Moderna analyst Matthew Harrison predicts that his company’s stock prices will be heavily influenced by the FDA panel meeting that will take place on Thursday regarding the distribution of the biotech firm’s vaccine candidate.
Described by Harrison as “the most innovative vaccine developer” that is capable of outperforming the majority of competing biotech companies, Moderna is highly expected to become increasingly valuable over a multi-year period.
While the Cambridge, Massachusetts-based firm’s vaccine pipeline is valued at $100 per share, Harrison raised the company’s price target to $150. Currently, vaccine development has contributed to the majority of the biotech firm’s upward trend in value.
However, Moderna’s vaccine candidate is actually not their only source of revenue. According to Harrison, both rare diseases and oncology prove to be lucrative businesses for them as well.
Harrison doubled down on this belief, explaining: “With investor expectations closer to the bull case than the bear case on COVID-19, we think it’s appropriate to step to the sidelines for now and look for entry points to better realize the potential long-term value.”
Morgan Stanley estimates that Moderna will receive capital ranging between $10 billion and $20 billion as a result of its efforts to combat COVID-19.
