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Moderna downside has played out, HSBC raises rating

Published 11/03/2023, 09:49 AM
Updated 11/03/2023, 09:51 AM
© Reuters Moderna (MRNA) downside has played out, HSBC raises rating

Moderna (NASDAQ:MRNA) was raised to Hold from Reduce at HSBC on Friday, with the firm raising the price target for the stock to $89 from $69 per share.

The investment bank's analysts said that the downside they saw for the company has now played out.

"Having previously guided to 2023 revenue of USD6-8bn, Moderna’s management has put a softer tone on its 2023 revenue outlook, now expecting 'at least USD6bn' in its Q3 update. Moreover, the new USD4bn guidance for 2024 was a disappointment to the market (consensus at USD4.7-7.3bn," the analysts said.

"Moderna also revisited its high R&D spending approach, introducing a more flexible R&D spending outlook in relation to 2025 revenue. Now aiming at break-even in 2026, Moderna’s medium-term growth trajectory implies that cost-cutting is on the way," the analysts added.

The bank revised its estimates for Moderna and now believes the company's current share price adequately reflects the current outlook.

Latest comments

They are forecasting 4 billion in 2024 revenue with no new products so thats not no one
I think your day has passed...no one wanting your products anymore
I got my booster already. Staying healthy.
Just wait for the day you need one and there is nobody left to produce it.
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