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1 Green Flag and 1 Red Flag for Novavax

TheMotleyFool

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1 Green Flag and 1 Red Flag for Novavax: https://g.foolcdn.com/editorial/images/696985/nurse-vaccinating-patient.jpg

Biotech company Novavax (NASDAQ: NVAX) achieved an important milestone in July when it earned emergency use authorization (EUA) for its COVID-19 vaccine, Nuvaxovid, in the U.S. However, since that momentous event, the company's shares have lagged the market. What's going on?

The vaccine maker has encountered some headwinds related to Nuvaxovid. But despite these troubles, Novavax's prospects aren't dead in the water. Let's consider one reason to be excited about its chances to turn things around, and one reason its shares could sink deeper.