January 24th, 2022 | 11:09 CET
BioNTech, Cardiol Therapeutics, Netflix - The return to normality
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"[...] As a company dedicated to developing treatments for rare heart diseases, we see this as an opportune moment to contribute to the fight against heart disease and make meaningful strides in improving heart health worldwide. [...]" David Elsley, CEO, Cardiol Therapeutics Inc.
Vaccine producers as winners
Since the approval of the vaccine Comirnaty, formerly known as BNT162b2, in December 2020, the bull market of BioNTech, founded in 2008, got rolling. In the process, the Mainz-based Company built on years of research into developing and producing technologies and drugs for individualized cancer immunotherapies based on mRNA. The mRNA contains the "blueprint" for a protein on the surface of the SARS-CoV-2 coronavirus. Through vaccination, this blueprint enters the body's cells via tiny nanoparticles.
Side effects can often include pain at the injection site, fever, headache, and muscle or joint pain. According to experts, inflammation of the heart muscle or pericardium due to mRNA vaccination is extremely rare, but it does occur time and again. The first cases were reported in Israel in the spring of 2021. Studies in the United States established a link between Corona vaccination and myocarditis or pericarditis.
Successful against myocarditis
The treatment of myocarditis is among the future therapies of Cardiol Therapeutics. Because myocarditis is also one of the side effects of current vaccination campaigns, the scientific community is likely to be eagerly awaiting the completion of clinical trials. What is additional is that the Oakville, Canada-based Company relies on an oral cannabidiol formulation pharmaceutically manufactured according to cGMP for its lead product, CardiolRx, which is currently being studied in a Phase II/III outcomes trial.
Recently, researchers at Oregon State University released a research paper titled "Cannabinoids Block Cellular Entry of SARS-CoV-2 and the Emerging Variants," showing that cannabinoids may block cellular entry of SARS-CoV-2 and the emerging variants.
The objective of Cardiol's currently ongoing Lancer study is to evaluate the efficacy and safety of CardiolRx as a cardioprotective therapeutic to reduce mortality and major cardiovascular events in hospitalized COVID-19 patients with pre-existing cardiovascular disease or risk factors for CVD and to evaluate the impact of CardiolRx on key markers of inflammatory heart disease. To read a detailed report on the Company, visit researchanalyst.com/en/report/cardiol-therapeutics-shares-with-blockbuster-potential.
In addition to CardiolRX, which is believed to have blockbuster potential, the biotech company boasts approval of its investigational IND for an international Phase II study from the FDA to evaluate the anti-inflammatory and anti-fibrotic properties of CardiolRx in acute myocarditis, a leading cause of sudden cardiac death in people under the age of 35. With a successfully completed capital increase of USD 50 million, Cardiol Therapeutics is well funded to push ahead with further clinical trials.
Currently, the market capitalization of the share, which is traded not only on the Toronto Stock Exchange but also on the Nasdaq and in Frankfurt, is EUR 98.07 million. If one compares the Company with similar stocks from the industry, whose market capitalization is many times higher, this gap is likely to close quickly if the study results are successful. Cardiol is currently quoted at USD 1.82. The previous high was USD 10.
Various analyst firms have recently expressed optimism for the further development of the shares. In addition to Canaccord Genuity, which issued a price target of USD 8.00, analyst firm Leede Jones Gable even sees CAD 12.50 for the buy candidate. On average, the forecasts of the experts are at CAD 11.00.
On February 17, 2022, Cardiol will present at the "International Investment Forum - IIF" and provide investors with further insight. Interested investors can register free of charge at www.ii-forum.com.
Life with Corona
For now, Netflix investors have had enough. It could well be that instead of pursuing the abundant streaming offer, society is once again devoting itself more to life outdoors. At least, that is how one could interpret Netflix's figures. Despite "Squid Game" & Co., the US company missed its growth target for the expired fiscal year by a wide margin.
In the last quarter of 2021, the global number of subscribers increased by 8.3 million to a total of just under 222 million. As a result, the Company's target of 8.5 million new customers was narrowly missed. Revenue increased by 16% YOY to USD 7.7 billion, and profit grew by just under 12% to USD 607 million.
For the current quarter, Netflix expects only 2.5 million new customers. In addition, operating as well as net income is expected to decline. The stock plunged with a loss of more than 21% to USD 397.50. The next support zone is at USD 387.
Voices are piling up that after the wave of the Omicron variant, normal life could return without major restrictions, which makes Corona winners such as BioNTech and Netflix correct sharply. In contrast, Cardiol's cannabidiol-based products combat heart muscle inflammation, the leading cause of sudden cardiac death, and have significant upside potential if study results continue to be positive.
Conflict of interest
Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may hold shares or other financial instruments of the aforementioned companies in the future or may bet on rising or falling prices and thus a conflict of interest may arise in the future. The Relevant Persons reserve the right to buy or sell shares or other financial instruments of the Company at any time (hereinafter each a "Transaction"). Transactions may, under certain circumstances, influence the respective price of the shares or other financial instruments of the Company.
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