Novavax (NVAX) closed the most recent trading day at $6.61, moving -2.79% from the previous trading session. The stock fell short of the S&P 500, which registered a loss of 0.79% for the day. At the same time, the Dow lost 0.94%, and the tech-heavy Nasdaq lost 0.92%.
Prior to today's trading, shares of the vaccine maker had lost 8.72% lagged the Medical sector's gain of 1.49% and the S&P 500's gain of 5.22%.
The investment community will be paying close attention to the earnings performance of Novavax in its upcoming release. The company's upcoming EPS is projected at -$0.12, signifying a 112.12% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $130.5 million, down 68.59% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $2.65 per share and a revenue of $1.07 billion, demonstrating changes of +315.45% and +56.76%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Novavax. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Novavax is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Novavax is holding a Forward P/E ratio of 2.57. This valuation marks a discount compared to its industry average Forward P/E of 19.36.
One should further note that NVAX currently holds a PEG ratio of 0.06. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Medical - Biomedical and Genetics industry held an average PEG ratio of 1.39.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 77, finds itself in the top 32% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Novavax, Inc. (NVAX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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