Here's Why Investors Should Follow Sanofi and GlaxoSmithKline's New Coronavirus Collaboration

Ever since GlaxoSmithKline (NYSE: GSK) and Sanofi (NASDAQ: SNY) announced on April 14 that they were entering an unprecedented collaboration to develop a COVID-19 vaccine, both stocks have soared. On the day of the announcement, GlaxoSmithKline stock closed at the highest it had been all month, up about 8% from its price at the beginning of April, with shares continuing to rise ever since.

Sanofi stock experienced a somewhat less newsworthy boost that day, but shares have risen significantly over the past few weeks. Sanofi stock closed at $49.87 on April 28, sitting at roughly 4% below its 52-week high and 33% above its 52-week low. As for GlaxoSmithKline, the stock's recent closing price was $42.09, about 13% below its 52-week high and 34% above its lowest trading price during the past year.

While neither GlaxoSmithKline nor Sanofi was immune to the coronavirus-induced plunge into bear market territory, shares for both companies have certainly been on an upward trajectory since the end of March, and the April 14 announcement has only served to build this momentum.

Source Fool.com