OPKO Health Announces Progress in EBV Vaccine Study, Stock Gains

OPKO Health, Inc.’s OPK company, ModeX Therapeutics Inc., announced the dosing of the first participant in the Phase I study (NCT06655324) of an Epstein-Barr virus (EBV) vaccine candidate yesterday. The EBV vaccine is being developed in collaboration with Merck, which is known as MSD outside the United States and Canada.Per management, the first participant has been dosed with novel investigational EBV vaccine targeting multiple viral proteins in the Phase I study.It is worth mentioning that this development triggers an undisclosed cash milestone payment from Merck to ModeX.The move is expected to be a significant milestone for ModeX’s research and development programs related to the EBV vaccine, thereby solidifying OPKO Health’s foothold in the niche space.OPK Stock Up Following the NewsFollowing the announcement, shares of the company gained nearly 4.1% till yesterday’s closing.Historically, the company has gained a top-line boost from its various research and development programs and positive study outcomes. We expect market sentiment on the stock to remain positive around this announcement too.OPKO Health currently has a market capitalization of $1.02 billion. It has a current ratio of 2.97, favorable than the industry’s 2.44. In the last reported quarter, OPK delivered an earnings surprise of 130%.Significance of OPKO Health’s AnnouncementEBV causes infectious mononucleosis and is associated with various types of cancer and multiple sclerosis. Per OPKO Health, the EBV infection (for which there are currently no treatments or vaccines) poses long-term risks of cancer and autoimmunity. Per OPKO Health’s management, human trials to advance a novel vaccine candidate have now begun through its collaborators at Merck. Management is hopeful about the company’s nanoparticle vaccine, which aims to stimulate protective immunity in patients and prevent these diseases.Industry Prospects to Benefit OPKPer a report by BCC Research, the global market for nanoparticles in biotechnology, drug development and drug delivery is expected to grow from $102.7 billion in 2023 to $156.8 billion by 2028 at a CAGR of 8.8%. Factors such as increasing research and development activities in the nanoparticle analysis field, rising cases of cancer and technological advancements are likely to drive the market.Given the market potential, the latest announcement is expected to be a significant milestone for OPKO Health’s business.OPKO Health’s Notable DevelopmentIn October 2024, OPKO Health’s ModeX was awarded $35 million of additional funding under an existing contract with the Biomedical Advanced Research and Development Authority, part of the Administration for Strategic Preparedness and Response at the U.S. Department of Health and Human Services. The funding brings the total support awarded to ModeX to $110 million out of $205 million if all options are executed.OPK’s Share Price PerformanceShares of the company have gained 45.2% in the past year compared with the industry’s 6.4% rise and the S&P 500's 25.5% growth.Image Source: Zacks Investment ResearchOPKO Health’s Zacks Rank & Key PicksCurrently, OPK carries a Zacks Rank #3 (Hold).Some better-ranked stocks in the broader medical space are Cardinal Health, Inc. CAH, ResMed Inc. RMD and Boston Scientific Corporation BSX.Cardinal Health, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 10.5%. CAH’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 11.2%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Cardinal Health’s shares have gained 17.4% compared with the industry’s 2.7% growth in the past year.ResMed, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 14.8%. RMD’s earnings surpassed estimates in each of the trailing four quarters, with the average being 6.4%.ResMed has gained 32.9% compared with the industry’s 8.1% growth in the past year.Boston Scientific, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 13.8%. BSX’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 8.3%.Boston Scientific’s shares have rallied 55.3% compared with the industry’s 8.1% growth in the past year.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.1% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Boston Scientific Corporation (BSX): Free Stock Analysis Report Cardinal Health, Inc. (CAH): Free Stock Analysis Report ResMed Inc. (RMD): Free Stock Analysis Report OPKO Health, Inc. (OPK): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks