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Saturday, February 6, 2021

China approves Sinovac Biotech COVID-19 vaccine for general public

 Sinovac Biotech said on Saturday that its unit’s COVID-19 vaccine has been approved for use by the general public by China’s medical products regulator.

It marks the second vaccine approved for public use in China, after one developed by a Beijing institute affiliated with state-owned China National Pharmaceutical Group (Sinopharm) was approved in December.

Both vaccines, as well as a third candidate from Sinopharm, have already been used in China’s vaccination program which has administered over 31 million doses, mainly targeting groups at higher infection risk. A fourth candidate from CanSino Biologics is being used among military personnel.

Indonesia, Turkey, Brazil, Chile, Colombia, Uruguay, and Laos have granted emergency authorisation for the CoronaVac vaccine developed by Sinovac Life Sciences, Sinovac said in a news release.

Approval of the two-dose regimen by China’s National Medical Products Administration is based on results from two months of late-stage clinical trials overseas, from which the final analysis data has not yet been obtained, Sinovac said.

Its Beijing-based unit Sinovac Life Sciences is expected to be able to produce over 1 billion doses per year in the form of bulk ingredient by February, it said.

Sinovac is also expanding its capacity to fill vaccine into vials and syringes, which currently lags its vaccine manufacturing capacity. It has also outsourced filling and finishing procedures to overseas partners.

China plans to provide 10 million vaccine doses to COVAX, a World Health Organization-backed global vaccine-sharing initiative that Sinovac, Sinopharm and CanSino have applied to join, the foreign ministry has said.

A Phase I and II trial in China showed the vaccine could safely trigger immune response for older participants and it is also being tested in participants aged three to 17.

Sinovac cautioned, however, that data for the protection rate among people aged 60 and above was “limited”.

“When the relevant institutions ...use this vaccine, the necessity of inoculating this product should be evaluated in consideration of the health status and exposure risk of this age group,” it added.

VARIED EFFICACY RATES

Sinovac’s vaccine is being tested in Phase III clinical trials in countries including Brazil, Turkey and Indonesia, where varied efficacy readings had been released separately, without sufficient details made available to public.

The vaccine was found 50.65% effective against COVID-19 disease in the Brazil trial which had recruited 12,396 medical workers older than 18 as of December 16 and recorded 253 cases, Sinovac said in a statement on Friday.

The success rate from the Turkey trial was 91.25%, local researchers said, based on a preliminary analysis of 29 cases. There was a 65.3% efficacy rate in the Indonesia trial.

Brazil’s more rampant epidemic, and the trial’s focus on medical workers, are among factors which Sinovac believe may have lowered the efficacy rate seen in data from there, a person familiar with the matter told Reuters last month.

The Brazil trial also found the vaccine was 83.7% effective against the disease that requires medical treatment, and 100% effective against hospitalization, severe cases and death in the same trial, Sinovac said on Friday.

The protection rate was nearly 70% based on observation of a smaller sub-group in the Brazil trial, in which participants received the two doses at a three-week interval rather than two weeks apart for most participants, Sinovac said last month.

https://www.reuters.com/article/us-health-coronavirus-vaccine-sinovac/china-approves-sinovac-biotech-covid-19-vaccine-for-general-public-use-idUSKBN2A60AY

Comparing Covid-19 vaccines developed by Pfizer, Moderna, Johnson & Johnson

 In an ideal world, a pandemic vaccine could be delivered in a single shot, so supplies could be stretched to cover a lot of people. It would trigger no side effect more significant than a sore arm. And it would be easy to ship and store.

Soon, it seems, this ideal of a Covid-19 vaccine will be within reach. 

Last Friday, Johnson & Johnson announced that a one-dose vaccine being developed by its vaccines division, Janssen Pharmaceuticals, had been shown to be 66% protective against moderate to severe Covid infection in a multicountry study. But, importantly, it was 85% effective in protecting against severe disease. And there were no hospitalizations or deaths among people in the vaccine arm of a large clinical trial. 

Overall efficacy varied a bit geographically, especially in South Africa, where a new variant appears to evade to some degree the immunity induced both by infection and by Covid vaccines, which were designed to target earlier strains of the SARS-CoV-2 virus.

