• by bcarlson@marketresearch.com
  • May 19 2014


Pfizer-Astra Zeneca: No Surprise

Pfizer-Astra Zeneca: No Surprise

At this point, Pfizer’s bid for Astra Zeneca appears to be over, slowing at least a spree of consolidation in the pharmaceutical industry.   This is no surprise, according to our pharmaceutical analyst Melissa Elder.  Elder, the author of our Top 25 Pharmaceutical Companies report, felt Pfizer was downplaying the value of Astra Zeneca:

Astra is not in as  bad of shape as Pfizer is claiming.  Astra has a decent pipeline and several promising developments.  The company is focusing its efforts on the oncology segment and has recently gained new products in the diabetes segment.  I think this is a move that would help Pfizer in growth as we have mentioned Pfizer is expected to be nearly flat in our analysis in the Top 25.  In my opinion, I believe Astra will pull through the declines it has experienced the last couple years and begin to see growth once these new developments begin to see market entry.  Its interesting to note here that Astra has not reduced the percentage of research and development expenditures as a percent of revenues over the years.