Why Novavax Stock Was Plummeting This Week

One significant earnings-season victim of recent days is vaccine specialist Novavax (NASDAQ: NVAX). Although the company recently scored a big win by earning Emergency Use Authorization (EUA) in the U.S. for its Nuvaxovid coronavirus vaccine, investors were disheartened by the second-quarter results it announced earlier this week. Compounding that, several analysts piled in with bearish adjustments to their takes on the stock.

As a result, as of Thursday evening Novavax shares were down by a worrying 33% week to date, according to data compiled by S&P Global Market Intelligence.

Novavax's week turned sour almost from the beginning, when the biotech divulged those second-quarter figures after market close on Monday. These revealed a troubling year-over-year revenue decline of nearly 40%, notably worse than the average analyst estimate, and a steep net loss (of $510 million), compared to analyst expectations of a solid profit. Compounding this, the company chopped its 2022 revenue guidance in half.

Source Fool.com