Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Celgene Corporation (CELG): Still Revving Up With Revlimid

Page 1 of 2

What a roll Celgene Corporation (NASDAQ:CELG) has been on lately. The company has experienced success after success in recent months. Celgene’s strength stems from its solid current product lineup, as well as promising drugs in the pipeline.

To fully understand this big biotech’s potential, investors need to know how Celgene’s product portfolio is positioned for the future. That’s why we’re launching a new series that explores each of the company’s drugs. We begin by looking at Celgene’s work horse: Revlimid.

Celgene Corporation (NASDAQ:CELG)

Revlimid in review
Revlimid is approved in the U.S. and other countries for the treatment of multiple myeloma and myelodysplastic syndromes, or MDS. Both are bone marrow diseases that results in fewer red blood cells being produced.

The drug works in several ways. First, Revlimid helps boost the activity of special white blood cells that can kill cancer cells. Second, it suppresses the development of new blood vessels that feed cancer cells.Third, the drug stimulates production of red blood cells by the bone marrow.

Revlimid accounts for over two-thirds of Celgene’s revenue. No other drug in the company’s portfolio even comes close.

Source: Company 10Q.

With such a heavy dependence on one drug, is Celgene at risk? It would be if Revlimid’s sales were in jeopardy. However, the good news for the company is that sales for the drug continue to grow.

Source: Company 10K.

While the growth rate for Revlimid sales is slowing some, net sales for 2012 still were 17% higher than the previous year. Celgene continues to see strong sales for the drug both in the U.S. and internationally.

Revlimid currently stands as the market leader in the multiple myeoloma market. Rival drug Velcade from Johnson & Johnson (NYSE:JNJ) and Takeda has been on the market a little longer, but hasn’t been able to steal the top spot from Revlimid.

In 2012, the Food and Drug Administration approved Onyx Pharmaceuticals, Inc. (NASDAQ:ONXX)‘ Kyprolis. The newer drug could ultimately prove to be a threat for Revlimid. However, for now Kyprolis is only approved as a third-line treatment for patients who relapsed after taking Revlimid and Velcade.

Celgene could also face competition down the road from elotuzumab from AbbVie Inc (NYSE:ABBV) and Bristol Myers Squibb Co. (NYSE:BMY). The experimental multiple myeloma drug is currently in late-stage clinical trials.

Just revving up
Even with challengers, all signs point to Celgene just revving up with Revlimid. The U.S. patent for the drug doesn’t expire until 2027, with the European patent expiring in 2024. Celgene expects 2013 sales for Revlimid to rise 10% year-over-year to around $4.1 billion.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

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 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!