Why Is COVID-19 Vaccine Maker Novavax Stock Plunging On Wednesday?
Portfolio Pulse from Vandana Singh
Novavax Inc (NASDAQ:NVAX) reported a Q4 2023 revenue of $291 million, missing the consensus of $321.97 million, and a net loss of $178 million. The company's full-year 2023 revenue was $984 million, down from $2 billion in 2022. EPS loss for Q4 was $(1.44), worse than the consensus of $(0.45). Novavax announced workforce reductions and a settlement with Gavi over a 2021 advance purchase agreement. The company forecasts 2024 revenue of $800 million-$1 billion, below the consensus of $969.56 million. NVAX shares dropped 29.30% to $4.25.
February 28, 2024 | 3:52 pm
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Novavax reported lower than expected Q4 2023 revenue and EPS, announced workforce reductions, and provided a 2024 revenue forecast below consensus. Shares fell 29.30%.
The significant drop in Novavax's stock price is directly related to its Q4 earnings miss, lower than expected 2024 revenue forecast, and ongoing workforce reductions. These factors indicate a challenging financial and operational environment for the company, likely leading to negative investor sentiment in the short term.
CONFIDENCE 90
IMPORTANCE 95
RELEVANCE 100