The CSL Limited (ASX: CSL) share price is in the red today, down 0.42% at the time of writing to $281.83.
CSL shares have been sluggish in recent times, down 5.1% in the past month and down 5.2% overall in 2022.
The company hasn't announced any price-sensitive news since its FY22 results on 17 August. But there have been some good developments in the CSL lab of late, as reported by The Age today.
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New drug could boost earnings
EtranaDez is a gene therapy that CSL is developing to treat haemophilia B.
Patients with haemophilia B don't have the blood clotting protein Factor-IX. According to the article, EtranaDez instructs the patient's cells to produce Factor-IX, thereby negating the need for regular and time-consuming intravenous treatments.
The drug is currently in Phase III of its development. According to the article, the US Food and Drug Administration is expected to decide whether to approve the drug later this year.
CEO Paul Perreault hopes to put EtranaDez into the market before the year is out.
Whether this could boost the CSL share price remains to be seen.
What do the experts think?
The Institute for Clinical and Economic Review (ICER) has just published a draft report on the potential financial benefits of EtranaDez for CSL.
The ICER assumes a "placeholder price" of $2.5 million in the United States market.
In a note to clients, Wilsons analyst Dr Shane Story said the report "frames the potential benefit of a one-time prophylactic injection which could stabilise the [haemophilia B] for years".
The Wilsons equities team says the drug will enhance CSL's existing haemophilia treatments. It expects "at least 10 per cent in incremental share from the currently underserved young adult patient segment".
Macquarie and Credit Suisse analysts think EtranaDez will benefit CSL's earnings pipeline into 2024.
In a note to clients, Credit Suisse said it forecasts "peak sales of $US400 million with $US200 million upside to CSL's FY34 earnings".
CSL began developing the drug in a $655 million partnership with the NASDAQ-listed genomic medicine company UniQure in 2020.
A quick history on the CSL share price
Before the pandemic hit the ASX, the CSL share price was as high as $336.40 in February 2020. It came crashing down with the rest of the market to an initial low of $270.88 in March 2020.
Since then, CSL shares have been rangebound between the mid-$200s and about $315.
The CSL share price has not risen above $300 since December 2021.
