Pfizer’s market cap is about $202 billion (Yahoo Finance) and the growth of big pharmaceutical companies in the market tends to be exponentially slow. First, this can be explained in the different market caps between the two companies. On the other hand, Pfizer only grew about 20% from the start of the pandemic. This constitutes a growth rate of 550% during the past year from the once-small American biotech firm. In March 2020, right before the pandemic truly began, Moderna stock was priced around $20, compared to its current price of $130 (as of April 1). Many surprising findings can be found when looking at the growth of both Moderna’s and Pfizer’s stock over the past year. It is important to note that Pfizer has paired up with BioNTech, a biotech company out of Germany, to produce their joint mRNA vaccine (Hopkins, 2021). Additionally, Biotech companies typically base their drugs on genetic engineering (i.e., DNA, and RNA), while pharmaceutical companies make their drugs using a chemical base (Noonan, 2021). The Biotech industry, home to companies such as Moderna, BioNTech, and NovaVax, is much smaller and has less established than the companies included in Big Pharma, which are often accused and criticized of severely overpricing their drugs and medications. Big Pharma, which includes companies like Pfizer and Johnson and Johnson, are both large businesses that research and produce drugs. However, this is not the case and there are many reasons why, Pfizer’s stock, specifically, has failed to keep up with its vaccine competitor, Moderna.įirst, it is important to understand both the pharmaceutical and biotechnology industries as a whole. With such positive results and discussion in both the media and everyday life, conventional thought would imply that Moderna and Pfizer stocks would both have surged throughout this pandemic, as their vaccines are being injected into millions of people globally each day. These two companies, which have both developed an extremely effective m-RNA based vaccine, have the potential to help bring the world out of the COVID-19 pandemic, boost the economy back to its pre-COVID levels, and save millions of lives. Over the past six months, Moderna and Pfizer have transformed themselves into household names.
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