Gilead, cancer test makers up after U.S. top court ruling on preventative coverage

Labcorp Holdings

27/06/2025 17:14

Updates

** Shares of Gilead Sciences GILD.O rise 2.8% to $110.62

** U.S. Supreme Court rules in favor of Obamacare preventive care task force

** The task force helps guarantee that health insurers cover preventive care such as cancer screenings at no cost to patients

** Cancer test makers such as Exact Sciences EXAS.O up 3.8% at $53.77 and Guardant Health GH.O up 2.9%

** Labcorp Holdings LH.N, which offers cancer tests, is up 1.5% at $260.73

** The justices in a 6-3 decision reversed the lower court's ruling on Friday which will likely help in allaying investor fears on insurance coverage for PrEP or pre-exposure prophylaxis drugs

** PrEP drugs are approved in the U.S. to prevent HIV infection which are made by Gilead and by ViiV Healthcare, a joint venture of GSK GSK.L, Pfizer PFE.N and Shionogi 4507.T

** "We see somewhat larger uncertainty regarding commercial coverage of Gilead's recently approved twice-yearly injectable HIV PrEP, Yeztugo (lenacapavir)," Leerink Partner says

** Evercore ISI says if patient copays lowered testing volume, then it would impact companies such as Exact Sciences EXAS.O, which has the colorectal cancer test Cologuard

        ** "We think this marks the turn for EXAS shares," Evercore ISI adds

** Including session's move, GILD up 19.6%, EXAS down 4%, LH up 13.7%, GH up 67.8% YTD

 (Reporting by Siddhi Mahatole)

 ((siddhi.mahatole@thomsonreuters.com))