'Like iPhone 13 vs iPhone 12...Both Good, One Is Better' - Jefferies Weighs in on Omicron and New Covid Vaccine Boosters

Jefferies analyst Michael Yee expects Moderna (NASDAQ: MRNA) to continue trading in a volatile manner on fear of Omicron spreading globally.

While Pfizer (NYSE: PFE) already said it will try a new variant in development, Moderna is likely to release an updated vaccine in 2022 to offer protection against both Delta and Omicron.

Both vaccine makers will get data on how current vaccines protect against Omicron in the next 2-4 weeks.

“We predict MRNA will show a standard boost will increase antibodies against Omicron to effective levels and this can be good against Omicron if you just got a boost. However if you get a boost of the new "2022" Omicron the antibodies will be even higher and more protective. In other words, if you got a boost of the old 2020 then it's still good. If you could get a boost of Omicron (or multi-valent w/ Delta mix) this is better. This is like iPhone 12 and iPhone 13 new model. Both are good but of course the newer version is better. But it's not to say the old one is not good. MRNA has publicly said they wouldn't necessarily shift all production yet to a new strain immediately (we agree),” the analyst said in a client note.

Yee rates Moderna with a Hold rating and a $325.00 per share price target.

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