Genomic Health Inc. (GHDX - Analyst Report) continues to demonstrate the clinical and economic merits of its Oncotype DX breast cancer test. The company recently featured positive data from 22 clinical studies at the St. Gallen International Breast Cancer Conference.
The latest data on Oncotype DX breast cancer test displayed its ability to alter clinical decisions associated with individual cancer treatment by drawing attention to critical questions. Additionally, the test provides economic benefits to health care systems on the back of accurate disease diagnosis and treatment selection.
Findings from the decision impact data from France, Israel, Spain, Germany, UK and the U.A.E. reassert that Oncotype DX alters physician treatment recommendations. The inference from these studies validate similar findings from 15 previously reported Oncotype DX clinical utility studies from the U.S., Canada, Europe, Japan, Australia, Israel and Mexico.
Further, five health economic analyses from France, the Netherlands, Ireland, Hungary and Mexico establish the cost effectiveness of Oncotype DX ensuring considerable savings for health care systems. According to results from the analyses conducted in France, the use of Oncotype DX will prevent unnecessary chemotherapy for patients and result in savings of €5 million. Additionally, Genomic Health demonstrated positive findings from nine other studies.
The uncontested results from across the globe acknowledge the proficiency of Oncotype DX test as the only genomic test proven to predict chemotherapy benefit. The latest results further enhance the efficacy of the company’s lead product.
Peer reviewed validation data for Oncotype DX should help Genomic Health gain foothold and reimbursement in new markets. Currently, the company has established significant reimbursements in Canada, Germany, UK, Ireland, Spain, Greece, Saudi Arabia and Israel. We believe that higher global adoption of Oncotype DX should improve overall growth for Genomic Health.
The stock carries a Zacks Rank #3 (Hold). While we remain on the sidelines for Genomic Health, we believe that other medical stocks such as Edwards Lifesciences (EW - Analyst Report), Conceptus and Abaxis (ABAX - Analyst Report) warrant a look as each carry a Zacks Rank #2 (Buy).