15. September 2021 | 12:17 CET
Valneva, Cardiol Therapeutics, Sartorius: Healthy returns in every market phase
The pandemic has given the healthcare sector a boost. If people were still somewhat hesitant to talk about the digitization of the healthcare system in 2019, the epidemic has clearly revealed where the weaknesses are. New drugs and procedures could also be tested under the new framework conditions. If nothing else, the industry is getting renewed attention as a result. We outline three companies and explain whether the shares have prospects or not.
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ISIN: VALNEVA SE EO -_15 | FR0004056851 , CARDIOL THERAPEUTICS | CA14161Y2006 , SARTORIUS AG O.N. | DE0007165607
Valneva: Here is what happens after the crash
The Valneva share has caused a stir on the trading floor in recent weeks. The French Company is working on a classic inactivated vaccine against Sars-Cov2. This new vaccine could be an opportunity, especially given the remaining 25% or so of the German population who have been unable to get the shot. The assumption is that the willingness to vaccinate could increase with Valneva's vaccine. Many people are skeptical of mRNA technology, which is the basis for vaccines from BioNTech and Moderna. But the vaccine hopes surrounding Valneva have been dampened - the UK withdrew its order.
While the approval process is expected to continue, the hopes of many shareholders have been dashed. As recently as last Friday, the share was trading around EUR 20 - and has crashed to around EUR 12.50 at present. As the order from the UK was the only major order, the situation for Valneva is serious. With such an order behind it, it is much easier to swiftly implement all the necessary investments as part of an approval process. Since analysts have also become more skeptical after the cancellation of the large order, investors should continue to be cautious about Valneva.
Cardiol Therapeutics: Nasdaq investors are taking notice
One company that has benefited from the Corona pandemic is Cardiol Therapeutics. The biotech Company addresses inflammatory heart disease and is in a Phase II trial with its compound CardiolRx. The Company recently received the green light from the US Food and Drug Administration (FDA). The main focus is on the safety of the active ingredient and also the positive effects on patients with acute myocarditis, i.e. inflammation of the heart muscle.
The latter condition can occur in connection with Covid-19 but also as an extremely rare vaccination reaction. As a rule, such inflammations heal without consequences. However, patients with pre-existing conditions, obesity or permanent stress may suffer subsequent damage, and this is where Cardiol Therapeutics comes in. Cardiovascular diseases are one of the most frequent causes of death in Western countries. Cardiol's active ingredients can be regarded as safe and effective with a high degree of probability according to the current state of scientific knowledge, making the shares of Cardiol Therapeutics appear attractive. Since the stock is now listed on the Nasdaq and can attract the attention of the most important biotech investors there, speculative investors should take a closer look at the share. Currently, the value is correcting after a spectacular rise.
Sartorius: Hidden Champion in several areas
The Sartorius share has also experienced a spectacular rise, with the share climbing like clockwork for years. Sartorius makes disposables for drug manufacturing, laboratory instruments and other consumables. In 2020, sales of the relatively conservative Company rose a whopping 27.8%. However, since order intake grew even more dynamically simultaneously, investors need not be alarmed at all about the 2021 figures. Sartorius is benefiting from the pandemic but also from progress in the healthcare system in general. Since Sartorius is active not only in Europe (40% share of sales) but also in the Americas (approx. 34%) and Asia-Pacific (approx. 25%), the Goettingen-based Company is a true hidden champion. On top of that, there is a slim dividend.
Although investors are unlikely to make any more big leaps with Sartorius shares, the stock could become attractive after a correction. Despite the correction, Valneva remains rather uninteresting - the withdrawal of its only customer is unsettling. On the other hand, everything is going according to plan at Cardiol Therapeutics. Here, a promising active ingredient finally seems to be getting the attention it deserves. The share is worth a look, especially during the correction.