Back to top

Image: Bigstock

QIAGEN Strengthens Cancer Research Foothold on New License

Read MoreHide Full Article

QIAGEN N.V. (QGEN - Free Report) , a molecular diagnostic company has recently got a scope to broaden its range of biomarker content. The company has received a worldwide license for biomarkers to be used in identifying patients who may have benefitted from immune-oncology (I-O) therapies in cancer treatment.

Issued by The Johns Hopkins University, this license allows genetic biomarkers to assess microsatellite instability (MSI) and mismatch repair (MMR) in all sample and cell types. This will also allow QIAGEN to commercialize molecular testing solutions using next-generation sequencing (NGS) to assess MSI and MMR status, subject to certain conditions.

Both MSI and MMR levels along with tumor mutation burden (TMB) play pivotal roles in detecting cancer patients, who might benefit from certain types of I-O therapies. These therapies offer a way to treat cancer using drugs that help the body’s immune system fight the disease. Whereas, Biomarkers identify cancer with specific genetic features.

This agreement with the Johns Hopkins University is well-timed as according to the company, it was inked prior to last month’s FDA approval for an I-O therapy to treat advanced solid tumors with MSI and MMR deficiencies. This marks FDA’s first approval on a cancer treatment based on a common biomarker rather than the location in the body where the tumor has originated.

Focus on I-O Market

Taking the growing importance of immune-oncology (I-O) therapies into consideration, QIAGEN has made a significant advancement in cancer research field through use of the revolutionary NGS technology.

The company recently collaborated with global biopharmaceutical company Bristol-Myers Squibb (BMY), for utilization of NGS technology to develop gene expression profiles (GEPs). Here, NGS will be used as predictive or analytical tools to align with Bristol-Myers Squibb’s I-O therapies in cancer treatment.

Market Prospects

In view of the ever expanding market of NGS, the above developments by QIAGEN appear perfectly strategic. Per Markets and Markets, the global next-generation sequencing market is projected to reach a worth $12.45 billion by 2022, at a CAGR of 20.5% in the forecast period (2017–2022).

Also, the global cancer immunotherapy market is likely to reach $119.39 billion by 2021 from $61.9 billion in 2016, at a CAGR of 14.0% from 2016-2021. 

Price Performance

Over past three months, Qiagen has been trading above the Zacks categorized Medical - Biomedical and Geneticsindustry. The stock gained 16.1% in the period compared to broader industry’s 6% loss.

Zacks Rank & Key Picks

QIAGEN carries a Zacks Rank #3 (Hold). Few better-ranked medical stocks are Align Technology, Inc. (ALGN - Free Report) , Inogen, Inc. (INGN - Free Report) and Accelerate Diagnostics, Inc. (AXDX - Free Report) . Align Technology and Inogen sport a Zacks Rank #1 (Strong Buy), while Accelerate Diagnostics holds a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Align Technology has an expected long-term adjusted earnings growth of almost 22.8%. The stock roughly added 45.7% over the last three months.

Inogen has a long-term expected earnings growth rate of 17.5%. The stock has solid one-year return of around 79.7%.

Accelerate Diagnostics has expected long-term adjusted earnings growth of 30%. The stock has added 14% roughly over last three months.

Looking for Stocks with Skyrocketing Upside?

 Zacks has just released a Special Report on the booming investment opportunities of legal marijuana. Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look. See the pot trades we're targeting>>

Published in