Relationship between COVID-19 and the Performance of Pharmaceutical Industry

Abstract

The aim of the study was to determine how covid-19 affects the pharmaceutical stock market. The monthly data was used in this study span two years, from 2020 to 2022. For the study the independent variables were taken are daily new cases and daily deaths, market to book value and their effect on the market return of pharmaceutical industry.  The results showed that the COVID-19 outbreak has had a significant impact on the sector's stock performance. Investors believe healthcare and pharmaceutical companies will benefit from this pandemic as they invest in research and development to prepare for the current epidemic and all subsequent pandemics. The results of this survey showed that investors will continue to invest in healthcare and pharmaceutical companies over time.