) recently received a favorable ruling in its patent infringement
) for Rapamune. The US District Court for the District of
Delaware declared that Pfizer's patent for sirolimus, the active
ingredient in Rapamune, is valid and infringed.
Actavis, formerly known as Watson Pharma, was looking to
launch its generic version of Rapamune which is indicated for the
prevention of organ transplant rejection in kidney transplant
patients aged 13 years and older.
Pfizer had initiated the patent infringement lawsuit in Apr
2010. With the Court ruling in Pfizer's favor, Actavis will not
be able to launch its generic version of Rapamune before the
patent expires unless the company appeals the ruling and wins.
The challenged patent is slated to expire on Jan 7, 2014.
Actavis is currently reviewing the Court's ruling and intends
to consider all options including the possibility of appealing
Pfizer currently carries a Zacks Rank #3 (Hold). The company
recently announced fourth quarter earnings which were above
expectations but below the year-ago earnings. Results were hit by
the loss of exclusivity of certain products and the unfavorable
impact of currency fluctuation.
Pfizer's 2013 guidance was in line with expectations. While
near-term earnings will be driven by cost cutting efforts and
share repurchases, longer-term growth will depend on the success
of drug development. The company's pipeline needs to deliver
given the Lipitor loss of exclusivity and the upcoming loss of
exclusivity on additional products in the next few years.
Large-cap pharma companies that currently look
). Both companies are Zacks Rank #1 (Strong Buy) stocks.
ACTAVIS INC (ACT): Free Stock Analysis Report
NOVO-NORDISK AS (NVO): Free Stock Analysis
PFIZER INC (PFE): Free Stock Analysis Report
SANOFI-AVENTIS (SNY): Free Stock Analysis
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