib) as a treatment option.

Zimmer Biomet Holdings’ (ZBH) S.E.T. (Sports, Extremities, and Trauma) segment registered sales of $407 million, contributing 23% to the company’s total revenues.

Wall Street analysts estimate that Pfizer’s top line will rise 1% YoY to ~$13.18 billion in 3Q17. Its EPS (earnings per share) are expected to rise to $0.64.

AbbVie stock price has risen ~22.5% in 3Q17. It has risen ~54.1% year-to-date as of October 20, 2017.

In 1H17, Eli Lilly’s (LLY) Taltz reported revenues of ~$235.3 million, compared with $19.3 million in 1H16.

On October 6, 2017, Intuitive Surgical will start trading on a split-adjusted basis. It has scheduled a stock split for its shares in a ratio of 3:1.

Medtronic (MDT) aims to leverage its expertise in implantable pump and electronics segments to further improve Heartware’s LVAD (left ventricular assist device) product portfolio.

In August 2017, Jazz Pharmaceuticals (JAZZ) and ImmunoGen (IMGN) entered into a strategic collaboration and option agreement.

Trulicity’s sales totaled $480.2 million during 2Q17, representing growth exceeding 100% compared to $201.3 million during 2Q16.

Renewed tensions arising out of North Korea’s missile launch on Tuesday had a major impact on volatility. Asian markets have declined more than 1% as risk aversion dominated markets.

Becton Dickinson (BDX) has seen tremendous growth in recent years, driven by some of its major acquisitions and key product launches.

Allergan (AGN) is a leading pharmaceuticals company involved with pharmaceuticals, over-the-counter products, eye care, and aesthetics products.

Vectibix’s revenue trends In 2Q17, Amgen’s (AMGN) Vectibix generated revenues of ~$168 million, which represented a ~5% YoY (year-over-year) rise and a ~14% QoQ (quarter-over-quarter) rise. In the US, Vectibix generated revenues of ~$62 million in 2Q17, or ~19% higher YoY. Outside the US, Vectibix reported revenues of ~$106 million, or 2% lower YoY and […]

Some companies benefit in times of uncertainty, and some sectors provide cover for investors.

ABBVie anticipates upadacitinib to be commercialized by 2019. If approved, AbbVie’s upadacitinib will directly compete with Pfizer’s (PFE) Xeljanz.

Elanco’s revenues fell 9.0% to $784.8 million during 2Q17 compared to $859.8 million during 2Q16.

In 2016, Regeneron Pharmaceuticals’ Praluent reported revenue of ~$116.3 million, compared to $10.5 million in 2015.

Segment-wise performance Johnson & Johnson (JNJ) reported a revenue increase of ~2.9% between 2Q16 and 2Q17. The company’s business is broken down into three business segments: Pharmaceuticals, Consumer Products, and Medical Devices. At constant exchange rates, the company reported growth across all segments. Segment-wise revenue The pharmaceutical segment, which contributes nearly 45.8% of Johnson & Johnson’s […]

Vytorin is a combination drug consisting of ezetimibe and simvastatin. Outside the US, the drug is marketed as Inegy.

In 2016, Bayer owned ~51,000 valid patent applications and patents relating to ~5,000 protected inventions worldwide.

Bristol-Meyers Squibb considers its people to be its competitive advantage, and it plans to build long-term, sustainable growth through innovation.

In 2016, Bristol-Myers Squibb’s (BMY) Empliciti reported revenues of ~$133 million. The US accounted for ~89% of Empliciti’s total revenues.

Spinraza (nusinersen) is a biologic drug indicated for the treatment of spinal muscular atrophy (or SMA).

Follow-up data were released from the Checkmate-205 study. It evaluated long-term effects of PD-1 inhibitors in patients with classical Hodgkin Lymphoma.

Tanezumab is an investigational drug co-developed by Eli Lilly (LLY) and Pfizer (PFE).

In 2016, AbbVie’s (ABBV) Duodopa, a combination drug for the treatment of advanced Parkinson’s disease, generated revenue of ~$293 million.

Strattera, a drug for the treatment of ADHD, reported 4% growth in its 1Q17 revenues to $196.2 million, compared to $188.1 million for 1Q16.

Thermo Fisher Scientific (TMO) is focused on strengthening its mass spectrometry business, which is part of its Analytical Instruments segment.

Thermo Fisher Scientific (TMO) has a presence around the globe, but around 80% of its revenues are generated from developed markets.

Johnson & Johnson’s Ppharmaceuticals segment includes products from various franchises: cardiovascular and metabolics, immunology, infectious disease, neuroscience, and oncology.

The US medical device industry is a global leader. Its market was valued at ~$140 billion for 2016. It represents ~45% of the global market.

The US economy is dealing with rising healthcare costs. The national healthcare expenditure grew 5.8% to $3.2 trillion in 2015 or $9,990 per person.

Keytruda, a prescription medicine classified under Merck’s (MRK) immunooncology franchise, is used to treat non-small cell lung cancer as well as melanoma.

Allergan stock has had a weaker performance in the last year with a fall of nearly 14.9%.

Incyte’s (INCY) Jakafi is distributed in the United States through a network of specialty pharmacy providers and wholesalers for direct delivery.

To strengthen the Innovative Health business, Pfizer is focused on developing new drugs as well as expanding the market reach of existing products.

In 4Q16, Eli Lilly (LLY) reported Basaglar sales of $40 million from Japan and several European markets.

Pfizer’s (PFE) portfolio includes medicines, vaccines, and consumer healthcare products. It segregates its operations into Innovative Health and Essential Health.

Gilead Sciences (GILD) is exploring Filgotinib in multiple Phase 3 trials across various patient segments.

The healthcare sector provided unimpressive returns in 2016. The Health Care Select Sector SPDR ETF fell 2.5% in 2016.

Edwards Lifesciences has established itself as a leader in the artificial heart valves market and has produced enormous long-term value over the years.

Allergan completed the acquisition of Tobira Therapeutics, a San Francisco-based pharmaceuticals company, for $1.5 billion on September 20, 2016.

On September 27, Pfizer completed the acquisition of Medivation. The stock transaction is valued at $81.50 per Medivation share for a total of ~$14 billion.

The possible repeal of Obamacare might be an opportunity for healthcare stocks.

Merck revised its fiscal 2016 adjusted EPS range to be $3.71–$3.78, including a 1% negative impact of foreign exchange.

Bristol-Myers Squibb’s revenues from Opdivo are estimated to be $938.8 million in 3Q16, as compared to $305 million in 3Q15.

Medical devices segment Johnson & Johnson’s (JNJ) Medical Devices segment grew ~1.1% to ~$6.2 billion between 3Q15 and 3Q16. This growth included an operational increase of 0.7% and a positive impact of foreign exchange. Cardiovascular care franchise The cardiovascular care franchise’s sales fell 13.9% to $451 million in 3Q16. This fall was due to the […]

As we discussed earlier, Eli Lilly and Co.’s (LLY) 3Q16 segment performance is expected to be positive for both its human pharmaceuticals and animal health segments.

Pfizer’s businesses Pfizer’s (PFE) portfolio comprises medicine, vaccines, and consumer healthcare products. The company has segregated its operations into two businesses: Innovative Health and Essential Health. Business segments  The above chart shows revenues for the last few quarters and revenue estimates for the next two quarters. Pfizer’s Innovative Health segment, which was previously referred to as […]

The acquisition of Cepheid (CPHD) in the strategic sense is a gateway for Danaher (DHR) to breathe life into its limited molecular testing capabilities.