Johnson & Johnson said it will apply to the Food and Drug Administration for an emergency use authorization this week. That means sometime later this month or early in March its vaccine will likely start to be used in the United States, though the company is not expected to be able to supply substantial numbers of doses until April.

Earlier STAT published a head-to-head comparison of the vaccines developed by Pfizer and its partner, BioNTech, and by Moderna, which have been in use in the country since December. We’re updating it here with information about the J&J vaccine, with the caveat that some data from this likely new entry to the U.S. vaccination program haven’t yet been made public.

Please note that in the initial rollout of vaccine, individuals are unlikely to be offered a choice of which vaccine they want. Supplies are too scarce. The vaccine available at the place where you are being vaccinated is the one you’ll get.

Vaccine types

The Pfizer and Moderna vaccines are made using messenger RNA, or mRNA, a technology that delivers a bit of genetic code to cells — in effect, a recipe to make the surface protein (known as spike) on the SARS-2 virus. The proteins made with the mRNA instructions activate the immune system, teaching it to see the spike protein as foreign and develop antibodies and other immunity weapons with which to fight it.

The J&J vaccine uses a different approach to instruct human cells to make the SARS-2 spike protein, which then triggers an immune response. It is what’s known as a viral vectored vaccine. A harmless adenovirus — from a large family of viruses,  some of which cause common colds — has been engineered to carry the genetic code for the SARS-2 spike protein. Once the adenovirus enters cells, they use that code to make spike proteins.  J&J employs this same approach to make an Ebola vaccine that has been authorized for use by the European Medicines Agency.

Target population

The Pfizer vaccine has been authorized for use for people aged 16 and older. Moderna’s has been cleared for use in people 18 and older, though the company is now testing its vaccine in 12- to 17-year-olds. J&J’s vaccine has been tested in people 18 and older, so for the time being, this vaccine won’t be available for use in children and teens under 18 either.

Vaccine efficacy

The Pfizer and Moderna vaccines have shown astonishing — and essentially equivalent — degrees of efficacy, at least in the early stages after vaccination. 

The Pfizer vaccine showed efficacy of 95% at preventing symptomatic Covid infection after two doses. The vaccine appeared to be more or less equally protective across age groups and racial and ethnic groups. 

The Moderna vaccine was 94.1% effective at preventing symptomatic Covid-19, after the second dose. The vaccine’s efficacy appeared to be slightly lower in people 65 and older, but during a presentation to the Food and Drug Administration’s advisory committee in December, the company explained that the numbers could have been influenced by the fact there were few cases in that age group in the trial. The vaccine appeared to be equally effective across different ethnic and racial groups.

But comparing efficacy in those vaccines to the efficacy of Johnson & Johnson’s is challenging because of differences in the designs of the Phase 3 clinical tests — essentially the trials were testing for different outcomes. Pfizer’s and Moderna’s trials were testing for slightly different criteria, with Pfizer counting cases from seven days after receipt of the second dose of vaccine and Moderna waiting till day 14 to start counting cases. Both tested for any symptomatic Covid infection.

J&J, by contrast, sought to determine whether one dose of its vaccine protected against moderate to severe Covid illness — defined as a combination of a positive test and at least one symptom such as shortness of breath, beginning from 14 or 28 days after the single shot. (The company collected data for both.) 

Because of the difference in the trials, making direct comparisons is a bit like comparing apples and oranges. Additionally, Pfizer and Moderna’s vaccines were tested before the emergence of troubling new variants in Britain, South Africa, and Brazil. It’s not entirely clear how well they will work against these mutated viruses.

The J&J vaccine was still being tested when the variants were making the rounds. Much of the data generated in the South African arm of the J&J trial involved people who were infected with the variant first seen in South Africa, called B.1.351.

The J&J one-dose vaccine was shown to be 66% protective against moderate to severe Covid infections overall from 28 days after injection, though there was variability based on geographic locations. The vaccine was 72% protective in the United States, 66% protective in South America, and 57% protective in South Africa.

But the vaccine was shown to be 85% protective against severe disease, with no differences across countries (eight) or regions (three) in the study, nor across age groups among trial participants. And there were no hospitalizations or deaths in the vaccine arm of the trial after the 28-day period in which immunity developed.

