Moderna, the biotech company behind one of the leading Covid-19 vaccines, is making significant progress in its efforts to expand its vaccine portfolio. The company recently announced positive clinical trial data on three experimental vaccines targeting other viruses and is moving them into final stage trials. This development is crucial for Moderna as it seeks to recover from the slump in demand for Covid shots worldwide.
Traditionally, Moderna’s stock has been heavily tied to its Covid-19 vaccine, with shares falling nearly 45% in 2020. However, the announcement of progress in its other vaccine candidates has led to a more than 3% increase in the company’s stock in premarket trading. This demonstrates investor confidence in Moderna’s ability to diversify its product offerings and tap into new markets.
During its fifth annual “Vaccines Day” investor event, Moderna highlighted the significant potential of its vaccine portfolio. The estimated total addressable market for infectious disease shots is a staggering $52 billion, with $27 billion allocated to respiratory vaccines and over $25 billion for latent shots and other jabs. Latent viruses, which linger inside patients without causing symptoms but can reactivate later and cause serious health complications, represent a significant unmet need. Moderna aims to address this need by targeting several latent viruses with its experimental vaccines.
The three vaccines that have entered final stage trials include a shot against norovirus, a highly contagious stomach bug that causes vomiting and diarrhea; a vaccine against Epstein-Barr virus, a common herpes virus associated with contagious infections and certain cancers; and a shot designed to target the virus that causes shingles and chickenpox. These vaccines hold immense potential for Moderna to establish a strong presence in the market.
In addition to these three vaccines, Moderna has five other shots in late-stage clinical trials. It expects to release data on two of these vaccines later this year. Notably, Moderna is developing a combination vaccine against Covid-19 and the flu, which could be a game-changer in fighting respiratory illnesses. Another significant development is the company’s “next-generation” Covid-19 shot, which demonstrated a stronger immune response against the virus compared to its current vaccine in late-stage clinical trials.
Moderna’s success in diversifying its vaccine portfolio can be attributed to its messenger RNA (mRNA) platform, which has proven effective in developing vaccines against various diseases. The mRNA technology teaches the body to produce a harmless piece of a virus, triggering an immune response against specific diseases. Moderna’s CEO, Stéphane Bancel, believes that the company’s mRNA platform will make it one of the most important vaccine companies globally.
While Moderna’s progress is promising, it will take time for its pipeline to pay off. The company expects its revenue to fall to $4 billion in 2024 before rebounding in 2025. It aims to break even in 2026. However, the potential of Moderna’s vaccine portfolio and its mRNA platform provide a positive outlook for the company’s future.
In conclusion, Moderna’s recent progress in developing vaccines against other viruses marks a significant milestone for the company. With three vaccines entering final stage trials and several others in late-stage clinical trials, Moderna is well-positioned to expand its product offerings and tap into new markets. The success of its mRNA platform and the potential of its vaccine portfolio signal a bright future for Moderna as it aims to recover from the Covid slump and become one of the leading vaccine companies globally.
