- Oops!Something went wrong.Please try again later.
Novavax, Inc.'s (NASDAQ: NVAX) recent hot streak is continuing, as the stock moved past $300 Monday.
What Happened: After ending 2020 on a strong note, shares of Gaithersburg, Maryland-based Novavax have been going from strength to strength in the new year. The stock has gained a whopping 160% year-to-date as of Friday.
Monday's rally is the result of a combination of factors, including momentum that has lifted the stock to new highs. Another factor that is fueling the rally is the across-the-board strength seen in vaccine stocks.
Novavax's protein-based COVID-19 vaccine candidate, NVX-CoV2373, is nearing regulatory approval for emergency use in multiple countries. The company announced last Thursday the start of rolling review of its regulatory applications in the U.S., U.K., EU and Canada.
The interim efficacy and safety data from the late-stage U.K. trial released in late January was encouraging.
Multiple vaccine readouts are due in the first quarter, including Phase 3 data from the U.S. and Mexico leg of the study; additional data from the U.K. Phase 3 trial; and updates from the South African trial.
Novavax's Fundamentals Vs. Valuation: The protracted rally seen since last year has led to a stretched valuation, raising fears over the sustainability of the Novavax rally.
The company's fundamentals support further upside, according to one sell-side analyst.
Novavax has a clear path to approval and commercial sale of its first product, and given favorable product characteristics, its vaccine candidate should see widespread purchase and adoption, SVB Leerink analyst Geoffrey Porges said in a recent note.
"Ultimately, Novavax is well positioned to develop a combined multi-valent influenza/COVID vaccine, and this may be their most compelling commercial opportunity longer term," the analyst said.
NVAX Price Action: At last check, Novavax shares were surging up 10.02% to $319.26.
Photo courtesy of Novavax.
See more from Benzinga
© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.