This is another interview from the Morgan Stanley healthcare conference - this one for Guardant Health. These interviews are great sources of information and insight into what the company is thinking and doing. I always learn something from each one that I watch.
One thing that I had not picked up on previously is that Guardant has launched something they are calling “Guardant Inform”. There was a press release about this on 6/23, but I did not really connect the dots on exactly what it is.
if I am understanding it correctly, they are marketing their data as a “Clinical Genomic Real-World Evidence Database” that others in the oncology field can access and use for data mining. GH currently has around 150,000 samples from tests they have conducted previously and all of the data from those patients has been fed into this database. They commented that as they continue to conduct additional tests this database will ultimately scale up to millions of patients. This ties into the post I wrote a couple weeks ago about the advantages of companies who have the most data. This particular type of data is not something that can be simulated in my opinion. It can only be gained through extensive (huge) trials and data collection and entry. I don’t know what the economic value of this product will be in comparison to the liquid biopsy cancer testing itself, but I thought some of you might find it interesting. The discussion on this particular point begins at around 9:50 in the video.
The CEO also made a couple of comments scattered throughout regarding why they did a secondary raise a couple of months ago and what some of the uses of that money will be.
I think there are probably a lot more people here invested in LVGO/TDOC than the other companies I mentioned in my earlier posts. If you own these stocks, I highly recommend listening to this interview. You can listen at 1.5x speed and it only takes 20 minutes.
A few highlights:
the CFO from TDOC was talking about synergies and cross-selling opportunities. She said they already have a playbook for international and that… “Our sales teams internationally are salivating at the prospect of getting Livongo”.
They talked about the synergies of behavioral health between the 2 organizations. Specifically, they mentioned the issue of stigma and access when it comes to behavioral health care. From the standpoint of a parent who has a child with pretty severe behavioral health issues, I can tell you that both of those things are very real impediments to getting the best care. Being able to provide that care remotely is a great option for some people.
They were asked a question about large hospital systems doing their own remote health. The TDOC CEO said that 60 of the largest hospital systems in the US are using TDOC technology in delivering their remote care. So, even if some organizations choose to try to develop their own remote care capabilities, it’s possible that TDOC may still benefit from that.
Overall, this was a great discussion. The executives provide so much more detail in a setting like this compared with what they provide during earnings reports.
Illumina bought Grail fully into the fold. Do you think it is going to be a major competitor to Guardant? and what are the advantages for Grail to be within Illumina that could give Grail’s liquid biopsy business an edge?
Illumina bought Grail fully into the fold. Do you think it is going to be a major competitor to Guardant? and what are the advantages for Grail to be within Illumina that could give Grail’s liquid biopsy business an edge?
I can’t see how this doesn’t compete against GH but then the potential market may mean that won’t matter too much
Illumina countered by arguing that it would benefit from acquiring GRAIL, contending that the deal would:
Extend Illumina’s portfolio to include cancer screening, diagnosis and cancer monitoring, offering multiple future growth opportunities by creating a portfolio of proprietary tests in each major oncology testing application area—tests that Illumina vows will be best-in-class. Accelerate adoption of Galleri upon launch by leveraging Illumina’s global scale, manufacturing and clinical capabilities. Enhance Illumina’s leadership in genomics by expanding into providing tests, while continuing as a top sequencing company.
No idea how Grail’s tests compare to GH’s but Grail is behind as far as being able to commercialise their products. Perhaps Illumina will speed that open and be able to open them up more to a global market.
This isnt necessarily winner take all either, and may broaden awareness and expand the market.
With that said grail has a higher ceiling with better technology, but will be worth watching the gap between them and FMI/Roche & GH. Something to monitor over the years.