The Hepatitis C Cure Poised to "Break the Country"

Gilead's Sovaldi is selling well -- but will this pushback make a difference?

Apr 12, 2014 at 8:05AM

Gilead's (NASDAQ:GILD) Sovaldi is reportedly flying off the shelves, but bad press due to pushback from payers, members of Congress, and even the WHO continues to roll in. At issue is the high price of Sovaldi in the U.S. -- $84,000 for a full course of treatment (or roughly $1,000 per day).

As reported by Reuters, Gilead is in talks with Indian generic manufacturers, including perhaps Mylan's (NASDAQ:MYL) Indian subsidiary, to offer Sovaldi at a discount in some international markets, as the U.S. list price is unworkable in a lot of the developing world. Of course, many U.S. payers, including Express Scripts (NASDAQ:ESRX) would argue (and have argued) that the list price is unworkable here too.

The latest bad press comes from Express Scripts, whose CMO Steven Miller stated in no uncertain terms that "What [Gilead's management] have done with this particular drug will break the country." Express Scripts is looking to convince a group of its clients to agree not to use Sovaldi once a competitor drug (expected from AbbVie (NYSE:ABBV) in early 2015) comes on the market. Could this trigger a price war between Gilead and AbbVie, especially once other potential competitors come to market?

In this segment from Tuesday's Market Checkup, Motley Fool health care analysts David Williamson and Michael Douglass discuss these developments and consider whether a price war is on the horizon.

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David Williamson owns shares of AbbVie and Express Scripts. Michael Douglass has no position in any stocks mentioned. The Motley Fool recommends Express Scripts and Gilead Sciences. The Motley Fool owns shares of Express Scripts. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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