Novavax (NVAX) is reportedly struggling to access the raw materials it needs to produce its Covid vaccine, according to a report that sent NVAX stock stumbling Thursday.
Supply talks in Europe have stalled, according to Reuters. Earlier this year, the European Union signed a deal for at least 100 million doses of the Novavax vaccine, with an option to buy another 100 million.
The vaccine isn’t yet authorized anywhere. But Novavax says it has begun rolling reviews in the U.K., Europe, Canada, Australia and New Zealand. It’s also in talks with the U.S. Food and Drug Administration through an open application.
NVAX Stock Topples On Reports Of Delay
Novavax’s Covid vaccine has proved highly effective in clinical testing. Test results show it’s 96.4% effective against symptomatic cases of Covid-19 caused by the original strain. That’s helped boost NVAX stock this year.
But, if authorized, the vaccine would be Novavax’s first commercial product. A Novavax spokeswoman told Reuters the company is working “through some pandemic-related raw-materials supply shortage,” but didn’t give further details.
A Novavax representative didn’t immediately return a request for comment from Investor’s Business Daily.
On a year-to-date basis, NVAX stock has climbed more than 53% on enthusiasm for its vaccine. Shares also have a perfect Relative Strength Rating of 99, reflecting its top-notch performance over the past 12 months, according to IBD Digital.
Follow Allison Gatlin on Twitter at @IBD_AGatlin.
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