It’s not yet known if any of these vaccines prevent asymptomatic infection with the SARS-CoV-2 virus. Nor is it known if vaccinated people can transmit the virus if they do become infected but don’t show symptoms.

Number of doses/amounts of vaccine per dose

Both the Moderna and the Pfizer vaccines require two shots: a priming dose, followed by a booster shot. The interval between Moderna doses is 28 days; for the Pfizer vaccine, it’s 21 days.

Each dose of Pfizer’s contains 30 micrograms of vaccine. Moderna went with a much larger dose of vaccine, 100 micrograms. It means the company is using a little more than three times as much vaccine per person as Pfizer is. And yet, they aren’t getting better results. The government’s vaccine development program, formerly called Operation Warp Speed, has asked Moderna to test if it could lower the dosage of its vaccine without eroding the vaccine’s protection.

The J&J vaccine is, as mentioned, a single-dose vaccine. The company is also testing a two-dose regimen, with the two shots given eight weeks apart. The results from that 30,000-person trial aren’t expected until sometime in May.

Side-effect profile

In the vernacular of vaccinology, vaccines that trigger a range of transient side effects in a lot of recipients are known as reactogenic.

All of these vaccines — in fact, most if not all the Covid-19 vaccines that have reported data so far — fall into the reactogenic category. The Advisory Committee on Immunization Practices, an expert panel that helps the Centers for Disease Control and Prevention set vaccination policies, has advised hospitals they may want to stagger vaccinations among employees  — for instance, don’t vaccinate all emergency room staff at the same time — in case some feel too unwell to work the day after being vaccinated.

The most common side effects are injection site pain, fatigue, headache, muscle pain, and joint pain. Some people in the clinical trials have reported fever. Side effects are more common after the second dose; younger adults, who have more robust immune systems, reported more side effects than older adults.

To be clear: These side effects are a sign of an immune system kicking into gear. They do not signal that the vaccine is unsafe. To date there are no serious, long-term side effects associated with receipt of these vaccines, which will be closely monitored as their use expands.

There have been reports of severe allergic reactions to the mRNA vaccines. Both the Pfizer and Moderna vaccines appear, on rare occasions, to trigger anaphylaxis, a severe and potentially life-threatening reaction. People who develop anaphylaxis must be treated with epinephrine — the drug in EpiPens — and may need to be hospitalized to ensure their airways remain open. The CDC says people should be monitored for 15 minutes after getting a Covid-19 shot, and 30 minutes if they have a history of severe allergies. 

It will take time to come up with a firm estimate of how frequently this side effect occurs. The most recent data from the CDC suggest that anaphylaxis occurs at a rate of about 2.1 cases per one million doses given of the Moderna vaccine, and 6.2 cases per million doses of the Pfizer. Many of the people who have developed anaphylaxis have a history of severe allergies and some have had previous episodes of anaphylaxis. 

To date the J&J vaccine has not been associated with anaphylactic reactions.

Safety for those who are pregnant or lactating

None of the vaccines has been tested in these two groups.

Moderna has completed animal studies the FDA demanded of manufacturers; these studies look for evidence that the vaccine might harm the pregnancy or the developing fetus. The company said it saw no such signals.

Pfizer has only interim data from its animal studies, but said it saw no concerning signs either.

The CDC recommends until those studies are conducted, the choice of whether to get vaccinated should rest with the person who is pregnant or lactating. This is a more permissive stance than has been taken in some countries, which have said people who are pregnant should not be vaccinated with these vaccines.

The J&J vaccine hasn’t yet been through the regulatory process, so it’s too early to say what the FDA and the CDC will recommend. The company plans to include pregnant women in clinical trials in the near future, a spokesman told STAT.

Storage requirements

The mRNA vaccines require an elaborate cold chain, the term used to describe the conditions under which vaccines must be stored during distribution and when they are in the doctors’ offices, pharmacies, or public health clinics where they’ll be administered.

The J&J does not, which means this vaccine can be given easily anywhere, once supplies are adequate. Doctors’ offices, pharmacies, mass vaccination sites, public health clinics — this vaccine will be much easier to use. It can be stored for at least three months at the temperature of a regular refrigerator.

