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The best minds in biotech are working round the clock to put a stop to the COVID-19 pandemic. The project includes over 135 vaccine candidates, and the profit potential here is massive.
This is literally about saving the world.
The thing is, though, vaccines are only one part of this project. There's another dimension, a "silent partner" in the project, that doesn't get quite so much heroic headline ink but is just as important.
You see, of all the vaccines coming down the pipeline, 31 are currently in human trials. There's a very good chance that one of them will be safe and powerful enough to begin mass distribution in early 2021.
But there are 328 million living Americans and 7.5 billion humans on planet earth. It will take time to vaccinate them all, and that's where our "silent partner" comes in.
It's blazing a trail towards the kind of better COVID-19 testing technology we will need to get things fully back to normal.
Solving the Pandemic's Hidden Problem
Now, there's no doubt COVID-19 is a pernicious disease. It's caused by a coronavirus that's closely related to the ones behind the SARS and MERS diseases.
But unlike those, and unlike the many flu viruses that have been responsible for some of the largest pandemics in recent history, COVID-19 is stealthy.
See, with the flu and even with other coronaviruses, people who get infected only spread the virus to others after they start showing symptoms. It makes controlling the spread much easier.
If you have a cough, fever, stuffy or runny nose, or trouble breathing, stay at home or wear a mask, and the rest of us are safe. Problem solved.
With COVID-19, up to 40% of infected people show no symptoms at all but still spread the virus to others.
In short, there's no easy way to tell whether a stranger can infect you – or whether you can infect a stranger. Feeling good just means you could be a silent carrier.
That's why diagnostic testing is more important right now than ever before. Folks could have the disease and not even know it.
But those without symptoms generally don't qualify for testing. There are not enough test kits out there for that.
So that means we're leaving up to 40% of people that could be spreading COVID-19 unchecked. We're fighting the virus with one arm tied behind our backs.
Now, let me be clear. If the company I have in mind was a play only on COVID-19 testing, I wouldn't even be making this recommendation.
What we want is an established leader that can add this badly-needed test to its arsenal of already great products that ring up big profits.
And that's exactly what we get with Quidel Corp. (NASDAQ: QDEL).
Quidel provides diagnostic test equipment that helps clinics, doctors' offices, and smaller hospitals quickly perform on-site testing for a number of conditions. It even checks prenatal health for both mother and fetus.
And this is all handled on easy-to-use, small equipment that doesn't require a whole research laboratory.
Quite naturally, the focus recently has been on Quidel's tests for the COVID-19 virus. And the firm has had major breakthroughs there.
On March 17, after just a few weeks of development, the U.S. Food and Drug Administration (FDA) gave Quidel's COVID-19 test an Emergency Use Authorization (EUA).
Then on March 25, the FDA expanded Quidel's EUA to allow its test to be analyzed on three additional makes of laboratory testing machines.
To help put into perspective how outrageously fast that is for the world of biotech, I can point to another very promising biotech that is emerging from behind the scenes after 11 years.
With 25,000 patients treated, a world-renowned physician at the helm, and 27 unique and highly profitable drug candidates in development, this tiny company is about to see outstanding growth. You can find out what I mean right here.
But even for a company with potential like that, turning around a new product in just a couple of months in biotech is nothing short of a miracle.
Since each hospital lab has a different mix of these huge and expensive machines, this expansion was a massive boost for Quidel.
On April 22, the FDA expanded Quidel's EUA again, allowing the company to deliver results 40 minutes faster than before. This also cut down on the use of rare chemical reagents that are in short supply as the whole world tests for coronavirus.
That same faster test received final approval for sale in Canada on Aug. 12, making Quidel the global leader in accurate and quick COVID-19 testing.
The Broader Basis: COVID-19 and Beyond
But as I mentioned, Quidel isn't just about COVID-19.
The firm also provides testing equipment that can quickly detect the seasonal flu virus, the parainfluenza virus that can cause severe breathing problems in infants, or the C. diff bacteria behind most hospital-acquired infections. Not to mention rapid tests for autoimmune diseases such as lupus or rheumatoid arthritis, with results available within minutes.
By specifically targeting the smaller hospitals, emergency-care clinics, and doctors' offices where medicine is moving, Quidel is riding a key trend in healthcare.
And the firm just gave us a nice new entry point. See, the stock recently got slammed on thin news, as a local TV report caused a massive overreaction.
But make no mistake, this stock is built for the long haul. Quidel is an earnings powerhouse that has grown earnings per share by an average of 76% over the past three years.
At that rate, it'll double in just a little over 11 months.
But let's cut that way back, just to be conservative. A double in, say, 24 to 28 months seems reasonable. It's also a fantastic growth rate.
It's stocks just like Quidel that I have in mind when I repeat my mantra: The road to wealth is paved with tech.
And in the meantime, don't forget to check out this exclusive interview with a world-renowned entrepreneur…
You see, starting 11 years ago, this world-renowned physician began his quest to cure what were thought to be incurable diseases. Fast-forward to today, and countless patients who weren't receiving help elsewhere call these treatments "miracles."
Now, this Harvard-trained entrepreneur is going public with them for the first time in this exclusive interview. You'll be able to hear the details of his next venture, and learn exactly how you can secure early-round shares for $1 each. Click here now…
About the Author
Michael A. Robinson is a 36-year Silicon Valley veteran and one of the top tech and biotech financial analysts working today. That's because, as a consultant, senior adviser, and board member for Silicon Valley venture capital firms, Michael enjoys privileged access to pioneering CEOs, scientists, and high-profile players. And he brings this entire world of Silicon Valley "insiders" right to you...
- He was one of five people involved in early meetings for the $160 billion "cloud" computing phenomenon.
- He was there as Lee Iacocca and Roger Smith, the CEOs of Chrysler and GM, led the robotics revolution that saved the U.S. automotive industry.
- As cyber-security was becoming a focus of national security, Michael was with Dave DeWalt, the CEO of McAfee, right before Intel acquired his company for $7.8 billion.
This all means the entire world is constantly seeking Michael's insight.
In addition to being a regular guest and panelist on CNBC and Fox Business, he is also a Pulitzer Prize-nominated writer and reporter. His first book Overdrawn: The Bailout of American Savings warned people about the coming financial collapse - years before the word "bailout" became a household word.
Silicon Valley defense publications vie for his analysis. He's worked for Defense Media Network and Signal Magazine, as well as The New York Times, American Enterprise, and The Wall Street Journal.
And even with decades of experience, Michael believes there has never been a moment in time quite like this.
Right now, medical breakthroughs that once took years to develop are moving at a record speed. And that means we are going to see highly lucrative biotech investment opportunities come in fast and furious.
To help you navigate the historic opportunity in biotech, Michael launched the Bio-Tech Profit Alliance.
His other publications include: Strategic Tech Investor, The Nova-X Report, Bio-Technology Profit Alliance and Nexus-9 Network.