) hit a 52-week high of $97.71 almost at the end of the trading
session on Jan 14. This biopharmaceutical stock gained
significant momentum following the announcement of its upbeat
earnings forecasts for the upcoming years on Jan 7.
Moreover, this Zacks Rank #2 (Buy) company has delivered positive
earnings surprises in 3 of the last 4 quarters with an average
beat of 1.4%. The long-term expected earnings growth rate for
this stock is 21.3%.
Celgene Upbeat about Future
Celgene provided encouraging guidance for 2013. The company
expects adjusted earnings for 2013 in the range of $5.50-$5.60
per share, up 12-14% over expected earnings of $4.90 per share
Net product sales for 2013 are expected to be approximately $6
billion, up 11.4% year over year. Net sales of oncology drug
Revlimid, the key growth driver at Celgene, is projected in the
range of $4.1 -$4.2 billion, reflecting an increase of 9 - 12 %
year over year.
Celgene maintained its view for 2015. The company continues to
expect adjusted earnings for 2015 in the range of $8.00 - $9.00
per share. Net product sales for 2015 are still forecasted in the
range of $8.0-9.0 billion. Celgene also provided a rosy outlook
for 2017. The company projects net product sales of $12.0 billion
for 2017. Moreover, adjusted earnings per share for 2017 are
forecasted in the range of $13.00 - $14.00. Net product sales at
Celgene are expected to increase at a compounded annual growth
rate of 19% from 2013 to 2017.
The company, which will announce its fourth quarter and full year
2012 results on Jan 24, expects net product sales for 2012 to be
$5.4 billion, up 15% year over year. Celgene expects 2012
revenues of $5.5 billion, up 14% year over year, driven by strong
Revlimid sales. Sales of Revlimid are expected to exceed $1
billion in the final quarter of 2012.
Multiple Pipeline Related News Coming up
Celgene boasts of an interesting and diversified pipeline.
Multiple pipeline-related news are expected in the coming
quarters. The decision on oncology candidate pomalidomide (target
date: February 10, 2013) is an eagerly awaited event. Moreover,
Celgene is highly optimistic on the potential of apremilast,
which is being developed for multiple indications such as
moderate-to-severe psoriasis and psoriatic arthritis. The
successful development and commercialization of the pipeline
should boost Celgene's top line further.
Other Stocks to Consider
Apart from Celgene, other pharma stocks with favorable Zacks Rank
). Both these companies carry a Zacks Rank #1 (Strong Buy).
CELGENE CORP (CELG): Free Stock Analysis
MEDIVATION INC (MDVN): Free Stock Analysis
TARGACEPT INC (TRGT): Free Stock Analysis
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