) hit a 52-week high of $117.94 in the first half of the trading
session on Apr 1, 2013. This biopharmaceutical stock gained
significant momentum following the announcement of strong fourth
quarter 2012 results, upbeat earnings forecasts for the upcoming
years and the US approval of cancer drug Pomalyst.
Moreover, this Zacks Rank #2 (Buy) company has delivered positive
earnings surprises in 3 of the last 4 quarters with an average
beat of 1.49%. The long-term expected earnings growth rate for
this stock is 21.87%.
Strong 4Q and Upbeat Forecasts
Celgene exited 2012 on a strong note. Celgene's fourth quarter
2012 adjusted earnings of $1.18 per share beat the year-ago
earnings by 26.9%. Higher revenues drove earnings in the reported
quarter. Total revenue climbed 12.7% to $1.45 billion in the
fourth quarter of 2012. Revenues were boosted by the impressive
performance of Celgene's cancer drugs Revlimid, Abraxane and
Celgene also provided an encouraging guidance for 2013. The
company expects adjusted earnings per share for 2013 in the range
of $5.50-$5.60, up 13% year over year. Net product sales for 2013
are expected to be approximately $6 billion. Celgene also
provided an upbeat long-term forecast. The company projects net
product sales of $12 billion and adjusted earnings in the range
of $13.00-$14.00 for 2017. The string of upbeat forecasts has
buoyed the stock.
Pomalyst Approval - A Major Positive
In Feb 2013, Celgene received a boost when the US Food and Drug
Administration (FDA) approved Pomalyst. Pomalyst was approved in
the US in combination with low-dose dexamethasone for the
treatment of relapsed and refractory multiple myeloma (MM)
patients, who have received at least 2 prior therapies. Pomalyst
has been approved to treat patients whose cancer has worsened on
or within 60 days of the last medication. The approval of
Pomalyst has further boosted Celgene's already strong oncology
product portfolio and should augment its top line as the MM
market offers significant commercial potential.
Other Stocks to Consider
Apart from Celgene, other pharma stocks with favorable a Zacks
Osiris Therapeutics, Inc.
). All three stocks carry a Zacks Rank #1 (Strong Buy).
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CELGENE CORP (CELG): Free Stock Analysis
CYTOKINETCS INC (CYTK): Free Stock Analysis
OSIRIS THERAPTC (OSIR): Free Stock Analysis
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