Moderna (MRNA) stock is spiraling Wednesday, down more than 8% at last check. Today's slide follows Tuesday's nearly 12% rally that was sparked by Monday's report from the Centers for Disease Control and Prevention (CDC) on the first death in the U.S. connected to the H5N1 bird flu.
The CDC said "the risk to the general public remains low" and that "no person-to-person transmission spread has been identified," but the news has caused volatility in Moderna's stock because it is developing a bird flu vaccine.
In July 2024, Moderna received $176 million from the U.S. Department of Health and Human Services to accelerate the development of its pandemic influenza vaccine, mRNA-1018.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
"This subtype of influenza virus causes a highly infectious, severe disease in birds called avian influenza and poses a risk for spillover into the human population," the company said in a statement. Moderna's mRNA pipeline tracker currently shows that vaccine is in Phase 3 studies.
As of January 6, the CDC noted that there have been 66 confirmed cases of the H5N1 bird flu in the United States since 2024, with only one other case occurring between 2022 and 2024.
Is Moderna stock a buy, sell or hold?
Moderna hit its all-time high back in 2021 when the healthcare stock was capitalizing on surging demand for its COVID-19 vaccine. Since its price peak near $484 in August of that year, shares have tumbled almost 90%. And Wall Street remains cautious on the drugmaker.
According to S&P Global Market Intelligence, the average analyst target price on the large-cap stock is $73.64, representing implied upside of about 70% to current levels. Despite the implied upside, the consensus recommendation is Hold.
Financial services firm Argus Research is one of those firms with a Hold rating on MRNA stock.
"We think that MRNA shares are appropriately valued at recent prices below $45," wrote Argus Research analyst Jasper Hellweg in a December 17 note. "We would consider an upgrade when the company is able to return to a period of earnings growth and when it has more of its product candidates approved and sold on the market."
Related Content
-
Stocks Struggle to Start Nvidia Week: Stock Market TodayAnother important week for the stock market starts on a risk-off note.
-
I'm a Financial Pro: Why You Shouldn't Put All Your Eggs in the Company Stock BasketLimit exposure to your employer's stock, sell it periodically and maintain portfolio diversification to protect your wealth from unexpected events.
-
How Will the One Big Beautiful Bill Shape Your Legacy?The One Big Beautiful Bill Act removes uncertainty over tax brackets and estate tax. Families should take time to review estate plans to take full advantage.
-
Nvidia Earnings: Live Updates and Commentary August 2025Nvidia's earnings event is just days away, and market participants are zeroed in on the AI bellwether's quarterly results.
-
Should You Claim Social Security Early or Late? A Financial Adviser Weighs InThere isn't a wrong age to start claiming Social Security, but there are factors that everyone should consider to avoid leaving money on the table.
-
Three Things Financially Confident People Do, From a Pro Who KnowsIf you have any worries about your retirement future, take back control with these three tips.
-
How Much Do I Need to Retire? A Financial Professional Breaks Down Your OptionsWhat it all boils down to is will you be comfortable in retirement? Some people may rely on formulas, while others just aim for $1 million nest egg.
-
Despite Our Grumbles, America Still Delivers on the Dream: Perspective From a Financial Pro Who's Seen StuffSome of us might complain about the state of our nation (and those concerns are legit), but America still offers unparalleled opportunities and mobility that many people around the world only dream about.
