Johnson & Johnson (JNJ), And Why The FDA’s Latest Designation is More Bling Than Bite

The designation might not have much benefit, but don’t ignore the drugs involved; both Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX)’s combination treatment and ibrutinib have a lot of promise. Just this week, promising data from a clinical trial testing ibrutinib in hart-to-treat chronic lymphocytic leukemia patients was presented at the American Association for Cancer Research annual meeting.

At this point, the Breakthrough Therapy Designation is like wearing a broken luxury watch; it’s a nice status symbol, but it isn’t particularly useful. Some will argue that it says that the FDA thinks the drug has promise, but that should be obvious to most investors anyway. The drugs still have to prove their worth in clinical trials to get approved.

The article FDA’s Breakthrough Therapy Designation More Bling Than Bite originally appeared on Fool.com and is written by Brian Orelli.

Fool contributor Brian Orelli has no position in any stocks mentioned. The Motley Fool recommends Johnson & Johnson and Vertex Pharmaceuticals. The Motley Fool owns shares of Johnson & Johnson.

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