3 Takeaways From Large-Cap Pharma Earnings
We see some opportunity for investment, especially in Merck.
Damien Conover: The majority of the large-cap pharmaceutical stocks have reported 2019 results. And the results are largely as we anticipated. However, I think there's a few really important takeaways from this recent earning season.
First off, drugs that are innovative, targeting areas of unmet medical need, are really driving growth. This is different than a decade ago when the pharmaceutical firms were really targeting drugs that had me-too indication, slight improvements. That's different. With a lot of new pipeline drugs coming out of the early stages of development and into the market, we're really starting to see a lot of growth in drugs that target areas like oncology and immunology. So growth is really starting to improve.
Damien Conover does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.
Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.
We’d like to share more about how we work and what drives our day-to-day business.
We sell different types of products and services to both investment professionals and individual investors. These products and services are usually sold through license agreements or subscriptions. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters.
How we use your information depends on the product and service that you use and your relationship with us. We may use it to:
To learn more about how we handle and protect your data, visit our privacy center.
Maintaining independence and editorial freedom is essential to our mission of empowering investor success. We provide a platform for our authors to report on investments fairly, accurately, and from the investor’s point of view. We also respect individual opinions––they represent the unvarnished thinking of our people and exacting analysis of our research processes. Our authors can publish views that we may or may not agree with, but they show their work, distinguish facts from opinions, and make sure their analysis is clear and in no way misleading or deceptive.
To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research.
Read our editorial policy to learn more about our process.