Drug stocks tumbled across the board on Wednesday with Hillary Clinton’s latest jab at the industry, spurred by the current backlash against EpiPen-maker, Mylan (MYL).
Millions of Americans with severe allergies rely on their EpiPens. When an allergic reaction leads to anaphylactic shock, a shot of epinephrine can literally be the difference between life and death. But now, just as parents are about to send kids with severe food and insect allergies back to school, the EpiPen’s manufacturer is hiking its price to an all-time high.
Over the last several years, Mylan Pharmaceuticals has increased the price of EpiPens by more than 400%. They’re now charging up to $600 for a two-EpiPen set that must be replaced every 12-18 months. This both increases out-of-pocket costs for families and first responders, and contributes to higher premiums for all Americans and their employers.
That’s outrageous — and it’s just the latest troubling example of a company taking advantage of its consumers. I believe that our pharmaceutical and biotech industries can be an incredible source of American innovation, giving us revolutionary treatments for debilitating diseases. But it’s wrong when drug companies put profits ahead of patients, raising prices without justifying the value behind them.
That’s why I’ve put forward a plan, hrc.io/2c7gjuI, to address exorbitant drug price hikes like these. As part of my plan, I’ve made clear that pharmaceutical manufacturers should be required to explain significant price increases, and prove that any additional costs are linked to additional patient benefits and better value. Since there is no apparent justification in this case, I am calling on Mylan to immediately reduce the price of EpiPens.
In addition, when it comes to treatments like delivering epinephrine that have been available for decades, my plan encourages the production of alternative products. That’s how we can harness the power of competition to keep drug prices at a level that all Americans can afford.
Clinton’s last major tweet about the pharmaceutical sector, one year ago in September, predicated the sector’s 20% decline through the end of that month. 
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