Monday, October 21, 2013

Is This Billion-Dollar Diabetes Drug Class Doomed?

In this edition of the Motley Fool's Market Checkup, health-care analysts David Williamson and Max Macaluso discuss the complex nuances of the type 2 diabetes market. From the most successful blockbusters on the market today to revolutionary experimental drugs, this is an increasingly competitive space that investors need to watch closely.

The following segment from this week's show focuses on Merck's (NYSE: MRK  ) billion-dollar type 2 diabetes drugs, Januvia and Janument. The growth of these blockbusters have helped Merck offset some of the recent losses it faced from the patent cliff, but sales have started to slow down and a study published this year in JAMA's Internal Medicine suggests that these drugs may increase the risk of pancreatitis. What should Merck shareholders be watching going forward?

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The relevant video segment can be found between 2:50 and 4:46.

To view the entire show, click here.

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