Avantor (AVTR) Launches Solutions for Gene Therapy Harvest

Zacks Equity Research
·3-min read

Avantor, Inc. AVTR recently released two innovative products aimed at revolutionizing the gene therapy harvest process. J.T.Baker Cell Lysis Solution and J.T.Baker Endonuclease are designed to enhance efficiency, reduce environmental impact, improve operational outcomes and preserve the integrity of viral particles. These products will also help to meet the rising demand for sustainable solutions in biopharmaceutical manufacturing.

Significance of the Announcement

Per Avantor, J.T. Baker Cell Lysis Solution and J.T. Baker Endonuclease will mark a significant contribution to the gene therapy industry, addressing both environmental and operational challenges.

J.T.Baker Cell Lysis Solution is an eco-friendly alternative to Octoxynol-9, a substance known for its toxicity to aquatic life. By being biodegradable and exhibiting low ecotoxicity, this solution aligns with global sustainability goals and stringent REACH regulations. Furthermore, it improves the efficiency of viral vector release during the critical upstream harvesting process, enhancing productivity and maintaining the quality of Adeno-associated virus particles. Its ready-to-use formulation simplifies workflow, minimizes contamination risk and optimizes bioreactor space, making it an effective tool for gene therapy manufacturers.

When combined with J.T.Baker Endonuclease, J.T. Baker Cell Lysis Solution effectively removes impurities and reduces aggregation, making the harvest process more streamlined and efficient. This synergy between the two products offers a robust solution for DNA clearance, customizable for various scales and compliant with cGMP standards. Avantor’s new offerings are not only intended to bring innovation in the field of gene therapy but also strengthen the company’s commitment to sustainability in biopharmaceutical production.

Industry Prospects

Per a report by BioSpace, the global gene therapy market is estimated to be worth $10.47 billion. It is anticipated to reach $52.40 billion in 2033 at a CAGR of 19.6%.

Furthermore, facility expansion for cell and gene therapies is one of the major factors driving the gene therapy market growth. Several in-house facilities and CDMOs for gene therapy manufacturing have begun investing in enhancing their production capacity, which, in turn, is anticipated to create lucrative opportunities for market players. The increasing number of investments by governments and the growing prevalence of targeted diseases are the factors fueling the market.

Recent Developments

In the previous month, Avantor appointed Corey Walker as president of Laboratory Solutions. Walker’s deep knowledge of the end markets and industry and his familiarity with the organization and customers make him the ideal leader for the Laboratory Solutions business.

Price Performance

Shares of Avantor have declined 9% so far this year against the industry's 3.6% rise. The S&P 500 has witnessed a rise of 15% in the same time frame.

Zacks Investment Research
Zacks Investment Research


Image Source: Zacks Investment Research

Zacks Rank & Key Picks

Currently, Avantor carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader medical space are DaVita Inc. DVA, Universal Health Services UHS and Ecolab Inc. ECL.

DaVita, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 13.6%. DVA’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 29.4%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

DaVita’s shares have gained 43.4% compared with the industry’s 15.2% rise in the past year.

Universal Health Services, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 14.80%. UHS’s earnings surpassed estimates in each of the trailing four quarters, with the average being 8.12%.

Universal Health Services has gained 21.3% against the industry’s 20.4% decline in the past year.

Ecolab, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 14.3%. ECL’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 1.3%.

Ecolab’s shares have rallied 31.3% against the industry’s 12.9% decline in the past year.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Ecolab Inc. (ECL) : Free Stock Analysis Report

Universal Health Services, Inc. (UHS) : Free Stock Analysis Report

DaVita Inc. (DVA) : Free Stock Analysis Report

Avantor, Inc. (AVTR) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

  • Up next
  • Up next
  • Up next
  • Up next

Latest stories

  • Russia's war-driven economy is so hot that the World Bank upgraded it to a 'high-income country'

    Russia's trade rebounded by nearly 7% last year, while activities in the financial sector and construction grew by 6.6% and 3.6% respectively.

