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This story originally appeared on StockMarket
Is now the time to invest in these biotech stocks?
Some of the top biotech stocks have done exceptionally well in the stock market. One reason for this could be the fact that the world is currently still plagued by COVID-19. As the rollout of vaccination continues, these vaccine companies can continue to make profits. For example, Moderna (NASDAQ: MRNA) reported total sales of $ 803 million in its most recent financial data. We all know that the importance of healthcare and the pandemic have only increased the value of the biotech industry. However, it has always been known that biotech stocks are a high risk, high return investment. A positive clinical result or an update may result in an increase in the stock valuation. At the same time, a negative result or an update can cause these stocks to fall.
Take, for example, Alexion Pharmaceuticals (NASDAQ: ALXN) and AstraZeneca (NASDAQ: AZN). Last week there was an announcement that the US Federal Trade Commission had approved the merger of the two companies. Last December, the two companies reached a definitive agreement for AstraZeneca to acquire Alexion for $ 39 billion. The announcement had caused Alexion shares to soar over 30% in December. This acquisition would certainly strengthen the combined company's position in immunology.
That said, it is still a challenge for investors to navigate biotech stocks and their growth potential. However, with proper research and due diligence, investors could make informed decisions about which biotech stocks to bet on. With that in mind, do you have this list of the best biotech stocks to buy on the stock market next week?
Top Biotech Stocks To Buy (Or Avoid) In April
Johnson & Johnson
Johnson & Johnson (JNJ) is engaged in the research and development, manufacture and sale of a range of health care products. It operates in its three segments; Consumer, pharmaceutical and medical products. Recently, the company had some setbacks with its vaccine causing some side effects. However, many regulators believe that the benefits continue to outweigh the risks. Despite the negative news surrounding the company, the share price appears to be relatively unaffected. There is also news of the imminent resumption of vaccine distribution. Could this cause JNJ stock to retest its all-time high?
On Wednesday, JNJ announced that the Pharmacovigilance Risk Assessment Committee (PRAC) of the European Medicines Agency (EMA) has updated its guidelines for the use of the vaccine. On the recommendation of PRAC, the company will begin supplying COVID-19 vaccines across Europe. In addition, JNJ is optimistic about meeting its commitment to ship 100 million cans in the US and 200 million cans across Europe.
In addition, the single-shot COVID-19 vaccine is expected to be imported into India from JNJ by June or July to be "filled and ready" there. Filling and finishing is the final step in the manufacturing process of filling the vaccine into vials or syringes. As the company is about to resume vaccine sales activities, it should clear some doubts among investors. Given all of these factors, would you consider buying JNJ stock now?
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Next we have the multinational pharmaceutical company Pfizer. The company was the first coronavirus vaccine company to have its vaccine candidate approved by the FDA for emergency approval. As of April 22, 2021, over 114 million doses of Pfizer vaccines will be administered in the United States. However, PFE shares have been trading sideways for a year. That could well change as the company continues to make new positive discoveries regarding the vaccine.
In March, the company announced positive results in a phase 3 adolescent trial for its coronavirus vaccine study. In essence, the company reported that its vaccine for adolescents ages 12-15 showed 100% effectiveness and robust antibody responses. Could Pfizer be the first company to get a vaccine for adolescents? Your guess is as good as mine.
In addition, the company found that its vaccine was effective in preventing symptomatic and serious illnesses in people with chronic illnesses. This analysis included nearly 1.4 million people from Israel's largest healthcare provider. It goes without saying that this will give hope to investors and countries receiving Pfizer vaccines. As an aside, the company will also sign a contract this month to ship an additional 50 million doses of vaccine to Japan by September. This is the result of the sudden surge in cases in Japan. In fact, the government is considering declaring a state of emergency for Tokyo and Osaka. With that in mind, would you consider being a PFE stock investor?
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Next, Ocugen. This is a company that has traditionally focused on developing remedies for blindness diseases. The company's pipeline product includes OCU400, a novel candidate for gene therapy products that restore retinal integrity and function in a range of genetically diverse inherited retinal diseases. However, with the onset of COVID-19, the company had the opportunity to take part in the COVID-19 race. Ocugen has worked endlessly to advance the development of the COVID-19 vaccine candidate Covaxin together with partner Bharat Biotech. The company's shares rose a whopping 42.92% on Thursday. In less than six months, the stock is up over 3000%.
What could be the trigger for this sudden hike? By working with Bharat Biotech, an Indian vaccine specialist, the company hopes to bring Covaxin to the United States. On Wednesday, his partner Bharat announced interim results of a phase 3 study. The analysis showed a vaccine effectiveness of 78% against mild, moderate, and severe COVID-19 illnesses. The effectiveness against severe COVID-19 illnesses was also 100%, which resulted in fewer hospital admissions.
To top it off, the effectiveness against asymptomatic patients was 70%. This would lead to a reduced transmission in Covaxin recipients. Given these exciting new results, would you jump on the OCGN stock car?
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Regeneron Pharmaceuticals Inc.
In conclusion, we have one of the leading biotech companies developing drugs for serious diseases, Regeneron. Regeneron has several FDA-cleared products in its portfolio and several candidates in the pipeline over the past several years. However, the company's stock traded sideways over the past year. This recent weakness could potentially be a buying opportunity for investors, given the company's merits.
Last Monday, the company provided positive data from a late-stage study of recently infected asymptomatic COVID-19 patients. The new data from the Phase 3 study shows that a single shot of Regeneron's COVID-19 antibody cocktail prevented symptoms in 81% of infected people.
In addition, symptomatic people were able to resolve their symptoms an average of two weeks faster than those who received a placebo. Regeneron is also in a good place financially. For the fiscal year ended December 31, 2020, the company's revenue increased 8% to $ 8.5 billion. Net income also rose 66% to $ 3.51 billion. Would these new insights make REGN stock a buy for you?