White House Prepares to Negotiate Drug Pricing Agreements with AbbVie, Novartis, and Roche
Drug Price Agreements: AbbVie and several other pharmaceutical companies are expected to announce agreements with the U.S. government to reduce prescription drug prices and comply with policy demands from President Trump.
Pilot Program Announcement: The administration plans to introduce a pilot program linking Medicare drug payments to the lowest prices in comparable foreign markets, aiming to address the disparity in drug pricing between the U.S. and other developed countries.
Companies Involved: Five companies, including Pfizer and Eli Lilly, have already agreed to the terms, while others like Sanofi and Johnson & Johnson are still in negotiations.
Trade Relations with Switzerland: The upcoming drug pricing agreements may help ease trade tensions with Switzerland, following a recent tariff dispute, as Novartis and Roche are also in discussions to lower U.S. drug costs.
Trade with 70% Backtested Accuracy
Analyst Views on AZN
About AZN
About the author

- Preclinical Data Advantage: Avacta's release of preclinical data for FAP-Exd (AVA6103) indicates a more rapid drug penetration into tumors, achieving maximum concentration (Cmax) within minutes post-dosing, compared to 24 hours for the marketed Enhertu®, highlighting its potential superiority in tumor treatment.
- Increased Drug Concentration: The absolute maximum concentration of FAP-Exd in tumor tissue is over a log higher than that of Enhertu®, suggesting a significant enhancement in therapeutic efficacy, which could strengthen Avacta's competitive position in the oncology market.
- Significantly Higher Selectivity Index: The Tumor Selectivity Index (TSI) for FAP-Exd is nearly three times that of Enhertu®, indicating a superior ability to release active drug in the tumor microenvironment while minimizing impact on normal tissues, potentially improving patient safety and treatment outcomes.
- Clinical Trial Plans: Avacta plans to initiate a Phase 1 clinical trial for FAP-Exd in Q1 2026, and based on these positive preclinical results, the probability of success for this drug is expected to significantly increase, further advancing the company's research and development efforts.
- Price Range Analysis: PVAL's 52-week low is $32.83 per share, with a high of $49.13, and the latest trade at $48.10 indicates the stock is nearing its high, potentially attracting investor interest.
- Technical Analysis Tool: Comparing the latest stock price to the 200-day moving average can provide valuable insights for investors, aiding in market trend assessments.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting the liquidity of underlying assets.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in ETF shares outstanding helps identify those experiencing significant inflows or outflows, providing timely insights into market dynamics and potential impacts on individual stocks.
- Clinical Trial Results: The AMPLIFY Phase III trial demonstrated that 77% of patients treated with CALQUENCE plus venetoclax were progression-free at three years, compared to 67% for chemotherapy, indicating a significant potential to change treatment standards for chronic lymphocytic leukemia (CLL).
- FDA Approval: The combination therapy of CALQUENCE and venetoclax has been approved by the US FDA as the first all-oral, fixed-duration BTK inhibitor regimen, providing a new treatment option for CLL patients and enhancing their quality of life.
- Increased Treatment Flexibility: The 14-month fixed-duration design of this combination therapy allows physicians to tailor treatment plans according to individual patient needs and goals, thereby enhancing both flexibility and efficacy in treatment.
- Broad Market Potential: With approvals in the US, EU, Canada, and other countries, the CALQUENCE and venetoclax combination therapy is expected to drive AstraZeneca's market share growth in the hematology sector, further solidifying its leadership position in oncology.
- Surge in Deal Count: According to PharmCube, the Greater China region signed 186 cross-border licensing deals worth $137.7B in 2025, marking a nearly tenfold increase from 65 deals valued at $13.9B in 2021, highlighting the growing appeal of the Chinese market for global pharmaceutical companies.
- Industry Trend Analysis: As several blockbuster drugs face patent expirations, leading drugmakers increasingly rely on licensing deals to replenish their pipelines, with projections indicating a potential $200B revenue loss for the global pharmaceutical industry from 2026 to 2030, making China a crucial licensing market.
- Expansion of Deal Size: The average deal size in 2026 stands at $1.3B, reflecting a ~76% increase from 2025 and approximately six times the average size in 2021, driven by AstraZeneca's obesity drug deal worth up to $18.5B with CSPC Pharmaceutical and AbbVie's cancer drug deal worth up to $5.6B with RemeGen.
- Ongoing Attraction: So far in 2026, 38 deals have been reached with a total value approaching $49B, demonstrating the sustained interest of international pharmaceutical companies in the Chinese market, particularly under the pressure of patent expirations.
- Clinical Trial Results: The DESTINY-Breast05 phase 3 trial demonstrated that ENHERTU reduced the risk of invasive disease recurrence or death by 53% compared to T-DM1, indicating its potential as a new standard of care in early breast cancer treatment.
- Regulatory Progress: The European Medicines Agency has validated the marketing authorization application for ENHERTU, marking the commencement of the scientific review process, which is expected to expedite its availability for eligible patients in need of better treatment options.
- Patient Recruitment: The DESTINY-Breast05 trial enrolled 1,635 patients across Asia, Europe, and North America, showcasing the drug's broad applicability and potential market reach on a global scale.
- Future Development Directions: Additional regulatory submissions for ENHERTU are underway, including its combination with pertuzumab for the treatment of unresectable or metastatic HER2 positive breast cancer, highlighting its potential across multiple indications.

- Collaborative Drug Development: AstraZeneca and Bristol Myers Squibb are partnering with Switzerland-based Evinova to leverage its AI-native platform for drug development, aiming to enhance research efficiency and reduce costs.
- Cost Savings in R&D: Evinova claims its platform can deliver at least 5%-7% savings per study, which will significantly improve the economic viability of drug development and enhance the competitive edge of the partners in the market.
- Intelligent Clinical Design: Evinova's AI digitizer capability converts clinical study designs, protocols, and documents into machine-readable formats, improving data processing efficiency and accelerating the drug development timeline.
- Multi-Partner Collaboration Model: The platform's flexible architecture enables a multi-model partner approach, providing access to advanced AI models and deep enterprise expertise, fostering smarter operational insights and driving innovation in the industry.








