In the top news on UK stocks, AstraZeneca PLC (GB:AZN) announced it would withdraw its COVID-19 vaccine globally as demand has waned. As per The Telegraph, the company’s application to withdraw its Covid-19 vaccine was made on March 5 and became effective on May 7. AstraZeneca has stated that the removal of the vaccine from markets is due to commercial considerations, as it is no longer in production or distribution.
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The company also added that various vaccine options have emerged since the onset of the pandemic, impacting the demand.
AstraZeneca is a leading global pharmaceutical company, serving billions of people worldwide. The COVID-19 vaccine, developed by Oxford University and AstraZeneca, is marketed under names like Covishield and Vaxzevria.
AstraZeneca’s Coincidental Timing
AstraZeneca’s withdrawal announcement closely followed recent media reports about the potential side effects of the vaccine, including blood clots and low blood platelet counts. The reports also claim that the company has previously acknowledged these side effects in court documents.
The company is currently under worldwide scrutiny and is facing class-action lawsuits alleging its vaccine has caused fatalities and severe injuries in numerous instances.
AstraZeneca, however, called the decision “purely coincidental,” asserting that it is unrelated to the ongoing court case. The company also emphasized that this action does not constitute an admission regarding the vaccine’s safety.
Meanwhile, with the voluntary withdrawal of its “marketing authorization,” AstaZeneca’s vaccine is no longer approved for use in the European Union. The company plans to initiate similar withdrawal applications in the UK and other countries where Vaxzevria has previously been approved.
Is AstraZeneca a Good Stock to Buy?
Recently, AZN shares experienced good momentum, driven by strong Q1 results and encouraging developments in the company’s breast cancer drug portfolio. AZN shares have gained almost 13% over the last 30 days.
As per TipRanks, AZN stock has a Moderate Buy consensus rating, supported by 14 Buys, four Holds, and one Sell rating. The AstraZeneca share price forecast stands at 12,027.19p, which is similar to the current trading level.
