Valneva, Cardiol Therapeutics, BioNTech - Recurring businesses

Cardiol Therapeutics - Milestone

The new Nasdaq-listed biotech Company Cardiol Therapeutics is currently accompanied by consistently positive news. And since the emergence of the SARS-CoV-2 virus, the research work of the Canadians has been more important than ever. Cardiol Therapeutics focuses on producing pharmaceutical cannabidiol (CBD) products and developing innovative therapies for heart disease, including acute myocarditis and other causes of heart failure. Concerning vaccinations, inflammation of the heart muscle and pericardium occurred in the aftermath of vaccinations with mRNA vaccines, particularly in younger people.

The blockbuster product CardiolRx, a highly purified and concentrated oral cannabidiol formulation, has now recently received clearance from the FDA for an IND (Investigational New Drug) application for a Phase II clinical trial in acute myocarditis. The study is expected to enroll 100 patients in clinical centers in the United States and Europe. The IND approval represents another important milestone in pursuing new treatment options for patients with inflammatory heart disease. Results from the Phase II trial are expected to be announced as early as the first quarter of 2023. If the trial goes through smoothly, valuations, currently at a market cap of EUR 159.16 million, are expected to skyrocket.

The Nasdaq listing should already result in greater attention to the stock. The share price is quoted at CAD 5.40 on the home exchange in Toronto. The analysts of GBC Research already assign a price target of CAD 17.49.

Valneva - Battle for customers

Good tolerability, few, at least known, side effects and long-term studies carried out show the advantages of a classic inactivated vaccine over novel mRNA gene therapeutics. With these advantages, Valneva wanted to enter the market with its vaccine called VLA2001, which is currently in the third phase, and lure more vaccine skeptics in front of the stove. Here, Valneva plans to release more clinical trial data in October.

However, the French received a bitter blow with the withdrawal of their only customer, the British government. Now hopes rest on talks with the European Union. Unlike the British, the EU is showing further interest in the vaccine. At the level in the area around EUR 11, the horror news now seems to be slowly digested. Interested investors aware of the risk should the EU also lose interest in the inactivated vaccine are offered an entry opportunity at this level. If a customer is acquired, the stock market value is currently EUR 1.05 billion, providing a multiplication opportunity.

BioNTech - Ahead of the competition

The sparrows were already whistling it from the rooftops. The vaccine Comirnaty of the German Company BioNTech and its US partner Pfizer was able to achieve partial success at the advisory committee of the regulatory authority and, at least for a short time, to distance itself from its most significant competitor Moderna. After an advisory meeting on booster vaccinations, the latter announced that the application to recommend booster vaccinations for all persons 16 years of age and older would not be endorsed.

On the other hand, nothing stands in the way of booster vaccinations for people 65 and older and those with pre-existing conditions. These people should receive a booster vaccination with Comirnaty at an interval of six months after the last vaccination. A booster has also been made available for healthcare workers and other professions with an increased risk of contact. The FDA now plans to make a final decision soon. However, it can be assumed that the regulatory authority will follow the view of the advisory committee.

The share corrected by around 3% in trading after the announcement was published. Due to positive news flow, which is expected to remain, a breakout above the sideways trend formed early August at around USD 375 seems likely.

The topic of vaccines will continue to occupy society and the capital market for a long time to come. While BioNTech is likely to continue its winning streak, Valneva is a top or bottom play. Cardiol Therapeutics offers high long-term potential in the field of heart disease.