Dow, S&P 500 Drop on News Pfizer Won’t Deliver Half of the Promised Vaccines in 2020

The first vaccine clinically proven to help prevent COVID-19 and be approved for use by a government has hit a snag.

Pfizer Inc. (NYSE: PFE) along with partner BioNTech SE (NASDAQ: BNTX) were leading the pack when it came to a race for a vaccine.

They were the first to announce their trial results, 90% effective on November 9. That figure was later revised upward to 95%.

They were the first to receive emergency use authorization from a western government. The UK’s National Health Service authorized immediate use of the vaccine yesterday. And the first shipments are expected next week.

Pfizer projected 100 million doses of the vaccine to be delivered by the end of the year. But now, citing issues with the supply chain for raw materials, it has cut the projection in half.

The current outlook is 50 million doses, enough to vaccinate 25 million people, according to the Wall Street Journal.

Both company’s stocks fell sharply at the end of the trading day. Both PFE and BNTX closed down about 2%.

The major indexes dropped as the news broke too. The S&P 500 closed in the red after spending most of the day in positive territory. The Dow Jones closed below 30,000 after spending the majority of the trading day above the benchmark.

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