Over the past months, some companies which have been involved in developing a vaccine for the coronavirus have come into sharp focus among investors, and one of those is Novavax, Inc. (NASDAQ:NVAX). Although Novavax has had embarrassing failures in the past and has not been able to bring a product to the market yet, the coronavirus vaccine has created a lot of positivity around the stock.
NVAX Stock is Hitting New Highs
Consequently, the stock price has soared significantly in the past weeks. Over the course of the past 12 months, Novavax has only generated $18.7 million worth of revenues, while spending as much as $136.6 million.
However, it seems that the coronavirus vaccine project is a promising one considering the fact that the company has got the investment to the tune of $388 million from the Coalition for Epidemic Preparedness Innovations for the same. In addition to the coronavirus vaccine, the company’s flu vaccine NanoFlu has also made the stock an attractive one and especially so after the United States FDA granted the product a Fast Track designation.
A fast track designation indicates that the regulators are happy with the initial data with regards to the product. Moreover, if the product can beat Sanofi’s flu vaccine Fluzone in the clinical trials, then it could also create greater confidence for its coronavirus vaccine.
Novavax now boasts of two products in its pipeline that could propel the company to new heights, and hence, it could well be an attractive proposition for investors who can tolerate risks. The possible approval for NanoFlu and the possibility of success for the coronavirus vaccine in Phase 1 clinical trials are the main reasons behind any kind of optimism.
On the other hand, investors who do not wish to jump in right away could consider waiting for the results from the Phase 1 clinical trial of the coronavirus vaccine and make a move. However, to be absolutely sure, investors could also consider buying in after the Phase 3 clinical trial, since after that stage, the possibility of failure is minimized.
