Why Moderna Shares Are Falling

Moderna Inc MRNA shares are trading lower by 2.7% to $102.25 during Wednesday’s session in possible sympathy with BioNTech, which reported worse than expected fourth-quarter earnings.

In the fourth-quarter of fiscal year 2023 BioNTech SE reported lower earnings and sales than the previous year. The GAAP EPS was €1.90 (equivalent to $2.04), missing the consensus of $2.64, with sales at €1.479 billion (equivalent to $1.59 billion), missing the consensus of $1.99 billion.

This decline was partly due to inventory write-downs by Pfizer, reducing BioNTech’s revenues by €291.3 million for the quarter and €906.7 million for the fiscal year 2023…Read More

Why This Matters To MRNA Investors

Investors often compare companies within the same industry to gauge relative performance. Moderna and BioNTech are direct competitors in the mRNA space, so when BioNTech misses earnings expectations, investors may worry that Moderna could face similar difficulties.

This could lead them to reevaluate Moderna’s growth prospects and potentially revise their revenue and earnings forecasts downward for the company.

See Also: Why Is BioNTech Stock Trading Lower On Wednesday?

Is MRNA A Good Stock To Buy?

Wall Street analysts view Moderna on the whole as an Outperform, given the history of coverage over the past three months. Yifeng Liu from HSBC in Moderna is the most optimistic, expecting a 14.67% rise in the stock in the coming year.

But looking at how the market as a whole thinks of the stock, you can reference historical price action for views on whether investors feel strongly about the stock one way or another. In the past 3 months, Moderna rose 11.37%, which indicates that opinion improved on the business and how attractive it is to own based on either its stock price, or underlying fundamentals, like revenue, which fell 44.71% over the past year.

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MRNA has a 52-week high of $163.24 and a 52-week low of $62.55.