Novavax Covid Vaccine Slowdown

And, Upstart’s constraints.

Steven Lerner
Steven Lerner

Today is Tuesday, August 9, 2022.

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Novavax Covid Vaccine Slowdown

Shares of Novavax (Nasdaq: NVAX) dropped 33.64% in after-hours trading on Monday after the biotechnology company posted disappointing financial earnings results.

Financials: Novavax lost $6.53 per share and posted revenue of $185.9 million; both were below estimates.

Big Losses: Net losses in the quarter increased from $352 million last year to $510 million this year. In the same quarter last year, the company had over $500 million in revenue for its Covid-19 vaccine. For this period, revenue for the vaccine was only $55 million. As a result, Novavax lowered its full-year revenue guidance from between $4 billion to $5 billion to now just between $2 billion to $2.3 billion.

Numbers: The stock price for Novavax has lost 59% of its value in 2022. Since peaking in the pandemic, Novavax is down 80%.

Final Thoughts: Data for a potential Omicron-specific Covid-19 vaccine is expected to be available at the end of the quarter. This could really help the company.


Notable Earnings Today: Coinbase Global (Nasdaq: COIN), Norwegian Cruise Line (NYSE: NCLH), Spirit Airlines (NYSE: SAVE), Roblox (NYSE: RBLX), Ralph Lauren (NYSE: RL), The Trade Desk (Nasdaq: TTD), Hilton Grand Vacations (NYSE: HGV), Plug Power (Nasdaq: PLUG), EVgo Services, (Nasdaq: EVGO), Unity Software (NYSE: U), Workhorse Group (Nasdaq: WKHS), ContextLogic (Nasdaq: WISH), Capri Holdings (NYSE: CPRI), Planet Fitness (NYSE: PLNT), Invitae (NYSE: NVTA), Cronos Group (Nasdaq: CRON), Wynn Resorts (WYNN), Sysco (NYSE: SYY), Magnite (Nasdaq: MGNI), Akamai Technologies (Nasdaq: AKAM), Aramark (NYSE: ARMK), Arrowhead Pharmaceuticals (Nasdaq: ARWR), Bausch Health (NYSE: BHC), Bloom Energy (NYSE: BE), Capri Holdings (NYSE: CPRI), Carlyle Group (Nasdaq: CG), Cronos Group (Nasdaq’ CRON), Dine Brands (NYSE: DIN), Ebix (Nasdaq: EBIX), Emerson (NYSE: EMR), GlobalFoundries (Nasdaq: GFS), Grocery Outlet (Nasdaq: GO), H & R Block (NYSE: HRB), Hilton Grand Vacations (NYSE: HGV), Hyatt Hotels (NYSE: H), IAC/InterActiveCorp (Nasdaq: IAC), iRobot (Nasdaq: IRBT), Maxar Technologies (NYSE: MAXR), Perrigo (NYSE: PRGO), Rackspace Technology (Nasdaq: RXT), Super Micro Computer (Nasdaq: SMCI), TTEC Holdings (Nasdaq: TTEC).

Notable IPOs Today: N/A.

Notable Equity Crowdfunding Campaigns Ending Today: The Kookie Box (Honeycomb), BrainLeap Technologies (Netcapital).

Notable Economic Events Today: Nonfarm Productivity (8:30 a.m. ET), Unit Labor Costs (8:30 a.m. ET), EIA Short-Term Energy Outlook (12:00 p.m. ET), API Weekly Crude Oil Stock (4:30 a.m. ET).

Upstart’s "Funding Constraints"

A dollar for your sadness
Photo by Frederick Warren / Unsplash

Shares of Upstart (Nasdaq: UPST) fell 14.50% in after-hours trading on Monday after the lending platform posted disappointing financial earnings results.

Financials: Upstart reported earnings of one cent per share and revenue of $228.1 million; both were below estimates.

Quote: “This quarter’s results are disappointing and reflect a difficult macroeconomic environment that led to funding constraints in our marketplace,” - Dave Girouard, co-founder and CEO of Upstart.

Final Thoughts: Guidance was also a miss for Upstart. The stock price is down 77% this year. Revenue grew 18% year-over-year.

Polkadot Continues Growth

The cryptocurrency Polkadot surged 5% on Monday, part of a 10% weekly pop.

Catalyst: Polkadot has been hot lately after the Web3 Foundation approved 400 Polkadot project grants last week.

Final Thoughts: Polkadot is down over 60% in 2022.

Trend to Watch

Just Like 2021 All Over Again: The meme stock craze is back: AMC, GameStop and Bed Bath & Beyond soar (CNN)

Back in Action: Boeing Dreamliner deliveries to resume in the ‘coming days,’ FAA says (CNBC)

Time for a Pullback: SoftBank Reports Record $23 Billion Quarterly Loss as Tech Downturn Hits (The Wall Street Journal)

All Bad: Allbirds shares tumble after shoe company warns of bigger losses ahead (Stuff)

Turning Lemons: Lemonade stock pops after earnings as insurance company plans to slow spending growth (MarketWatch)

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