Of all the U.S.-based companies developing a Covid-19 vaccine candidate, Novavax (NASDAQ:NVAX) certainly hasn’t been the most commercially successful one. As a result, the performance of NVAX stock for much of 2021 has been lackluster. Yet, Novavax’s progress shouldn’t only be measured in the U.S. Remember, Covid-19 is an international problem and vaccines can be commercialized in different regional markets.
A challenge for Novavax has been getting its Covid-19 vaccine candidate approved, or at least considered, by regulators in these markets abroad.
Fortunately, as we’ll see, the company has demonstrated success in this endeavor. Hopefully, this will bring more investors into the bull camp, thereby boosting the price of NVAX stock.
NVAX Stock at a Glance
There’s no such thing as a guaranteed floor in technical stock analysis. The only exception might be zero, as a stock can’t go any lower than that. Still, around $120 appears to be a pretty solid floor, or at least a support level, for NVAX stock. Indeed, the stock bounced off of that level in January, May and October of this year.
The biggest of those three bounces took place early in the year, when the Novavax share price hit a 52-week high of $331.68. This event demonstrated how high the stock is capable of going, though in theory there’s really no limit. Heading into late November, NVAX stock was trading at approximately $200.
Technicians might say that the stock is somewhere in the middle of its defined range. Watch closely for a breakout above $275, which could galvanize the buyers and perpetuate a long-term rally.
Making Strides in South Korea
Again, we must emphasize that the battle against Covid-19 is taking place on multiple regional fronts.
For instance, Novavax appears to be making progress towards regulatory approval in South Korea. Specifically, Novavax, along with South Korea biotechnology company SK Bioscience, submitted a Biologics License Application (BLA) for Novavax’ Covid-19 vaccine to South Korea’s Ministry of Food and Drug Safety (MFDS). Known as NVX-CoV2373, Novavax’s Covid-19 vaccine with a Matrix-M adjuvant is the first protein-based Covid-19 vaccine to be submitted for a BLA in South Korea.
It’s been a long-awaited event, as Novavax and SK Bioscience initiated the rolling submission process for NVX-CoV2373 to the MFDS back in April of this year.
Moreover, full approval could be granted next, as this BLA submission to the MFDS represents the final review stage for authorization of NVX-CoV2373 in South Korea.
Stanley C. Erck, the president and CEO of Novavax, observed the broader implications of this BLA submission: “Today’s submission reflects the first BLA submission for full approval of our COVID-19 vaccine anywhere in the world, with more anticipated to follow,” Erck explained.
An Announcement in Europe
Meanwhile, Novavax revealed that the European Medicines Agency (EMA) has begun its evaluation of an application for conditional marketing authorization (CMA) for NVX-CoV2373. If everything goes as planned, Novavax’s Covid-19 vaccine will be marketed in the European Union under the brand name Nuvaxovid.
This CMA application is just one of many regulatory filings that Novavax has made.
Other filings have been made in the United Kingdom, Australia, New Zealand and Canada. Plus, Novavax filed to get its Covid-19 vaccine candidate approved by the World Health Organization (WHO).
Yet, some stakeholders might consider the EMA application by itself to be particularly impactful for Novavax.
Without a doubt, securing a marketing authorization in Europe could open the door to significant revenue streams for Novavax.
Opportunities to combat the Covid-19 pandemic exist in multiple regions of the world. There’s no denying that Novavax isn’t the most successful Covid-19 vaccine developer in the U.S. I currently give NVAX stock a “B” in my Portfolio Grader.
However, don’t dismiss the company’s progress abroad.
International regulatory wins in the coming months would help Novavax advance its Covid-19 vaccine candidate, and thereby provide greater value to the shareholders.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.
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