British multinational biopharmaceutical giant GSK Plc (NYSE:GSK) (GB:GSK) announced positive results from a Phase 3 study of its respiratory syncytial virus (RSV) vaccine.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
The said RSV vaccine candidate was administered to adults aged 60 and above, suffering from RSV lower respiratory tract disease (RSV-LRTD). The results displayed an overall efficacy of 82.6% against RSV LRTD with a favorable safety profile.
The trial was conducted on around 25,000 people across 17 countries. Results showed a 94.1% efficacy against RSV LRTD in severe disease, 93.8% efficacy in adults aged 70-79, and 94.6% efficacy in adults with pre-existing comorbidities including underlying cardiorespiratory and endocrinometabolic conditions. Furthermore, vaccine efficacy was consistent against both RSV-A and RSV-B subtypes, GSK stated.
GSK’s RSV vaccine candidate is the first of its kind to have achieved such favorable results. Further progress and approval of the vaccine candidate will mean massive revenues for GSK and they will have the first-mover advantage.
Delighted with the results, Tony Wood, GSK Chief Scientific Officer, said, “We believe that with the high vaccine efficacy demonstrated in this pivotal trial, our vaccine candidate has the potential to help reduce the significant global burden of RSV-associated disease in older adults, including those at the greatest risk of severe outcomes due to their age or underlying comorbidities.”
Is GSK a Buy, Sell, or Hold?
On TipRanks, GSK stock has a Moderate Buy consensus rating based on one Hold versus one Sell rating. The average GSK price forecast of $34 implies a nearly 12% upside potential to current levels. Meanwhile, the stock has lost 29.4% so far this year.
