In this article we will take a look at the 5 best vaccine stocks to buy now. For a detailed analysis of the biopharma industry, go directly to the 10 Best Vaccine Stocks to Buy Now.
5. BioNTech SE (NASDAQ: BNTX)
Number of Hedge Fund Holders: 17
BioNTech SE (NASDAQ: BNTX) is a Germany-based biotechnology firm that makes active immunotherapies for patient-specific approaches to the treatment of several diseases, including cancer. The firm is developing drugs for advanced melanoma, prostate cancer, head and neck cancers, triple negative breast cancer, ovarian cancer, and lung cancer. It also makes drugs for treating solid tumors. The company was founded in 2008 and is placed fifth on our list of 10 best vaccine stocks to buy now.
BioNTech has collaborations with Genentech, Sanofi, Shanghai Fosun Pharmaceutical, and Regeneron Pharmaceuticals. On April 18, the company announced that it would provide 100 million more doses of the COVID-19 vaccine it had developed to the European Union. Out of the hedge funds being tracked by Insider Monkey, San Francisco-based investment firm Redmile Group held the most shares – 580,746 – worth more than $47 million. Ikarian Capital was 2nd with more than 319,900 shares worth almost $26 million.
4. AstraZeneca PLC (NASDAQ: AZN)
Number of Hedge Fund Holders: 41
AstraZeneca PLC (NASDAQ: AZN) is a United Kingdom-based multinational biopharma firm that makes medicines for ailments related to oncology, cardiovascular, renal and metabolism, respiratory, infection, neuroscience, and gastroenterology. The products made by the firm are sold worldwide and it uses distributors and local representatives for marketing purposes. It was founded in 1992 as Zeneca Group PLC but changed the name to AstraZeneca in 1999. The firm is placed fourth on our list of 10 best vaccine stocks to buy now.
The company has a collaboration agreement with the Massachusetts General Hospital for the provision of digital health solutions. It also partners with Sanguina for a smartphone application focused on hemoglobin management in patients with anemia of chronic kidney disease. At the end of the fourth quarter of 2020, 41 hedge funds in the database of Insider Monkey held stakes worth $298 million in the firm, up from 33 in the preceding quarter worth $225 million.
In their Q4 2020 investor letter, Baron Health Care Fund highlighted a few stocks and AstraZeneca Plc (NASDAQ:AZN) is one of them. Here is what Baron Health Care Fund said:
“AstraZeneca PLC is a multinational pharmaceutical company developing drugs across multiple therapeutic areas such as oncology and respiratory diseases. Shares were impacted by news of AstraZeneca’s joint development with Oxford University of a viral-based COVID-19 vaccine. Given a mixed data set due to an unforeseen error in dosing that occurred in the Brazilian market, the vaccine timelines slipped, hurting share performance. Our investment thesis on AstraZeneca is not dependent on COVID-19 but rather its best-in-class large-cap growth profile, and we retain conviction.”
3. Pfizer Inc. (NYSE: PFE)
Number of Hedge Fund Holders: 63
Pfizer Inc. (NYSE: PFE) is a US-based drug giant. Pfizer was one of the first companies to publicly market the coronavirus vaccine and the company has since partnered with many country governments for the supply of the vaccine. The company has a market cap of well over $200 billion and an annual revenue that exceeds $40 billion. The company’s shares are set to rise further as the US government ramps up vaccine production with the aim of vaccinating all adult US population. According to news media reports, the US is administering more than 3 million vaccine doses daily.
Since vaccinating children is one of the foremost challenges in order to get life back to normal across the world, the company has released a study detailing that the vaccine it produces is highly effective for children aged between 12 and 14 years. The study is short in scope, and British firm AstraZeneca has promised a large clinical trial for its vaccine which will begin soon. Past vaccine trials have tended to concentrate on older patients since that age group was the most vulnerable to the coronavirus.
2. Moderna, Inc. (NASDAQ: MRNA)
Number of Hedge Fund Holders: 41
Moderna, Inc. (NASDAQ: MRNA) is a Massachusetts-based pharmaceutical firm that mainly develops drugs and vaccines based on messenger RNA. It is one of the firms that have developed a vaccine for the coronavirus pandemic and struck a deal with several countries for its production and supply. The firm has a market cap of more than $59 billion and posted more than $800 million in annual revenue in October 2020 that is expected to increase to more than $17 billion this year. Moderna is placed second on the list of 10 best vaccine stocks to buy now.
On April 15, equity research firm Oppenheimer gave Moderna a price target of $206 and reiterated an Outperform rating on company stock. Hartaj Singh, an analyst at Oppenheimer, said Moderna fared better than competitors because of efficient production of the vaccine. Out of the hedge funds being tracked by Insider Monkey, London-based investment firm Theleme Partners held the most shares – 5.3 million – worth more than $558 million. DE Shaw was 2nd with more than 3 million shares worth almost $325 million.
In their Q4 2020 investor letter, Baron Health Care Fund highlighted a few stocks and Moderna Inc. (NASDAQ:MRNA) is one of them. Here is what Baron Health Care Fund said:
“Moderna, Inc. is a leader in the emerging field of mRNA-based vaccines and therapeutics. Shares pulled back from highs on likely profit taking, but we are looking past short-term fluctuations to focus on long-term potential. The pandemic has been a strong proof point of Moderna’s platform, with a COVID-19 vaccine coming to market in less than a year versus traditional vaccines that can take a decade. With this success under its belt, we think Moderna has potential to disrupt the entire biopharma space, from infectious disease vaccines to oncology and rare disease treatment.”
1. Johnson & Johnson (NYSE: JNJ)
Number of Hedge Fund Holders: 81
Johnson & Johnson (NYSE: JNJ) is a New Jersey-based multinational firm that makes medical devices, pharmaceuticals, and consumer packaged goods. It was founded in 1886 and is placed first on our list of 10 best vaccine stocks to buy now. The company makes baby care products, skin care products, and medicines for ailments such as allergies and flu. It also has a healthcare line specifically for women. The pharma section of the firm offers products in immunology, infectious diseases, neuroscience, oncology, pulmonary hypertension, and other diseases.
The New Jersey firm also has stakes in neurovascular care products to treat hemorrhagic and ischemic stroke; orthopedics products in support of hips, knees, trauma, spine, sports, and other; advanced and general surgery solutions. The COVID-19 vaccine the firm has developed is one of the most effective ones in the world. At the end of the fourth quarter of 2020, 81 hedge funds in the database of Insider Monkey held stakes worth $5.8 billion in the firm, down from 82 in the preceding quarter worth $4.8 billion.
You can also take a peek at 10 Best Biotech Stocks To Buy For 2021, and Top 10 Best Freelancing Platforms and Websites for 2021.
