- Covid vaccine makers' stocks soar on Omicron variant concerns last week.
- Moderna Stock Slides After CEO Says Current Vaccines Will Struggle Against Omicron.
Shares of Covid-19 vaccine makers jumped on Friday, and again early on Monday, as global health officials sounded alarms about the new variant known as Omicron first identified in southern Africa. As Omicron Wreaks Havoc on the Market, How Should Vaccine Makers Respond?
$Pfizer(PFE)$
$Pfizer(PFE)$ closed out November trading with its best monthly advance in 30 years, as renewed virus fears revive the market’s focus on vaccine makers. The stock rose 2.5% to $53.73 in New York trading on Tuesday, ending the month with a 23% gain -- the most since 1991. Pfizer is up about 46% so far this year, with its dividend boosting the total return to more than 50%.
BioNTech and Moderna- the two messenger-RNA COVID vaccine giants - are racing to be the first companies to produce an effective vaccine against this latest strain.
$BioNTech SE(BNTX)$
BioNTech‘s American depositary receipt jumped 14.2% Friday but back to 351 on Tuesday.
$Moderna, Inc.(MRNA)$
Moderna‘s CEO predicted a “material drop” in the effectiveness of current vaccines against the Omicron variant and warned it could take months for drug companies to manufacture the new jabs at scale. Moderna stock was sliding on Tuesday.
$Novavax(NVAX)$
Shares of Novavax(NVAX), another company that is seeking approval from the United States' Food and Drug Administration for its Covid vaccine, were up 9% Friday but gave back a big chunk of those gains.
The stocks of two other vaccine manufacturers —Johnson & Johnson(JNJ) and AstraZeneca(AZN)— moved only modestly.
$Johnson & Johnson(JNJ)$
$AstraZeneca PLC(AZN)$
Investors are hoping that the major vaccine makers will be able to quickly update their Covid vaccines so that it can offer protection for the Omicron variant.
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