You may have thought that the coronavirus vaccine race was over when Pfizer (NYSE: PFE) crossed the finish line first in December. But there is a new vaccine race underway. And this is the race to prove that a vaccine can protect against new viral strains. Variants from Brazil, the United Kingdom and South Africa are of concern to the scientific community (and the rest of us) at the moment. But it is possible that new variants of concern may arise in the future.
Johnson & Johnson (NYSE: JNJ) highlighted exactly how his experimental vaccine worked against these new strains in his phase 3 trial. A US Food and Drug Administration (FDA) advisory committee meets on February 26 to discuss possible emergency use authorization that candidate.
But Johnson & Johnson is not alone. Other companies are showing us how their vaccines can beat new varieties – or are developing new ways of doing the job. Here’s a look at some of the notable players in this new race.
Image source: Getty Images.
Johnson & Johnson
The Johnson & Johnson phase 3 clinical trial unfolded as worrying tensions gained strength. This allowed the company to measure the performance of its experimental vaccine against these strains in a real-world setting. The result? The candidate showed 66% effectiveness in Latin America (where the Brazilian strain is common) and 57% effectiveness in South Africa (home of the South African strain). The vaccine has shown 72% effectiveness in the United States, where cases of the UK strain are still increasing.
This is very positive news for two reasons. First, unlike its main rivals, Johnson & Johnson has developed a one-dose candidate, so that level of effectiveness after just one dose is great. In addition, the FDA originally set a barrier to the US with 50% or better effectiveness – and Johnson & Johnson surpasses that mark even against the South African strain.
Modern
Modernin (NASDAQ: MRNA) the vaccine is already on the market. The biotechnology company tested the product in vitro against strains in the UK and South Africa and found that it is still protective. But Moderna does not stop there: it is investigating two possible reinforcements to further increase immunity.
One of the boosters would be a third dose of the vaccine – the idea is that it could further increase the levels of neutralizing antibodies, which block the infection. The second reinforcement under investigation is that which specifically targets the South African strain. If this second driver works, Moderna could update it as new variants of concern emerge. Moderna says it is moving this strain-specific reinforcement to pre-clinical and phase 1 testing.
Novavax
Novavaxin (NASDAQ: NVAX) the phase 3 trial in the UK and the phase 2b trial in South Africa allowed the company to see how its candidate vaccine dealt with the common variants in each country. The trials showed 85.6% effectiveness against the UK strain and 60% effectiveness against the South African strain.
Like Moderna, Novavax plans to increase its chances of dealing with new strains effectively. The company said it was working on a booster or vaccine candidate that could target more than one strain. The expectation is to start clinical trials of candidates in the second quarter of this year.
Gritstone Oncology
Gritstone Oncology (NASDAQ: GRTS) is farther from the finish line than the rivals mentioned above. The company recently signed an agreement with the National Institute of Allergy and Infectious Diseases to launch clinical trials.
Current vaccines target the peak protein of the original coronavirus. This is the protein that infects healthy cells. Gritstone’s experimental vaccine includes not only the peak protein antigen, but also other viral antigens. That way, even if the mutations greatly transform the coronavirus spike protein, our immune system will recognize the other antigens. This may make the Gritstone candidate more effective against new strains than vaccines targeting only the spike protein. Pre-clinical studies were encouraging, showing high levels of neutralizing antibodies and immune system responses.
Ocugen
Ocugen (NASDAQ: OCGN) recently finalized an agreement that allows to co-develop and commercialize the experimental vaccine of Bharat Biotech International in the United States. India recently obtained emergency clearance in its home country, India.
The product, Covaxin, resulted in long-lasting immune responses to various viral proteins and demonstrated neutralization capacity between strains, according to Ocugen’s CEO. Bharat has not yet reported the phase 3 data, but earlier this year he said he would do so by March. Ocugen started talks with the FDA about a path to the US. But it is not clear how long the process will take.
CureVac
CureVac (NASDAQ: CVAC) started the main test of its candidate vaccine against coronavirus in December. The company, like Pfizer and Moderna, is working on a messenger RNA (mRNA) vaccine. More recently, CureVac has partnered with the UK government to develop potential vaccines to deal with coronavirus variants. Any vaccine resulting from the partnership would initially be produced and distributed in the UK
CureVac said its current vaccine program “will benefit” from work on this new project. The company did not offer details, but we can imagine some options, including the addition of a new candidate vaccine strain as a reinforcement to the current experimental vaccine.
What does all this mean for investors?
Each of these programs offers at least one attractive element. But at this stage, I’m more confident about those closest to the finish line: Johnson & Johnson, Moderna and Novavax. I don’t expect Johnson & Johnson to offer investors big gains from their progress. The company does not plan to benefit from vaccine sales during the pandemic, and it is difficult for a company with a market capitalization of $ 435 billion to make major moves in terms of share prices.
Moderna is closer to the finish line in this new race – in the United States. The biotechnology company has already launched studies of its boosters. And it has a new recent advantage: the Biden administration has just bought enough vaccine doses to immunize all Americans, both from Moderna and Pfizer. So if Moderna launches a booster, it could really close its business as a leader in the American market.
Novavax can become a leader in the international market. The data released in the UK and South Africa tests showed good performance in relation to the worrying variants. A possible reinforcement can move the needle from “good” to “excellent”.