The narrative surrounding pharma companies COVID-19 is developing a new tone. While none of the players involved in the race to bring a vaccine to market have yet to reach the definitive embarrassing regulations, progress is being made with several Phase 3 tears already taking place.
The conversation is now focused on the issue of pricing – how much each company plans to sell its fax.
Moderna has several small volume agreements in place to deliver $ 400 million worth of potential vaccine, bringing the vaccine price in the $ 32- $ 37 range. At a recent presentation, Moderna implied that it values the vaccination at around $ 300 per course. That, this pricing is much lower than what Moderna mRNA-1273 would sell for.
Given the current climate and the desperate need of the public for a vaccine that is in the works, Chardan analyst Geulah Livshits believes the pricing plan “would put Moderna to the forefront among other recently announced government agreements.”
For 100 million doses, the candidate of BNTX / Pfizer will be priced at $ 1.95 billion, Johnson & Johnson’s at $ 1 billion, Sanofi / GSK’s at $ 2.1 billion, and Novavax’s at $ 1.6 billion. The AstraZeneca candidate is priced at $ 1.2 billion for 300 million doses. That, at the lower end of Moderna’s pricing plan, would cost mRNA-1273 $ 3.2 billion per 100 million doses.
For Livshits, the implications of such a premium are clear.
“We believe that it can be challenging for Moderna to negotiate higher prices relative to other players, given what have been (for us) general similar clinical and preclinical profiles so far, and therefore see a high chance of price questions of large volume contracts high toes per dose range, “said the 5-star analyst.
Among Livshits’ colleagues, Moderna remains a popular choice. MRNA’s consensus rating of Strong Buy is based on 12 Buys and 3 Holds. The average price target is only a touch below the Chardan analysts, and at $ 93.67, could deliver gains in the form of 30% in the coming year. (See Modern stock analysis on TipRanks)
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