The latest Market Talks covering the Health Care sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0523 GMT - Roche Holding's estimate of the peak sales potential for a new experimental lung-cancer drug seems conservative, Citi analysts say in a research note. The Swiss drugmaker on Thursday said the drug, divarasib, met primary and key secondary goals in a late-stage trial of patients with a type of lung cancer who had been previously treated. The positive trial results represent an important first step toward approval of a medicine that has potential to be another blockbuster, according to Citi. Roche has guided for divarasib annual peak sales of 1 billion to 2 billion Swiss francs. Citi estimates the first trial alone could unlock peak sales of 1.4 billion francs, with two additional studies offering room for potential upgrades. (adria.calatayud@wsj.com)
0208 GMT - Malaysia's corporate earnings growth is expected to slow in 2H as rising costs and weaker sales weigh on profitability, Public Investment Bank analyst Eltricia Foong and team say in a note. While lasting peace in the Middle east remains uncertain, even if the conflict ends, oil and gas producers could take at least six months to fully restore supplies, they say. They adopt a more conservative stance on bank earnings, citing concerns that escalating cost pressures could weaken consumer and business confidence and lead to a deterioration in asset quality. Public IB cuts its end-2026 target for Malaysia's benchmark Kuala Lumpur Composite Index to 1680 from 1730 to factor in lower earnings growth estimates. CIMB, Tenaga Nasional, IHH Healthcare and Gamuda are among its top picks. (yingxian.wong@wsj.com)
1419 GMT - Belgian pharmaceutical company UCB's recent deals bolster a drug pipeline that already had potential to unlock additional growth opportunities over the next two years, Berenberg analysts say in a research note. UCB's current share price seems only to reflect its approved medicines, with those in the pipeline coming "for free," the analysts say. "This is unwarranted, in our view, given the historical returns track record and breadth of pipeline," they add. UCB recently acquired Candid Therapeutics, Neurona Therapeutics and Antengene. All three are good strategic fits that boost the company's immunology and neuroscience portfolios with new assets that will enter phase 2 and 3 studies later this year, according to Berenberg. Berenberg lifts its target price on UCB to 305 euros from 209 euros. Shares rise 1.7% to 262.20 euros. (adria.calatayud@wsj.com)
1327 GMT - The government says leisure and hospitality employment declined by 61,000 in June, reflecting weaker than usual seasonal hiring. That contrasts sharply with the 70,000 gain in May's report. "It looks like the World Cup hiring spree was a one-month phenomenon in May," according to Brian Bethune of the Boston College Economics department. Thus far in 2026, the BLS says employment in leisure and hospitality has shown little net change. Elsewhere in the report, employment in professional and business services continued to trend up in June with a rise of 36,000. The industry has added 172,000 jobs since a recent low in October 2025. Employment in health care continued its upward trend, with a rise of 22,000, but at a slower pace than the average monthly gain over the prior 12 months. (patrick.sheridan@wsj.com)
1314 GMT - EssilorLuxottica has plenty of untapped opportunity ahead in its advance into smartglasses, analysts at UBS write in a note. The Franco-Italian eyewear behemoth has seen questions raised around its partnership with Meta on several models of AI-equipped glasses, which some analysts say could dilute the Ray-Ban maker's margins and eat into core eyecare demand. But in reality, demand remains strong and there is scope to boost awareness of the category, UBS says. That suggests EssilorLuxottica shouldn't worry about new rivals entering the smartglasses market, the bank says. "Our long-standing view has been that greater competition is necessary to help build the category and accelerate adoption in the US and globally," the analysts say. (joshua.kirby@wsj.com; @joshualeokirby)
(END) Dow Jones Newswires
July 03, 2026 04:20 ET (08:20 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
Comments