10 Best Russell 2000 Stocks to Invest in According to Analysts

3. Vaxcyte, Inc. (NASDAQ:PCVX)

Upside Potential: 72.41%

Stock Price as of January 16: $86.94

Number of Hedge Fund Investors: 30

Vaxcyte, Inc. (NASDAQ:PCVX) is a biotechnology company that is developing next-generation pneumococcal conjugate vaccines (PCVs) to prevent bacterial infections such as invasive pneumococcal disease (IPD). The company leverages its cell-free protein synthesis platform to create vaccines that offer broader and more effective protection against a wide range of pneumococcal diseases.

Vaxcyte, Inc. (NASDAQ:PCVX) is strategically focusing on advancing its VAX-31 pneumococcal conjugate vaccine, into Phase 3 trials. This decision was driven by the Phase 1/2 data that VAX-31 showed met non-inferiority criteria for the 20 serotypes similar to Pfizer’s Prevnar 20 and demonstrated superiority for the 11 additional serotypes. This expanded coverage addresses a critical gap in the existing PCV market, where existing vaccines such as Pfizer’s Prevnar 20 and Merck’s Capvaxive (21-valent) cover a significant but not comprehensive range of serotypes. By targeting a wider array of serotypes, VAX-31 aims to reduce the overall burden of IPD and potentially capture a larger market share.

Furthermore, Vaxcyte, Inc. (NASDAQ:PCVX) is also investing in additional research and development activities for other vaccines, such as advancing the VAX-24 and VAX-31 in pediatric populations and exploring new vaccine targets.