How Far Can This Blockbuster Take Johnson & Johnson (JNJ)?

The tangled web of competition between this group of biologics can be difficult to unravel. Perhaps a better way to quantify the competition is through sales growth. On this basis, Remicade grew 12% last year for Johnson & Johnson, Simponi grew 48%, Enbrel grew 14%, and Humira grew 17%. With double-digit sales growth for each, these biologics are hardly stepping on each other’s feet on their way to the bank.

TNF-alpha production will continue to be targeted by future therapies, so the key to gaining and maintaining market share will come down to improvements in dosing, pricing, or safety. Two areas to watch for up-and-coming competition are JAK inhibitors — such as Pfizer Inc. (NYSE:PFE)‘s Xeljanz — and interleukin disrupters — such as Johnson & Johnson’s Stelara. Both have novel mechanisms of action that have shown significant improvements in response over methotrexate (Xeljanz) and even other biologics (Stelara).

Foolish bottom line
Johnson & Johnson will be able to rely on Remicade as the top bread winner for the next several years. The company has enjoyed several important approvals in recent years and is constantly seeking to invigorate its pipeline.

The article How Far Can This Blockbuster Take Johnson & Johnson? originally appeared on Fool.com and is written by Maxx Chatsko.