NEOGEN Corporation ( NEOG Quick Quote NEOG - Free Report) recently launched the Igenity Canine Wellness, which is a preventative care DNA screening tool for veterinarians. Notably, the screening tool is expected to aid in understanding the genetic background of the canine population which can influence health, physical traits and behavior in them.
During a veterinary exam, a staff member will utilize a cytology swab from an Igenity Canine Wellness kit to get cheek cells from the patient’s mouth. The kit box is sent to NEOGEN Genomics lab for processing once the veterinary hospital prepares the samples. Following this, a genetic risk report is received that can allow the pet parent to build a wellness journey to best fit their canine’s health requirements.
For investors’ note, the DNA targets for Igenity Canine Wellness are based on published research for common actionable health conditions diagnosed in veterinary medicine.
With the recent launch, NEOGEN aims to strengthen its Animal Safety business on a global scale.
Significance of the Launch
The Igenity Canine Wellness tool looks into the genetic background of the canines and aids in predicting a percentage of the heritable component for relatively common actionable diseases. Further, awareness of genetic risks helps veterinary professionals to make better recommendations on diet, diagnostic screening and lifestyle for a longer and happier life for each pet and its family.
Per management, the Igenity Canine Wellness results will enable doctors and staff to provide better care for patients in the hospital settings and aid pet parents to anticipate and prevent future health challenges. Management also believes that Igenity Canine Wellness will aid veterinarians to offer a genetic map to pet parents and enhance their quality of service as well as the dog’s life.
Industry Prospects Per a report by Market Data Forecast, the global animal genetics market was estimated to be $4.7 billion in 2020 and is projected to reach $7 billion by 2025 at a CAGR of approximately 8.5%. Factors like growing incidents of animal diseases and rising adoption of progressive genetic practices are likely to drive the market.
Given the market potential, the launch is expected to significantly boost NEOGEN's business on a global scale.
Recent Developments in Animal Safety
Of late, NEOGEN has been witnessing a slew of developments within its Animal Safety segment.
The company, in November, entered into a partnership with Transnetyx, Inc. to collaborate on distribution and advancement of the miniMUGA genotyping array (Mouse Universal Genotyping Array). The same month, NEOGEN launched a foaming antibacterial hand soap, COMPANION Foaming Antibacterial Hand Soap, which is highly effective against harmful bacteria and is skin friendly.
The company, in October, launched the Igenity Feeder, which is a DNA tool designed to assist cattle producers in the stocker and backgrounder phase to rank and manage feeder cattle according to their genetic potential for carcass traits.
Shares of the company have gained 16.5% in the past year compared with the
industry’s 0.3% rise and the S&P 500’s 15.1% growth. Zacks Rank & Key Picks
Currently, NEOGEN carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are
Hologic, Inc. ( HOLX Quick Quote HOLX - Free Report) , Thermo Fisher Scientific Inc. ( TMO Quick Quote TMO - Free Report) and ResMed Inc. ( RMD Quick Quote RMD - Free Report) .
Hologic’s long-term earnings growth rate is estimated at 17.4%. The company presently sports a Zacks Rank #1 (Strong Buy). You can see
the complete list of today’s Zacks #1 Rank stocks here.
Thermo Fisher’s long-term earnings growth rate is estimated at 18%. It currently carries a Zacks Rank #2 (Buy).
ResMed’s long-term earnings growth rate is estimated at 14.5%. The company presently carries a Zacks Rank #2.
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