Novavax (NVAX) Gains Momentum with Sanofi Deal and Analyst Endorsement

Novavax, Inc. (NASDAQ:NVAX) is one of the top long-term biotechnology stocks to buy. On October 24, Cantor Fitzgerald initiated coverage of Novavax, Inc. (NASDAQ:NVAX) with an Overweight rating and a $18 price target.

Cantor Fitzgerald pointed to Nuvaxovid, Novavax’s protein-based COVID-19 vaccine, as a central asset in its evolving strategy. The company has moved from direct commercialization to a licensing model, aiming to generate revenue through partnerships tied to its Matrix-M adjuvant and vaccine portfolio.

Earlier, on October 7, the company completed the transfer of its COVID-19 vaccine, Nuvaxoid, to Sanofi. With the transfer, the company has given Sanofi full responsibility for commercial and regulatory activities in the EU.

Novavax is poised to receive a $25 million milestone payment. The transfer also enables collaboration and a license agreement between the two companies.

“Novavax continues to steadily advance our corporate growth strategy while delivering on our partnership agreement,” said CEO John C. Jacobs. “The successful transfer of our EU marketing authorization to Sanofi is yet another step forward in ensuring global access to our protein-based, non-mRNA COVID-19 vaccine.”

Novavax is also entitled to additional future milestones and royalty payments. The company is entitled to a $75 million milestone payment upon Sanofi’s technology transfer of its manufacturing process for the vaccine. The company could receive up to an additional $350 million in future milestone payments.

Novavax, Inc. (NASDAQ:NVAX) is a biotechnology company that develops and commercializes innovative vaccines to prevent serious infectious diseases. Its products are protein-based, utilizing recombinant nanoparticle technology and its proprietary Matrix-M adjuvant to enhance the immune response.

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Disclosure: None. This article is originally published at Insider Monkey.