Jazz Pharmaceuticals

Jazz's HER2 cancer drug zanidatamab delivered what doctors called practice changing results in first line stomach and esophageal cancer, with benefits holding up across every major patient group tested. Jazz plans to file with the FDA in the first half of 2026 with a possible approval and launch by late 2026. Management sizes the opportunity at over 2 billion dollars a year.

Jazz now runs three franchises each pulling in over a billion dollars a year, in rare sleep, rare epilepsy, and rare oncology. Their epilepsy drug Epidiolex and sleep drug Xywav both cleared a billion dollars in 2025 sales, and the newly acquired brain cancer drug Modeyso added nearly 50 million dollars in its first few months. Jazz also holds over 2 billion dollars in cash and investments.

Revenue grew just under 5 percent over the past year, which is modest for a company leaning this hard on new launches. Net profit margin sits at a razor thin 0.66 percent on a trailing basis, squeezed by the Chimerix acquisition and the cost of launching multiple drugs at once. Jazz needs the big 2 billion dollar cancer opportunity to actually arrive on schedule.

Almost everything exciting here happens in the future. The cancer filing is planned for the first half of 2026, approval is only hoped for by late 2026, and the breast cancer trial data does not read out until late 2027 or early 2028. Any regulatory delay pushes the payoff out by a year or more while costs keep running.