Of the mRNA vaccines, Moderna’s is far easier to use than Pfizer’s. For starters, Moderna’s must be shipped at -4 Fahrenheit; Pfizer’s must be shipped and stored at -94 Fahrenheit. The former is the temperature of a regular refrigerator freezer; the latter requires special ultracold freezers. Doctors’ offices do not have ultracold freezers; neighborhood pharmacies don’t either.

After thawing, a vial of the Pfizer vaccine must be used within five days; Moderna’s is stable at fridge temperature for 30 days and at room temperature for 12 hours. STAT asked J&J how long its vaccine will last once a vial has begun to be used, but so far the company has not provided that information.

Minimum purchase order

The ultracold storage requirement is not the only challenging aspect of the Pfizer vaccine. The minimum amount of vaccine a location can order is 975 doses. A large teaching hospital might need several of those. But there are plenty of places across the country that don’t need 975 doses to vaccinate the people currently eligible for vaccination — health workers and nursing home residents. This is the vaccine that needs to be kept at -94 F. The minimum order size will limit the locations in which this vaccine can be used.

The Moderna vaccine’s minimum order is 100 doses, a much more manageable number.

STAT asked J&J what its minimum order will be; it declined to say.

The Pfizer vaccine is shipped in six-dose vials. Moderna’s vaccine comes in 10-dose vials. J&J’s vaccine will be packaged in five-dose vials.

Durability of protection

Figuring out how long the protection provided by any of these vaccines will last will take time. It’s going to involve periodic blood draws from some volunteers to see what their antibody levels look like, though a decline in antibody levels doesn’t necessarily equate to loss of protection.

But a large part of this work will involve watching for reports that people who were immunized are starting to contract Covid in larger numbers, a development that would probably lead to recommendations to give people booster shots at some yet-to-be-determined interval.

https://www.statnews.com/2021/02/02/comparing-the-covid-19-vaccines-developed-by-pfizer-moderna-and-johnson-johnson/

Friday, February 5, 2021

In Pandemic, China Sent Millions Of Counterfeit Masks, Test Kits To US: Customs

 By Frank Fang via The Epoch Times,

China accounted for about 51 percent of counterfeit or substandard COVID-19-related products seized by U.S. customs officials from October 2019 to Sept. 30 last year, according to a newly-released report from the U.S. Customs and Border Protection (CBP).

Among the products seized by U.S. customs officials were over 12.7 million counterfeit masks, 177,356 COVID-19 test kits prohibited by the U.S. Food and Drug Administration (FDA), and 38,098 FDA-prohibited chloroquine tablets.

The effectiveness of the anti-malarial drug hydroxychloroquine and its closely-related chloroquine in treating symptoms of COVID-19, which is caused by the CCP virus (commonly known as the novel coronavirus), is of much debate.

The FDA initially issued an emergency use authorization for the two drugs, but later revoked the authorization in June last year, saying that they were “unlikely to be effective in treating COVID-19.”

However, there have been studies showing their effectiveness: one study showed hydroxychloroquine lowered the death rate of COVID-19 patients, while another study demonstrated a drug cocktail containing hydroxychloroquine could lower the hospitalization and death rate of patients infected by the virus.

The FDA currently has a database listing fraudulent COVID-19 products, including test kits. The list contains company names and the names of their products.

In December last year, customs officials in Cincinnati seized 10,080 counterfeit surgical masks, which were labeled “3M Mask Model 1860,” in a shipment originating from China, according to a press release. The boxes containing the masks were fraudulently labeled as “Made in the USA.”

If genuine, these fake 3M masks would have an estimated manufacturer’s suggested retail price of $65,520.

Counterfeit masks were also arriving in the United States from Hong Kong. Customs officials in Cincinnati seized 6,080 fake 3M masks in freight from Hong Kong on Dec. 6, 2020.

Another seizure took place in Chicago in September last year, when local customs officials stopped a shipment containing 500,000 counterfeit N95 masks. These masks were determined to have an estimated retail price of $474,905, if genuine. The shipment originated from the southern Chinese city of Shenzhen and was destined for a company in Manalapan, New Jersey.

Forced Labor Products

The CBP report also mentioned that customs officials issued a record number of 13 new withhold release orders, banning the imports of products made with forced labor, in the 12-month period that ended on Sept. 30, 2020.

