Yahoo Finance Baxter's (BAX) New Premix Drug Now Available in the U.S.
Baxter International Inc. BAX recently announced the U.S. launch of ZOSYN (piperacillin and tazobactam) Injection. Zosyn premix, indicated for treating multiple infections caused by susceptible bacteria, is available in Baxter’s proprietary single-dose Galaxy containers (a non-PVC and non-DEHP system that enables premixed medications to have a longer shelf life).
Baxter will be selling Zosyn premix in 2.25 g in 50 mL, 3.375 g in 50 mL and 4.5 g in 100 mL presentations.
The latest launch is expected to significantly boost Baxter’s portfolio of anti-infective medications under the Pharmaceuticals, solidifying its foothold in the niche space across the nation.
Significance of the Launch
The use of premixes (ready-to-use formats of standard doses of commonly prescribed drugs) is expected to offer operational efficiencies for healthcare providers. Compounding a drug for patient use is a multi-step, manual process that requires oversight by pharmacy staff.
A ready-to-use product like Zosyn premix can simplify the preparation process and aid in improving patient safety by reducing the chances of contamination and avoiding potential dosing errors that may occur when medications are compounded.
Per management, the provision of an additional frozen premix option will likely aid in supporting patient safety and offer added convenience for healthcare providers.
Industry Prospects
Per a report by Data Bridge Market Research, the global market for anti-infective drugs was estimated to be $135 billion in 2022 and is anticipated to reach $184.7 billion by 2030 at a CAGR of approximately 4%. Factors like increasing awareness about infectious diseases and growing demand for oral drugs are expected to drive the market.
Given the market potential, the latest launch is likely to provide a significant boost to Baxter’s business on a national scale.
Notable Developments
In February, Baxter announced its fourth-quarter 2022 results, wherein it registered a robust uptick in year-over-year revenues on a reported, constant currency and operational basis (excluding the impacts of foreign exchange and the December 2021 acquisition of Hill-Rom). The company also registered solid growth in its U.S. sales on a reported basis. International sales were also strong on a constant currency and operational basis.
The same month, Baxter announced a collaborative research agreement with Miromatrix Medical Inc. to help support additional treatment options for patients with acute liver failure in need of organ support therapies.
Price Performance
Shares of Baxter have lost 46.3% in the past year compared with the industry’s 37.7% decline and the S&P 500's 7.5% fall.
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Zacks Rank & Stocks to Consider
Currently, Baxter carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks in the broader medical space are Hologic, Inc. HOLX, Henry Schein, Inc. HSIC and Masimo Corporation MASI.
Hologic, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 15.2%. HOLX’s earnings surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average beat being 30.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Hologic has gained 8.3% against the industry’s 14.9% decline in the past year.
Henry Schein, sporting a Zacks Rank #1 at present, has an estimated long-term growth rate of 8.1%. HSIC’s earnings surpassed estimates in three of the trailing four quarters and matched the same in the other, the average beat being 2.9%.
Henry Schein has lost 6.1% compared with the industry’s 4.5% decline over the past year.
Masimo, flaunting a Zacks Rank #1 at present, has an estimated growth rate of 3.5% for 2023. MASI’s earnings surpassed estimates in all the trailing four quarters, the average beat being 9%.
Masimo has gained 33.7% against the industry’s 14.9% decline over the past year.
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Baxter International Inc. (BAX) : Free Stock Analysis Report
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