MRNA stock has crashed -67% from its 52-week high as news hits that its latest booster shot is not as effective against omicron as originally thought.
- 1 Losses Top $130 Billion, Stock Down 67% from Highs Last Year Following Lackluster COVID Vaccine Results
- 2 Moderna upgraded to Neutral at BofA on more favorable risk-reward
- 3 😂 Is It Time To Short The Entire Vaccine Narrative?
- 4 Moderna chair Afeyan tells Bloomberg COVID-19 could become endemic in 2022
- 5 Supreme Court blocks OSHA vaccine mandate for large businesses
- 6 📺🤨 Moderna says booster shot is effective against Omicron as cases rise worldwide
- 7 📉 MRNA Stock Technical Analysis
Losses Top $130 Billion, Stock Down 67% from Highs Last Year Following Lackluster COVID Vaccine Results
Battered by a steep broad-market selloff this week, Moderna shares fell for a sixth straight day Friday as experts questioned whether Covid-19 vaccine sales alone will help justify the firm’s meteoric valuation, intensifying a crash that’s wiped out more than 60% of the value in one of last year’s top stocks and turned it into this year’s worst performer.
Moderna stock fell 4.4% Friday to an eight-month low of $160, pushing shares down more than 20% over the past week amid growing research suggesting Moderna’s Covid-19 booster, while very effective against previous strains, has been less effective against the rapidly spreading omicron variant. Source: https://www.forbes.com/sites/jonathanponciano/2022/01/21/moderna-stock-crash-intensifies-losses-top-130-billion-after-scientists-find-covid-boosters-arent-halting-omicron-infections/?sh=3ff03425ef5c
Moderna upgraded to Neutral at BofA on more favorable risk-reward
On January 21, 2022, BofA analyst Geoff Meacham upgraded Moderna to Neutral from Underperform with a price target of $180, up from $135. The stock’s 65% decline over the past four months has compressed valuation “back to earth”, and moving from pandemic to endemic stages, he is more focused on the company’s pipeline beyond Spikevax, the analyst tells investors in a research note. Meacham adds that the risk-reward on Moderna has turned more favorable given its leadership position in mRNA technology, its advancing pipeline, and the strategic optionality that having $17B in cash provides.
😂 Is It Time To Short The Entire Vaccine Narrative?
In 2008, the housing market was a lie. Today, the vaccine propaganda that we were fed has also turned out to be a lie. Remember when we were told vaccines would end the pandemic? Meanwhile, today, we’re having conservations about never-ending booster shots and witnessing millions of vaccinated people acquiring and transmitting Covid.
Remember when Rachel Maddow said in March 2021 “Now we know that the vaccines work well enough that the virus stops with every vaccinated person.”?
“A vaccinated person gets exposed to the virus, the virus does not infect them, the virus cannot then use that person to go anywhere else. It cannot use a vaccinated person as a host to go get more people,” Maddow said.
In July 2021, President Biden said: “You’re not going to get COVID if you have these vaccinations,” and “If you’re vaccinated, you’re not going to be hospitalized, you’re not going to be in the ICU unit, and you’re not going to die.”
Shorting the vaccine narrative was an idea I first toyed within a piece I wrote called “100 “Fringe” Predictions For 2022”, where I laid out 100 “for fun” predictions for 2022. Source: https://www.zerohedge.com/markets/short-whole-fcking-vaccine-narrative
After MRNA stock falls -67%, ZeroHedge advocates for shorting the vaccine narrative? Yeah, good luck with that trade. 🤣
Moderna chair Afeyan tells Bloomberg COVID-19 could become endemic in 2022
On January 14, 2022, Moderna chairman, co-founder Noubar Afeyan told Bloomberg the COVID-19 pandemic could start transitioning into an endemic phase in 2022. “It really depends on what happens and the decisions that are made across the world,” Afeyan said on Bloomberg Television. “We have to stay very vigilant in order to get to that place.” Source: https://www.bloomberg.com/news/videos/2022-01-14/moderna-sees-covid-shifting-to-endemic-in-2022-video?sref=8QBk7toa
Supreme Court blocks OSHA vaccine mandate for large businesses
On January 13, 2022, the Supreme Court stated in a ruling posted to its site: “The Secretary of Labor, acting through the Occupational Safety and Health Administration, recently enacted a vaccine mandate for much of the Nation’s workforce.
The mandate, which employers must enforce, applies to roughly 84 million workers, covering virtually all employers with at least 100 employees. It requires that covered workers receive a COVID-19 vaccine, and it pre-empts contrary state laws. The only exception is for workers who obtain a medical test each week at their own expense and on their own time, and also wear a mask each workday… Applicants now seek emergency relief from this Court, arguing that OSHA’s mandate exceeds its statutory authority and is otherwise unlawful. Agreeing that applicants are likely to prevail, we grant their applications and stay the rule… Although Congress has indisputably given OSHA the power to regulate occupational dangers, it has not given that agency the power to regulate public health more broadly. Requiring the vaccination of 84 million Americans, selected simply because they work for employers with more than 100 employees, certainly falls in the latter category… The applications for stays presented to JUSTICE KAVANAUGH and by him referred to the Court are granted.” Makers of COVID-19 vaccines approved for use in the U.S. include Pfizer (PFE) and BioNTech (BNTX), Moderna (MRNA), and Johnson & Johnson (JNJ). Source: https://www.supremecourt.gov/opinions/21pdf/21a244_hgci.pdf
📺🤨 Moderna says booster shot is effective against Omicron as cases rise worldwide
📉 MRNA Stock Technical Analysis
Both the long and short-term trends are negative. It is better to avoid buying stocks with negative trends. MRNA is part of the Biotechnology industry. There are 637 other stocks in this industry. MRNA outperforms 86% of them. MRNA is currently trading in the lower part of its 52-week range, which is not a good signal. Even the S&P500 Index, which is not doing good, is still sitting in the middle of its 52-week range. Prices have been falling strongly lately, it is better to avoid new long positions here.
There is resistance at 299.26 from a trend line in the daily time frame.
The technical rating of MRNA is bad and it also does not present a quality setup at the moment. Prices have been extended to the downside lately. MRNA stock has a Setup Rating of 2. For a nice entry it is better to wait for a consolidation. Click here to sign up for email alerts on when MRNA stock consolidates and has a Setup Rating of 8 or higher.