The Worst Mistake Novavax Investors Can Make Right Now
Novavax (NASDAQ: NVAX) was in the perfect position to develop a COVID-19 vaccine, having previously succeeded against two similar coronaviruses (SARS and MERS) in the lab. The company chose a vaccine candidate in April, and nine months later, the phase 3 trial has finally begun in the U.S. In anticipation, the stock is up 660% over that time. It's not obvious what shareholders should do now, but there is something they shouldn't do.
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Novavax became part of the U.S. government's Operation Warp Speed in July, and subsequently signed several deals with global vaccine manufacturers for a capacity of 2 billion doses per year, according to management. Despite several delays related to manufacturing, phase 3 data will be available by the end of April if the company follows the same timeline as Pfizer (NYSE: PFE) and Moderna (NASDAQ: MRNA). In the meantime, Novavax has a phase 3 study in the U.K. that could report out by early this quarter that should give insight about the company's future.
Source Fool.com
