According to CEO Robert Ford, Abbott Laboratories is conducting trials for its rapid coronavirus. The practices aim to determine its effectiveness on asymptomatic people. Abbott has emergency use authorization from the Food and Drug Administration for its COVID antigen test for $5 with results in 15 minutes.
Abbott’s new product is an excellent development as the U.S. attempts to build out Covid-19 testing capacity this fall. However, the FDA’s authorization for the test is limited. It is not permitted to test presymptomatic people or those without symptoms. Still, Ford said the Illinois-based medical equipment company hopes to expand beyond the FDA’s present approval.
In an interview with CNBC’s Meg Tirrell on “Power Lunch,” Ford mentioned that it is working on data development for asymptomatic claims.
Abbott’s offering, called BinaxNOW, can hasten turnaround time for Covid-19 results in the U.S., which has experienced significant testing struggles throughout the pandemic. The test needs no lab equipment, and it is portable for doctors’ offices. The government of the United States secured a deal for at least 150 million Abbott’s tests hoping to use them in nursing homes, schools, or other high-risk populations.
In a CNBC op-ed published Thursday, Ford pointed out that rapid antigen tests such as BinaxNOW are essential because they do not prolong the waiting time. Ford indicated that rapid tests could provide fast results to prompt infected patients to perform self-quarantine as soon as possible.
Abbott is currently conducting the test with asymptomatic people. Ford said that Abbott believes it can be distributed and used in several beneficial settings.
“In the meantime, we see it being able to be deployed because it doesn’t require an instrument … through the federal government, through the state governments, through schools, through employers, or even through retail clinics. We think that’s a great opportunity to be able to line up this volume.”
Robert Ford
The shares of Abbott Labs closed Friday’s session at $110.79 apiece but reached a high of $114.20 during the session. The stock is up more than 25% so far this year.
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