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Novavax (NVAX) Stock: The Trip to Canaccord’s $10 Mark


B.Riley FBR analyst George Zavoico is out today with a bullish note on shares of Novavax (NASDAQ:NVAX), after the clinical-stage vaccine-maker announced last week that 4,600 patients have enrolled in Prepare, a Phase III trial of an RSV-F vaccine for infants by maternal immunization. Theoretically, over 3,000 infants will be born from mothers who received the active vaccine in early 3Q18, triggering an interim analysis by an independent data and safety monitoring board (DSMB) with results expected in 1Q19.

Zavoico noted, “We expect results to be consistent with results of a prior informational analysis in which vaccine efficacy was shown to be between 45% and 100%. Positive results will enable the filing of a BLA with the FDA and an MAA with the EMA in 2H19.”

Zavoico added, “Novavax is positioned to achieve key milestones in 4Q18 and 1Q19 after meeting multiple milestones so far this year in the clinical development of an RSV-F vaccine and a season influenza vaccine. The RSV-F vaccine is designed to prevent respiratory syncytial virus (RSV) infections in newborns by maternal immunization. Novavax’s novel adjuvanted seasonal influenza vaccine, called NanoFlu, is designed to provide protection against strains of influenza virus expected to be prevalent in the next flu season as well as drifted strains. Here we highlight Novavax’s 2018 milestone achievements and review potential value adding catalysts and milestones expected in the next 12 to 18 months.”

As such, Zavoico reiterates a Buy rating on Novavax shares, with a price target of $10.00, which implies a huge upside of over 450% from current levels.

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst George Zavoico has a yearly average return of 3.6% and a 47.4% success rate. Zavoico has a 27.4% average return when recommending NVAX, and is ranked #2110 out of 4801 analysts.

Overall, analysts seem to be divided on the stock as 7 recommend buying shares of Valeant, 4 recommend selling, and 11 remain on the sidelines. The average 12-month price target between these 22 analysts is $54.88, marking a 90% potential upside from current levels.