Navigation Links
The Zacks Analyst Blog Highlights: Pfizer, Bristol - Myers Squibb, Eli Lilly, Forest Laboratories and Abbott Laboratories

CHICAGO, Dec. 8, 2011 /PRNewswire/ -- announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Pfizer (NYSE: PFE), Bristol - Myers Squibb (NYSE: BMY), Eli Lilly (NYSE: LLY), Forest Laboratories (NYSE: FRX) and Abbott Laboratories (NYSE: ABT).


Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter:

Here are highlights from Wednesday's Analyst Blog:

Emerging Markets: The Way Forward

According to Irish orator, philosopher, & politician Edmund Burke, change is the most powerful law of nature. The winds of change seem to be sweeping across the pharmaceutical industry as well.

Until recently, most commercialization efforts were focused on the U.S. -- the largest pharmaceutical market -- along with Europe and Japan. However, with factors like pricing pressure in the European Union (EU) and intensifying generic competition affecting sales in large pharmaceutical markets, many leading players in the pharmaceutical space such as Pfizer (NYSE: PFE), Bristol - Myers Squibb (NYSE: BMY) and Eli Lilly (NYSE: LLY) have shifted their focus on emerging ("pharmerging") markets.

The key emerging markets targeted by big players in the pharmaceutical space (aka "Big Pharma") include China, Russia, Brazil, Mexico, Turkey, Korea and India.

Emerging markets represent significant commercial potential thanks to increased demand for medicines. Factors like increases in chronic diseases, population growth, government initiatives for healthcare, increasing use of generics and increasing prosperity are expected to drive growth in emerging markets.

The US and European markets are turning out to be relatively less attractive due to the impact of the health care legislation in the former and austerity measures in the latter.

According to data provided by the IMS Institute, spending on medicines in emerging markets will double to $285-$315 billion in the next five years from $151 billion in 2010, driven by strong economic growth coupled with endeavors of governments to expand access to healthcare. This will catapult "pharmerging" markets to the second position by 2015 in terms of spending on medicines.

Generic Threat? Emerging Markets to the Rescue

Since most of the Big Pharma players are likely to suffer significant losses in revenues following the genericization of key products, they are banking on growth in emerging markets to mitigate their losses.

With blockbuster drugs such as Pfizer's Lipitor (anti-cholesterol) and Eli Lilly's Zyprexa (schizophrenia and bipolar disorder) already off-patent in the US and other blockbuster drugs such as Bristol-Myers/Sanofi's blood thinner Plavix, Forest Laboratories' (NYSE: FRX) Lexapro (anti-depressant) expected to follow suit shortly, sales of branded drugs in the US and EU are likely to suffer significantly in the coming years. Consequently, growth in emerging markets could help stabilize the core business during the industry's patent cliff in the 2010-15 period.

M&A Activity: Emerging Markets in Focus

With sales in the once dominant markets (US and EU) being impacted by the headwinds mentioned above, many leading players in the pharma space are increasing their exposure to emerging markets through mergers and acquisitions (M&A). By doing so, the companies are gaining access to low-cost manufacturing. Moreover, the Chinese, Indian, Brazilian, Eastern European and Russian markets are growing faster than the more mature US and European ones.

For example, pharma giant Abbott Laboratories (NYSE: ABT) is leaving no stone unturned to expand its overall presence in emerging markets. Through the 2010 acquisitions of the pharmaceutical business Solvay Pharma (which has a strong presence in emerging markets) and Piramal Healthcare Solutions coupled with the licensing agreement with Zydus Cadila, Abbott has taken concrete steps to expand its presence in several highly populated, fast-growing emerging markets.


In view of the above facts, we can safely say that the future of the pharmaceutical business is tied to emerging markets. In the face of increasing generic competition and other headwinds, the big names in the pharmaceutical world are turning to emerging markets to sustain growth and profitability.

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter:

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today:

About Zacks is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at

Visit for information about the performance numbers displayed in this press release.

Follow us on Twitter:

Join us on Facebook:

Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.

Media Contact
Zacks Investment Research
800-767-3771 ext. 9339

SOURCE Zacks Investment Research, Inc.
Copyright©2010 PR Newswire.
All rights reserved

Related medicine technology :

1. Zacks Rates CardioGenics Outperform With Six-Month Target of $1.22
2. Zacks Investment Research Initiates Coverage on Viral Genetics
3. Zacks Industry Outlook Highlights: Vertex Pharma, AstraZeneca, Abbott Labs, Allergan and Onyx Pharmaceuticals
4. Exelixis Announces September 5 Webcast of Its 2007 IASLC Investor and Analyst Briefing
5. EntreMed to Present at The New York Society of Security Analysts Industry Conference
6. Dendreon Reports PROVENGE Regulatory and Commercialization Progress and Future Pipeline Plans at Analyst Event
7. Cadence Pharmaceuticals to Webcast October 7th Analyst Day
8. Cord Blood America Details Las Vegas Laboratory Progress in Analyst Interview
9. Reportlinker Adds Pharma 101: An Overview of the Life Sciences Industry (Analyst Insight)
10. Stryker to Host Analyst Meeting
11. Par Pharmaceutical to Host Analyst Day on December 3rd
Post Your Comments:
(Date:11/24/2015)... Inc. (Pink Sheets: ASDS ) ("Ascendant" or the "Company") ... special 1 percent stock dividend on the company,s common stock ... shareholders of record December 7, 2015.  The dividend will be ... --> --> "This ... confidence in Ascendant,s growth strategy as well as the underlying ...
(Date:11/24/2015)... 2015 st  Scientific Assembly and Annual Meeting ... (RSNA) taking place in Chicago on Nov-29 ... --> st  Scientific Assembly and Annual Meeting of the ... place in Chicago on Nov-29 th ... Molecular Dynamics will present its revolutionary whole body CZT digital ...
(Date:11/24/2015)... LONDON , November 24, 2015 ... PCSK9 Inhibitors, CETP Inhibitors, MTTP Inhibitors, ApoB Inhibitors and ... areas are going to grow at the fastest rates? ... to 2025, assessing data, trends, opportunities and prospects there. ... graphs. Discover the most lucrative areas in the industry ...
Breaking Medicine Technology:
(Date:11/25/2015)... ... November 25, 2015 , ... ... philanthropic seniors, is resulting in a way for homeless people to have a ... have launched a new initiative whereby they are repurposing plastic bags into sleeping ...
(Date:11/25/2015)... ... 2015 , ... Many people know of the common symptoms of low thyroid ... skin. But many people who find their cholesterol levels and weight are creeping up ... especially if they don’t have any of the other symptoms. , Thyroid hormone plays ...
(Date:11/25/2015)... (PRWEB) , ... November 25, 2015 , ... ... for Tuberous Sclerosis Complex (TSC), as well as raising public awareness of the ... they need it—presented a third donation of $35,000 to bolster progress at the ...
(Date:11/25/2015)... ... November 25, 2015 , ... Since its launch in ... involving adult stem cell therapies to patients with chronic degenerative medical conditions. Now, ... a Registered Trademark (RTM). , Organizations are required to hold a registered trademark ...
(Date:11/25/2015)... ... November 25, 2015 , ... Students and parents have something to ... of the Create Real Impact awards. California Casualty is proud to support ... tide of distracted and reckless driving, the number one killer of young drivers. ...
Breaking Medicine News(10 mins):