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Bear of the Day

Genomic Health, Inc. (GHDX)

By: Zacks Equity Research
October 30, 2009 | Comments: 1
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Genomic Health Inc.'s (GHDX - Analyst Report) lead product is Oncotype DX, which is used for early stage breast cancer patients to predict the likelihood of cancer recurrence.

Even though sales of Oncotype remain robust and the company remains optimistic about its prospects, we are highly concerned about the company's reliance on the product for growth. We believe that Genomic needs to expand its product portfolio in order to sustain growth.

Furthermore, we are also concerned about the company's weak pipeline. These concerns have caused us to downgrade the stock to Underperform.


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Karl Simpson wrote...
This looks like an interesting company and the Oncotype DX test seems to have proven a valuable test in Breast Cancer.
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