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Moderna (MRNA) stock has more than tripled in value since the beginning of the year but has lost 6.80% on Tuesday. Moderna CEO Stephane Bancel said no single manufacturer can make enough coronavirus vaccine doses for the planet.
Moderna Inc (NASDAQ: MRNA) stock is falling 1.38% during the pre-market today, to trade at $61.49. Yesterday, it lost nearly 7% to reach $62.35. MRNA stock is expected to rise further as the Moderna vaccine elevates hopes of treating the COVID-19 patients. The rise is also supported by the simple moving average on the chart, which is showing the bull rally might be in the initial stages.
It has experienced a 52-week low of $11.54 and a high of $68.49, and it is 227.99% up in the past three months. The exponential rise has been attributed to the high volume of investors flocking in the biotech stocks, which are doing well in comparison to other traditional stock markets like the S&P 500 index that is down14.52% in the past three months and have shed 60 points during the pre-market.
Moderna is rushing to get its coronavirus vaccine approved to finalize the production logistics, which is expected to begin as soon as all the legal issues are solved.
As a result, most people are betting huge on its success in the short term, hence the sudden rise despite not having an actual product in the market.
Moderna (MRNA) Stock Pushed by Vaccine Success
Despite this recent fall, Moderna (MRNA) stock might continue rising as long as the company is developing a coronavirus vaccine, which is highly anticipated by the whole world market. However, the world should not expect one single vaccine to reach global demand in a short period.
“The odds that every program works are really low, obviously, but I really hope we have three, four, five vaccines because no manufacturer can make enough doses for the planet,” said Moderna CEO, Stephane Bancel, during CNBC’s Healthy Returns Virtual Summit.
The proposed COVID-19 vaccine by Moderna makes use of messenger RNA, rather than relying on either a small or inactive sample of the actual virus. The mRNA-1273 vaccine has been on the scale to find out the safety and reactogenicity of a two-dose vaccination schedule and to evaluate the immunogenicity of the SARS-Cov-2S protein.
The potential advantage of an mRNA approach to prophylactic vaccines is the ability to mimic natural infection to stimulate a more potent immune response.
With such a strong fundamental point of view, Moderna stock is promising to take the stock market by storm in the next few months as more investors flock in to get a share of the pie.
What is happening in the markets amid the global pandemic, you can read here.