Home > Boards > US Listed > Biotechs > Inovio Pharmaceuticals, Inc. (INO)

Moderna’s stock price is ‘ridiculous,’ says BofA analyst

Public Reply | Private Reply | Keep | Last ReadPost New MsgNext 10 | Previous | Next
Lakers_w Member Profile
 
Followed By 12
Posts 2,976
Boards Moderated 1
Alias Born 04/26/07
160x600 placeholder
INOVIO Collaborates with GuardRX and Geneva University Hospitals for Heterologous Booster Clinical Trial of its Ebola DNA Vaccine Candidate, INO-4201 PR Newswire (US) - 11/16/2021 8:00:00 AM
INOVIO to Give Eight Presentations at the 34th International Papillomavirus Conference PR Newswire (US) - 11/15/2021 8:00:00 AM
Inovio Stock at $35 a Share? This Analyst Thinks It’s Possible TipRanks - 11/12/2021 6:22:17 PM
Prospectus Filed Pursuant to Rule 424(b)(5) (424b5) Edgar (US Regulatory) - 11/9/2021 4:51:53 PM
Inovio targets H1 2022 to share interim data from late-stage trial for COVID-19 shot Seeking Alpha - 11/9/2021 4:37:51 PM
Inovio Pharmaceuticals EPS beats by $0.04, misses on revenue Seeking Alpha - 11/9/2021 4:11:04 PM
INOVIO Reports Third Quarter 2021 Financial Results PR Newswire (US) - 11/9/2021 4:05:00 PM
INOVIO wins FDA clearance to proceed with late-stage study for COVID-19 shot Seeking Alpha - 11/9/2021 8:35:04 AM
INOVIO Receives U.S. FDA Authorization to Proceed with INNOVATE Phase 3 Segment for its COVID-19 Vaccine Candidate, INO-4800, in the U.S. PR Newswire (US) - 11/9/2021 8:00:00 AM
Inovio Pharmaceuticals Q3 2021 Earnings Preview Seeking Alpha - 11/8/2021 11:47:11 AM
INOVIO Expands Executive Leadership to Prepare for Commercial Operations PR Newswire (US) - 11/5/2021 8:00:00 AM
INOVIO Further Expands INNOVATE Phase 3 Trial for COVID-19 DNA Vaccine Candidate INO-4800 With Regulatory Authorization from India PR Newswire (US) - 11/3/2021 8:00:00 AM
AstraZeneca unit terminates cancer vaccine program with Inovio Seeking Alpha - 10/29/2021 5:54:50 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 10/29/2021 5:02:40 PM
Inovio COVID-19 vaccine candidate to undergo WHO-sponsored trial Seeking Alpha - 10/28/2021 9:09:33 AM
Current Report Filing (8-k) Edgar (US Regulatory) - 10/28/2021 6:11:14 AM
INOVIO to Report Third Quarter 2021 Financial Results on November 9, 2021 PR Newswire (US) - 10/27/2021 8:00:00 AM
INOVIO Completes Enrollment of Phase 1B Clinical Trial for its DNA Vaccine Candidate Against Lassa Fever, INO-4500, in West Africa PR Newswire (US) - 10/26/2021 8:00:00 AM
INOVIO Announces Collaboration with Colombia; Memorandum of Understanding Focuses on Protecting Against COVID-19 and Supporting Broader Health Preparedness Initiatives PR Newswire (US) - 10/21/2021 8:00:00 AM
INOVIO Announces Online Preprint Publication of Homologous Boosting Data for its COVID-19 DNA Vaccine Candidate, INO-4800 PR Newswire (US) - 10/12/2021 8:00:00 AM
INOVIO Expands INNOVATE Phase 3 for INO-4800, its DNA Vaccine Candidate for COVID-19, to include Colombia following Regulatory Authorization PR Newswire (US) - 10/11/2021 8:00:00 AM
INOVIO to Present Three Posters at IDWeek 2021 PR Newswire (US) - 9/29/2021 8:00:00 AM
INOVIO Receives Regulatory Authorization to Conduct Phase 3 Efficacy Trial of its COVID-19 DNA Vaccine Candidate, INO-4800, in Mexico PR Newswire (US) - 9/22/2021 8:00:00 AM
INOVIO to Present at Upcoming Investor Conferences in September PR Newswire (US) - 9/1/2021 8:00:00 AM
INOVIO Receives Authorization to Conduct Phase 3 Efficacy Trial of its COVID-19 DNA Vaccine Candidate, INO-4800 PR Newswire (US) - 8/26/2021 8:00:00 AM
Lakers_w   Friday, 09/10/21 03:16:27 PM
Re: None
Post # of 39593 
Moderna’s stock price is ‘ridiculous,’ says BofA analyst
Last Updated: Aug. 11, 2021 at 8:25 a.m. ET

Valuation is no longer just ‘unreasonable,’ as bearish analyst Geoff Meacham’s price target implies a decline of more than 75%

Shares of Moderna Inc. have soared so much that the biotechnology company’s valuation is “unjustifiable on a fundamental basis,” said analyst Geoff Meacham on Tuesday, as his analysis suggests the stock should be priced roughly 75% below current levels.

On Monday, the stock shot up 17.1%, the biggest one-day gain in nearly nine months, to a record close of $484.47, after the company’s COVID-19 vaccine was granted provisional authorization in Australia. At that price, the stock had rocketed 364% year to date, and valued the company at $195.56 billion.

“Valuation: From unreasonable to ridiculous.”
— Analyst Geoff Meacham at BofA Securities wrote in a note to clients.
At that valuation, Meacham, an analyst at Bank of America, noted that the 11-year-old company was worth more than the 40-year-old Amgen Inc. AMGN , which is currently at about $129.3 billion, and the 130-year-old Merck & Co. Inc. MRK , at roughly $189.7 billion, both of which are Dow Jones Industrial Average DJIA components.

Meacham reiterated his underperform rating on the stock and kept his price target at $115, which is 75.2% below current levels.

He said that while Moderna’s COVID-19 vaccine has been a major contributor to the global recovery, to justify $200 billion in value, one would have to assume two things:

Moderna would deliver 1 billion to 1.5 billion doses of its COVID-19 vaccine each year through 2038.
100% probability of success for the company’s entire pipeline, which includes four programs in Phase 2 trials, 10 Phase 1 programs and eight preclinical programs not yet in human testing, for total peak sales of $30 billion. In comparison, Moderna has recorded total revenue of about $7 billion over the past four quarters.
“These assumptions are, in our view, impossible to justify,” Meacham wrote.

The stock dropped 4.2% in afternoon trading on Tuesday, bringing Moderna’s market capitalization down to $187.3 billion, which would put it just below Merck’s current market cap.

The analyst acknowledged that he was bullish on the mRNA technology that Moderna’s vaccine is based on, it’s just how the market has valued the company that has made him bearish on the stock.

“While we acknowledge the momentum could continue, we reiterate our underperform rating especially given broad C-19 expert feedback that goes against overly bullish market sentiment,” Meacham wrote.

Moderna’s stock has skyrocketed 544.6% over the past 12 months. In comparison, shares of Pfizer Inc. PFE have rallied 32..5% and BioNTech SE BNTX have soared 473.9% over the past year, while the S&P 500 index SPX has advanced 32.0%.

Public Reply | Private Reply | Keep | Last ReadPost New MsgNext 10 | Previous | Next
Follow Board Follow Board Keyboard Shortcuts Report TOS Violation
X
Current Price
Change
Volume
Detailed Quote - Discussion Board
Intraday Chart
+/- to Watchlist
Consent Preferences