Why Novavax Stock Is Sinking Again Today

Shares of Novavax (NASDAQ: NVAX) were sinking 9% lower as of 11:23 a.m. EDT on Tuesday after dropping nearly 14% on Monday. The reason behind today's decline appears to be the same as it was yesterday: Investors are concerned that another COVID-19 vaccine could receive emergency use authorization (EUA) in October. A Financial Times article published on Sunday reported that the Trump administration was considering fast-tracking the COVID-19 vaccine being developed by AstraZeneca and the University of Oxford.

On one hand, it doesn't make sense why investors would sell off Novavax shares on worries about another COVID-19 vaccine making it to market sooner. After all, Novavax only started a phase 2 clinical study of its coronavirus vaccine candidate NVX-CoV2373 yesterday. Several drugmakers are already in phase 3 testing with their COVID-19 vaccine candidates. No one expected Novavax to be the first to market with its vaccine.

Image source: Getty Images.

Source Fool.com