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On the short side, companies with concentrated LOE exposure, limited pipeline visibility, and high current multiples relative to post-cliff earnings power are the most exposed

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For investors, the categorys value hinges on: the gap between expected patent expiry and effective market exclusivity , including regulatory exclusivity and litigation outcomes, the durability of method-of-use claim coverage for core indications, and the degree to which payers will substitute on clinical outcome equivalence rather than label