Moderna (NASDAQ:MRNA) gave some key updates regarding its pipeline ahead of its Vaccine Day event and made it clear that the biotech company has more to offer beyond its COVID-19 vaccines. The company’s management stated that four of the vaccines in its pipeline had achieved “successful clinical readouts” across its respiratory, latent, and other pathogens.
The company added that five of its vaccines are currently undergoing Phase 3 clinical trials while three more vaccines are ” moving toward Phase 3.”
With this vaccine portfolio, Moderna is eyeing a $52 billion total addressable market (TAM) with its infectious disease vaccines. This includes a $27 billion TAM for respiratory vaccines and over $25 billion TAM for latent and other vaccines.
Vaccine Research and Development
In order to strengthen its vaccine portfolio, the company’s research and development division remains a top priority. As a part of this strategy, the biotech giant has partnered with Blackstone Life Sciences and has secured $750 million in funding for its flu program. Blackstone’s return on this funding will be tied to commercial milestones and royalties in “low-single-digit.”
Moreover, Moderna expects this funding to reduce its research and development expenses and will retain full control of its flu program. However, this funding is not expected to change the company’s FY24 research and development framework spending of around $4.5 billion.
What is the Future of MRNA Stock?
Analysts remain cautiously optimistic about MRNA stock with a Moderate Buy consensus rating based on eight Buys, six Holds, and two Sells. Over the past year, MRNA stock has tanked by more than 25% and the average MRNA price target of $129.27 implies an upside potential of 20.4% at current levels.
