SHARE

Novavax, Inc. (NASDAQ:NVAX) has been the target of a significant amount of attention, from both investors and analysts alike, following a failed drug trial. The company had gone public with its failure, in mid-September, leading to a decline that made the stock loose $7 in terms of its share value. The company had been conducting trials for an RSV vaccine, which was in its later stages of development. Analysts have already started casting doubt over the future of Novavax. It should be noted here that the company is yet to release data from the failed trials, which would also identify a reason for the failure.

NVAX had scheduled an annual meeting of analysts and investors, for the 4th year in a row, but recently decided to reschedule. The general public had been looking forward to the meeting, so as to obtain data and updates from the failed trial and also gain clarity over the company’s future. Instead, Novavax has decided that it would issue an update for analysts and investors, along with its 3Q2016 financial results. A conference call in this regard would be held on November 9, 2016.

An initial report from the company indicated that during the trials, the vaccine had unexpectedly failed to work in older adults. The CEO of NVAX, Stanley C. Erik, stated that currently Novavax was analyzing the data from the failed trials, so as to determine a clinical path for the future of the vaccine and its use in other clinical programs. He claimed that this was the reason for rescheduling the meeting and he looked forward to providing the next steps for the vaccine program. The CEO also claimed that the update would also include updates on other products in the pipeline and their financial and operating plans. It should be noted here that the analyst meeting had been scheduled, prior to the outcome of the trials and seems to have become a roadblock for NVAX’s plans.

Novavax, Inc. (NASDAQ:NVAX) closed at a share price of $1.53, at the end of the October 17 trading session, 1.92% lower than the session before, after having a trade volume of 7.96 million.

LEAVE A REPLY