Morningstar Rating

Stock Research and Analysis

by Damien Conover, CFA

Bulls Say

Glaxo's next-generation respiratory drugs should help mitigate branded and generic competition to the company's top drug, Advair.
Outside of the eventual generic competition to respiratory Advair, the company faces only minor near-term patent losses.
The company's recently launched HIV drugs are gaining market share quickly and carry high margins. Read more 

Bears Say

Even though device patents may hold off generic Advair competition until 2016, these patents are weaker than composition-of-matter patents, which opens the door to generics in the near term.
Pricing pressure from payers is hurting Glaxo's key respiratory franchise as competition is increasing from products offering similar benefits as Glaxo's key drugs.
Glaxo's dividend is under pressure with the majority of earnings going to fund the dividend, opening up the risk of a dividend cut. Read more 


Glaxo selected the president of its European pharmaceutical business, Andrew Witty, to succeed Jean-Pierre Garnier as CEO in May 2008. Witty's leadership in increasing sales in a cost-conscious European environment should be an asset in the U.S., where   Read more 


In the pharmaceutical industry, GlaxoSmithKline ranks as one of the largest companies by market capitalization. The company wields its might across multiple therapeutic   Read more 

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