  • 6 family office funds tied to Singapore launder case got tax breaks

    Six single family office funds linked to a S$3 billion money laundering case in Singapore have received tax incentives from the Monetary Authority of Singapore.

  • Paramount, Skydance Merger Is on Again in $2.4 Billion Deal

    But NAI's controlling shareholder Shari Redstone might be setting off a bidding war ahead of Sun Valley The post Paramount, Skydance Merger Is on Again in $2.4 Billion Deal appeared first on TheWrap.

  • A-G’s report: Mara Inc’s inefficient operations lead to RM286m loss

    KUALA LUMPUR, July 4 — Government-linked Mara Inc has incurred RM286.30 million in losses due to inefficient business op...

  • Fed officials touted 'modest further progress' on inflation at last meeting: Minutes

    Fed officials offered encouragement about the path of inflation while meeting in June, but they made it clear they didn’t expect to lower rates until they saw more evidence of a downward trend.

  • BP CEO Halts Offshore Wind Projects, Enacts Hiring Freeze

    BP's new CEO Murray Auchincloss has implemented a hiring freeze and paused new offshore wind projects, shifting the company's focus to oil and gas to address investor concerns over its energy transition strategy.

  • Shell (SHEL) Hits Pause on Major Biofuels Plant in Europe

    Shell (SHEL) remains committed to achieving its net-zero emissions target by 2050 despite abandoning several renewable projects to focus on its more profitable ventures, primarily in oil and gas.

  • Mondelez (MDLZ) Navigates Hurdles Through Portfolio Strength

    Mondelez's (MDLZ) focus on core categories and portfolio strength place it well in a challenging and dynamic operating environment.

  • SLB and TotalEnergies Ink 10-Year Digital Solutions Partnership

    SLB and TotalEnergies enter into a 10-year collaboration to co-develop scalable digital solutions, focusing on enhancing energy resource access and efficiency through advanced AI technologies.

  • Fed won't hit 2% target until 2026: Economist

    With somewhat cooling inflation and stagnant labor market growth, conversations about whether the Federal Reserve's interest rate cut timing persist. Interactive Brokers senior economist José Torres joins Market Domination to give insight into the labor market, the broader stock market, and the Fed's future policy decisions. "I think we're going to hit the Fed's 2% target somewhere in 2026. Fed Chair Powell was asked about it; he didn't think that we would hit it this year or next year. In fact, when we consider the disinflation that occurred last year in the second half, now those base effects become unfavorable into the second half of this year. So we're going to actually see core PCE start to tick higher. And if you look at the dots of summary of economic projections from the Fed, they're expecting core PCE to finish the year around 2.8," Torres tells Yahoo Finance. For more expert insight and the latest market action, click here to watch this full episode of Market Domination. This post was written by Nicholas Jacobino

  • Bitcoin Sinks Under $61K as One Trader Sticks to $150K Prediction This Year

    U.S.-listed ETFs ended a five-day inflow streak with $13 million in net outflows on Tuesday.

  • London stocks, pound climb as Britons vote

    London's stock market and the pound advanced versus the dollar Thursday as Britons voted in a general election expected to be won by the centre-left and main opposition Labour party."Today's UK election looks unlikely to cause too many shockwaves given just how resounding the Labour party victory is expected to be, with markets feeling optimistic over the potential change at Downing Street," said Scope Markets analyst Joshua Mahony.

  • US market exceptionalism is approaching its dramatic denouement

    The investment focus naturally shifts to the US on Independence Day but more so than ever this year as the completion of elections here on Thursday and in France at the weekend moves the political spotlight across the Atlantic too.

  • Japan's Nikkei 225 index hits a record high close of 40,913.65

    Japan’s Nikkei 225 stock index closed Thursday at a fresh record high of 40,913.65, pushing past its most recent record close set in March on heavy buying of automaker and technology shares. The index's all-time high during intraday trading is 41,087.75, set on March 22. The gains tracked an overnight rally on Wall Street, where the S&P 500 and tech-heavy Nasdaq also hit fresh records.

