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Healthcare Stocks Drifting Lower; BG Medicine Climbs to 14-Month High After Q4 Net Loss Surprises

Posted
3/20/2014 12:48:00 PM
By: MT Newswires
Referenced Stocks:BGMD

Top Healthcare Stocks

JNJ -0.18%

PFE +0.57%

ABT -0.66%

MRK -0.86%

AMGN -0.09%

Healthcare stocks were slightly lower with the NYSE Healthcare Sector Index slipping less than 0.1% and shares of healthcare companies in the S&P 500 were down about 0.2% as a group.

In company news, shares of BG Medicine ( BGMD ) surged to a 14-month high after the cardiovascular testing company reported a smaller Q4 net loss than analysts had forecast, also saying it expects to decrease its operating cash burn in 2014 compared to year-ago levels.

BGMD reported a net loss of $0.06 per share during the three months ended Dec. 31, beating the Capital IQ consensus by $0.06. Revenue rose 7% year over year to $1.15 million, also exceeding the Street view by around $50,000.

The company also said expects to increase its revenues - continuing to develop market demand for its test assay for galectin-3 in the bloodstream as an aid for diagnosing heart failure - as well as decreasing its operating cash burn during the current calendar year as compared to 2013.

Also today, BGMD said the U.S. Patent and Trademark Office on Tuesday formally granted the company a patent (No. 8,672,857) for its Galectin-3 test as a method to predict responsiveness to cardiac resynchronization therapy. The company originally applied for the patent in August 2010, according to patent records.

BGMD shares were up nearly 28% in recent trade at $2.15 apiece, earlier climbing to their best price since January 2013 at $2.36 a share.

In other sector news,

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(-) AGEN, (-10.9%) The company's MAGE-A3 cancer immunotherapeutic misses first or second co-primary endpoint in Phase III testing in patients with non-small cell lung cancer. Study continuing until analysis of third co-primary endpoint is complete.