Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Roche (RHHBY - Analyst Report) is a leader in oncology drugs with strong demand for breast cancer drugs like Herceptin, Perjeta and Kadcyla.

Apart from making efforts to develop its breast cancer franchise, Roche is also keen to develop drugs for other indications. One of the leading drugs in Roche’s portfolio is MabThera (branded as Rituxan in the U.S.) which is indicated for blood cancers like non-Hodgkin’s lymphoma (NHL) and chronic lymphocytic leukemia (CLL).

Roche received positive news when the U.S. Food and Drug Administration (FDA) approved another drug, Gazyva (obinutuzumab), for the treatment of CLL.

The approval was based on positive results from the CLL11 trial wherein it was observed that Gazyva in combination with chlorambucil chemotherapy led to a significant reduction in the risk of disease progression or death. Moreover, it also improved the life span of patients without their disease getting worse as compared to chlorambucil alone.

Roche will present final data from the CLL11 trial in Dec 2013. The trial is evaluating Gazyva in combination with chlorambucil and MabThera/Rituxan in combination with chlorambucil.

We note that the FDA granted ‘Breakthrough Therapy Designation’ to Gazyva in May 2013 following the release of positive data from the CLL11 trial.

The successful commercialization of Gazyva would help Roche replace revenues that may be lost to biosimilar versions of Rituxan once they enter the market.

We note that companies like Amgen (AMGN - Analyst Report) are working on biosimilar versions of Rituxan.

Rituxan is approved for the treatment of CLL. Rituxan was one of the best selling drugs for Roche in the first nine months of 2013 with sales of CHF 5.2 billion, up 6% year over year.

We remind investors that Roche has another pipeline candidate, RG7601, which is being developed for the treatment of relapsed/refractory (R/R) CLL and R/R non-Hodgkin lymphoma (NHL) in collaboration with AbbVie (ABBV - Analyst Report).

Roche currently carries a Zacks Rank #3 (Hold). Right now, Novo Nordisk (NVO - Analyst Report) looks attractive with a Zacks Rank #2 (Buy). 

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
DIXIE GRP IN DXYN 15.84 +7.90%
BOFI HLDG IN BOFI 85.30 +4.97%
RAMBUS INC RMBS 12.31 +4.41%
VIPSHOP HOLD VIPS 148.73 +4.35%
NETFLIX INC NFLX 345.74 +4.32%