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QIAGEN's (QGEN) New Launch to Enhance Clinical Lab Workflow

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QIAGEN N.V. (QGEN - Free Report) recently announced the launch of EZ2 Connect MDx for use in diagnostic laboratories. This makes the in-vitro devices (IVD) platform for automated sample processing available for widescale use 18 months after being made available for research.

EZ2 Connect MDx complements QIAGEN’s automated IVD nucleic extraction platforms, which includes QIAcube Connect MDx and QIAsymphony. The device now carries the European Union’s (EU) CE-IVD compliance marking for IVD for the EU and other countries that accept this designation. It is also available in the United States, Canada and other countries.

QIAGEN has placed more than 5,000 EZ1 and EZ2 instruments worldwide through the end of 2022.

With the latest addition to QIAGEN’s portfolio, the company aims to solidify its foothold in the global Molecular Diagnostics business.

Significance of the Launch

The high degree of automation of the EZ2 Connect MDx enables labs to purify DNA and RNA from 24 samples in parallel within 30 minutes. The new platform builds on QIAGEN’s EZ1 family of devices, which has significantly boosted sample-prep automation and sample-data management. The EZ2 combines the ease of use, process safety and robustness of the EZ1 with improved throughput and digital features.

EZ2 Connect MDx can extract nucleic acids from various samples, including blood plasma and serum, using magnetic-bead technology. The new platform’s other features include high process safety and UV decontamination, among others.

Per management, the EZ2 Connect MDx will likely solve the challenges of various clinical diagnostics labs that have to quickly provide diagnostics results and deal with fluctuating sample numbers and a large variety of sample types and quality.

Industry Prospects

Per a report by Research and Markets, the global market for molecular diagnostics was estimated to be $10.4 billion in 2020 and is anticipated to reach $20 billion by 2027 at a CAGR of 9.8%. Factors like the increasing prevalence of infectious diseases and technological advancements in molecular diagnostics are expected to drive the market.

Given the market potential, the recent launch is expected to boost QIAGEN’s Molecular Diagnostics business.

Recent Developments

This month, QIAGEN’s bioinformatics business, QIAGEN Digital Insights, announced its enhanced QIAGEN CLC Genomics Workbench Premium that removes the data-analysis bottleneck of next-generation sequencing (NGS) by adding innovative analysis speed to analyze and interpret whole genome sequencing, whole exome sequencing and large panel sequencing data.

The same month, QIAGEN completed the acquisition of Verogen, a renowned name in the use of NGS technologies to be the driving force behind the future of human identification and forensic investigation.

Also, in January, QIAGEN announced an exclusive strategic partnership with California-based population genomics player, Helix, to advance companion diagnostics for hereditary diseases.

Price Performance

Shares of the company have gained 5.9% in the past year against the industry’s 5.6% decline and S&P 500’s 8.9% fall.

Zacks Investment Research
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Zacks Rank & Key Picks

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

Some better-ranked stocks in the broader medical space are AMN Healthcare Services, Inc. (AMN - Free Report) , Cardinal Health, Inc. (CAH - Free Report) and Merit Medical Systems, Inc. (MMSI - Free Report) .

AMN Healthcare, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 3.3%. AMN’s earnings surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average beat being 10.9%.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

AMN Healthcare has gained 5.4% against the industry’s 19.6% decline in the past year.

Cardinal Health, carrying a Zacks Rank #2 at present, has an estimated long-term growth rate of 11.7%. CAH’s earnings surpassed estimates in two of the trailing four quarters and missed the same in the other two, the average beat being 3%.

Cardinal Health has gained 48.7% against the industry’s 0.8% decline over the past year.

Merit Medical, flaunting a Zacks Rank #1 at present, has an estimated long-term growth rate of 11%. MMSI’s earnings surpassed estimates in all the trailing four quarters, the average beat being 25.4%.

Merit Medical has gained 28.1% against the industry’s 0.8% decline over the past year.


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