On Friday, the pharmaceutical giant Johnson & Johnson (JNJ) reported the results of Phase-III clinical trials of their COVID-19 Vaccine. Their share price slid by over 3.5%, as their results didn’t meet the expectations.
After BioNtech (BNTX) and Pfizer’s (PFE) vaccine as well as Moderna’s (MRNA) achieved over 90% effectiveness in their vaccines, the bar was raised very high. Johnson & Johnson’s vaccine nevertheless has the benefit of only requiring one shot and does not have to be stored at below zero temperatures.
With a 50% effectiveness threshold at the FDA, it has a good chance of receiving an Emergency Use Authorization in February and could provide a powerful tool in combatting the pandemic.
It also needs to be mentioned that Johnson & Johnson’s Phase-III trial took place during increased mutation occurrence. The efficacy in the U.S. (72%) for instance is higher than in South Africa (57%), which has been affected by a new COVID-19 strain.
While Johnson & Johnson’s stock has performed poorly, it’s competitors rose. In particular BioNtech (+6.3%) and Moderna (+8.5%), which could benefit from the news.