Moderna ( (MRNA) ) has fallen by -12.90%. Read on to learn why.
Moderna’s stock has experienced a significant decline of 12.90% over the past week, reflecting investor concerns about the company’s recent financial performance and future prospects. The biotechnology company reported a 35% drop in first-quarter revenues to $108 million, primarily due to decreased Covid vaccination rates as the disease becomes more seasonal. Despite this, the company’s revenue still surpassed analyst estimates, and Moderna posted a net loss of $971 million, which was an improvement from the previous year’s loss.
Investors were further disheartened by Moderna’s announcement that regulatory approval for its combination Covid-19 and influenza vaccine is not expected until 2026. This delay comes after the FDA required additional late-stage data to demonstrate the vaccine’s efficacy against the flu. The company had previously aimed to launch the vaccine by 2025. On a positive note, Moderna is advancing several products toward approval, including multiple cancer treatments, which could bolster future revenue streams.
Analysts have maintained a ‘Hold’ consensus on Moderna, with a price target that suggests a significant upside from current levels. However, the stock faces challenges from potential U.S. tariffs and political headwinds, which have led some analysts to lower their price targets. Despite these hurdles, Moderna remains focused on its strategic initiatives and pipeline developments, which could influence its stock performance in the coming months.