Novavax Partners with Pfizer in Key Licensing Deal
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
0mins
Source: Benzinga
- Pfizer Licensing Agreement: Novavax has entered a non-exclusive licensing agreement with Pfizer, allowing the latter to use Novavax's Matrix-M adjuvant, resulting in a $30 million upfront payment and potential development and sales milestones totaling up to $500 million, significantly enhancing Novavax's ability to monetize its vaccine platform.
- Financial Support Boost: This agreement enables Novavax to secure non-dilutive cash flow and ongoing royalties from future product sales, which can fund late-stage programs, improve its balance sheet, and extend its cash runway, thereby reducing development and marketing risks.
- Increased Focus on Respiratory Illnesses: With rising flu and RSV activity in the U.S., Novavax's vaccine technology has gained relevance, leading to heightened investor interest in its seasonal and respiratory vaccines, further driving the company's stock price upward.
- Strong Market Performance: Novavax shares surged 5.67% to $9.69 on Monday, trading 25.4% and 25.5% above its 20-day and 100-day simple moving averages, indicating a robust short-term market trend.
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: 9.630
Low
6.00
Averages
10.50
High
18.00
Current: 9.630
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.