Most of these targeted products—including disposable gloves, seafood, and cotton—originated from China. Together, these products were valued at nearly $50 million, according to the report.

On Jan. 13, the CBP issued a new withhold release order banning all imports of cotton, apparel, textiles, and tomato products from far-western China’s Xinjiang region.

Beijing has detained more than one million ethnic Muslims, including Uyghurs, Kazakh, and Kyrgyz people, in internment camps in Xinjiang. Detainees are subject to forced labor, torture, and political indoctrination sessions. Beijing claims these camps are “vocational training centers.”

In August last year, a U.S. company was fined $575,000 for importing stevia powder and derivatives there were made by prison labor in China. Several months later, in October, CBP asked all U.S. ports to seize stevia products made by an Inner Mongolia-based company, after evidence showed the company used convict, forced, or indentured labor to manufacture the products.

“Currently, CBP is enforcing 44 active withhold release orders and seven active findings,” according to the report.

General Products

Finally, the report concluded that CBP officials seized a total of 26,503 shipments with products found to have violated U.S. intellectual property rights, with China being the “top source” of such seizures. These products would have a total estimated manufacturer’s suggested retail price of over $1.3 billion.

In December last year, customs officials in Los Angeles seized three cargo shipments from China containing counterfeit products that could be worth over $32 million. Among the seized fake products were one million knockoff Viagra pills, footwear, belts, purses, and headphones.

Counterfeit toys from China that could be worth about $1.3 million were also seized at the Port of New York/Newark, the CBP announced on Dec. 21 last year.

https://www.zerohedge.com/geopolitical/during-pandemic-china-sent-millions-counterfeit-masks-test-kits-us-customs-data

Biden to send troops to California to help staff Covid vaccine sites

 Secretary of Defense Lloyd Austin has approved the deployment of more than 1,000 active-duty troops to help deliver Covid-19 vaccines across the U.S., a member of President Joe Biden’s coronavirus response team announced Friday.

Some of the troops will arrive in California within the next 10 days and begin operations by Feb. 15, with additional states to follow, Andy Slavitt, a senior advisor to Biden’s Covid-19 response team, told reporters.

“The military’s critical role in supporting sites will help vaccinate thousands of people per day and ensure that every American who wants a vaccine will receive them,” he said during the White House press briefing.

Biden is trying to pick up the pace of vaccinations in the U.S. after a slower-than-expected rollout under former President Donald Trump’s administration. The U.S. has distributed about 57.4 million vaccine doses, but only about 35.2 million have been administered as of Thursday at 6 a.m. ET, according to data compiled by the Centers for Disease Control and Prevention.

The Pentagon is working with the Federal Emergency Management Agency to expedite delivery of the shots and is also weighing a request to send up to 10,000 troops to support vaccination efforts across the country. FEMA and the Defense Department will jointly determine when active-duty members are no longer required.

The 1,110 active-duty service members will compose five teams and involve units from the Army, Navy, Air Force and Marine Corps, according to the Department of Defense. The troops will include nurses and medical staff who will help administer Pfizer’s and Moderna’s two-dose vaccines, according to the agency.

Slavitt also said the U.S. is using the Defense Production Act to help Pfizer meet its manufacturing targets for its vaccine. The company said Tuesday that it planned to deliver 200 million doses of its coronavirus vaccine to the U.S. by May, earlier than its initial forecast of July.

“I think the use of the Defense Production Act is one of the things that is allowing Pfizer to meet the targets,” he said. “They announced an acceleration of their targets of when they’ll be able to deliver vaccines. And I think our partnership with them is one of those reasons. I’m not going to say it’s the entire reason, but it’s certainly a critical factor.”

Federal officials are also pushing states to administer shots more quickly. On Monday, Slavitt said some health-care providers were regularly holding back vaccines for second shots, causing vaccine appointments to be canceled and preventing some Americans from receiving their first doses. 

“We want to be clear that we understand why health-care providers have done that, but that it does not need to happen and should not happen,” he told reporters Monday, adding that U.S. officials know Covid vaccine shipments to states were often unpredictable during the early rollout in late December.

“We completely understand that this has been a direct result of the lack of predictability many states and providers have had regarding how many doses that they would receive,” he said. “That’s one reason why last week we announced that the federal government will be providing a continual three-week window in the vaccines that will be shipped.”

