Despite the promising trial data, a viable – and profitable – vaccine is still some way off
The stock market is cruel. AstraZeneca’s reward for unveiling promising data for its “vaccine for the world”, developed in partnership with Oxford University, was a 3.8% fall in its share price. No gratitude there – just a decline of roughly £4bn in the company’s value.
Investors have to react somehow, but the strong response looks odd. AstraZeneca, remember, has pledged to distribute the vaccine at cost during the course of pandemic. For the purposes of that pledge, it’s a little vague who decides when the pandemic is over. But it has always been reasonably clear that AstraZeneca won’t make profits from the initial orders that have been received from governments and international bodies. So the day when the company can move to a for-profit model (with supplies to poorer nations remaining at cost) is still some way off.