Moderna is the world’s leading biotech company that is also listed on NASDAQ Stock Exchange (MRNA).
The company recently reported its phase three trial results for the upcoming flu vaccine. The results clarified that the vaccine failed to achieve its targets.
As the result, the company’s shares have seen a decline in their price and currently are being traded under a high-pressure situation.
The vaccine’s ultimate objectives to cure influenza were not met as per the expectations. This outcome has successfully pushed the company’s stock to plunge.
Moderna’s President Dr. Stephen Addressed the Press
Stephen in his recent speech said that the initial results of the testing point to some advancements in curing influenza.
Amid these outcomes, the company is being encouraged to further run more testing phases. Despite the poor share price and pressure from investors the top leadership of Moderna is confident.
Stephen shares some findings arguing that most cases of flu-related illnesses in older adults are caused by these viruses.
It can be argued that Phase 3 testing has tested the efficacy of the vaccine.
Goldman Sachs analysts suggested that mRNA-1010’s regulatory prospects are likely to be challenged due to the ambiguous trial findings.
Modern to File for FDA Approval
Although the vaccine has not been a total success, it has achieved some success.
The company’s top leadership also told they are about to seek Food and Drug Administration (FDA) approval to lunch the vaccine in the market.
This vaccine will be launched by the end of the first of half 2023. As the things stand, the company has decided to launch the vaccine only for RSV.
Each year, almost 6000 to 7000 older adults are killed by this virus. On average 60,000 people visit hospitals due to this virus.
In the United States, there was a significant spike in the number of RSV infections during the fall.
Over the past couple of years, children and older adults have abandoned health measures as a result RSV became more effective and lethal.
As red flags have emerged subjected to this specific vaccine’s performance, Moderna’s other products are also feeling the heat.
The biotech company is now confronted with the task of demonstrating the viability of its other products publicly.
Conversely, the number shows that despite the fact that Moderna’s recent vaccine sparked some criticism.
But the company has seen record sales of its COVID vaccine. The company has secured the sum of $18.4 billion, due to the sale of Covid-19 vaccines in 2022.
However, for 2023, Moderna has showcased that its revenue from the sales of Covid19 vaccines can be around $ 5 billion.
It seems that recently, there have been mixed sentiments regarding Moderna’s profits. But the stock market has not reacted in the favor of Moderna.
Summary of Moderna (MRNA) Share Performance
The company’s share ran into strong bulls back in 2021, when its COVID-19 vaccine was reported to have an access rate of 94.5% against COVID-19.
In, September of the same year the company’s stock touched its all-time high of $449. But recently its share is under severe pressure.
The reason behind this pressure is that the third phase test of the company’s flu-related vaccine did not achieve its objectives.
As the result, concerns have been posed against all the upcoming vaccines of Modern subjected to their performance and effectiveness.
Despite the fact that the company’s RSV vaccine performed well in the market, the recent performance of its latest vaccine has raised red flags about its stock price.
The company’s share price has already declined from its January high. As of this writing, MRNA is estimated at $159.77.
This shows that over the past 24 hours, the price of its stock has declined by 4.10%. As compared to its competitors the company’s share is significantly underperforming.
Hence, experts have warned investors to stay away from vesting Moderna (MRNA) stock as of now.