Syneos Health's (SYNH) New Microsoft Deal to Expand AI Usage
Syneos Health SYNH recently signed a strategic multi-year agreement with Microsoft to increase AI usage across its clinical and commercial activities for biopharma customers. Under the deal, the company plans to collaborate with Microsoft Research and leverage developments from OpenAI.
The financial terms of the deal were not disclosed.
This latest development is expected to amplify Syneos Health’s Clinical Solutions business.
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With the latest multi-year agreement, the company aims to deliver technology and data solutions with Microsoft. This will expand clinical development and elevate the commercial performance of Syneos Health.
The company has developed an analytics platform that enables the effective deployment of machine learning to support the analysis, design and execution of clinical trials and commercial programs globally.
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According to Microsoft, Syneos Health’s integration of Azure Synapse Analytics, Azure Data Factory, Azure SQL Database and other Azure services will help Syneos Health to develop the platform for delivering therapies faster to biopharma customers.
Under this AI-enabled platform, the company can process and analyze data to fast-track timelines, optimize resource allocation and unlock clinical trial efficiencies.
Other Recent Strategic Partnerships of SYNH
Syneos Health has been progressing well with its partnership deals.
In February 2023, Syneos Health entered into a strategic partnership with Haystack Health, a Roivant Health portfolio company developing advanced Artificial Intelligence and Natural Language Processing solutions, to enhance the identification and enrollment of patients for clinical trials.
In the same month, the company entered into a strategic partnership with Equicare to use proximity, an innovative cloud-based software platform that advances the transfer of clinical trial subject data from multiple electronic health records to the sponsor’s electronic data capture systems.
In January 2023, Syneos Health entered into a strategic partnership with Fosun Pharma USA. As part of the partnership, Syneos Health will provide full-service commercial support through its Syneos One team for the launch of Serplulimab, a novel anti-PD-1 antibody for extensive stage small cell lung cancer (ES-SCLC) in the United States.
In the same month, the company entered into a new strategic partnership with Cryoport. The partnership will support the global advancement of cell and gene therapies, providing the industry's first fully integrated biopharmaceutical and supply chain solution.
In December 2022, Syneos Health extended its strategic partnership with Medable, the technology platform provider for patient-centered clinical trials.
Share Price Performance
Syneos Health has underperformed its industry over the past year. The stock has declined 58.5% compared with the industry’s 41.4% fall.
Zacks Rank and Key Picks
Syneos Health currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are Hologic, Inc. HOLX, Henry Schein, Inc. HSIC and Avanos Medical, Inc. AVNS.
Hologic, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 15.2%. HOLX’s earnings surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average beat being 30.6%.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Hologic has gained 1.7% against the industry’s 17.5% growth in the past year.
Henry Schein, carrying a Zacks Rank #2 at present, has an estimated long-term growth rate of 8.1%. HSIC’s earnings surpassed estimates in three of the trailing four quarters and matched the same in the other, the average beat being 2.9%.
Henry Schein has lost 12.4% compared with the industry’s 10.9% decline over the past year.
Avanos, carrying a Zacks Rank #2 at present, has an estimated growth rate of 1.8% for 2023. AVNS’ earnings surpassed estimates in all the trailing four quarters, the average beat being 11%.
Avanos has lost 13.7% compared with the industry’s 17.5% decline over the past year.
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