Over two-thirds of the 20 largest pharmaceutical companies boosted revenues from major products in the first quarter by increasing prices, which should help the businesses’ bottom line, reports Charley Grant for the Wall Street Journal.
The Bureau of Labor Statistics’ Producer Price Index showed an almost 6% rise in prices for the year ended June 2016, or well above inflation rates. Moreover, the dearth in new breakthroughs has also contributed to the rise in prices as companies try to pad growth.
The S&P Global Market Intelligence projects health-care earnings per share to rise by 6.5% in 2016, ore higher than all but one market segment.
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