Myriad Genetics, Inc. (MYGN - Free Report) announced the publication of a new study in Future Medicine, which validates the accuracy of myPath Melanoma while classifying skin lesions termed as indeterminate by standard pathological review. Notably, the accuracy is associated with the gold standard endpoint of real-world clinical outcomes representing the myPath Melanoma test result’s accuracy. It is important to mention here that Melanoma, a deadly cancer, is expected to affect a significant portion of the American population this year, per the American Cancer Society.
For investors’ note, myPath Melanoma is a clinically validated test to be used as an adjunct to histopathology, when histopathology alone cannot accurately distinguish between a benign nevus (medical term for a mole) and a malignant melanoma.
With the recent favorable study outcome, Myriad Genetics aims to further strengthen its foothold in the global Molecular Diagnostic testing business.
Significance of the Study Outcome
Per the study, which evaluated 181 skin lesions, majority of the samples (125) were initially concluded to be indeterminate. The samples were linked to known real-world outcomes, with 43% of the samples representing malignant melanomas. Further, myPath Melanoma showed superior sensitivity and specificity while evaluating the samples.
Notably, the study outcome on myPath Melanoma is consistent with other clinical validation studies for the test demonstrating its ability to identify melanoma from benign skin lesions with high diagnostic accuracy.
Per a report by Grand View Research, the global molecular diagnostics market was valued at $9.2 billion in 2019 and is anticipated to reach $18.2 billion by 2027 at a CAGR of 9%. Factors like technological advancements in molecular diagnostics and the growing prevalence of infectious diseases are expected to propel the market.
Given the market potential, the favorable study outcome is likely to significantly boost the said business.
Recent Developments in Molecular Diagnostics
Of late, Myriad Genetics has been witnessing a slew of developments.
The company, in June, announced the receipt of favorable coverage decisions for Prolaris from three new commercial health plans, including one of the top five national health insurance providers.
Further, in the same month, the company announced the publication of a study in Psychiatry Research, which illustrated the superiority of the GeneSight Psychotropic test at predicting citalopram and escitalopram blood concentrations, unlike single-gene testing.
In the same month, the company announced the publication of a prospective study, which demonstrated that the EndoPredict test predicts which patients with ER+, HER2- early-stage breast cancer will benefit from the neoadjuvant therapy.
In May, the company received the FDA’s approval for its BRACAnalysis CDx test for use as a companion diagnostic by healthcare professionals to identify men with metastatic castration-resistant prostate cancer, who are eligible for treatment with Lynparza (olaparib).
Shares of the company have lost 26.3% in the past three months against the industry’s 18.6% growth and the S&P 500’s 14.4%.
Zacks Rank & Key Picks
Currently, Myriad Genetics carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Quest Diagnostics Incorporated (DGX - Free Report) , Hologic, Inc. (HOLX - Free Report) and QIAGEN N.V. (QGEN - Free Report) .
Quest Diagnostics’ long-term earnings growth rate is projected at 7.6%. It currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Hologic’s long-term earnings growth rate is estimated at 7%. The company presently has a Zacks Rank #2 (Buy).
QIAGEN’s long-term earnings growth rate is estimated at 12.2%. It currently sports a Zacks Rank #1.
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