Telix Pharmaceuticals  TLX recently announced a major step in expanding access to its next-generation prostate cancer imaging agent, Gozellix, by selecting Cardinal Health CAH as a key U.S. commercial distribution partner. Gozellix, a gallium-68-based PSMA-PET imaging agent, will be supplied as finished unit doses through Cardinal Health’s radiopharmacy network, supporting streamlined delivery to healthcare providers across the country.

This move strengthens Telix’s commercial footprint in the United States and reinforces its commitment to advancing precision oncology. With Cardinal Health’s reach, the company aims to improve patient access and operational efficiency as it gears up for a broader rollout.

Likely Trend of TLX Stock Following the News

Following the announcement, shares of the company closed flat at $14.31 on Tuesday. In the year-to-date period, TLX shares have lost 5.4% compared with the industry’s 11.4% decline. The S&P 500 decreased 15.6% in the same time frame.

The partnership with Cardinal Health could boost TLX stock in the long run by expanding Telix’s commercial reach across the United States, improving access to Gozellix and streamlining distribution through an established radiopharmacy network. As adoption grows and sales of the imaging agent increase, Telix stands to strengthen its market position in precision oncology, potentially driving consistent revenue growth and investor confidence.

Meanwhile, TLX currently has a market capitalization of $4.81 billion.

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More on TLX’s Distribution Deal With Cardinal Health

Telix has entered into a commercial deal with CAH to distribute Gozellix, a newly approved prostate cancer imaging agent. As part of its United States rollout planned for the first half of 2025, Cardinal Health is likely to leverage its nationwide radiopharmacy infrastructure to deliver unit doses of the product, helping Telix expand coverage and improve accessibility across key markets.

To support production, CAH has deployed Telix’s ARTMS QUANTM Irradiation System at selected locations, enabling localized, high-efficiency cyclotron-based manufacturing of gallium-68. This collaboration enhances production scalability and scheduling flexibility, reinforcing the supply chain for prostate cancer imaging.

TLX’s Recent Developments

In March, Telix received FDA approval for Gozellix, its next-generation PSMA-PET imaging agent used in detecting prostate cancer. Designed for PET scanning of PSMA-positive lesions, Gozellix offers a longer shelf life compared to other gallium-based imaging agents, increasing both clinical utility and accessibility for patients across the United States.

In February, the FDA accepted the Biologics License Application for TLX250-CDx (Zircaix), Telix’s investigational kidney cancer imaging agent. The application was granted Priority Review, with a PDUFA decision date set for Aug. 27, 2025. If approved, this could signal a potential U.S. commercial launch later this year.

In February, Telix reported record revenue for 2024. The company reported revenues between AU$745 million and AU$776 million (US$490 million to US$510 million). This performance was driven by Illuccix's strong sales and supported by strategic acquisitions aimed at strengthening the company’s global distribution infrastructure.

Favorable Industry Prospects for TLX

Per a report by Mordor Intelligence, the radiopharmaceutical theranostics market size is estimated to be $2.34 billion in 2025, and is expected to reach $3.96 billion by 2030, at a CAGR of 11.07% during the forecast period. The development of targeted cancer therapy, growing emphasis on personalized medicine, and expansion application of radiopharmaceuticals in diagnostics are factors fueling market growth.

TLX’s & CAH’s Zacks Rank & Stocks to Consider

TLX and CAH both carry a Zacks Rank #3 (Hold) at present.

Some better-ranked stocks in the broader medical space include Masimo MASI and  AngioDynamics ANGO. At present, Masimo and AngioDynamics sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Masimo’s shares have rallied 30.1% in the past year. Estimates for MASI’s 2024 earnings per share (EPS) have increased 1.2% to $4.10 in the past 30 days. MASI’s earnings beat estimates in each of the trailing four quarters, the average surprise being 17.1%. In the last reported quarter, it posted an earnings surprise of 16.6%.

Estimates for AngioDynamics’ 2025 EPS have jumped 2.9% to $2.85 in the past 30 days. Shares of the company have surged 56.7% in the past year compared with the industry’s growth of 12.5%. ANGO’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 8.25%. In the last reported quarter, it delivered an earnings surprise of 7.69%.

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This article originally published on Zacks Investment Research (zacks.com).

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