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Research Alert: CFRA Lowers View On Shares Of Novavax, Inc. To Buy From Strong Buy

05/11/2021 06:07

10:05 AM EDT, 05/11/2021 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our target price by $50 to $200, 5.2x our 2022 EPS estimate, as NVAX is now planning to seek approval for its Covid-19 vaccine candidate from major developed countries' regulators in Q3 vs. Q2 2021. We cut our 2021 adjusted EPS estimate by $1.05 to $17.20 as we update our Q2 and Q3 estimates. We maintain our 2022 adj. EPS estimate at $38.60. Q1 adj. loss per share of $3.05 vs. $0.58 was $0.45 below our estimate and $0.75 below the S&P Capital IQ consensus. Q1 2021 revenue was at $447M vs. $3M in Q1 2020, $192M above our estimate and $213M above consensus. The Y/Y increase was attributed to the funding received from the U.S. Government to develop its protein subunit Covid-19 vaccine, NVX-CoV237. NVAX incurred high R&D ($592.7M in Q1 2021 vs. $16.9M in Q1 2020) and general and administrative expenses ($63.2M in Q1 2021 vs. $9.4M in Q1 2020) this quarter to support the development of the Covid-19 vaccine candidate. Consequently, net loss rose to $222.7M in Q1 2021 vs. $25.9M in Q1 2020.