Are These The Best Biotech Stocks To Buy Amid Pfizer-BioNTech FDA Approval News?
While investors consider the relevance of both cyclical stocks and defensive stocks now, biotech stocks continue to shine. After all, this part of the stock market today is home to countless companies that research and develop life-saving treatments. As the pandemic continues to rage on across the globe, the industry has and continues to be in the spotlight. Because of this, the world is likely more familiar with the approval process and overall industry jargon than ever. This would also extend to investors who could now turn towards the sector, armed with new knowledge.
For instance, the coronavirus vaccine industry continues to make headlines across the board. Top biotech stocks Pfizer and BioNTech (NASDAQ: BNTX) gained full approval from the FDA this morning for its’ Covid-19 vaccine. We can also look at active names like Novavax (NASDAQ: NVAX) and AstraZeneca (NASDAQ: AZN) to see this. On one hand, Novavax is apparently set to submit data for its approval in the E.U. by October. This would be according to an EU official who told Reuters over the weekend. On the other hand, pharma giant AstraZeneca continues to find more ways to fight the pandemic. On Friday, the company revealed that its antibody treatment has reduced instances of symptomatic COVID-19 by 77%.
Furthermore, there is a vast array of biotech companies working on curing numerous illnesses plaguing the globe. This ranges from companies like BeyondSpring (NASDAQ: BYSI) focusing on cancer to genome sequencing firms like Pacific Biosciences (NASDAQ: PACB). Given all of this, I can understand if investors are eyeing the top biotech stocks in the stock market now. On that note, here are three to consider.
Best Biotech Stocks To Watch Ahead Of September 2021
- Pfizer Inc. (NYSE: PFE)
- Moderna Inc. (NASDAQ: MRNA)
- Regeneron Pharmaceuticals Inc. (NASDAQ: REGN)
Pfizer Inc.
First, on this list, we have biotech giant, Pfizer. The company is a multinational pharmaceutical and biotechnology corporation with headquarters in New York City. The company’s portfolio of medicine spans many medical fields. Today, Pfizer announced that it would buy Canadian drug developer Trillium Therapeutics (NASDAQ: TRIL) in a $2.26 billion deal to strengthen its arsenal of blood cancer therapies. PFE stock currently trades at $49.91 as of 9:35 a.m. ET. The company has also just received full FDA approval for its coronavirus vaccine.
Full federal approval of its vaccine will empower businesses and universities to mandate vaccinations and tip hesitant Americans toward getting the jab. This could also be a crucial time for full FDA approval given how the highly infectious Delta variant continues to spread and the U.S. is experiencing a surge in coronavirus cases. More than 200 million doses of its vaccine have been administered nationwide, immunizing more than 90 million people in the U.S. alone.
In late July, the company also reported its second-quarter financials. Notably, it posted a revenue of $19 billion for the quarter, reflecting operational growth of 86%. Also, its vaccines segment contributed to a huge chunk of this quarter’s revenue, at $9.23 billion. Pfizer also reported an earnings per share of $0.98 for the quarter. Given the success of its vaccine sales, the company has raised its full-year 2021 guidance, with a topline revenue of $80 billion and adjusted diluted earnings per share of $4.05. All things considered, will you add PFE stock to your watchlist right now?
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Moderna Inc.
Moderna is a biotechnology company that is based in Cambridge, Massachusetts. The company focuses on its messenger RNA (mRNA) platform to instruct a patient’s own cells to produce proteins that could prevent, treat or cure disease. MRNA stock currently trades at $393.31 as of 9:45 a.m. ET and has enjoyed gains of over 480% in the past year alone.
Last week, the company announced its supply agreement with Canada to expand its vaccine supply from 2022 to 2024. In detail, the revised supply agreement with Canada will be up to 105 million doses of Moderna’s vaccine and its booster vaccine candidate, if authorized, for delivery through 2024. The agreement will have Moderna provide 20 million doses each year in 2022 and 2023 with the option for an additional 15 million doses each year.
On August 12, 2021, the company also announced a new study showing its coronavirus vaccine maintains antibodies against variants of concern and interest for 6 months. “We are pleased with these new data showing that people vaccinated with two doses of the Moderna COVID-19 vaccine maintained antibodies through six months, including against variants of concern such as the Delta variant. Along with our partners, we are committed to generating data on the Moderna COVID-19 vaccine and sharing this as available,” said Stéphane Bancel, Chief Executive Officer of Moderna. With this impressive piece of news, will you consider MRNA stock a buy right now?
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Regeneron Pharmaceuticals Inc.
Last but not least, we will be taking a look at Regeneron Pharmaceuticals. In brief, it is a leading biotech company that researches treatments for serious diseases. Across its developmental pipeline, Regeneron boasts works regarding cancer, eye diseases, cardiovascular diseases, genome sequencing, and infectious diseases among others. All of which rely on the company’s proprietary VelociSuite tech platform which specializes in antibody production.
As it stands, REGN stock currently trades at $650.86 as of 10:00 a.m. ET after year-to-date gains of over 30%. With the company’s shares trading towards newer heights, could it still have room to run moving forward? If anything, the company remains hard at work on the operational front. Just last week, the company received approval for its antibody cocktail for coronavirus in the UK. Through this collaboration with Roche (OTCMKTS: RHHBY), Regeneron is now working to roll out the treatment with the National Health Service (NHS) in the coming weeks. In the U.S. alone, the company has already distributed over 130,000 doses to address coronavirus outbreaks.
By and large, as coronavirus infections continue to rise, treatments like Regeneron’ would likely become more relevant. Pair this with investor fears over the pandemic now and we could potentially see REGN stock continue to gain. Would you say the same?
