Yahoo Finance AstraZeneca (AZN) Plans to Generate $80B in Revenues by 2030
AstraZeneca AZN announced its long-term plan to generate $80 billion in total revenues by 2030, which is significantly higher than $43.8 million generated in 2023.
By 2030, AstraZeneca plans to launch 20 new medicines, which are also expected to be key contributors to the pipeline. AstraZeneca believes that many of these new medicines will have the potential to generate more than $5 billion in peak-year revenues. AstraZeneca will continue investing in disruptive innovation and transformative new technologies and platforms to discover novel medicines.
AstraZeneca has been quite successful with its new products and almost every new product it has launched in recent years has done well. AstraZeneca now has 12 blockbuster medicines in its portfolio, with sales exceeding $1 billion, including Tagrisso, Fasenra, Farxiga, Imfinzi, Lynparza, Soliris and Ultomiris. Some new products approved recently are Voydeya (danicopan) to treat extravascular hemolysis in adults with the rare disease paroxysmal nocturnal hemoglobinuria (PNH), Wainua/eplontersen for hereditary transthyretin-mediated amyloidosis, commonly referred to as ATTRv-PN and respiratory syncytial virus (“RSV”) antibody Beyfortus (in partnership with Sanofi [SNY]) to protect newborns and infants.
So far this year, the stock has risen 14.5% compared with the industry’s 15.3% rise.
Image Source: Zacks Investment Research
AstraZeneca said its oncology, biopharmaceuticals and rare disease drugs will be the key drivers of top-line growth. Oncology sales now comprise around 40% of AstraZeneca‘s total revenues. Its blockbuster oncology drugs, such as Tagrisso, Lynparza Imfinzi, Calquence and Enhertu (in partnership with Daiichi Sankyo) are doing consistently well. AstraZeneca is working on strengthening its oncology product portfolio through label expansions of existing products and progressing oncology pipeline candidates.
An important oncology candidate in AstraZeneca’s pipeline is datopotamab deruxtecan (Dato-DXd), which is under review in the United States for non-squamous non-small cell lung cancer (NSCLC) and HR+ HER2- breast cancer. Dato-DXd is an antibody drug conjugate or ADC being developed in partnership with Daiichi Sankyo. ADCs are being considered a disruptive innovation in the pharmaceutical industry as it will allow to better treat cancer by harnessing the targeting power of antibodies to deliver cytotoxic molecule drugs to tumors.
The July 2021 Alexion acquisition added blockbuster rare disease drugs, C5 inhibitors Soliris and Ultomiris, as well as a growing pipeline of candidates in rare diseases to AstraZeneca’s portfolio. The acquisition diversified AstraZeneca’s portfolio, marking its foray into rare diseases, an increasingly attractive field.
AstraZeneca also said it expects to generate a mid-30s percentage core operating margin by 2026 and beyond. In 2023, the core operating margin was 32%.
On Tuesday, Sanofi also announced a collaboration with artificial intelligence company OpenAI and Formation Bio to develop AI-powered software that will boost its drug development plans through the use of artificial intelligence.
Zacks Rank & Stocks to Consider
Currently, AstraZeneca has a Zacks Rank #3 (Hold).
AstraZeneca PLC Price and Consensus
AstraZeneca PLC price-consensus-chart | AstraZeneca PLC Quote
Some better-ranked stocks from the drug/biotech industry are Ligand Pharmaceuticals LGND and ANI Pharmaceuticals ANIP, both with a Zacks Rank #2 (Buy).
In the past 90 days, the Zacks Consensus Estimate for Ligand’s 2024 earnings per share has increased from $4.42 to $4.56. During the same time frame, the consensus estimate for Ligand’s 2025 earnings per share has increased from $5.11 to $5.27. Year to date, shares of LGND have gained 21.3%.
Ligand beat estimates in each of the trailing four quarters, delivering an average surprise of 56.02%.
In the past 90 days, estimates for ANI Pharmaceuticals’ 2024 earnings per share have risen from $4.12 to $4.44. During the same period, the consensus estimate for ANI Pharmaceuticals’ 2025 earnings per share has risen from $4.80 to $5.04. Year to date, shares of ANIP have climbed 12.0%.
ANI Pharmaceuticals beat estimates in each of the last four quarters, delivering an average earnings surprise of 53.90%.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Sanofi (SNY) : Free Stock Analysis Report
AstraZeneca PLC (AZN) : Free Stock Analysis Report
Ligand Pharmaceuticals Incorporated (LGND) : Free Stock Analysis Report
ANI Pharmaceuticals, Inc. (ANIP) : Free Stock Analysis Report
