In recent weeks, Biotech companies across the globe have been collaborating together to produce a COVID-19 vaccine for global production and distribution. The reward for such an accomplishment would add prestige and intrinsic value at a scale we have never witnessed. The vaccine will save millions of lives in the years to follow, as well as give biopharmas insight into preventing future strands of the Coronavirus. Hoth Therapeutics (NASDAQ: HOTH), currently priced at $4.91 released a statement yesterday confirming that they are now in partnership with Voltron Therapeutics and the Vaccine & Immunotherapy Center at Massachusetts General Hospital.
This agreement means both HOTH and Voltron will form a project under the name HaloVax, which will commence trials on a exclusive platform called VaxCelerate. The platform is a self-assembling vaccine exclusively licensed to Voltron by the General Hospital of Massachusetts. The unique vaccine focuses on both the DNA and the mutated proteins giving the immune system more angles to attack the virus. As a quality measure, this is very promising news for investors as the vaccine if successfully trialed, will give HaloVax the upper hand by quality standards.
Short term risk
Before I start, I am obliged to remind our viewers that this is not advice only general commentary from my extensive research in this area.
As we have seen in recent weeks, Biotech companies involved in producing vaccines or COVID-19 testing methods have been heavily speculated by investors. Examples include iBio covering ground quickly in the vaccine race aswell as Biomerica producing promising progress in cheap, reliable Coronavirus testing methods. Both of these companies have been heavily speculated and have seen huge surges with almost next day declines at the same magnitude. From my experience with analysing these Bio-techs in the COVID-19 race, the earlier you get in and out will be how you gain a nice profit. If you are 1 or 2 days “late to the party” you can risk losing almost 50% of your capital in the space of a day.
Taking this into account, Hoth’s current price of $4.91 may not be the highest it goes yet (opinion from research). An entry late this afternoon could prove profitable IF more investors are looking to invest after todays 93% gain. However, after tomorrows day of trading it is unlikely HOTH will gain anymore ground until they further progress with the drug. Examples include FDA approval, Pre Clinical success, Success in human trials and finally fast and effective distribution on a global scale. If Halovax can nail these goals in the next 6-12 months, we could be looking at the Global leader of COVID-19 vaccines.
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The information above should not be taken as financial advice. Youth Investment Group has no liability for personal financial interests or investment decisions. You should make your own investment decisions based upon your own research and what you believe is best for you.