Moderna , Inc. (NASDAQ:MRNA) has reported a significant transaction by one of its top executives. Shannon Thyme Klinger, the company's Chief Legal Officer, has sold a total of 5,178 shares of common stock on June 10, 2024, at an average price of $148.0851, resulting in a total value of $766,784. This sale was part of a "sell to cover" transaction, mandated by Moderna's equity incentive plans to satisfy tax withholding obligations upon the vesting of Restricted Stock Units (RSUs).
The transactions were disclosed in a Form 4 filing with the Securities and Exchange Commission. The filing also noted the vesting of RSUs, which convert into common stock on a one-for-one basis. On June 7, 2024, Klinger acquired 11,139 shares through the conversion of RSUs, as 100% of the shares subject to this particular RSU award vested on that date. Additionally, a portion of another RSU award vested, adding 9,108 shares to Klinger's holdings.
Following the sale, Klinger's direct ownership in Moderna common stock stands at 15,947 shares. The remaining RSUs will continue to vest in twelve equal quarterly installments, contributing to Klinger's stake in the company over time.
Investors and market watchers often monitor insider transactions for insights into a company's health and the confidence level of its executives. The disclosed transactions provide a snapshot of these activities within Moderna, a leader in the biotechnology industry known for its innovative mRNA technology and biological products.
In other recent news, Moderna's combined Covid-19 and influenza vaccine has shown promising results in Phase III trials, eliciting superior antibody responses in adults aged 50 and above compared to standard flu vaccines. The company plans to seek FDA approval, aiming for a market launch by 2025. Jefferies has maintained a Buy rating on Moderna shares, highlighting this development as a positive step.
Moderna's collaboration with Merck has also yielded positive results. Their combined therapy of mRNA-4157 and KEYTRUDA has shown a significant reduction in recurrence or death in high-risk melanoma patients in a Phase 2b clinical trial. RBC Capital Markets has upgraded Moderna's shares following these developments.
Additionally, Moderna's mRESVIA, an mRNA-based vaccine designed to protect adults aged 60 and over from lower respiratory tract disease caused by the Respiratory Syncytial Virus (RSV), has received FDA approval. Piper Sandler has maintained an overweight rating on Moderna shares following this approval.
Moderna, Pfizer (NYSE:PFE), BioNTech (NASDAQ:BNTX), and Novavax (NASDAQ:NVAX) have announced their updated COVID-19 vaccines show promising results against new strains like KP.2. Moderna's financial guidance anticipates product sales to reach at least $4.0 billion in 2024, with growth resuming in 2025. These are some of the recent developments in Moderna's ongoing efforts to innovate in the vaccine space.
InvestingPro Insights
Moderna's financial health and stock performance are critical factors for investors, especially in light of recent insider transactions. According to InvestingPro data, as of the first quarter of 2024, Moderna holds a market capitalization of $56.82 billion, reflecting the company's significant presence in the biotech industry. Despite the challenges, the company's stock has experienced a robust recovery with a 6-month price total return of 81.21%, indicating strong investor confidence in the medium term.
An InvestingPro Tip highlights that Moderna holds more cash than debt on its balance sheet, which is a reassuring sign of financial stability for shareholders. Additionally, the company has seen a large price uptick over the last six months, which aligns with the positive momentum reflected by the recent insider transactions. However, analysts have concerns about Moderna's profitability, as they do not anticipate the company will be profitable this year, and there has been a significant revenue decline in the last twelve months.
For investors seeking a deeper dive into Moderna's financials and future outlook, there are over 13 additional InvestingPro Tips available. These insights can be accessed through InvestingPro's platform at https://www.investing.com/pro/MRNA, and readers of this article can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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