×

Pfizer's Pipeline Play

Ahead of earnings Thursday, Pfizer announced plans to license a brain cancer drug from Avant Immunotherapeutics . Will Pfizer continue to buy its way to a promising drug pipeline?

Apparently the world's biggest drug company wants a bigger footprint in oncology, explains CNBC Pharmaceuticals Reporter Mike Huckman. After the closing bell cash-rich Pfizer picked up another item for its pipeline for nearly half-a-billion dollars. That's the potential size of the deal it's doing with a baby biotech called Avant Immunotherapeutics for its experimental brain cancer drug, currently in mid-stage testing.

A key issue for Pfizer continues to be how fast it can rebuild its product pipeline as it faces patent expiration for the blockbuster cholesterol drug Lipitor, adds Huckman. The drug, which had revenue of $3.4 billion during the fourth quarter, will lose patent protection in 2010.

I would have preferred to see Pfizer do something bigger, says Guy Adami. But it’s a step in the right direction.

I love this news, exclaims Pete Najarian. I think Pfizer had to make a move to fill its pipeline. I bet this is tip of the iceberg. In the space I recommend Pfizer as well as Isis Pharmaceuticals and Amylin .


______________________________________________________
Got something to to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our website send your e-mail to fastmoney@cnbc.com.

Trader disclosure: On Apr. 16, 2008, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Najarian Owns (AAPL), (BIIB), (CSCO), (TSO), (YHOO), (XLF), (AMR), (ETFC), (ATI); Najarian Owns (EBAY) Calls, (IBM) Calls, (BSC) Calls, (COP) Calls, (MSFT) Calls, (HK) Calls; Najarian Is Short (INTC) Calls; Najarian Owns (LEH) Puts; Seymour Owns (AAPL), (CSCO), (INTC), (MER), (MSFT), (TSO); Seygem Asset Management Owns (TIE), (COP), (PKX), (GGB); Oppenheimer & Co. Is A Market Maker In (GOOG), (AMZN), (EBAY), (BIIB), (MLNM), (CSCO), (RIMM), (MSFT), (INTC); Oppenheimer & Co. Has Provided Investment Banking Services For (XTO) In The Past 12 Months; Oppenheimer & Co. Has Received Compensation For Investment Banking Services From (XTO) In The Past 12 Months; GE Is The Parent Company Of CNBC; Charles Schwab Is A Sponsor Of "Fast Money"