Novavax (NVAX) Enters $30M License Agreement with Pfizer (PFE) for Matrix-M Adjuvant
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
0mins
Source: NASDAQ.COM
- License Agreement Signed: Novavax has entered into a licensing agreement with Pfizer, granting Pfizer a non-exclusive license for the Matrix-M adjuvant for use in up to two disease areas, marking a deepening collaboration in vaccine development.
- Upfront Payment and Milestones: Under the agreement, Novavax will receive an upfront payment of $30 million and has the potential to earn up to $500 million in development and sales milestone payments, significantly enhancing the company's financial flexibility and R&D capabilities.
- Royalty Income Potential: Novavax is also eligible for tiered high mid-single digit percentage royalty payments on sales of any Pfizer product that includes Matrix-M, providing substantial potential for future revenue growth and further solidifying its market position.
- Clear Responsibility Allocation: Pfizer will be solely responsible for the development and commercialization of its products utilizing Matrix-M, while Novavax will supply Matrix-M, ensuring both parties maintain their expertise and efficiency, facilitating a smooth collaboration.
Analyst Views on NVAX
Wall Street analysts forecast NVAX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NVAX is 10.50 USD with a low forecast of 6.00 USD and a high forecast of 18.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
6 Analyst Rating
3 Buy
0 Hold
3 Sell
Hold
Current: 8.200
Low
6.00
Averages
10.50
High
18.00
Current: 8.200
Low
6.00
Averages
10.50
High
18.00
About NVAX
Novavax, Inc. is a biotechnology company. It is focused on addressing global health challenges through its vaccines and its proven technology platform, including protein-based nanoparticles and its Matrix-M adjuvant. Matrix-M can be used to create vaccines for a variety of diseases to help tackle some of the pressing health challenges. Its proprietary Matrix-M adjuvant, when added to vaccines, has been shown to help induce a stronger and longer-lasting immune response. Its recombinant protein-based nanoparticle technology has been shown to be highly immunogenetic. Its technology platform is used in its authorized COVID-19 vaccine and the R21/Matrix-M adjuvant malaria vaccine. Its late-stage programs include a COVID-19-Influenzavaccine candidate, and an influenza vaccine candidate. R21/Matrix-M adjuvant malaria vaccine, a malaria vaccine developed by its partner. It provides Matrix-M adjuvant for use in various programs in preclinical and clinical stage, and preclinical investigations.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