U.S. officials are also hoping vaccine supply will increase after Johnson & Johnson’s Covid-19 vaccine is authorized for emergency use by the Food and Drug Administration, which could happen as early as this month. The FDA has scheduled a meeting of its Vaccines and Related Biological Products Advisory Committee on Feb. 26 to discuss the vaccine, and the U.S. could authorize the vaccine the next day.

Slavitt said the U.S. will use every option available to accelerate the manufacture of J&J’s vaccine.

“As is the case with other vaccines, we have not found that the level of manufacturing allows us to have as much vaccine as we think we need coming out of the gate,” he said.

https://www.cnbc.com/2021/02/05/covid-vaccine-biden-administration-to-send-troops-to-california-to-help-staff-covid-vaccine-sites.html

FDA gearing up for rapid review of potential COVID-19 booster shots

 The U.S. Food and Drug Administration is planning a rapid review process for quick turnaround of new COVID-19 booster shots if variants of the coronavirus emerge against which the vaccines do not provide protection, the agency’s top official said on Thursday.

Dr. Janet Woodcock, acting commissioner of the FDA, said that if new variants of the coronavirus emerge that require booster shots or changes to vaccines, the agency will not require the type of large trials that were required for emergency use authorization or approval.

The agency plans to issue a proposal on the process for public comment in a few weeks, she said during a press briefing. That process will likely require safety information as well as, if possible, the convening of an outside committee of experts to review the booster shot.

Both Pfizer Inc and German partner BioNTech SE as well as Moderna Inc, whose vaccines have been authorized for emergency use in the United States, have said they are preparing for the possibility that variants will emerge that could require a booster shot.

The current vaccines still provide adequate protection against existing variants of concern, Woodcock said. A variant in the U.K. has been found to be more transmissible while some vaccines have been found to be less effective against variants that emerged in South Africa and Brazil.

Settling on a regulatory process will help the FDA move quickly if needed, she said.

“If the virus changes, we are getting prepared for that,” Woodcock said.

The threshold for deciding on whether a new vaccine is needed has not yet been determined. Countries must build surveillance measures to find variants of concerns, and then scientists must agree upon at what point a variant has strayed too far from the unaltered virus and requires a new vaccine.

https://www.reuters.com/article/us-health-coronavirus-usa-fda-idINKBN2A5086

Redditors Betting on a $600 Ligand Stock Short Squeeze

 Last week, Ligand Pharmaceuticals (NASDAQ:LGND) found itself at the center of unexpected attention. The second-most shorted company in the U.S. saw its shares rise from $120 to almost $200 as Reddit users sought the next GameStop (NYSE:GME) to squeeze.

Meanwhile, insiders have started to cash out. On Wednesday, CEO John Higgens allowed his 10b5-1 sales of employee stock options to move ahead, reversing the ESOP purchases he had made just weeks before.

As Ligand’s stock continues its relentless upward march, investors should pay close attention. The firm was one of the few highly shorted companies still available on the popular trading app Robinhood. And after trading in GameStop was halted, Redditors turned their attention to a new hedge-fund target, sending prices to $500 and beyond before they come back to earth.

LGND Stock: Don’t Get in the Way of an Angry Bull

Since falling from its $275 peak in 2018, Ligand Pharmaceuticals has been a favorite hedge fund punching bag. Andrew Left’s 2019 Citron Research paper drew parallels to Valeant Pharmaceuticals, another company run by former Wall Streeters. There are some similarities. Rather than invest in research and development, Ligand and Valeant rely on investment bankers to sniff out profitable M&A deals. Why take the development risks, the thought went, when you could choose promising Phase 1 drug candidates and buy them outright?

Mr. Left and other hedge funds weren’t impressed. Today, Ligand has a 62% short interest ratio. And if you remove non-floated shares, the figure rises to almost two-thirds; it would take fourteen days for short sellers to liquidate their positions.

And that’s caused quite a headache for short sellers in recent days.

