5 Can’t-Miss Health-Care Events This Week: Zogenix, Inc. (ZGNX), Ariad Pharmaceuticals, Inc. (ARIA)

Page 1 of 2

Normally we have a nice blend of health-care events to take notice of each week. This week I’m steering you squarely toward the biotechnology sector, which has two big FDA decisions due, as well as earnings reports from three highly followed biotechs.

Beginning with the FDA decisions, Onyx Pharmaceuticals, Inc. (NASDAQ:ONXX), which reported much better-than-expected earnings results last week, is slated to receive a decision on Stivarga by Feb. 28. Stivarga, which is being developed with Bayer and is designed to treat gastrointestinal stromal tumors, was approved by the FDA in late September as a secondary treatment for metastatic colorectal cancer. The drug looks to be in line to gain an addition indication given that, in phase 3 trials, it produced a progression-free survival of 4.8 months, as compared with just 0.9 months for the control arm. Onyx has been on a tear lately, and an approval would just be icing on the cake.

Zogenix, Inc. (NASDAQ:ZGNX)On the flipside, Zogenix, Inc. (NASDAQ:ZGNX) is expected to go before the firing squad on March 1, for Zohydro ER, its moderate to chronic pain management drug. The all-oral drug, which is safer for the liver since it uses hydrocodone without acetaminophen, excelled in late-stage trials, but was knocked off the ladder by the FDA’s panel in December, falling more than 50%. The panel voted 11-2, with one abstention, against recommending Zohydro ER for approval primarily because of its abuse potential. Although the FDA isn’t required to follow the recommendation of its panel, I’d be shocked if Zohydro ER was approved on Friday.

In the earnings column, Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA) is scheduled to report on Monday. While the current quarter isn’t expected to hold any major surprises, investors will be waiting on the edge of their seats for Ariad’s 2013 revenue guidance. Iclusig, Ariad’s drug developed to treat two rare forms of leukemia, was approved in December, and sales estimates from analysts have been all over the place, considering the black box warning placed on the drug. Keep a close eye on Ariad’s 2013 revenue figures, as it’ll give us a better idea of how quickly it expects sales to ramp up.

The highly embattled Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) is up to bat on Tuesday and is expected to deliver sales growth of roughly 89% and EPS of $1, more than double what it reported last year. There’s little question Questcor’s been raking in profits, given the 19 current indications for its Acthar Gel; however, the company also faces the ongoing overhang of a U.S. government probe into its marketing activities. As we saw with ABIOMED, Inc. (NASDAQ:ABMD), sometimes these probes end favorably with no penalties assessed; and sometimes they end with a whopper of a penalty, as Johnson & Johnson (NYSE:JNJ) found out when it paid $2.2 billion in settlements last year. Clearly, Quesctor’s bottom-line numbers matter, but I’d almost prefer to hear more about what’s going on with the investigation.

Page 1 of 2

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!