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Cholesterol Drug Battle: Niaspan vs. Zetia 16 Nov 2009
Abbott Laboratories' Niaspan beat Merck's Zetia in a new study. CNBC's Mike Huckman has the details.

Cardiologist Grades Cholesterol Drug Study

16 Nov 2009

Abbott Laboratories' Niaspan beat Merck's Zetia in a new study. Dr. Steven Nissen, chairman of the Department of Cardiovascular Medicine at The Cleveland Clinic, shares his reaction with CNBC's Mike Huckman.

Merck's Cholesterol Drugs Under Pressure

16 Nov 2009

A new study is putting Merck's cholesterol drugs under pressure today, reports CNBC's Mike Huckman, with Ken Frazier, Merck Global Human Health president.

Cholesterol Drug Battle: Merck vs. Abbott Labs

16 Nov 2009

Abbott Laboratories' Niaspan beat Merck's Zetia in a new study. Barbara Ryan, pharma analyst at Deutsche Bank Securities, shares her reaction.

Cholesterol Drug Battle 16 Nov 2009
Abbott Laboratories' Niaspan beat Merck's Zetia in a new study. CNBC's Mike Huckman has the details.

Novo Nordisk CEO on Diabetes Epidemic

13 Nov 2009

Diabetes is a global epidemic that presents an estimated $25 billion drug and device market and some predict that number could double over the next several years. Lars Sorensen, CEO of Novo Nordisk, the world's largest diabetes care company, talks to CNBC's Mike Huckman.

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Dec.04

11:24 AM ET

Thursday, 4 Dec 2008

Is Merck A Drug Bellwether?

Posted By:Mike Huckman

Topics:Stock Market | Medicine | Corporate News | CEOs and CFOs | Pharmaceuticals

Sectors:Insurance | Health Care | Pharmaceuticals

Companies:Eli Lilly and Company | Merck & Co Inc

AP
Earlier this week UBS pharmaceutical analyst Roopesh Patel put out a big 2009 sector outlook research note claiming, "So far, the global economic slowdown has had no noticeable impact — a) U.S. weekly and monthly U.S. prescription trends are stable; b) there also is no meaningfully cautionary commentary from any of the companies...."

Well, he might have spoken too soon.

After putting out its disappointing 2009 earnings guidance, Merck Chairman and CEO Dick Clark wrapped up the conference call this morning by saying, "We are in the midst of extraordinary times. There is uncertainty in all areas of the market and the pharmaceutical markets are no exception."

That comment was preceded by more detailed remarks from MRK's [MRK Loading... () ] Chief Financial Officer Peter Kellogg, who said that inside and outside the U.S., unit volume (prescription numbers) has slowed "as we've come through the second half of this year." But he added the caveat that he couldn't tell yet whether that issue is product specific to Merck or a sector-wide problem.

In his research note to clients, though, UBS' Patel also pointed out, "During the last 6 recessions since 1960, there wasn't a single year when either overall drug spend or out-of-pocket drug spend has declined. Note, out of pocket drug spend was 96 percent of total drug spend in 1960; it has fallen to 22 percent in 2006." Could this recession be an anomaly?

Merck puts out its financial guidance a week ahead of its annual research and development update meeting (Dec. 9). Eli Lilly [LLY Loading... () ] is also holding an analyst meeting next week (Dec. 11), so we could get additional color there about whether the slower prescription trend Merck says it's seeing is company specific or more widespread. I'll be at both meetings, where I'll be doing live interviews with the CEOs.