Short Sellers Starting to Look Nervous

With the rise (and fall) of GameStop stock, short-sellers have suddenly realized the combined power of retail investors. And there are three reasons why Ligand short-sellers should panic. Firstly, unlike GameStop, Ligand’s biotech bets could potentially pay off. Many of Ligand’s biotech peers have bought what turned out to become $5+ billion drugs, and many of Ligand’s 55 pipeline drugs show similar potential.

Secondly, the company still sells for relatively cheap, even after its latest run-up. Though its recurring licensing revenues will decline from 2023 onwards, the company generated so much cash from its current lineup of drugs that its backward-looking PE ratio sits at just 5.0x. Its price-to-sales ratio of 22x remains only a hair above the 17x biotech sector median.

Finally, there’s the question of Reddit’s wrath. At $2.6 billion, Ligand stock is a minnow compared to the $33 billion that GameStop shares achieved. Even a small push from Redditors can cause short sellers to panic, sending shares from $200 to $600. An enormous 2018-styled short squeeze, meanwhile, could see Ligand hit the thousands.

Why Insiders Have Started Selling

Insiders haven’t always been so bearish on LGND stock. In November, director Patel Sunil bought 1,000 shares at $82. And insiders have also consistently used their employee stock options to load up on shares in the $80 to $90 range.

The stock’s recent rise changed all that. As stock options came due, executives allowed their 10b5-1 plans to exchange stock options for cash, selling shares anywhere from $159 to $182. The insiders have a good reason for taking profits. Not only are biotech executives generally rewarded by stock options. But the people who run Ligand are investment bankers. In other words, they know a good deal when they see one.

That leaves Redditors in an awkward position. Would they choose to support a company with investment banking management? Or would they say, “soak the rich” and bet against the hedge funds selling Ligand short?

What’s LGND Stock Worth?

Whatever the crowd decides, whether you invest in Ligand depends if you’re a long-term investor or a short-term speculator.

Reddit Fan: If you have a strong desire for short-term gains, then Ligand looks set to run even higher. The company is the most heavily shorted stock available for Robinhood investors to buy. And its options chain, a measure of bullish/bearish sentiment, points to more gains. As of writing, February calls are up almost 60% for the day. In addition, the company’s estimated fair value of $180 means there’s less risk of significant losses.

Long-Term Investor: If you’re interested in long-term potential, make sure you’re willing to stomach the short-term swings. And because Ligand’s pipeline remains in the “show me” stage, make sure you’re only investing a small portion of your portfolio in this hot stock. Though the company trades close to its fair value today, a series of disappointing Phase 3 trials will send its fair value back to $80 and below.

Buyer beware. At $180, Ligand still shows some splendid short-term potential. But even its management knows to tread lightly.

https://investorplace.com/2021/01/lgnd-stock-redditors-are-betting-on-600-ligand-short-squeeze/

Alphabet-backed Oscar Health files for IPO as telehealth market booms

 Oscar Health, a health insurance start-up backed by Google parent Alphabet Inc, filed for an initial public offering on Friday, looking to cash in on the surge in demand for digital health services during the COVID-19 pandemic.

The New York-based company, which has about 529,000 users, enables scheduling physician visits, checking lab results, emergency virtual appointments and prescription refill through its mobile app or online platform.

Oscar Health was founded in 2012 by Mario Schlosser, Kevin Nazemi, who is no longer a part of the company, and Josh Kushner, brother of former U.S. President Donald Trump’s adviser and son-in-law Jared Kushner.

The COVID-19 pandemic has supercharged the telemedicine market and more companies are looking to expand their scale and offerings as healthcare moves to the virtual realm.

Oscar Health’s stock market launch comes as U.S. capital markets are poised for another banner year, with January’s IPO haul totaling $33.9 billion, according to Refinitiv data.

The digital insurance startup said it would list its Class A common stock on the New York Stock Exchange under the symbol "OSCR". (bit.ly/39U4MdA)

The company’s other investors include venture capital firm General Catalyst Group, Fidelity Investments parent FMR LLC, Peter Thiel’s Founders Fund, investment firm Thrive Capital and Khosla Ventures.

Goldman Sachs & Co. LLC, Morgan Stanley and Allen & Company LLC are lead underwriters for the offering.

https://www.reuters.com/article/us-oscar-health-ipo/alphabet-backed-oscar-health-files-for-ipo-as-telehealth-market-booms-idUSKBN2A52U8