There is a common consensus that the Pharma industry struggled throughout 2016, the numbers don't lie with the NASDAQ Biotech Index declining 19.1%.
However, 2017 brings new optimism with the sector showing growth at the start of the year. My SciPro team are also reporting a 30% increase in new jobs in Q1 2017 compared to Q4 2016.
The team are hearing positive messages from our clients in the US market that hiring plans are secure. However, always interested to hear other opinions...
There is no doubt that 2016 was a tough year for pharma and biotech stocks, with the sector facing a lot of criticism for rising drug prices. Although shares did rally post-election in November on hopes that drug pricing would not be a key focus area under a Trump presidency, the rally turned out to be short-lived following the President’s views regarding drug pricing. Trump made it clear that he does not like what happened to drug prices and he will bring them down.Not just drug pricing, 2016 was also disappointing from an R&D perspective with a fewer number drugs managing to gain FDA approval. There were some high-profile pipeline failures as well. Other factors that weighed on the sector include mixed results, slower-than-expected new product launches and increasing competition.