Bayer's Cancer Candidate Encourages - Analyst Blog

By
A A A

The HealthCare unit of  Bayer ( BAYRY ) recently announced that its cancer candidate regorafenib fared well in a phase III study (GRID: n=199), which evaluated patients suffering from metastatic and/or unresectable gastrointestinal stromal tumors (GIST). The disease had progressed in the evaluated patients in spite of being previously treated with Novartis ' ( NVS ) Gleevec and Pfizer 's ( PFE ) Sutent.

Results from the randomized, double-blind, placebo-controlled, multi-center, cross-over study revealed that treatment with regorafenib (160 mg) plus the best supportive care (BSC) reduced the risk of the disease progressing further or even death by 73% compared to those in the placebo + BSCarm. Bayer intends to seek marketing approval for regorafenib for the GIST indication in the second half of 2012.

Apart from GIST, Bayer is evaluating regorafenib in patients suffering from metastatic colorectal cancer (mCRC). Bayer presented encouraging data from a phase III study (CORRECT: n=760), which evaluated regorafenib in mCRC patients whose disease had progressed even after treatment with the standard drugs for the disease. The data was presented at the 48th annual conference of the American Society of Clinical Oncology (ASCO).

Results from the study revealed that there was a significant improvement in progression-free survival and overall survival in patients treated with regorafenib (160 mg) plus the BSC compared to those in the placebo + BSCarm. Bayer is seeking approval of the candidate for the mCRC indication in the US and the EU. Once regorafenib is commercialized, Bayer will have to make royalty payments on global sales of the candidate to Onyx Pharmaceuticals, Inc . ( ONXX ), per an agreement inked last year.

Our Recommendation

We have a Neutral recommendation on Bayer. The stock carries a Zacks #3 Rank (Hold rating) in the short run.


 
BAYER A G -ADR (BAYRY): Free Stock Analysis Report
 
NOVARTIS AG-ADR (NVS): Free Stock Analysis Report
 
ONYX PHARMA INC (ONXX): Free Stock Analysis Report
 
PFIZER INC (PFE): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Business , Stocks

Referenced Stocks: ASCO , BAYRY , NVS , ONXX , PFE

Zacks.com

Zacks.com

More from Zacks.com:

Related Videos

How to Fire Your Adviser
How to Fire Your Adviser            

Stocks

Referenced

100%
88%

Most Active by Volume

61,347,769
  • $16.85 ▲ 0.84%
51,185,057
  • $101.69 ▲ 0.82%
32,853,762
  • $42.6974 ▼ 0.03%
30,121,186
  • $16.18 ▲ 0.12%
29,862,003
  • $46.555 ▼ 0.44%
29,797,672
  • $99.77 ▲ 0.39%
28,023,986
  • $17.60 ▲ 0.51%
27,015,545
  • $3.65 ▲ 1.25%
As of 9/17/2014, 03:27 PM

Find a Credit Card

Select a credit card product by:
Select an offer:
Search
Data Provided by BankRate.com