Affymetrix Boosts GeneAtlas System - Analyst Blog

Genetic products maker Affymetrix (AFFX) has introduced a new gene expression microarray designed for use on its coveted GeneAtlas personal microarray system. The new Human Genome (HG)-U133+ PM Array Strip allows processing of four samples on a single array strip at a time using the GeneAtlas system, the industry’s first personal microarray analysis solution. 

Affymetrix’s GeneAtlas platform consists of the GeneAtlas microarray system and gene expression array plates. The GeneAtlas system has been designed to address the need of the researchers for an easy-to-use and affordable microarray solution for whole-genome analysis, allowing them to have control of their samples and expedite their pace to results and publication.

The HG-U133+ PM Array Strip leverages the knowledge acquired from various sources such as GenBank UniGene, RefSeq and the National Center for Biotechnology information (NCBI) to offer a comprehensive view of the transcribed human genome (transcription is the production of RNA copies of the DNA). It enables multiple independent measurements per RNA transcript while offering improved productivity and efficiency through parallel processing.

The availability of the HG-U133+ PM Array Strip on the GeneAtlas system allows scientists to publish results more rapidly by leveraging the most relevant whole-genome information, easy workflow as well as high sequence coverage and data confidence.

Affymetrix, in January 2011, embarked on a pact with Fischer Scientific Inc, a unit of Thermo Fisher Scientific (TMO), to distribute the GeneAtlas system across the U.S. and Canada. The agreement enables the company to leverage Fisher Scientific’s leadership in the life sciences industry to expand sales in research markets.

Along with Illumina Inc. (ILMN), Affymetrix is one of the two major providers of microarray technologies primarily used in the field of genetic research. The company holds a leading position in the gene expression products and services market.

Affymetrix is enjoying steady end-user demand for its arrays and is expanding its customer base through new product launches. Moreover, the company is pursuing a number of strategies (including expansion into new markets) aimed at expanding its top line, representing a top priority in 2011. Its shift of focus to high-growth markets represents a positive step for future revenue growth. 

However, Affymetrix is operating in an intensely competitive industry and faces risks associated with lower R&D spending by its customers, notably in Europe, due to a weak economy and government actions (such as budget cuts). Our Neutral recommendation on the stock is in consensus with a short-term Zacks #3 Rank (Hold).

AFFYMETRIX INC (AFFX): Free Stock Analysis Report

ILLUMINA INC (ILMN): Free Stock Analysis Report

THERMO FISHER (TMO): Free Stock Analysis Report

Zacks Investment Research