Novavax Inc (NVAX)

[hesse]

NVAX. "Graduation Day – the New Tiers: ISIS makes it to 1st Tier, NVAX & SGMO Join Tier 2."

http://www.bioinvest.com/graduation-day-new-tiers-isis-makes-1st-tier-nvax-sgmo-join-tier-2/

2nd Tier biotech companies have a market capitalization between $500 million and $3 billion, and represents the MTSL sweet spot with six of our recommendations residing here when factoring in the two new members – NVAX & SGMO – minus ISIS to graduation to the 1st tier. Tier 2 biotechs usually have a recently approved drug that either is early in its launch (PCRX) or in some cases is royalty bound (IMGN) and/or are not yet profitable. Other Tier 2 biotechs have a late-stage drug development candidate that addresses a large market opportunity. Another type of Tier 2 company are ones with deep and potentially powerful drug discovery platforms that are relatively earlier in development either not yet been fully validated by registration-type data or Wall Street. The shareholder base transformation from more speculative retail base to a more sophisticated institutional investor is also a major influence on who advances to the next Tier. In our view, NVAX was a classic example in the second half of 2013 as mutual and hedge fund managers began to accumulate shares as the RSV program was de-risked. With the recent pullback in its shares, we continue to emphasize NVAX in front of the upcoming larger Phase II RSV vaccine data release.

MTSL Portfolio – Risk Profiles