Moderna stock (NASDAQ:MRNA) were priced at $130.72 at the close of the most recent trading session, representing an increase of 8.3%. The rise was accompanied by a significant increase in volume, with a greater number of shares being traded than is typical for a given session. This is in contrast to the stock’s decline of 8.1% over the course of the last four weeks.
As a result of the management of Moderna’s announcement that the pharmaceutical giant Merck had exercised an option to jointly develop and commercialize Moderna’s personalized cancer vaccine (PCV) mRNA-4157/V940, share prices for Moderna likely increased. This was done in accordance with an existing collaboration agreement between the two companies. Because Merck is exercising this option, Moderna will receive a payment from Merck in the amount of $250 million, as stipulated in the agreement.
Moderna Stock Forecasted Price
In the forthcoming report, this biotechnology firm is anticipated to announce quarterly earnings of $5.20 per share, which represents a change year-over-year of -32.5%. It is anticipated that revenues will total $4.92 billion, representing a 1% decrease from the same quarter a year earlier.
Earnings and revenue growth expectations certainly provide a good sense of the potential strength of stock; however, empirical research demonstrates that trends in earnings estimate revisions are strongly correlated with near-term stock price movements. This suggests that earnings estimate revisions are a better indicator of a stock’s potential strength.
Over the course of the past 30 days, the consensus earnings per share estimate for Moderna’s next quarter has been constant. Furthermore, in the absence of any discernible pattern in the manner in which earnings estimates are being revised, the price of a stock will often not continue to rise. Therefore, make it a point to keep a close check on MRNA moving ahead to determine whether or not this recent increase can convert into even greater strength in the future.
The stock is now ranked third in its sector by Zacks (Hold).
Zacks classifies the Medical – Biomedical and Genetics market as the industry that Moderna competes. Intellia Therapeutics, Inc. NTLA, one more company in the same industry, completed the previous trading session 2.6% higher at $54.86. Over the last month, NTLA has had a return of -15.3%.
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Author Valerie Remorosa 
