That’s a patient population Celgene should be able to take advantage of if CC-486 comes through: The company’s drug Vidaza, which sold more than $800 million last year, is already recommended for use in treating high-risk MDS. Considering that Vidaza already lost patent protection back in 2011, a successful CC-486 would provide a buffer against any lost sales due to generic competition that could sprout up.
Unfortunately, not everything’s so optimistic in the pipeline. Oral psoriasis treatment Apremilast looks well on its way to FDA approval, but the drug’s phase 3 trial results didn’t show the gains over phase 2 data that analysts were hoping for. As a result, while Celgene Corporation (NASDAQ:CELG) likely can count on some revenue from Apremilast — the drug’s safe with little risk of serious side effects and still proved far more effective than placebos in studies — the blockbuster hopes for the drug may be tough to reach. Don’t give up on Apremilast, but don’t pin all your hopes for Celgene’s future on the drug, either.
Celgene’s drugs in earlier-stage trials aren’t anywhere near ready to excite investors yet, but they’re worth keeping an eye on. Anemia candidate Sotatercept, currently in phase 2 studies, could help diversify Celgene’s sales in a big way: While the drug’s in different studies for various types of the ailment, such as renal anemia and cancer-induced anemia, the overall market for anemia drugs generated more than $10 billion worldwide in 2011. Even just a slice of that revenue would greatly help solidify Celgene’s future growth.
Other drugs include CC-11050, an investigational candidate for treating lupus. These mid- to late-stage drug therapies aren’t known quantities by any means, but if Celgene can bring in regulatory approvals in the near future, the company will be well on its way to diversifying away from multiple myeloma treatments enough to build up a broad portfolio of drugs across numerous treatment areas.
A future to believe in
Celgene Corporation (NASDAQ:CELG)’s pipeline isn’t enough to make anyone forget Revlimid any time soon, but why should they, when the drug has patent protection until 2024 in the EU and 2027 in the U.S.? The company has plenty of time to build up its pipeline, and while the cupboard’s only partially full right now, Celgene shareholders shouldn’t fret about this company’s long-term future. Between already-approved drugs such as Pomalyst to developmental candidates still working their way towards FDA filing and approval, Celgene’s future is in good hands.
The article Is Celgene’s Pipeline a Fit for Your Portfolio? originally appeared on Fool.com.
Fool contributor Dan Carroll has no position in any stocks mentioned. The Motley Fool recommends Johnson & Johnson. The Motley Fool owns shares of Johnson & Johnson.
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