Covid: 19 vaccine approval won't immediately hit med tech sector - Needham

NuVasive

08/09/2020 12:27

** Approval of a COVID-19 vaccine this year may drive an
immediate shift in sentiment, but not immediately in med tech
fundamentals - Needham
    ** Says "somewhat likely" an initial emergency use
authorization (EUA) of the vaccine could be announced ahead of
the U.S. election in November, considering FDA's plan to hold an
expert panel meeting on regulatory process in October, and FDA
commissioner indicating authorizing use in some patients before
clinical trials 
    ** Brokerage sees stocks of companies with products used in
elective surgeries, such as Boston Scientific  BSX.N , Medtronic
 MDT.N , NuVasive Inc  NUVA.O  and Cardiovascular Systems Inc
 CSII.O  moving higher on such authorizations
    ** Says companies helped by the pandemic, such as Hologic
Inc  HOLX.O , Genmark Diagnostics  GNMK.O , Masimo Corp  MASI.O 
and Resmed Inc  RMD.N  among others with COVID-19 tests or
ventilators, may see their stocks move lower 
    ** However, an initial EUA only marks the "end of the
beginning" of the pandemic and it could take over 12 months to
complete advanced trials and vaccinate most of the U.S.
population - brokerage
    ** Says demand for COVID-19 testing could remain strong
until then, and believes premature approval could result in low
vaccination rates because of lack of public confidence in the
vaccine's safety 

 (Reporting by Vishwadha Chander in Bengaluru)
 ((Vishwadha.Chander@thomsonreuters.com; within U.S. +1 646 223
8780, outside U.S. +91 80 6749 6132;))