Why Pfizer, BioNTech, Moderna and Novavax Shares Are Dropping Today

    Why Pfizer, BioNTech, Moderna and Novavax Shares Are Dropping Today   The enthusiasm and appeal over full FDA approval of the Pfizer-BioNTech vaccine is waning.  

Situation

Shares of several top COVID-19 vaccine manufacturers sank on Tuesday. Pfizer (PFE (NYSE) $47,51 +0,01 (+%0,02) stock rose 2.7% as of 11:09 p.m. EDT  and Shares of its partner, BioNTech BNTX (NASDAQ) $376,03 0,00 (%0,00 ), fell 7%. Shares of other Vaccine Manufacturers also fell. Actually It is useful to examine the reasons for the decline in these vaccine stocks. The biggest reason seems to be that each stock jumped nicely on Monday after the U.S. Food and Drug Administration fully approved the Pfizer-BioNTech vaccine, then investors made some profits so put downward pressure on prices.

What happened.

It's really no surprise that these stocks gave up most of Monday's gains. The anticipation of FDA approval for the Pfizer-BioNTech vaccine was fully known. It is also true that this approval will not financially affect Pfizer or BioNTech in the short term. If Pfizer and BioNTech haven't seen any near-term financial benefits from full FDA approval, other vaccine manufacturers certainly haven't.

Why Pfizer, BioNTech, Moderna and Novavax Shares Are Dropping Today

Although Moderna has yet to gain full FDA approval for its COVID-19 vaccine, it is practically a fact that approval will be on the way. In contrast, Novavax should keep in mind that the COVID-19 vaccine candidate has not yet applied for a US Emergency Use Authorization.

Conclusion

 Pfizer, BioNTech and Moderna are expected to gain EUAs for their vaccines in younger children in the next few months. Companies will also pursue full FDA approvals in these age groups. In fact, the important thing to watch for all these stocks is the supply deals they secure for 2022 and beyond. All these companies have already signed many supply agreements for delivery from next year.  

Source: The Motley Fool

 

You may also be interested in:

 

Top 10 Winners and Losers of the Cryptocurrency Market