Healthy Returns: What to expect from pharma at the JPM conference

Core Insights - The upcoming JPMorgan Healthcare Conference is expected to set the tone for the healthcare industry in 2026, with major updates from biotech and pharma executives [3] - The industry landscape has shifted positively with significant drug pricing deals made with President Trump, alleviating concerns over sector-specific tariffs [4] - A looming $300 billion patent cliff by the end of the decade poses a challenge for major pharmaceutical companies, necessitating strategies to offset revenue losses from blockbuster drugs [5] Company-Specific Updates - Bristol Myers Squibb faces the highest exposure to the upcoming loss of exclusivity cycle, but has several data readouts planned for this year that may clarify its growth potential post-2028 [6] - Investors are keen on the ADEPT program trials for Bristol Myers Squibb's Cobenfy, which has a reasonable probability of success according to JPMorgan analysts [7] - Merck's management of Keytruda's loss of exclusivity appears more manageable with the recent approval of a subcutaneous form, which could protect 20% to 30% of U.S. sales [8] - Merck is reportedly in talks to acquire Revolution Medicines, a cancer drugmaker valued over $20 billion, indicating potential growth strategies [9] Market Dynamics - The GLP-1 weight-loss drug market is a focal point, with Novo Nordisk and Eli Lilly preparing to launch new products, while other companies like Amgen and AstraZeneca are also looking to enter the market [9][11] - Novo Nordisk's Wegovy pill has begun reaching patients, and Eli Lilly's orforglipron is expected to receive FDA approval in the first half of the year [10] - The evolving dynamics of the GLP-1 market will be a topic of discussion, particularly regarding direct-to-consumer channels and Medicare coverage for obesity drugs [11]