Is Novavax Worth Buying After Recent Developments?
Novavax Stock Analysis: Should You Buy Now?
The stock has dropped 98% over the past three years. Novavax has taken investors on a roller coaster ride over the past week or so. The stock soared after the company settled a dispute with a big customer, then sank as it reported lower-than-expected earnings.
An alternative to mRNA vaccines
First, a bit of background on Novavax. The biotech competes in the coronavirus vaccine market with a product that's different from Pfizer's and Moderna's messenger RNA vaccines.
- Novavax makes a protein subunit vaccine, based on a more traditional technology that's been used in other commercialized vaccines.
- But the vaccine maker has faced one big problem: its speed to market.
Novavax's plan for vaccine season
- Novavax said it has a plan to improve its performance during the next vaccine season by entering the market in early September.
- The company also aims to keep research and development costs down in 2024.
Consider your investing style
If you're a cautious investor, it's best to watch this biotech player from the sidelines for now. But if you're an aggressive investor looking for a recovery story, you might want to take a chance on this beaten-down biotech and open a small position.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.