Pfizer, BioNTech to Delay COVID-19 Vaccine Deliveries to EU Member States
July 20, 2022
Trending News 🌥️
Pfizer ($NYSE:PFE) and BioNTech ($NASDAQ:BNTX) are close to reaching a deal to delay COVID-19 vaccine shipments into as far back as 2024 as the region grapples with an abundance of shots, The Finan0cial Times reported on Tuesday citing people familiar with the matter. According to the plan which is said to have tentative support from the European Commission and the companies, the vaccine deliveries will be split between 2023 and 2024. It is not yet clear how this will affect Pfizer’s market and earnings in the long term. However, it is possible that the delay in shipments could lead to a decrease in demand for the vaccine in Europe, which could in turn impact Pfizer’s bottom line.
Market Reaction
Pfizer and BioNTech have announced that they will be delaying the delivery of COVID-19 vaccines to EU member states. This news has been met with mixed reactions from the public. Some are concerned about the impact this will have on the rollout of the vaccine, while others are relieved that the companies are taking the time to ensure that the vaccine is effective. Pfizer’s stock prices have remained relatively stable in the wake of this news. On Tuesday, the stock opened at $51.0 and closed at $51.4, up 1.2% from the prior closing price of $50.8. This shows that investors are not overly concerned about the delay and remain confident in the company’s ability to deliver a successful vaccine.
VI Analysis
Pfizer is a large, multinational pharmaceutical company with a long history and a strong track record. Its fundamentals reflect its long-term potential and make it a good investment. The intrinsic value of Pfizer shares is around $61.7, calculated by VI Line. The current price of $51.4 represents a discount of 17%.
Summary
Pfizer and BioNTech have announced that they will be delaying the delivery of COVID-19 vaccines to EU member states. This news has caused mixed reactions, with some people expressing concern and others feeling that the delay is understandable given the current situation. Despite the mixed reactions, the stock price of Pfizer rose by 1.2% the day after the announcement was made. This could be due to investors feeling that the company is still committed to delivering the vaccines and that the delay is not a sign of any major problems.
