UPDATED 7:34 AM PT – Friday, January 7, 2022
Pharmaceutical giant Moderna is pushing for the fourth round of COVID-19 boosters. In an interview Thursday, Moderna CEO Stephane Ancel said the efficiency of booster-shots will “likely” decline over time. He added, emerging new variants of COVID-19 will require a fourth dose of the vaccine “for some people.”
Moderna’s stock rose from $115 per share to $215 over the past year as it shipped 800 million doses of its vaccine paid for by national governments. However, easing COVID-19 fears last October led to its stock decline by 34 percent.
“We’re not negative on Moderna from a technology perspective, we think that they’ve invested properly in the business,” explained Goeff Meacham, a senior analyst for Bank of America. “It’s just the assumptions that one needs for boosters to get to consensus forecasts, you know, we’re talking five, eight, 10 billion in 2023 and beyond. I just think that is less likely, I mean, most folks wouldn’t want to get boosted in quarantine and continue this cycle for the foreseeable future.”
— Tim Wood 🇺🇸⚔️ (@TimOnPoint) January 7, 2022
Most economists agree the financial performance of Big Pharma companies depends on how long COVID-19 will last and their stock could tumble once the crisis is over.