New clinical data for experimental COVID-19 treatment indicate a secondary but possibly more important signal for investors: If this antibody treatment works in coronavirus patients, are those vaccines under development.
Regeneron Pharmaceuticals Inc. Regn,
Tuesday shared preliminary data from a phase 1/2/3 clinical trial for REGN-COV2, which found that investigational therapy reduced viral load and some non-milder or moderate cases of COVID-19. Symptoms soon relapsed in hospitalized patients. It was most effective in patients with high viral loads who did not test positive for antibodies. Regeneron’s stock was up 0.1% in Thursday trading.
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Among the different types of treatments being tested as COVID-19 treatments, there are at least two that are called neutralizing antibody cocktails. With Regeneron’s candidate, Eli Lilly & Co.,
One is developing, called LY-CoV555 and produced using plasma from people who have overcome COVID-19 infection. In mid-September, the drugmaker released promising interim data from a Phase 2 trial for LY-CoV555.
Wall Street analysts saw an emergency use authority for REGN-COV2 as something inevitable – “We live in interesting times,” Bernstein analysts wrote in an investor note – and perhaps one that preceded the election in November will come. Geoffrey Porges of SVB Lerink predicts that both Lilly and Regeneron’s antibody cocktail will receive authorization from the FDA this year. Yet what excited him the most was the widespread implication that if an antibody-based cocktail seemed to work in some COVID-19 patients, how would it fulfill the area seen near vaccine development.
“We’re the most focused [second] Derivative read-through, ”Raymond James analysts wrote in a note to investors on Tuesday. “If treatment works, then prophylaxis should work, and if prophylaxis works, then vaccines should work.”
Read: Seven coronovirus vaccine candidates are being tested in the US – here they stand
There are seven vaccine candidates in clinical trials in the US, including four in Phase 3 trials. (Late stage study for AstraZeneca Ezn,
And the Oxford University vaccine candidate is still withheld in the US) The vaccines they use are called S-proteins their immunogen. Regeneron’s therapy involves two different forms of S-protein antibodies.
Bernstein analysts wrote, “Its implications for the timing of market opening are positive.” “To the extent antibody cocktail is available in excess [to] In early 2021, a confident person vaccinated[s] De-distancing will increase. “
So far this year, Regeneron’s stock has gained 50.6%, Lilly’s shares are up 9.9%, and S&S SPX,
An increase of 4.1%.