1 Biotech Stock's Disruptive Diabetes Drug

This episode of The Motley Fool's Market Checkup drills down on the hottest headlines and biggest market movers in the health-care sector. 

In this video, health-care analysts David Williamson and Max Macaluso discuss Lexicon Pharmaceuticals' impressive 20% pop after releasing clinical data for LX4211, a type-2 diabetes drug and the company's flagship asset. 

Lexicon is targeting a large and lucrative market in diabetes, but that also means it will face stiff competition. Lexicon will have to go toe-to-toe with Johnson & Johnson, which has a similar drug, the recently approved Invokana, on the market, and Forxiga, from a Bristol-Myers Squibb and AstraZeneca partnership, seeking U.S. approval.

David and Max take a closer look at the impact of today's news on Lexicon, the challenges the company will face, and whether investors should hop aboard the stock's bandwagon.

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The article 1 Biotech Stock's Disruptive Diabetes Drug originally appeared on Fool.com.

David Williamson owns shares of Johnson & Johnson. Follow David on Twitter: @MotleyDavidMax Macaluso, Ph.D., has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Johnson & Johnson. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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