Moderna Stock: Is It Time to Jump In?
Analyst Upgrade: Moderna (MRNA) stock saw a significant surge after an upgrade to ‘Outperform’ by Oppenheimer, with a new price target of $142 per share, indicating a potential over 40% gain from the previous closing price.
What is Stock Target Advisor’s View on Moderna Inc (MRNA)?
Current State: Stock Target Advisor’s Stock Rating is Buy, with a target price of 151.5, projecting a 52.31% price change in 12 months. The average analyst target price for Moderna Inc is USD 135.46 over the next 12 months, with an average analyst rating of Buy.
Positive Signals: Moderna Inc has shown superior risk-adjusted returns, positive cash flow, superior return on assets, superior capital utilization, high market capitalization, superior revenue growth, and superior earnings growth compared to its peers.
Negative Signals: On the flip side, the stock is overpriced compared to book value and earnings, exhibits high volatility, and is overpriced on a cash flow basis. The company also had negative free cash flow in the most recent four quarters.
How Has Moderna Inc Performed Financially?
Recent Performance: Over the past year, Moderna Inc has seen a capital gain of -44.62%, trailing the sector percentile ranking at 36.52%. The company did not provide any dividend returns, resulting in a total return of -44.62%, again falling within the 36.52% sector percentile ranking for one year.
Growth Analysis: Impressively, the 5-year revenue growth for Moderna Inc stands at 10784.65%, placing it at the 94.86% sector percentile ranking, while the 5-year earnings growth is at 3367.48%, ranking at 98.8% within the sector.
Profitability and Valuation: The return on assets (RoA) is -7.32%, return on equity (RoE) is -22.04%, and return on invested capital (RoIC) is 49.34%. Additionally, the price to earnings ratio is at 25.72, price to book ratio at 2.26, and price to cash flow ratio at 6.11.
Sector Analysis and Market Analyst Coverage
Sector Outlook: Within the biotechnology sector, Moderna Inc has a Buy rating with a positive analyst outlook. The average 1-month return on the stocks in the sector is 9.84%.
Market Analyst Coverage: With a total count of 13 covering analysts, the average rating for Moderna Inc is Buy, with an average analyst target price of USD 135.46 and a wide target price range between 60 and 231 USD.
How Have Moderna Inc‘s Financial Results Been?
Quarterly Results: In the quarter ending on 2023-09-30, Moderna Inc reported a revenue of USD 1.83 billion and net income of USD -3.63 billion, with profit and EBIT margins in the negative. This indicates a significant decline in financial performance.
Annual Results: The company’s annual results for the year ending on 2022-12-31 depict a revenue of USD 19.26 billion and net income of USD 8.36 billion, with profit and EBIT margins at 43.41% and 48.9% respectively.
In the face of a tumultuous market, the company has positioned itself for substantial growth, especially with its biotechnological advancements. However, significant negative financial indicators call for careful consideration. Investors should monitor the developments closely to make informed decisions.
