How Profitable Are Vaccine Developers' Stocks?

Published August 23rd, 2021 - 06:00 GMT
Vaccine stocks
Stock markets have been greatly affected by the pandemic. (Shutterstocs: ST.art)

Making the best out of the pandemic is not only limited to switching businesses online, boosting sales of sanitization products, or investing in automation. Some people are also exploring investment options in stocks of pharmaceutical companies that have developed COVID-19 vaccines. 

Ever since Pfizer/BioNTech developed the world's first COVID-19 vaccine in November 2020, eyes have been cast on the financial outcome of this medical scientific breakthrough.

Almost 10 months later, nearly 5 billion doses of anti coronavirus vaccines have been administered across the world, despite the ongoing controversies over their success in combating the novel coronavirus which originated in China's Wuhan in December 2019, before plaguing the whole world.

Most vaccines announced so far consist of two doses, while many experts are now recommending a third dose to boost the immune system for the most vulnerable people.

Available vaccines promise +60% efficacy rates in preventing infections and a near 100% protection against developing deadly cases. Yet, conspiracy theories against vaccines are greatly affecting peoples' decisions to take it or not.

Besides governments' ability to purchase enough vaccines for their populations, other factors are still affecting vaccination rates in different parts of our globe, including vaccines' responses to emerging variants, travel requirements, numbers of shots needed, possible side effects, in addition to the history of success achieved by vaccine developers.

Recently, questions over the Chinese-developed Sinopharm's efficiency against the delta variant have triggered doubts that millions of people who have received it might have to take a booster shot, one that is manufactured by the US-German Pfizer BioNTech.  Additionally, the UK and the European Union have had a fierce debate over possible side effects caused by Oxford's AstraZeneca.

Even though stock markets are still suffering a great deal of volatility in a highly unstable world, stocks of vaccine manufacturers are amongst the most recommended for long-term investors, according to experts

Source: Yahoo! Finance

While investing in vaccine makers' stocks can be risky for the short term, as they are sensitive to each piece of information reported in the news world, vaccine stocks seem to be going up when we look at annual charts. This belief is getting increasingly more popular as governments are authorizing booster shots, which could become an annual need for each individual on earth, helping manufacturers make huge profits for many years, if not decades to come.

The Pfizer stock 

By the start of 2020, only a few months before the world went into the COVID19 emergency, the Pfizer stock was near $37. Now it is nearing $50.

BioNTech

The German co-creator of the world's most popular vaccine kicked off 2020 nearing $40. Currently, it is worth more than $350.

Moderna

The stock of America's second popular choice of the vaccine was near $19 by the start of 2020. Now, it is worth more than $380.

AstraZeneca

The British vaccine's stock started 2020 with near $48 but stands near $60 nowadays.

Johnson & Johnson

Despite it being the US's least popular choice of vaccine, as doubts over its one-shot efficacy against new variants continue, the J&J stock was around $144 by the beginning of 2020, but it is exchanged around $180 currently.

Do you think that investing in vaccine developers' stocks is going to be profitable in the next few years?


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