In Search for the Best COVID Stock: Moderna vs Pfizer
If you’re interested in investing in stocks, you’ve probably spent a fair amount of time researching stocks that can fill out your portfolio and help you reach your long-term and short-term financial goals. One of the more popular ways to choose investment stock is to look at what is current and what is trending. And the one thing that is at the top of the world’s mind is COVID. In case you are considering how to make COVID work for you, buying stock in the pharmaceutical companies that are manufacturing COVID-19 vaccines may be the option for you. Let’s look at how the two main companies stack up.
Moderna
When the European Commission authorized the conditional use of Moderna’s (MRNA) coronavirus vaccine, the company’s stock went up. Once Moderna announced that they were approved for adults in India, the company saw another increase in share price. The company is projected to profit $18.4 billion from its COVID vaccine. After almost a decade of losing money, 2021 is sure to be a company best. Undoubtedly the company will put those profits back into the company. Moderna is expected to do more research and development on its runner-up COVID vaccine, which if approved will further boost profits. There is also talk of vaccines for influenza, Zika virus, HIV and Epstein-Barr virus. Moderna is likely the choice for more aggressive investors.
Pfizer
Although Pfizer (PFE) also won the race to acquire vaccine authorization, the company did not see the same surge in stock as Moderna. It is worth noting that Pfizer has to split its profits with BioNTech. And that the company is on track for major gains with or without the COVD vaccine. Another bonus for potential investors is the subsidizing of Viatris, which is handling older Pfizer drugs that could slow the company down. And any investor would be excited about it’s dividend yield. Pfizer is a fairly good bargain and less risky of a stock, all things considered; and it’s a more likely choice for investors looking for income since Moderna does not offer a dividend.
Other Companies
Of course there are other companies within the United States and abroad that are manufacturing vaccines that are being publicly traded. If you feel like one of these other companies is more your portfolio’s speed, then by all means, dig a little deeper and go for what excites you. Some other companies to look into include Johnson & Johnson, Novavax, Astra Zeneca, Bharath Biotech and Inovio. There are plenty of others around the world, so choose judiciously. You can also go with a biotech index fund and get the good out of multiple stocks in the biotech industry.
You have to pay attention to the little things, the international things and the seemingly benign things when choosing the best COVID stock. Keep in mind that stocks are considered long-term investments in most instances. If you’re still not sure which you’d prefer, you can invest in fractional shares with companies like Robinhood.
