Spring is Coming

JNJ vaccines preparing to ship (WSJ)

March may not be roaring in like a lion weather-wise, but this morning the stock market is pushing higher--the averages are up 1.5%--principally on the basis of the improving outlook for coronavirus vaccinations.

The CDC signed off on Johnson & Johnson's (ticker: JNJ) vaccine yesterday, making it the third vaccine approved for distribution (the others are Pfizer's and Moderna's). JNJ's offering is likely a game-changer: [bold added]

The J&J vaccine, the first administered in a single dose, is expected to bolster a mass-vaccination campaign that is pushing to end the deadliest pandemic in more than a century.

As of Saturday afternoon, 48.4 million Americans—14.6% of the population—had received one or more doses of the two previously approved Covid-19 vaccines, according to the Centers for Disease Control and Prevention.

Johnson & Johnson ($423 billion market cap) will have a steep ramp in production.

The Food and Drug Administration’s authorization of the vaccine would lead to an initial supply of nearly 4 million doses delivered as early as Tuesday morning, administration officials said Sunday. The administration said it expects about 20 million doses to be delivered by the end of March....J&J has said it expects output will quickly increase, enabling it to deliver a total of 100 million doses for use in the U.S. by the end of June.

Finally, JNJ's vaccine requires normal, not specialized refrigeration:

Janssen’s [note: JNJ subsidiary] single-dose vaccine candidate is estimated to remain stable for two years at -20°C (-4°F), at least three months of which can be at temperatures of 2-8°C (36°F–46°F). The Company will ship the vaccine using the same cold chain technologies it uses today to transport other innovative medicines.

Can you feel it? Spring is coming.