NVAX

At Yahoo Finance's All Markets Summit, Dr. Anthony Fauci outlines the key goals of COVID-19 vaccine candidates racing to the finish line.

Drugmaker says interim results showed the vaccine was producing an encouraging immune response among elderly trial participants.

The race to be first to market with a COVID-19 vaccine is far from over. However, Novavax (NVAX), so far, is the clear winner - at least on Wall Street. Shares have surged by a barely believable 2,236% year-to-date, as investors have cheered the progress of NVX-CoV2373, the company's COVID-19 vaccine candidate.However, as with several other coronavirus stocks, the rally has paused for a breather recently, as the latest noises coming from the sector appear to have given investors the jitters.Pauses for Johnson & Johnson and Astra Zeneca in their respective Phase 3 Covid-19 vaccine trials due to a participant’s unexplained adverse reaction have highlighted how hard it is to get a vaccine across the finish line.It appears that the latest move by the FDA is a requirement for extra vigilance on the safety front.In briefing documents handed out at this week’s World Vaccine Congress (WVC) concerning the guide lines for coronavirus vaccine trials, the FDA states there is a need for safety monitoring of over 6 months should any serious and medically attended AEs (adverse events) come to the fore during trials.B. Riley Securities analyst Mayank Mamtani believes the abundance of caution “possibly relates to the temporary pause in Ph. III trials from AZN and JNJ.”It also has the potential to negatively impact Novavax’ progress due to a “theoretical mention of certain platforms using novel adjuvants (such as NVX-CoV2373) to require longer safety monitoring in case of SAEs.”Ultimately, however, Mamtani believes Novavax’ offering differentiates itself from the crowd on several fronts.“While minor delays to projected timelines are to be expected, as also noted with PFE and MRNA Ph. III readouts,” the 5-star analyst said, “We reiterate our view of '2373 standing out among the first wave of C-19 vaccine makers, particularly as it relates to likelihood of success on the basis of (1) Ph. I best-in-class immunogenicity data, (2) robust safety data generated by NVAX's platform including from the positive Ph. III NanoFlu study earlier this year, and (3) fast-follower approach to Ph. III efficacy trial execution.”Overall, Mamtani reiterated a Buy on NVAX shares. Yet, due to “push out in U.S. market entry by one quarter and slightly reduced penetration given the challenged national sentiment towards vaccination,” the analyst cut the price target from $257 to $223. Nevertheless, the figure still represents possible upside of 140% from current levels. (To watch Mamtani’s track record, click here)Mamtani is broadly in line with the rest of Wall Street, which has assigned NVAX 4 Buys and 1 Sell over the past three months -- and sees the stock growing about 137% over the next 12 months, to a target price of $220.80. (See Novavax stock analysis on TipRanks)To find good ideas for healthcare stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

After the initial onset of the novel coronavirus, the narrative shifted from finding a treatment to a vaccine. While it is important to treat those with Covid-19 symptoms, there’s a possibility that this new virus could keep coming back unless we build a defense against it. Therefore, Novavax (NASDAQ:NVAX) became one of 2020’s top winners. But with this year soon coming to a close, NVAX stock, like other vaccine plays, has lost much charm. Source: Ascannio/Shutterstock.com Unfortunately, the realities of the vaccine race began weighing on the biotechnology and pharmaceutical sector. Ordinarily, it would take years for a vaccine to be developed and distributed. With the launching of Operation Warp Speed, the White House wanted this job done in months. That’s probably not going to happen. Why? Covid-19 vaccine candidates have suffered many setbacks and disappointments. But recently, NVAX stock ticked higher, and not for reasons directly associated with the underlying company. Rather, a competitor really flubbed up, at least from a PR perspective. AstraZeneca (NASDAQ:AZN) generated exactly the headline that it did not need, with media reports indicating that one of its vaccine trial participants in Brazil died. Naturally, this sent ripples throughout the international community.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Nevertheless, NVAX stock may stand to benefit. Different Vaccines, Different Potential Outcomes One big reason Novavax could benefit is its innovative vaccine approach. AstraZeneca uses a platform called viral-vector vaccines. Essentially, bioengineers take a “neutered” virus and use it as a carrier to distribute the target virus’ (in this case, SARS-CoV-2) gene into the patient. The ultimate aim is sparking an immune response. 7 Airline Stocks to Buy on Pelosi Stimulus Hopes In contrast, Novavax is using a more proven platform called subunit vaccines. As the Washington Post states, the vaccine for hepatitis B is a subunit solution. Here, fragments of the target virus’ proteins are injected into the patient, eventually leading to antibody production. Scientifically, the differences are significant enough that they would catapult NVAX stock at the expense of AstraZeneca. However, the vaccine is no longer just about the science, and that’s why Novavax stakeholders can’t ignore what just happened. NVAX Stock and the Dangers of a Perception Pit For starters, available evidence indicates that the deceased participant did not receive AstraZeneca’s experimental vaccine, but was part of a control group. Therefore, it would be grossly inaccurate to state that the company’s viral-vector vaccine has a fatal flaw. That said, it is fair to have some skepticism toward viral vectors in general. Although scientific research demonstrates that this approach induces “robust immune responses,” and “increased cellular immunity,” viral vectors have been at the center of controversy. Along with AstraZeneca, Johnson & Johnson (NYSE:JNJ), which uses viral vectors for its Covid-19 vaccine candidate, had to pause its late-stage clinical trial because a participant came down with an unknown illness. Still, I don’t think people are not going to take vaccines because they use viral vectors as opposed to subunits. Instead, people are not going to take vaccines because they don’t trust the government anymore. And that’s a new challenge for NVAX stock that wasn’t present before this latest industry setback. Here’s the deal. Back at the start of this pandemic, federal health officials warned us not to wear masks because they’re ineffective. Suddenly, that narrative gradually shifted to mask-wearing being more effective than a vaccine. As you can guess, the American people are tired of getting the run-around. Hence, I think it’s more than possible that people are now skeptical about any news on the vaccine front. Novavax Looks Good Longer Term That’s not to say that NVAX stock is a bearish candidate. Importantly, the subunit vaccine platform has a track record of success. Some of the other competing platforms lack this historical credibility. But even here, track record alone doesn’t make NVAX stock a buy. The sticking point with Novavax’s Covid-19 candidate is that it most likely will require two doses. As things stand, distributing any vaccine will be a logistical nightmare. Add in multiple doses and possible storage challenges, and none of the proposed solutions looks terribly enticing. Ultimately, though, the science and the logistics may be the easy part. What may be excruciatingly challenging now is convincing the public that Covid-19 vaccines are safe. On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. More From InvestorPlace Why Everyone Is Investing in 5G All WRONG Top Stock Picker Reveals His Next 1,000% Winner Radical New Battery Could Dismantle Oil Markets Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company The post Can Novavax Stock Overcome Growing Vaccine Distrust? appeared first on InvestorPlace.

STAT New reports that that FDA appears to be losing some enthusiasm for issuing emergency use authorizations ((EUA)) for COVID-19 vaccines that would open the floodgates to widespread deployment.Recent surveys have

The latest analyst coverage could presage a bad day for Novavax, Inc. (NASDAQ:NVAX), with the analysts making...

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