Novavax Ditches ‘Going Concern,’ Embraces Sanofi Safety Net (Rating Upgrade)

Summary:

  • Novavax, Inc.’s Sanofi partnership provides much-needed financial support via upfront and milestone payments, stabilizing its finances.
  • Combination vaccines are set to be an essential market, but competitors like Pfizer and Moderna are further along.
  • The deal shifts Novavax’s strategy to licensing technology, reducing risk but surrendering potential competitive advantages.
  • The Sanofi agreement moves Novavax from “Strong Sell” to “Hold,” indicating a cautious improvement in its outlook.

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Novavax Secures Lifeline with Sanofi Collaboration, Recalibrates Strategy

Novavax, Inc. (NASDAQ:NVAX) stock is up more than 100% after the company released its first-quarter earnings report, which included a welcomed surprise


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