Today, investors in Vaxart (NASDAQ:VXRT) and VXRT stock are seeing gains of more than 20% at the time of writing. Shares of this clinical-stage biotech stock focused on developing oral vaccines have a key catalyst today.
Indeed, biotech stocks operating in the vaccine space have seen some impressive volatility of late. With vaccine rollouts picking up steam, investors are looking to get in on the latest and greatest trade. And VXRT stock has begun trending on popular social media forums for retail traders of late.
Indeed, the importance of momentum in today’s market cannot be overstated. We’re living in some pretty incredible times. And retail investors have found power in numbers. When the social media-savvy retail mob likes a stock, it goes up. Such has been the case with VXRT stock
However, today, investors have another catalyst to rely on with Vaxart. Let’s dive into the catalyst that has investors excited about this biotech name.
VXRT Stock Popping on Bullish Analyst Coverage
Today, it was reported that Vaxart received some very bullish coverage from Yasmeen Rahimi of Pipe Sandler. Rahimi initiated coverage with the equivalent of a buy rating and an $18 price target. For a stock currently trading sub-$9 per share, that’s more than 50% upside.
This level of upside with any stock is enough to get fundamental investors excited. For those betting on moonshot YOLO plays, even more so.
Rahimi’s comments on the company’s relative upside relating to its drug candidates including its Covid-19 vaccine drove this valuation. Additionally, Rahimi believes this stock presents minimal downside risk due to its existing drug portfolio. Indeed, this is an execution play, and investors are forced to make assumptions about how successful a given biotech’s drug pipeline will be. When analysts are bullish on a particular company’s ability to be successful with its core drugs, investors jump aboard.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.