Biotechnology company Novavax (NASDAQ:NVAX) delivered mixed results for the third quarter of 2022 and revised its full-year revenue guidance to reflect the lower demand for COVID-19 vaccines. The company’s net loss per share narrowed to $2.15 from $4.31 in the prior-year quarter, but significantly missed analysts’ expectations of earnings per share of $1.57.
Novavax shares rose over 2% initially in Wednesday’s extended trading session but pared some gains later. NVAX stock has plunged over 86% year-to-date.
Meanwhile, the company’s Q3 revenue jumped 311% to $735 million, mainly due to the sale of 35 million doses of its NVX-CoV2373 COVID-19 vaccine. Q3 revenue handily surpassed analysts’ estimate of $586 million.
Weak Full-Year Guidance
Novavax now expects full-year revenue of about $2 billion, which is at the low end of its previous guidance range of $2.0 billion to $2.3 billion. This is the second time that Novavax has reduced its 2022 revenue outlook. Back in August, the company slashed its revenue forecast by about 50%.
Novavax lagged Pfizer (PFE) and Moderna (MRNA) in the COVID-19 vaccine race due to manufacturing issues. The U.S. Food and Drug Administration first authorized Novavax’s COVID-19 primary vaccine in July. Last month, the FDA approved the booster dose of Novavax’s COVID-19 vaccine for people aged 18 and older. Novavax’s booster dose can be taken by even those people who got Pfizer or Moderna shots as their primary vaccine.
Is NVAX Stock a Buy?
Wall Street is sidelined on Novavax stock, with a Hold consensus rating based on three Buys and two Sells. The average NVAX stock price target of $67.20 suggests upside potential of about 242%.
