Report
Dominic Rose ...
  • Naresh Chouhan

Calquence Set to be $5bn Drug

Calquence is the most underappreciated asset in EU Pharma and the ELEVATE-RR study (Calquence Vs Imbruvica in R/R CLL) is the biggest AZN catalyst, in our view. Having analysed all 3 available datasets including the WM data published at ASCO, we conclude that Calquence is far superior to Imbruvica (which consensus expects to sell ~$8bn). Moreover, we show that the CLL market is likely to be bigger than most expect. We increase our Calquence peak sales to $5bn & 2023 sales to $3bn. Calquence is now worth £6/share up from £2/share. BUY.
Underlyings
AbbVie Inc.

AbbVie is a research-based biopharmaceutical company. The company's products are focused on treating conditions such as chronic autoimmune diseases in rheumatology, gastroenterology and dermatology; oncology, including blood cancers; virology, including hepatitis C virus and human immunodeficiency virus; neurological disorders, such as Parkinson's disease; metabolic diseases, including thyroid disease and complications associated with cystic fibrosis; pain associated with endometriosis; as well as other serious health conditions. The company also has medicines in clinical development across immunology, oncology and neuroscience, with additional targeted investment in cystic fibrosis and women's health.

AstraZeneca PLC

AstraZeneca is a holding company. Through its subsidiaries, Co. operates as a biopharmaceutical company engaged in discovering, developing, manufacturing and commercializing its pipeline of small molecule and biologic prescription medicines, including targeted business development through collaboration, in-licensing and acquisitions. Co. is focused on three main therapy areas: Oncology, Cardiovascular and Metabolic Diseases, and Respiratory. Co. is also selectively active in autoimmunity, infection and neuroscience. In addition, Co. works across small molecules, oligonucleotides and other drug platforms, as well as biologic medicines.

Johnson & Johnson

Johnson & Johnson is a holding company engaged in the research and development, manufacture and sale of a range of products in the health care field. The company has three business segments: Consumer, which includes a range of products focused on personal healthcare used in the beauty, over-the-counter pharmaceutical, baby care, oral care, women's health and wound care markets; Pharmaceutical, which is focused on six therapeutic areas: immunology, infectious diseases, neuroscience, oncology, cardiovascular and metabolism and pulmonary hypertension; and Medical Devices, which includes products used in the orthopaedic, surgery, interventional solutions, and eye health fields.

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New Street Research
New Street Research

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Analysts
Dominic Rose

Naresh Chouhan

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