Active Pipeline Sustains Growth for Regeneron Pharmaceuticals Inc (NASDAQ:REGN)

Regeneron Pharmaceuticals Inc

Managing Director Leslie Tubbs of Zevenbergen Capital Investments looks for high-growth companies that are disruptive in their industry, and she says Regeneron Pharmaceuticals Inc (NASDAQ:REGN) is an example of an innovative company on the biotech side.

This company is completely dedicated to internal development of drugs, so they don’t typically go out and license products. They have a therapy on the market called EYLEA for macular degeneration and several other eye diseases. Regeneron is using the capital generated from the sale of EYLEA to develop other drugs.

They are owned in part by Sanofi (NYSE:SNY), which has helped with the development cost of Regeneron’s product pipeline. Regeneron has a very interesting pipeline, including dupilumab, which they’re exploring for the treatment of atopic dermatitis and asthma. As we consider new health care additions to our portfolio we’re looking for strong revenue growth, so these companies will most often already have a commercial product on the market and an active development pipeline to help sustain growth in the future.

Leslie Tubbs

Tubbs’ firm has a philosophy that is predicated on a belief that earnings, revenue and cash flow drive stock price appreciation, and it targets companies that typically exhibit growth in excess of 15%.

The types of growth companies we’re targeting can be leaders in their industries or they can be forging a new industry such as many of the innovative companies we see today. Identifying companies creating disruption in an industry has been a driving factor in our stock selection process since inception.