Merck & Co., Inc. (MRK), GlaxoSmithKline plc (ADR) (GSK): Shot of Good News for This Vaccine Maker

The Cervarix decline comes at an inopportune time for GlaxoSmithKline plc (ADR) (NYSE:GSK). European austerity measures impacted overall sales last year and the year-over-year drop in Cervarix demand hit in the third quarter. Share prices down over 9% for 2012.

But investors have had time to cope with the slump in Cervarix sales.  Attention is instead focused on the late-stage pipeline, which will serve as the real make-or-break issue for GlaxoSmithKline plc (ADR) (NYSE:GSK) this year.

Foolish final thoughts

Even though the CDC’s study had a narrow focus, the results show that the vaccines are helping to keep dangerous forms of HPV in check. The U.S. needs to increase the number of vaccinated people and this new data might be enough to get some doubtful patients off the fence. And an influx of patients could move Gardasil up the ranks of Merck & Co., Inc. (NYSE:MRK)’s products — and make the company a safer bet after the Singulair loss.

The article Shot of Good News for This Vaccine Maker originally appeared on Fool.com and is written by Brandy Betz.

Brandy Betz has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Brandy is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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