Becton, Dickinson and Company (BDX - Free Report) , popularly known as BD, has recently announced the commercial availability of the CE-IVD marked PAXgene Blood circulating cell-free DNA (ccfDNA) tube within the European Economic Area and Switzerland (Western Europe). The plastic tube, used for blood collection, was developed by PreAnalytiX GmbH, a joint venture between BD and Netherlands-based provider of Sample to Insight solutions, QIAGEN N.V. (QGEN - Free Report) .
Since 2016, a research use only (RUO) version of the PAXgene Blood ccfDNA tube has been marketed by PreAnalytiX. The expanded access of the product in Europe will further consolidate BD’s foothold in the molecular diagnostic testing space.+
Per management, this launch will also heighten the growth prospects of the companies in Western Europe, who offer ccfDNA based tests.
PAXgene at a Glance
The PAXgene Blood ccfDNA Tube provides a solution for clinical laboratories when the sample cannot be processed on the same day. It is used for the collection of whole blood samples and stabilization of ccfDNA. With PAXgene, samples can be stored in room temperature for up to 7 days. The stabilization is convenient for clinical laboratories as collection and processing occur days apart, unlike the standard EDTA (Ethylenediaminetetraacetic acid) tubes.
The tube includes a proprietary sample stabilization additive and the BD Vacutainer Hemogard technology to assure healthcare workers’ safety. It ascertains accurate and consistent results in molecular diagnostic testing applications, using the ccfDNA. It can be used for treating cancer and also reduces the potential for errors in non-invasive prenatal tests.
PreAnalytiX was jointly formed by Becton, Dickinson and QIAGEN with a view to develop, manufacture and sell integrated and standardized systems for sample collection, stabilization and purification of RNA and DNA from human blood or bone marrow. It offers a broad array of manual and automated products, in addition to serving healthcare institutions, academic researchers and clinical laboratories.
Gainful Market Prospects
Per a study by Markets and Markets, the global molecular diagnostics market is projected to reach $10.12 billion by 2021 from $6.54 billion in 2016, at a CAGR of 9.1%.
High prevalence of infectious diseases and various types of cancer are some of the major factors driving this market.
Thus, BD’s PAXgene has solid market prospects and we are optimistic of the launch to be perfectly strategic. The new development is also likely to secure a broader customer base in Europe.
Last year, Becton, Dickinson has outperformed the broader industry in terms of price. The stock has returned 20.8% against the industry’s rally of 11.6%.
Zacks Rank & Key Picks
Becton, Dickinson carries a Zacks Rank #2 (Buy).
Other top-ranked stocks in the broader medical space are Centene Corp. (CNC - Free Report) , and Haemonetics Corp. (HAE - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Centene has a projected positive long-term growth rate of 14.4%. In the last six months, the stock has returned 16.3%.
Haemonetics has an expected long-term growth rate of 10.8%. Last month, the stock has returned 4.9%.
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