Shares of Novavax Inc (NASDAQ:NVAX) are trading lower Friday morning, appearing to be caught in a downdraft affecting COVID-19 vaccine makers after rival Moderna Inc (NASDAQ:MRNA) reported disappointing second-quarter financial results and cut its full-year forecast.
What To Know: Moderna announced on Friday a significant second-quarter loss of $2.12 per share, substantially missing analyst expectations of a 93 cent per share loss.
The company also lowered its 2025 revenue guidance to a range of $1.8 billion to $2.2 billion, a $300 million reduction from the previous forecast’s midpoint. The weaker outlook was attributed to a continued decline in demand for its COVID-19 vaccine, with sales falling 41% year-over-year to $211 million.
The negative report from Moderna has cast a pall over the sector, shifting investor focus to Novavax’s own upcoming earnings report. Novavax is scheduled to release its quarterly results before the market opens on Wednesday, August 6.
Current Wall Street estimates project the company will post a loss of 6 cents per share on quarterly revenue of approximately $156.30 million.
While Novavax recently shared positive preclinical data for its H5N1 bird flu vaccine candidate, the market’s immediate concern appears centered on the financial viability of the COVID-19 market.
Investors will be closely watching Novavax’s report next week for signs of revenue stability and updates on its pipeline to gauge if it can avoid the headwinds currently facing Moderna.
Benzinga Edge Rankings: Based on Benzinga Edge stock rankings, which evaluate stocks on key metrics, Novavax currently exhibits a bearish technical profile. The stock shows very weak momentum with a score of just 11.86.
This is further corroborated by negative price trend signals across the short, medium, and long-term outlooks. The company’s Value score sits at a neutral 47.07, suggesting it is not considered significantly over or undervalued at its current price.
Price Action: According to data from Benzinga Pro, NVAX shares are trading lower by 3.23% to $6.43 Friday morning. The stock has a 52-week high of $15.22 and a 52-week low of $5.01.
Read Also: Clorox Claims Cognizant Handed Credentials To Hacker, Ignored Security Protocols
How To Buy NVAX Stock
By now you're likely curious about how to participate in the market for Novavax – be it to purchase shares, or even attempt to bet against the company.
Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.
In the case of Novavax, which is trading at $6.43 as of publishing time, $100 would buy you 15.55 shares of stock.
If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.
Image: Shutterstock
