Biogen, Inc. (BIIB, Financial)
Biogen stock had an incredible quarter and was up 24.24% due to the approval of their Alzheimer’s drug Aduhelm. This is the first new treatment approved for Alzheimer’s in nearly two decades. Alzheimer’s is the sixth leading cause of death in the US and affects more than 30 million people worldwide. Due to few treatment options for the disease, Biogen anticipates that Aduhelm will grow into a multibillion-dollar product over the next several years. Bernstein analysts estimate that Aduhelm could reach peak sales of $10 billion, which would lead to record levels of revenue for Biogen. Along with their work on Aduhelm, Biogen will continue to invest in other areas of need such as neurodegenerative diseases and retinal disorders. The company expects to invest $2.3 billion to $2.4 billion into research and development in 2021. Biogen is committed to returning capital to shareholders through share repurchases as they have $4 billion of authorized share repurchases remaining.
From Jeff Auxier (Trades, Portfolio)'s Auxier Asset Management summer 2021 market commentary.
