Novavax (NVAX) closed the most recent trading day at $6.01, moving +0.17% from the previous trading session. This change outpaced the S&P 500's 2.36% loss on the day. Elsewhere, the Dow saw a downswing of 2.48%, while the tech-heavy Nasdaq depreciated by 2.55%.
Prior to today's trading, shares of the vaccine maker had lost 21.05% over the past month. This has lagged the Medical sector's loss of 9.83% and the S&P 500's loss of 5.6% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Novavax in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.19, marking a 118.1% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $71.84 million, down 23.47% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.75 per share and revenue of $536.24 million, which would represent changes of +160.98% and -21.39%, respectively, from the prior year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Novavax. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 579.09% higher within the past month. Novavax currently has a Zacks Rank of #3 (Hold).
With respect to valuation, Novavax is currently being traded at a Forward P/E ratio of 7.97. This expresses a discount compared to the average Forward P/E of 15.7 of its industry.
Also, we should mention that NVAX has a PEG ratio of 0.15. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Medical - Biomedical and Genetics industry had an average PEG ratio of 1.25.
The Medical - Biomedical and Genetics industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 72, placing it within the top 30% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Novavax, Inc. (NVAX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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