Alexion Pharmaceuticals, Inc. (NASDAQ:ALXN)
CAPS Rating:
A biotechnology company working to develop and deliver life-changing drug therapies for patients with serious and life-threatening medical conditions.
A biotechnology company working to develop and deliver life-changing drug therapies for patients with serious and life-threatening medical conditions.
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Recs
Paroxysmal Nocturnal Hemoglobinuria -- extremely rare condition. Can Alexion justify an extremely high price for because of the rarity of the disease? Probably not. Notice that they are recording sales but not receiving cash. Their accounts receivables are going up, because they are not collecting payment. I think it will be very difficult to get insurance to cover soliris, especially at the current price-- if they do cover it, they will negotiate extreme discounts, e.g. paying only 20-30% of alexions's charge. Expect only about 30% of their accounts receivables to ultimately be converted to cash.