1 / 16

Genentech (NYSE: DNA)

Genentech (NYSE: DNA) . Genentech, Inc. is a biotechnology company that uses human genetic information to discover, develop, manufacture and market human pharmaceuticals for significant unmet medical needs. What do they do?.

asher
Download Presentation

Genentech (NYSE: DNA)

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Genentech (NYSE: DNA) • Genentech, Inc. is a biotechnology company that uses human genetic information to discover, develop, manufacture and market human pharmaceuticals for significant unmet medical needs.

  2. What do they do? • The products include Herceptin, Rituxan, Activase, Protropin, Nutropin, Nutropin AQ, Nutropin Depot, Pulmozyme, and Actimmune. • The Company also receives worldwide royalties on seven additional licensed products that are marketed by other companies. Six of these products originated from its technology.

  3. And these drugs do what? • Herceptin is the first humanized monoclonal antibody for the treatment of HER2 overexpressing metastatic breast cancer and the second U.S. approval in this new class of monoclonal antibody biotherapeutic cancer drugs. • Rituxan was the first monoclonal antibody approved in the United States to treat cancer - CD20-positive B-cell non-Hodgkin's lymphoma, a cancer of the immune system.

  4. And these drugs do what? • Activase - Tissue plasminogen activator (t-PA) is an enzyme that is produced naturally by the body to dissolve blood clots. The Company produces Activase, a recombinant form of t-PA, in sufficient quantity for therapeutic use. • Protropin - The Company developed this recombinant growth hormone product, that was approved by the FDA in 1985 for marketing in the United States for the treatment of growth hormone inadequacy in children.

  5. Other Drugs from Genentech • Nutropin and Nutropin AQ(the liquid form) - also used for growth hormone failure in children associated with chronic renal insufficiency up to the time of renal transplantation and also short stature associated with Turner syndrome. • Pulmozyme - Pulmozyme is marketed in the United States for the management of cystic fibrosis. • Various other products in shared liscencing agreements and in development.

  6. A little history... • Genentech, Inc. was founded in 1976 by venture capitalist Robert A. Swanson and biochemist Dr. Herbert W. Boyer. In the early 1970s, Boyer and geneticist Stanley Cohen pioneered a new scientific field called recombinant DNA technology. Excited by the breakthrough, Swanson placed a call to Boyer and requested a meeting. Boyer agreed to give the young entrepreneur ten minutes of his time. Swanson’s enthusiasm for the technology and his faith in its commercial viability was contagious and the meeting extended from ten minutes to three hours: By its conclusion, Genentech was born.

  7. A little history… • 1977 - Genentech produced the first human protein (somatostatin) in a microorganism (E. coli bacteria). • 1978 - Human insulin cloned by Genentech scientists. • 1990 - Genentech and Roche Holding Ltd. of Basel, Switzerland completed a $2.1 billion merger • 1990 - Genentech’s Hepatitis B vaccine — licensed to SmithKline Beecham Biologicals S.A. — received FDA approval.

  8. And more recently… • 1999 - Genentech announced preliminary positive results from the Phase III asthma efficacy trials for anti-IgE. • 1999 - Genentech entered into an agreement with Inspire Pharmaceuticals, Inc. to develop treatments for respiratory disorders with significant unmet medical needs including cystic fibrosis and chronic bronchitis • 2000 - Genentech announced preliminary positive results from Phase II trials evaluating anti-VEGF in combination with chemotherapy in patients with advanced metastatic colorectal cancer and patients with advanced metastatic non-small cell lung cancer, as well as positive interim Phase II results of anti-VEGF as a single agent in patients with relapsed metastatic breast cancer. • Future - The number of possibilities for this company are endless.

  9. Company Profile • Revenues from 1999 - 1.42 billion, up 22% from 1.15 billion in 1998. • Sales from 1999 - 1.04 billion, up 45% from 1998. • Net income for 1999 - 247 million, up 36% from 1998 • Approximately 3900 employees, largely based in California.

  10. Financials... • DNA symbol…traded on the NYSE • .

  11. Current Info… • Trading today between 60 1/2 - 63 • 52-week Range : 42 1/4 - 122 1/2 • Avg Volume of 1,603,590 • Splits: 3-Nov-99 [2:1], 25-Oct-00 [2:1] • Mkt Cap - 32.148 Billion • Most Recent Quarterly Earnings per share are .16 • P/E Ratio - 100

  12. Earnings Growth • This Q This Year Next Year • Avg Earning Est .16 .60 .77 • # of Analysts 15 19 18 • EPS Growth 76.3% 29.4% 28.7%

  13. Comparative Info..

  14. Comparisons with Two Competitors

  15. Comparisons with BIG biotechs • DNA(32.2B) AMGN(64B) BGEN(8.8B) • Share Price 61.5 62 60 • 2000 EPS .60 1.07 1.93 • 2001 EPS .77 1.24 2.16 • P/E 2000 102.5 58 31 • P/E 2001 79.9 50 27.8 • 5 yr growth 24.9% 19.3% 18.9% • PEG 4.1 3 1.64

  16. More Valuation Comparisons

More Related