Looking ahead to 2022, an increase in sales and profits is observed, perhaps motivated by the two vaccines that it develops for the coronavirus. He has just bought Translate Bio, a biotech firm to catch up with BioNTech and Moderna. | All about the fund advised by the Economist, Tressis Cartera Eco30 .
The reluctance of some French people to get vaccinated against the coronavirus that haunts us has reached such a point that there are already those who say they will only do so when the injection is of a French brand. But that will not happen at least until the end of the year, and Olivier Bogillot, president of Sanofi in France, had to come to the fore a few days ago: ” N’attendez pas pour vous faire vacciner” (do not wait to get vaccinated), as published on your LinkedIn account.
In addition to the vaccine developed by the French firm Valneva, the two prepared by Sanofi Pasteur have created a lot of expectation. The European Medicines Agency (EMA) is already reviewing the first of those vaccines, designed in collaboration with GlaxoSmithKline and called Vidprevtyn : it uses the same technology as another of Sanofi’s seasonal flu vaccines.
The second of the injections is the MRT5500, based on messenger RNA technology, which the French firm is developing with the American company Translate Bio.
In fact, Sanofi’s interest in making up for lost time and emulating the success of Pfizer or Moderna is such that in early August it announced that it would buy Translate Bio for $ 3.2 billion, at $ 38 a share.
Speaking of the stock market, Sanofi’s share price is once again very close to its all-time highs. This same week it reached 90.7 euros -new annual maximum-, and is close to 90.81 euros, the record set in July 2020. For the consensus of analysts that FactSet collects, the titles of the French firm could be worth up to 104.7 euros in the next twelve months, which represents a potential in the stock market of 17%.
Regarding sales, the market consensus shows a figure of 38,090.5 million euros this year and 39,950 million in 2022, 10% more than in 2019, a figure that has barely changed with respect to the January forecasts. This will translate into a gross profit (ebitda) of 11.8 billion euros in 2021 and almost 13 billion in 2022, 32% more than two years ago, before the pandemic.
Sanofi’s 2021 earnings are listed on the stock market at around 12.6 times current prices, below the 16.6 times average for the sector, which includes companies in Europe and the US with a market value above the 20,000 million euros, such as AstraZeneca, AbbVie or Novartis.
In addition to vaccines, Dupixent was the best-selling Sanofi drug in the first half of the year. For this product for atopic dermatitis, it received 2,290 million euros, almost 14% of total sales. The goal of the French firm is to achieve 10 billion a year, but there are strong competitors for this ailment already on the way, such as abrocitinib , from Pfizer, or Rinvoq, from AbbVie – both have shown superiority over Dupixent, according to Bloomberg -.
Sanofi is part of the Tressis Cartera Eco30 fund , advised by this newspaper, a fund that has appreciated 16.6% so far this year.