Myriad Notches Gains with Cancer-Detection Tests
Posted on Wednesday, May 21, 2014
Companies operating in the health-care testing field have faced various challenges recently, including pricing pressures owing to reimbursement cuts and changes surrounding the Affordable Care Act. One company that so far has been relatively unaffected on the financial front is Myriad Genetics Inc. (MYGN), a leader in genetics testing, which continues to see healthy growth.
Myriad markets 12 genetic tests that detect predispositions for various cancers and conditions, helping to profile genetic differences between individuals and enable doctors to tailor drug treatment to achieve higher success rates.
Myriad’s lead product right now is BRACAnalysis, a test that helps predict hereditary breast and ovarian cancer. This product alone constituted 75% of the company’s fiscal 2013 sales of $613 million. Each one of these tests particular tests costs more than $3,000 and reimbursement is available through major U.S. health insurance providers and Medicare.
Long-term success for Myriad will depend on its ability to introduce new tests with broad application. Investor Advisory Service’s detailed analysis provides deeper insight into the company’s prospects. Click here to subscribe to IAS.