SAN-FRA - Embedded Expectations Analysis - 2018 09 17
Sanofi (SAN:FRA) currently trades near recent averages relative to UAFRS-based (Uniform) Earnings, with a 16.2x Uniform P/E. At these levels, the market has bearish expectations for the firm, however, management is confident in their price limiting strategy and growth in emerging marketsSpecifically, management is confident that Kevzara will continue to capture
new-to-brand prescriptions in IL-6 subcu, and in their ability to improve access to Praluent for new patients. Moreover, they are confident that headwinds from the Lantus and Sevelamer LOEs have now peaked, and in their ability to drive growth in the diabetes segment in emerging markets. Additionally, they are confident in their strategy of limiting price increases, and in their positioning as an early adopter of this strategy in the market. Finally, they are confident in the efficacy of Dupixent, and that there is still significant unmet need for the product
Sanofi is an integrated, global healthcare company focused on patient needs and engaged in the research, development, manufacture and marketing of healthcare products. Two segments make up Co.'s business: Pharmaceuticals and Vaccines. The Pharmaceuticals segment covers research, development, production and marketing of medicines, consisting of flagship products, plus a broad range of prescription medicines, generic medicines, and consumer health products. The Vaccines segment includes research, development, production and marketing of vaccines in five areas: pediatric vaccines, influenza vaccines, adult and adolescent booster vaccines, meningitis vaccines, and travel and endemic vaccines.
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