NASH a Big Opportunity For Gilead Sciences, Inc. (GILD)

After being a dominant player in the hepatitis C market with its drug Sovaldi, Gilead Sciences, Inc. (NASDAQ:GILD) is now eyeing to monetize from the next global epidemic, NASH, or nonalcoholic steatohepatitis. NASH is a modern day progressive liver-disease, stemming from obesity with no medication available so far. The disease is a bonanza to pharmaceutical companies like Gilead Sciences, Inc. (NASDAQ:GILD), as it is estimated that treatment costs for NASH could soar by as much as $40 billion over the next decade. A CNBC report throws light on how the disease could translate into big money to the pharmaceuticals along with the inputs from Deutsche Bank’s analyst, Alethia Young.

Gilead Sciences, Inc. (NASDAQ:GILD)

As drugmakers see the NASH affected cases to grow significantly in the upcoming years, Young cited: “At least, probably six million or six and a half million people with advanced NASH, meaning they have scarring or hardening of their liver. Conservatively, here in the U.S., then in Europe and the big five nations, it’s about the same. So, it’s about 12-13 million people.”

Those numbers are only an estimate of the people at advanced levels, therefore, if cases of preliminary or early stages are taken in account, then the patients are 30 million alone in the U.S. Thus, the market could be between $35 to $40 billion by 2020-2025.

Ahead of the potential market, three of the companies, Gilead Sciences, Inc. (NASDAQ:GILD), Intercept Pharmaceuticals Inc (NASDAQ:ICPT) and France-based Genfit are in the race to develop the first Nash drug. The results of the ongoing studies in this direction will begin to unfold by the end of the year. But Young estimates that there is a need to wait for another couple of years in order to get satisfactory data about the safety and efficacy of the drugs as she sees the drugs hit the shelves only towards the year 2020. As of now, Intercept Pharmaceuticals Inc (NASDAQ:ICPT) is the only company to provide positive data from its drug OCA (Obeticholic acid), after which its stocks have tripled in value. Analysts say that if companies add further positive results than their shares could double, but any negative data could mean a straight cut to half.

Disclosure: none

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

Top 6 Cities For The Ultra Rich to Live in Comfort

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

The 15 Most Common Phobias in America that Induce Fits of Panic

Top 6 Least Expensive Tourist Destinations in 2014

Jim Goetz, Peter Fenton, Jim Breyer: Top 6 Venture Investors for 2014

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 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!