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Omnicell's Autonomous Pharmacy to Boost Medication Management
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Omnicell, Inc. (OMCL - Free Report) recently announced the rollout of its vision of the Autonomous Pharmacy to retail pharmacies during the National Association of Chain Drug Stores (NACDS) Total Store Expo at the Boston Convention Center (Aug 24-26). With this, the company will strengthen its foothold in the growing space of digital transformation of medication management and pharmacy care delivery.
The launch marks a major development for Omnicell’s medication management and supply chain solutions business.
Significance of Autonomous Pharmacy Vision
Currently, the pharmacy care delivery system is determined by outdated workflows and manual processes, with an annual expenditure outlay of $485 billion on medication management. The company, one of the major players in the provision of medication management solutions, is working toward digitally transforming the delivery system through the vision of a fully Autonomous Pharmacy.
Under this autonomous pharmacy concept, healthcare providers will be able to deliver improved quality and more efficient patient care. The retail pharmacists will be taking lesser time to process and refill prescriptions, thus having more time consulting with patients about their medication needs.
The company’s comprehensive portfolio of Medication Management offers increased visibility to medications, improved security, better adherence and an enhanced overall experience for both patients and doctors. The portfolio includes solutions like Omnicell Medication Synchronization and Omnicell MTM (Medication Therapy Management), to name a few.
Industry Prospects
Medication adherence is one of the biggest healthcare challenges in the United States. Currently, over 30 million Americans are taking five or more maintenance medications daily while half of these patients do not take them as prescribed leading to major failure in healthcare outcome.
Meanwhile, according to Omnicell, a recent clinical study comparing the use of adherence medication packaging and medication therapy management services demonstrated a clear improvement in clinical outcomes and adherence rates, with patients reaching a 90% adherence rate at the end of the study.
Per a report by Market Research Future, the global medication management market is expected to see a CAGR of 13.4% during the 2018 to 2023 period.
Given the current scenario, it can be said that the launch is well-timed and is expected to cater to an increasing market size.
Some Recent Developments
Of late, Omnicell has seen a slew of developments within its medication management business.
In July 2019 the company announced three major contract wins in this line. The North Carolina-based Atrium Health has selected Omnicell’s automation and intelligence solutions in pharmacy operations across their hospitals and infusion centers. Further, Northern Arizona Healthcare tied up with the company to use its automation and intelligence solutions to enhance efficiency, control, and safety of medication management at their leading hospitals, Flagstaff Medical Center and Verde Valley Medical Center.
This apart, Omnicell announced that Spartanburg Regional Healthcare System has selected the former’s solutions to support pharmacy services and medication management at the leading research and teaching hospital, Spartanburg Medical Center, as well as the newly acquired Mary Black campuses.
Share Price Performance
The stock has gained 15.8% in a year’s time, slightly below the industry’s rise of 17.9%. However, the stock has outpaced the S&P 500 index’s rally of 12.1%.
GW Pharmaceuticals, holding a Zacks Rank #1, estimates third-quarter earnings growth rate of 72.77%.
Zacks Ranked #2 (Buy) EssilorLuxottica’s long-term earnings growth rate is projected at 8.7%.
Haemonetics, holding a Zacks Rank #2, has a long-term earnings growth rate projection of 13.5%.
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This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
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Omnicell's Autonomous Pharmacy to Boost Medication Management
Omnicell, Inc. (OMCL - Free Report) recently announced the rollout of its vision of the Autonomous Pharmacy to retail pharmacies during the National Association of Chain Drug Stores (NACDS) Total Store Expo at the Boston Convention Center (Aug 24-26). With this, the company will strengthen its foothold in the growing space of digital transformation of medication management and pharmacy care delivery.
The launch marks a major development for Omnicell’s medication management and supply chain solutions business.
Significance of Autonomous Pharmacy Vision
Currently, the pharmacy care delivery system is determined by outdated workflows and manual processes, with an annual expenditure outlay of $485 billion on medication management. The company, one of the major players in the provision of medication management solutions, is working toward digitally transforming the delivery system through the vision of a fully Autonomous Pharmacy.
Under this autonomous pharmacy concept, healthcare providers will be able to deliver improved quality and more efficient patient care. The retail pharmacists will be taking lesser time to process and refill prescriptions, thus having more time consulting with patients about their medication needs.
The company’s comprehensive portfolio of Medication Management offers increased visibility to medications, improved security, better adherence and an enhanced overall experience for both patients and doctors. The portfolio includes solutions like Omnicell Medication Synchronization and Omnicell MTM (Medication Therapy Management), to name a few.
Industry Prospects
Medication adherence is one of the biggest healthcare challenges in the United States. Currently, over 30 million Americans are taking five or more maintenance medications daily while half of these patients do not take them as prescribed leading to major failure in healthcare outcome.
Meanwhile, according to Omnicell, a recent clinical study comparing the use of adherence medication packaging and medication therapy management services demonstrated a clear improvement in clinical outcomes and adherence rates, with patients reaching a 90% adherence rate at the end of the study.
Per a report by Market Research Future, the global medication management market is expected to see a CAGR of 13.4% during the 2018 to 2023 period.
Given the current scenario, it can be said that the launch is well-timed and is expected to cater to an increasing market size.
Some Recent Developments
Of late, Omnicell has seen a slew of developments within its medication management business.
In July 2019 the company announced three major contract wins in this line. The North Carolina-based Atrium Health has selected Omnicell’s automation and intelligence solutions in pharmacy operations across their hospitals and infusion centers. Further, Northern Arizona Healthcare tied up with the company to use its automation and intelligence solutions to enhance efficiency, control, and safety of medication management at their leading hospitals, Flagstaff Medical Center and Verde Valley Medical Center.
This apart, Omnicell announced that Spartanburg Regional Healthcare System has selected the former’s solutions to support pharmacy services and medication management at the leading research and teaching hospital, Spartanburg Medical Center, as well as the newly acquired Mary Black campuses.
Share Price Performance
The stock has gained 15.8% in a year’s time, slightly below the industry’s rise of 17.9%. However, the stock has outpaced the S&P 500 index’s rally of 12.1%.
Zacks Rank & Key Picks
Currently, Omnicell carries a Zacks Rank #3 (Hold). A few better-ranked stocks from the broader medical space are GW Pharmaceuticals PLC , EssilorLuxottica Societe anonyme (ESLOY - Free Report) and Haemonetics Corporation (HAE - Free Report) . You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
GW Pharmaceuticals, holding a Zacks Rank #1, estimates third-quarter earnings growth rate of 72.77%.
Zacks Ranked #2 (Buy) EssilorLuxottica’s long-term earnings growth rate is projected at 8.7%.
Haemonetics, holding a Zacks Rank #2, has a long-term earnings growth rate projection of 13.5%.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%.
This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
See their latest picks free >>