  • Stocks Often Pop in July: Time to Buy These 4 ETFs?

    July is historically an upbeat month for the S&P 500 - here are some of our top ETF picks to ride the heat wave.

  • Nearly 20 million people who owe student loans not making payments as government tries to claw back $1.6tn

    Throughout his presidency, Biden has sought out a way to eliminate student debt

  • Nvidia is the best way to play AI for the 'next 10 years'

    Nvidia (NVDA) shares are falling back today following the chipmaker's recent market high. Rosenblatt Securities senior research analyst Hans Mosesmann joins Market Domination to explain why he is not worried about the stock's bumpy previous weeks. Mosesmann has issued the highest price target for Nvidia on Wall Street. Mosesmann has a long-term view, explaining that the sale pressure is negligible when one considers that Nvidia is going to be the "best way to play AI for the next 10 years." He adds that Nvidia is not just a semiconductor company anymore but a platform that is "all things AI." For more expert insight and the latest market action, click here to watch this full episode of Market Domination. This article was written by Gabriel Roy

  • What is a 'Winnie the Pooh' economy and is the US in one?

    Pick a new storybook because it's not a Goldilocks economy anymore; it might be a "Winnie the Pooh environment" now, at least according to Sanders Morris Harris chairman George Ball. Ball joins Market Domination to explore the balance being struck between the Federal Reserve's inflation policies and American business growth.  Fed Chair Jerome Powell is "pleased with the trajectory of inflation, and business is very pleased with its ability to earn good and growing profits in a higher interest rate climate than many people thought," Ball elaborates. "It's not Goldilocks, but it's a good backdrop for both business and the economy right now." At the European Central Bank (ECB) Forum on Central Banking on Tuesday, Powell stated the Fed has "made a lot of progress" in lowering inflation and is "getting back on a disinflationary path." Ball continues by commenting on the stock market's (^DJI, ^IXIC, ^GSPC) growth and the bond market's outlook ahead of the 2024 election. For more expert insight and the latest market action, click here to watch this full episode of Market Domination. This post was written by Luke Carberry Mogan.

  • Why Paramount is back at the negotiating table with Skydance

    Shares of Paramount Global (PARA, PARAA) are rallying on revived merger talks with Skydance. According to reports, Skydance has reached a preliminary agreement to buy Shari Redstone's National Amusements, the controlling shareholder of Paramount. If that deal goes through, Skydance would then begin the merger process with Paramount Global. Bloomberg Intelligence senior media analyst Geetha Ranganathan joins Morning Brief to discuss the news and what it means for the media giant's future. "With Skydance, what we've constantly seen is that they are proposing a deal which basically favors Shari Redstone, who is the controlling shareholder, favors her over everybody else. So it favors her over class A shareholders as well as class B shareholders. And that is something that has the potential for attracting a lot of lawsuits. And that is something that has made Shari Redstone extremely wary, and so it looks like this time around, there is much stronger indemnification language in the agreement that should or could potentially protect her from a lot of the upcoming litigation," Ranganathan explains. Paramount has faced a rocky 6 months in its attempts to merge with Skydance, and Ranganathan believes that this deal comes with unique pressure: "The one thing that we have to remember is that the longer and longer this whole process kind of drags out, the less and the less value that the assets will have. And I think Shari Redstone realizes that she's been publicly negotiating for six months. That's something that's highly unusual in the media landscape, in any M&A deal for that matter, so for her to come that far and then just drop everything again, it created huge overhang on the stock. And I think she's realized that, which is why she's back at the negotiating table." For more expert insight and the latest market action, click here to watch this full episode of Morning Brief. This post was written by Melanie Riehl

  • How Britain’s wealthiest savers are preparing for a Labour government

    As Conservative grandees fret about a Labour “forever government” after today’s election, Britain’s most affluent savers and investors are busy making the most of tax reliefs while they still can.