You are too late to the party. This was a great buy a week ago, now is the time to sell MRNA and here is why.
The share of the US biotech company Moderna (NASDAQ:MRNA)is gaining more than 20% in pre-amrket on Friday morning to € 48.78. The company is seen as a great hope in the development of a corona vaccine. The reason for the recent massive jump in prices is the commitment by the US Biomedical Advanced Research and Development Authority (BARDA) of up to $ 483 million to help develop the company’s mRNA vaccine candidate mRNA-1273 to accelerate against the novel corona virus.
The experimental mRNA-1273 vaccine is currently in a phase 1 trial that is being conducted in collaboration with the National Institutes of Health (NIH).
If everything goes according to plan, a phase 2 study on mRNA-1273 is expected to begin in the second quarter of 2020. Subject to the data from these studies and the consultation with the supervisory authorities, the company says a phase 3 study could already start in autumn 2020.
BARDA funding not only helps to get mRNA-1273 on the way to approval, but it also helps to increase the capacities for the production of the vaccine.
The experimental mRNA-1273 vaccine is currently in a phase 1 trial that is being conducted in collaboration with the National Institutes of Health (NIH).
Too many unknowns
If everything goes according to plan, a phase 2 study on mRNA-1273 is expected to begin in the second quarter of 2020. Subject to the data from these studies and the consultation with the supervisory authorities, the company says a phase 3 study could already start in autumn 2020.
BARDA funding not only helps to get mRNA-1273 on the way to approval, but it also helps to increase the capacities for the production of the vaccine.
The Moderna share was able to break out of the resistance at $36.00 on Wednesday. Inspired by BARDA’s latest injection of money, paper is now able to make a massive price jump. The first profit-taking could occur in the short term, but if Moderna actually succeeds in developing a vaccine in record time, the paper should be markedly higher in the medium term
