Merck & Co., Inc. (MRK), Pfizer Inc. (PFE): Does This Pipeline Promise Tomorrow’s Blockbuster Sales?

Page 1 of 2

Nearly every big pharma player has been hit with patent expirations that have hit hard on sales lately, and Merck & Co., Inc. (NYSE:MRK) is no exception. Merck & Co., Inc. (NYSE:MRK)’s one of the industry’s biggest giants, but the loss of patent protection on former top blockbuster drug Singulair and other leading medications has threatened this company’s future. While leading drugs such as Januvia are holding up Merck & Co., Inc. (NYSE:MRK)’s foundation, the company’s pipeline will make or break its long-term success.

Merck & Co., Inc.Just how strong is Merck & Co., Inc. (NYSE:MRK)’s pipeline? Let’s take a look at this firm’s portfolio of developmental drugs and see what investors should think of Merck & Co., Inc. (NYSE:MRK)’s potential.

No shortage of drug candidates
Merck & Co., Inc. (NYSE:MRK)’s pipeline isn’t lacking for quantity. The company currently has six drugs and indications under review for regulatory approval, with 15 more therapies undergoing phase 3 trials as of May 6. Those 21 drugs in total match up well with some of the top pipelines in the business. As a comparison, Pfizer Inc. (NYSE:PFE), whose pipeline I’ve singled out for praise in the past, currently has six drugs undergoing regulatory review and 16 therapies in phase 3 trials as of May 9. Pfizer Inc. (NYSE:PFE)’s future looks strong with its robust pipeline that boasts 74 total drugs in development, and at least in late-stage candidates, Merck looks strong as well, with another 23 therapies in phase 2 development.

However, it’s the quality, not the quantity, of the pipeline that matters.

Insomnia aid suvorexant and osteoporosis drug odanacatib remain two of Merck’s most promising drugs in its late-stage pipeline. Suvorexant’s on track for approval soon, particularly after a Food and Drug Administration panel gave a thumbs-up to the drug’s safety and efficacy in May. Still, don’t get too carried away with this drug’s potential. Suvorexant might not even hit blockbuster potential, as average analyst estimates peg its peak sales at just $650 million by 2018. That won’t be enough to replace the more thanthe $1.6 billion Singulair alone lost in 2012.

Analysts give more weight to odanacatib’s potential, but this drug has hit hurdles of its own recently. Merck earlier delayed its expected filing for odanacatib’s approval until 2014, and while peak sales estimates are optimistic — analysts say the drug could hit up to $3 billion in peak sales — investors will have to be patient with this therapy.

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 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

The Best Movie Sountracks Ever

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!