Moderna Target of Unusually Large Options Trading (NASDAQ:MRNA)

Key Points

• Unusually high options activity signaled increased speculative interest: Investors purchased 106,605 Moderna call options, about 35% above the typical daily volume.
• Moderna shares rose 9.9% to $154.27 amid optimism over positive late-stage melanoma vaccine results with Merck and the company’s expansion beyond COVID-19 vaccines. Upcoming healthcare conferences in September could provide further catalysts.
• Analyst sentiment remains mixed: Seven analysts rate the stock a Buy, 13 a Hold and three a Sell, with an average price target of $80.53; competition from GSK’s Phase III mRNA flu vaccine also poses a risk.

Moderna, Inc. (NASDAQ:MRNA - Get Free Report) saw some unusual options trading activity on Tuesday. Investors purchased 106,605 call options on the stock. This represents an increase of approximately 35% compared to the typical daily volume of 78,801 call options.

Moderna News Roundup

Here are the key news stories impacting Moderna this week:

• Positive Sentiment: Melanoma vaccine results remain the key catalyst. Moderna and Merck reported positive late-stage results for their personalized melanoma vaccine, reinforcing investor optimism that Moderna can expand beyond COVID-19 vaccines into oncology and other high-value markets. The development was a major driver of the stock’s sharp August rally and is also drawing attention to healthcare-focused ETFs. Moderna Stock More Than Doubled in August
• Positive Sentiment: Options activity points to bullish positioning. Traders purchased 106,605 Moderna call options Tuesday, about 35% above typical call volume of 78,801 contracts. While options activity does not guarantee future performance, the unusual volume suggests increased speculative interest in additional upside.
• Positive Sentiment: Upcoming investor conferences could provide additional catalysts. Moderna will present at the Morgan Stanley Global Healthcare Conference on September 14 and the Bernstein Healthcare Forum on September 23. Investors may look for updates on oncology, flu vaccines, COVID-19 products and the company’s financial outlook. Moderna to Present at Upcoming Conferences
• Neutral Sentiment: Analyst support remains mixed. Brookline Capital Markets retained a “Buy” rating but slightly lowered its FY2029 and FY2030 EPS estimates. Separately, analysts overall have assigned the stock an average “Hold” rating, reflecting the potential of Moderna’s pipeline but also uncertainty around its path to sustained profitability. Moderna Analyst Ratings
• Negative Sentiment: GSK is advancing a competing mRNA flu vaccine into Phase III. The move increases competitive pressure shortly after Moderna received FDA approval for the first seasonal flu mRNA vaccine. Although investors appeared to look past the development Tuesday, a successful GSK program could challenge Moderna’s future flu-vaccine market share. GSK mRNA Flu Vaccine Moves to Phase III

Moderna Stock Up 9.9%

Moderna stock traded up $13.93 during mid-day trading on Tuesday, reaching $154.27. The stock had a trading volume of 25,744,310 shares, compared to its average volume of 11,585,744. Moderna has a one year low of $22.28 and a one year high of $176.66. The company has a 50-day moving average price of $78.73 and a two-hundred day moving average price of $60.54. The company has a market capitalization of $61.59 billion, a price-to-earnings ratio of -19.31 and a beta of 0.91. The company has a debt-to-equity ratio of 0.09, a current ratio of 2.29 and a quick ratio of 2.18.

Moderna (NASDAQ:MRNA - Get Free Report) last issued its earnings results on Friday, July 31st. The company reported ($1.97) earnings per share (EPS) for the quarter, topping the consensus estimate of ($2.03) by $0.06. Moderna had a negative net margin of 141.43% and a negative return on equity of 28.30%. The firm had revenue of $145.00 million for the quarter, compared to the consensus estimate of $102.93 million. During the same quarter in the prior year, the firm posted ($2.13) earnings per share. The business's revenue was up 2.1% on a year-over-year basis. On average, analysts expect that Moderna will post -6.11 EPS for the current fiscal year.

Insider Transactions at Moderna

In other Moderna news, President Stephen Hoge sold 53,336 shares of the firm's stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $51.37, for a total value of $2,739,870.32. Following the completion of the sale, the president directly owned 1,483,848 shares in the company, valued at $76,225,271.76. This trade represents a 3.47% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Shannon Thyme Klinger sold 3,471 shares of Moderna stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $50.00, for a total value of $173,550.00. Following the sale, the insider directly owned 67,468 shares in the company, valued at approximately $3,373,400. The trade was a 4.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 10.80% of the stock is owned by corporate insiders.

Institutional Trading of Moderna

Institutional investors have recently added to or reduced their stakes in the business. AQR Capital Management LLC purchased a new stake in shares of Moderna during the first quarter valued at $415,000. NewEdge Advisors LLC raised its position in Moderna by 732.7% in the 1st quarter. NewEdge Advisors LLC now owns 11,575 shares of the company's stock worth $328,000 after buying an additional 10,185 shares during the last quarter. United Services Automobile Association bought a new position in Moderna during the 1st quarter valued at about $230,000. Focus Partners Wealth lifted its stake in Moderna by 58.7% during the 1st quarter. Focus Partners Wealth now owns 23,547 shares of the company's stock valued at $668,000 after acquiring an additional 8,706 shares during the period. Finally, American Century Companies Inc. boosted its holdings in shares of Moderna by 5.2% during the 2nd quarter. American Century Companies Inc. now owns 48,859 shares of the company's stock valued at $1,348,000 after acquiring an additional 2,410 shares during the last quarter. 75.33% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of analysts have recently commented on MRNA shares. CLSA upgraded shares of Moderna to an "outperform" rating in a report on Friday. Brookline Capital Markets reiterated a "buy" rating on shares of Moderna in a research note on Wednesday, August 19th. The Goldman Sachs Group lifted their price target on shares of Moderna from $67.00 to $120.00 and gave the company a "neutral" rating in a research report on Wednesday, August 19th. Jefferies Financial Group reissued a "hold" rating on shares of Moderna in a research note on Wednesday, August 19th. Finally, Deutsche Bank Aktiengesellschaft began coverage on shares of Moderna in a report on Friday. They issued a "hold" rating on the stock. Seven research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and three have issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $80.53.

Moderna Company Profile

Moderna, Inc is a biotechnology company headquartered in Cambridge, Massachusetts, specializing in messenger RNA (mRNA) therapeutics and vaccines. The company’s platform leverages synthetic mRNA to instruct cells to produce proteins that can prevent or treat diseases. Since its founding in 2010, Moderna has advanced from early-stage research into a broad pipeline of vaccine and therapeutic candidates designed to address infectious diseases, rare genetic disorders and chronic illnesses.

Moderna’s flagship product is its mRNA-based COVID-19 vaccine, which was the first of its kind to receive emergency use authorization and later full approval in multiple jurisdictions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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