The sale of COVID-19 vaccines helped Moderna’s (MRNA) revenue soar over the past few quarters. However, its shares plunged nearly 14% in price on December 10 after disappointing results from its experimental seasonal flu shot. So, let’s discuss if it is wise to buy the dip in the stock with the advent of the COVID-19 omicron variant. Read on.Biotechnology company Moderna , Inc.’s (NASDAQ:MRNA) COVID-19 vaccine was the second vaccine approved for EUA by the U.S. FDA. Still, investors remain worried about Pfizer Inc.’s (NYSE:PFE) dominance in the vaccine space. MRNA’s COVID-19 vaccine is not yet approved for adolescents as regulators continue to study the rare risk of heart inflammation. Also, last month, the company’s CEO Stéphane Bancel said that existing COVID-19 vaccines are unlikely to be as effective against the omicron coronavirus variant.
MRNA stock has lost 42.8% in price over the past month to close Friday’s trading session at $257.06. MRNA has received several orders for its COVID-19 vaccine. For example, on December 1, it announced a revised supply agreement with the U.K. government for up to 60 million doses. However, its COVID-19 vaccine is the company's only commercial product, while its other products are still in in clinical trial stages.
MRNA’s stock declined nearly 10% in price on December 1, after the company lost a patent dispute. Also, MRNA’s CEO recently sold 19,000 shares. So, MRNA’s near-term prospects look uncertain.