Moderna (NASDAQ:MRNA) Shares Up 3.4% - Should You Buy?

Key Points

• Moderna shares rose 3.4% to $228.44 in mid-day trading, while trading volume was about 25% below its daily average.
• Moderna and Merck reported promising late-stage results for their personalized melanoma vaccine with Keytruda, showing a 42% lower risk of death or recurrence; development and regulatory hurdles remain.
• Investors are watching Moderna’s Nov. 6 quarterly results, with analysts expecting $888.8 million in sales and a $1.37-per-share loss. The stock’s sharp rally and premium valuation raise downside risk if results or guidance disappoint; analysts’ consensus rating is Hold.

Shares of Moderna, Inc. (NASDAQ:MRNA - Get Free Report) shot up 3.4% during mid-day trading on Tuesday. The stock traded as high as $235.50 and last traded at $228.44. Approximately 9,477,924 shares were traded during mid-day trading, a decline of 25% from the average daily volume of 12,619,756 shares. The stock had previously closed at $220.83.

Trending Headlines about Moderna

Here are the key news stories impacting Moderna this week:

• Positive Sentiment: Moderna and Merck’s personalized cancer vaccine, intismeran, showed promising late-stage melanoma results when used with Keytruda, reducing the risk of death or recurrence by 42%. The data strengthens the potential long-term value of Moderna’s pipeline, though the treatment still faces development and approval hurdles. Article: Moderna's Cancer Vaccine Is Incredibly Promising, but This Could Be a Major Obstacle to Its Success
• Neutral Sentiment: Moderna is scheduled to report third-quarter results before the market opens Nov. 6. Analysts expect $888.8 million in sales and a loss of $1.37 per share, making the report a near-term catalyst. Article: Buy Moderna Stock Before Q3 Earnings? Here's What to Know
• Neutral Sentiment: Prediction markets are placing bets on the timing of FDA action for the melanoma vaccine, highlighting investor focus on regulatory milestones. The article raises concerns about potential information leakage but reports no new FDA decision. Article: What Is Moderna Answering As FDA Vaccine Betting Markets Grow?
• Negative Sentiment: Coverage notes that Moderna’s shares have rallied sharply and carry a premium valuation ahead of earnings. That can leave less room for disappointment if results or the outlook fail to meet investor expectations. Article: Buy Moderna Stock Before Q3 Earnings? Here's What to Know

Analyst Ratings Changes

Several equities analysts recently commented on MRNA shares. JPMorgan Chase & Co. boosted their target price on Moderna from $40.00 to $77.00 and gave the stock an "underweight" rating in a research report on Friday, August 21st. Deutsche Bank Aktiengesellschaft started coverage on Moderna in a research note on Friday, August 28th. They issued a "hold" rating and a $125.00 price target on the stock. Wolfe Research raised shares of Moderna from an "underperform" rating to a "peer perform" rating in a report on Tuesday, August 25th. Sanford C. Bernstein reaffirmed a "market perform" rating on shares of Moderna in a research note on Friday, September 25th. Finally, Brookline Capital Markets reiterated a "buy" rating on shares of Moderna in a report on Wednesday, August 19th. Six research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of $107.10.

Moderna Stock Performance

The firm's 50 day simple moving average is $184.00 and its 200-day simple moving average is $87.42. The company has a debt-to-equity ratio of 0.09, a quick ratio of 2.18 and a current ratio of 2.29. The company has a market cap of $91.20 billion, a price-to-earnings ratio of -28.59 and a beta of 1.09.

Moderna (NASDAQ:MRNA - Get Free Report) last issued its quarterly earnings data on Friday, July 31st. The company reported ($1.97) earnings per share (EPS) for the quarter, beating 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 analyst estimates of $102.93 million. During the same period in the previous year, the firm earned ($2.13) EPS. Moderna's revenue was up 2.1% on a year-over-year basis. On average, sell-side analysts predict that Moderna, Inc. will post -6.11 EPS for the current year.

Insiders Place Their Bets

In other news, insider Shannon Klinger sold 3,471 shares of the stock in a transaction that occurred on Tuesday, September 1st. The stock was sold at an average price of $139.95, for a total value of $485,766.45. Following the completion of the sale, the insider directly owned 74,129 shares of the company's stock, valued at approximately $10,374,353.55. This represents a 4.47% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 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. Also, President Stephen Hoge sold 40,294 shares of the business's stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $144.13, for a total value of $5,807,574.22. Following the completion of the transaction, the president owned 1,525,858 shares in the company, valued at $219,921,913.54. This trade represents a 2.57% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 197,251 shares of company stock valued at $33,875,904. 10.80% of the stock is currently owned by insiders.

Institutional Trading of Moderna

Several large investors have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in Moderna during the second quarter worth $2,142,877,000. Theleme Partners LLP bought a new position in Moderna during the second quarter worth $564,272,000. Wellington Management Group LLP grew its holdings in Moderna by 4.4% in the second quarter. Wellington Management Group LLP now owns 2,461,574 shares of the company's stock worth $172,384,000 after purchasing an additional 103,977 shares during the period. First Trust Advisors LP increased its stake in Moderna by 59.3% during the 1st quarter. First Trust Advisors LP now owns 2,392,693 shares of the company's stock valued at $121,549,000 after purchasing an additional 891,072 shares in the last quarter. Finally, Merck & Co. Inc. bought a new stake in Moderna during the second quarter worth $161,642,545. Institutional investors and hedge funds own 75.33% of the company's stock.

Moderna Company Profile

Moderna, Inc is a biotechnology company that develops medicines and vaccines using messenger RNA (mRNA) technology. Its platform is designed to instruct cells to produce proteins that can stimulate immune responses or support the treatment of disease. The company's research programs span infectious diseases, immuno-oncology, rare diseases, autoimmune conditions and other therapeutic areas.

Moderna's commercial products include Spikevax, an mRNA vaccine for COVID-19, and mRESVIA, an mRNA vaccine for respiratory syncytial virus (RSV) in older adults.

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