On Monday, July 12, the stocks of the COVID-19 vaccine maker Pfizer Inc rose. As a result, U.S. health officials are ready to discuss booster shots later in the day.
The drugmaker gained 0.92%, or a net increase of $0.36. This sent the stocks higher at $39.61 per share.
It is expected to open Monday’s session with another 0.10% rise or 0.040 points to $39.65 per share.
Pfizer has been at the front line against the coronavirus pandemic with its vaccine, Cominarty.
In the first quarter of 2021 alone, the company has sold over $3.462 billion worth of vaccines with an estimated revenue of more than $26 billion for the full year.
However, a real-world recent study from Israel found that the efficacy rate of Cominarty fell from 95% to 64%. This is largely due to the surge of the more infectious delta variant.
Nonetheless, Pfizer is still expecting to have total vaccine and biopharma sales to $71.5 billion this year.
This represents year-over-year growth of 70.6% from its 2020 revenue after accounting for the offshoot of its generic drug business, Upjohn.
An analyst said that this level is almost unheard of for a large-cap firm.
At the same time, Pfizer is anticipating that its earnings per share will progress 62% to $3.60 from 2020.
Another analyst stated that the company can maintain a high degree of growth for the next two years based on its strong vaccine demand.
Furthermore, the analyst added that the drugmaker’s stocks are cheap at a meager 11 times price to earnings.
In addition, the firm also posted a profound dividend yield of 4% per year.
Booster Injection Discussion
Based on clinical studies, the vaccine’s protection against severe or critical illness fell from 100% to 93%. This almost guarantees a need for booster shots for future protection.
Due to this, Pfizer announced last Sunday that it would meet federal health officials on Monday to discuss the need for coronavirus vaccine booster dose as it prepares to pursue authorization.
The drugmaker and its partner BioNTech announced their plans to seek the U.S. and European regulatory approval for a third dose amid the spread of delta variants.
Both firms added that the new strain heightened the risk of infection to six months after the initial inoculation.
However, the U.S. Food and Drug Administration and the Centers for Disease Control and Prevention quickly responded that as of the moment, Americans don’t need a booster shot yet.
Even so, the Presidential chief medical adviser stated that they are not dismissing the possible future for boosters, especially infections that have emerged to those who have been vaccinated.