Yahoo Finance West Pharmaceutical's (WST) Syringe System to Improve Outcome
West Pharmaceutical Services, Inc. WST recently announced its plans to introduce its new Daikyo Crystal Zenith (“CZ”) 2.25mL Insert Needle Syringe System at the currently ongoing BIO International Convention. The 2.25mL CZ Insert Needle Syringe System is an expansion upon the 1mL Insert Needle Syringe System being offered currently.
It is worth mentioning that West Pharmaceutical has collaborated with Daikyo in an exclusive distributor arrangement to offer the CZ Insert Needle Syringe Systems syringe on a global scale.
The latest announcement is expected to significantly solidify West Pharmaceutical’s foothold in the global Biologics market space as well as boost its Proprietary Products business worldwide.
Significance of the Launch
Daikyo CZ is a technologically advanced cyclic olefin polymer containment and delivery system that is an alternative to glass. This will likely mitigate the risk of breakage and reduce the chance of particulates, contamination and extractables.
Further, the new 2.25mL syringe system, which was only available in sizes up to 1mL, enables larger volume injections. With growing market traction for larger dose injections, the new CZ syringe system size is expected to aid pharmaceutical companies in providing access to their product in a safe and user-centric model.
Per management, a larger fill volume in the high-quality CZ Insert Needle Syringe System is expected to meet the needs of more patients with a safe and trustworthy containment solution. Apart from this, the 2.25mL Insert Needle Syringe System will likely lead to fewer or less frequent injections, thereby enabling a simpler patient experience.
Industry Prospects
Per a report by Research and Markets, the global syringe market size is anticipated to reach $9.123 billion in 2026 from $6.783 billion in 2019, at a CAGR of approximately 4.3%. Factors like rising patient pool requiring injecting drugs, growing need for withdrawal of fluids for diagnostic purposes and increasing awareness regarding various vaccinations are likely to drive the market.
Given the market potential, the latest announcement is expected to significantly strengthen West Pharmaceutical’s business worldwide.
Another Notable Development
In April, West Pharmaceutical announced its first-quarter 2022 financial results, wherein it reported robust overall revenues and solid sales at its Proprietary Products segment. High-value products (components and devices) generated double-digit organic sales growth, led by customer demand for NovaPure and Westar components. The Biologics, Pharma and Generics market units also reported solid organic sales growth in the reported quarter.
Price Performance
The stock has lost 17.7% over the past year compared with the industry’s 12.8% fall and the S&P 500's 10.9% decline.
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Zacks Rank & Key Picks
Currently, West Pharmaceutical carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are AMN Healthcare Services, Inc. AMN, Omnicell, Inc. OMCL and Masimo Corporation MASI.
AMN Healthcare, sporting a Zacks Rank #1 (Strong Buy) at present, has an estimated long-term growth rate of 1.1%. AMN’s earnings surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average beat being 15.6%.
You can see the complete list of today’s Zacks #1 Rank stocks here.
AMN Healthcare has gained 8.5% against the industry’s 53.5% fall in the past year.
Omnicell, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 20%. OMCL’s earnings surpassed estimates in three of the trailing four quarters and missed the same in the other, the average beat being 13.4%.
Omnicell has lost 22.2% compared with the industry’s 60.1% fall over the past year.
Masimo, carrying a Zacks Rank #2 at present, has an earnings yield of 3.6% against the industry’s negative yield. MASI’s earnings surpassed estimates in the trailing four quarters, the average beat being 4.4%.
Masimo has lost 44.9% compared with the industry’s 30.6% fall over the past year.
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