A lot has changed since Gilead Sciences paid $21 billion for biotechnology company Immunomedics in 2020.
Gilead acquired Immunomedics to get ahold of a breast cancer drug, Trodelvy, it believed would be a key part of a growing oncology business. At the time, one analyst estimated Trodelvy could bring in peak sales of nearly $5 billion in breast tumors alone, and potentially more if successful elsewhere.
Trodelvy has a long way to go, with annual sales reaching $764 million through the first nine months of this year. Its progress is also overshadowed by Enhertu, a similar type of medicine from AstraZeneca and Daiichi Sankyo. Enhertu broke the billion-dollar mark in 2022, is marketed for more tumor types, and won a first-of-its-kind approval in breast cancer. Trodelvy, meanwhile, has faced questions about its benefits, as well as whether it can compete with Enhertu and a growing array of rivals.
One major opportunity lies just ahead. Gilead will soon reveal data from a study testing Trodelvy against chemotherapy in patients previously treated for a common form of lung cancer — a setting that could unlock a multibillion dollar market in which a top competitor from AstraZeneca and Daiichi delivered mixed results.
AstraZeneca and Daiichi’s findings have lowered expectations for Trodelvy. But differences in Gilead’s drug and trial design could lead to a better outcome, Leerink Partners analysts noted in October.