Dallas, Texas 11/08/2013 (Financialstrend) – The S&P 500 index tracked biotech firm Celgene Corporation (NASDAQ:CELG) has been gaining from strength to strength. In the past 12 months, the price of this $59.57 billion drug behemoth has recorded a whooping 95% appreciation in its market value. It has managed to remain a darling of rating agencies and trade houses. This is reflected in the strong reiterations and upgrades the stock has attracted in the past 20 days. Not just the rating, the aggressive price points that these analysts have predicted for this drug maker is indicative of the market bullishness around this stock.
The drug makers October 26 announcement of solid and encouraging results from clinical trial of its target drug for arthritis has added more fuel to the already raging market interest in the stock. The company has been quoted to have indicated that arthritis patients who have been administered this oral drug “apremilast” have shown positive recovery symptoms during recent clinical trials. This particular clinical trial lasted through a 12 month period and data gathered by the drug firm has confirmed that the symptoms were significantly reduced with the long term usage of the drug.
The drug maker is hung ho about the findings and is all set to release the corroborative data for peer review at the American College of Rheumatology conference in San Diego this week. The biotech firm is highly hopeful of getting green lighted by FDA and expects the oral drug to give a big fight to establish injection based remedies for arthritis.
While Celgene has made aggressive revenue forecast from the sale of this yet to be approved drug with insiders claiming the drug to have potential to bring in more than $1.5 billion in revenue each year from sales across the globe, independent analysts have been more sanguine. Their estimations range around the $1 billion on the extreme to a more conservative $0.47 billion annually.