Drug companies likely don’t have much to fear from President Donald Trump’s push to lower prescription drug prices, according to a recent article in The Street.
Evercore ISI investors say the actions listed in Trump’s drug pricing blueprint and request for information will amount to some savings, but those are “relatively modest.” Investors also predicted no major waves in the pharmaceutical industry.
Trump alluded to “big news” and changes during a bill signing ceremony Wednesday, and predicted that major companies would soon announce “voluntary massive drops in prices.”
Trump offered no evidence to substantiate this claim, however.
Evercore ISI questioned whether the administration would follow through on its threats by forcing gross-to-net spreads to narrow the rebate system or revisiting the anti-kickback safe harbor.