Pharmaceutical company BioNTech (NASDAQ:BNTX), which along with fellow pharmaceutical company Pfizer (NYSE:PFE) currently holds the rights to one of the only Covid-19 vaccines on Earth, recently posted its first-quarter earnings. The news delivered terrific numbers, and the market responded accordingly with nearly double normal trading volume, sending the BioNTech stock price up 8.7% at one point in premarket trading. The gains have held into this morning's trading so far as well, with some slight pullbacks seen as some investors likely engage in profit-taking.
BioNTech's Earnings Report Delivers Beats All-Around
BioNTech's earnings report brought both earnings and revenue beats, as the company brought in $5.34 per share against a consensus estimate from FactSet of $3.57 per share. This compares marvelously against the year-ago figures posted by BioNTech, a loss of $0.26 per share.
Revenue was a similar outcome, as the company brought in $2.49 billion total against an expected $1.77 billion, also from FactSet. This also features an outstanding comparison to a year prior, when the company posted just $30.6 million in sales.
No guidance was issued on the full-year front, though analysts offered up projections of $24.57 per share in earnings and overall revenues of $10.5 billion.
The unquestionably biggest driver behind these results is the development—again, along with Pfizer—of a Covid-19 vaccine. BioNTech noted that it has already delivered over 450 million doses of same worldwide, with 91 countries or territories receiving shipments as of May 6. Expansion plans are also in the making; areas that have already made sales have contracted for more than an additional 1.8 billion doses throughout 2021—with a contracted value of 12.4 billion euros (roughly $15.094 billion US) for BioNTech—and further expansion is planned as well. BioNTech reportedly plans to open a manufacturing operation in Shanghai and is working to establish a joint venture in China with Shanghai Fosun Pharmaceutical for another billion doses to come.
What Are Financial Analysts Saying About BioNTech Stock?
The BioNTech stock forecast, based on our latest research of financial analysts, is a bit less optimistic than the numbers would suggest. The company currently holds a consensus rating of “hold”, though with 2021's arrival there has been a slight uptick in appraisal.
A year ago, the company had three “buy” ratings and five “hold” ratings to its credit. Three months ago, however, the consensus turned just a bit more bullish as one of the “hold” ratings departed the market, leaving us with three “buy” and four “hold” ratings. That has remained the case ever since.
The price target, meanwhile, holds a fairly broad range, with a current average of $106.50, a high of $130 and a low of $62. With BioNTech currently trading within striking distance of its $213.15 52-week high—the share price is $193.38 as of this writing—that represents some substantial downside potential.
However, price targets haven't been updated much of late. The most recent change was back in April, when SVB Leerink boosted its price target from $110 to $118. The current high for $130, posted by Berenberg Bank, was set on April 6. With a Wall Street Journal report noting that investors added $3.7 billion in investment to the German biotech sector last year, mainly on the strength of BioNTech's success in co-developing a coronavirus vaccine, it suggests that the current gains seen at BioNTech may be able to hold for some time.
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