It’s been an exciting few days for coronavirus vaccine developer Novavax, Inc. (NASDAQ: NVAX) as the continued vaccine news flow pushes the stock to new highs.
Novavax’s Breathtaking Run: Novavax was one of the best performing stocks in 2020 and rose approximately 2,700%.
However, the stock came under pressure in the second half of 2020 amid delays with the start of late-stage trials in the US and Mexico, the sale of inside sales and approval for competing vaccines.
When the company launched its vaccination program, the shares began to regain some of the lost momentum at the end of 2020.
The stock, which closed for much of January in the $ 120 to $ 130 range, took a big leap of faith on January 29, with the catalyst the interim phase 3 data of the UK study.
Novavax gained about 65% in a single session before closing at $ 220.94.
The stock went from strength to strength in the next few sessions amid updates to the company’s vaccine program.
Vaccination program is moving fast forward: The UK leg of the Phase 3 trial showed that NVX-CoV2373 was 89.3% effective in preventing COVID-19, the disease caused by SARS-CoV-2.
The research vaccine was also found to be effective against the emerging South African variant, although the effectiveness was lower.
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Novavax on Tuesday announced the signing of a memorandum with the Canadian government to manufacture NVX-CoV2373 in Canada. The company has contracted to supply up to 76 million doses of the vaccine to Canada.
The company on Wednesday announced an agreement to deliver 6 million doses of the vaccine candidate to the Swiss government.
Late Thursday, Novavax confirmed the start of the ongoing review with the drug regulators in the US, EU, UK and Canada.
What lies ahead for Novavax: The completion of the ongoing trials in the US, UK and South Africa will provide a complete set of data for review by regulatory agencies. Much of the data will be released by the first quarter, paving the way for approval for possible emergency use.
The company’s vaccine candidate holds a logistical advantage, as it can be shipped with existing channels for vaccine supply channels.
NVX-CoV2373’s ready-to-use liquid formulation, which is stable under refrigerated conditions, offers a distinctive logistical advantage.
The company trades in manufacturing and supply in eight geographical areas around the world and expects to have a capacity of more than 2 billion doses annually.
Given these short-term catalysts, a further run in equities cannot be ruled out.
NVAX price action: With the latest check, Novavax shares rose 5.11% to $ 295.27.
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