Shares of Moderna (MRNA-Q) saw a significant increase of over 11% on Tuesday following an announcement by CEO Stéphane Bancel. In a shareholder letter, Bancel stated that the company expects its sales to grow in 2025. The anticipated growth is attributed to the potential launch of its flu/COVID combination vaccine as early as 2025, along with the expected release of its RSV vaccine candidate in 2024.
This positive forecast comes after Moderna previously announced in November that it would only achieve the lower end of its sales forecast for 2023, which was estimated to be between $6 billion and $8 billion. The weaker demand for COVID-19 vaccines was cited as the reason for this adjustment.
As a result of Bancel's comments, Moderna's stock experienced a notable surge of up to 12.2% in early trading, reaching $111.60. This increase is significant for the company, especially considering that its stock had fallen by nearly 45% in 2023.
Moderna's recent developments highlight its confidence in the potential success of its future vaccine candidates. The company's RSV vaccine candidate, expected to be launched in 2024, aims to combat respiratory syncytial virus, a common cause of respiratory infections in young children and older adults. Additionally, the potential launch of a flu/COVID combination vaccine in 2025 suggests Moderna's commitment to addressing not only the ongoing COVID-19 pandemic but also the threat of seasonal influenza.
While the increase in Moderna's stock price is undoubtedly positive news for the company and its investors, it is important to note that market dynamics can be volatile, and stock prices may fluctuate. Investors and analysts will closely monitor Moderna's progress in the coming years to assess whether the company can deliver on its sales growth expectations.