timothy sykes logo

Stock News

Novavax Shares Tumble Amid FDA Trial Demands and Vaccine Doubts

Jack KelloggAvatar
Written by Jack Kellogg Reviewed by Ellis Hobbs Fact-checked by Matt Monaco
Updated 5/9/2025, 11:32 am ET 5/9/2025, 11:32 am ET | 4 min 4 min read
Novavax Shares Tumble Amid FDA Trial Demands and Vaccine Doubts Thumbnail

Novavax Inc.’s stocks have been trading down by -9.08 percent amid increasing market concerns over vaccine profitability.

Candlestick Chart

Live Update At 11:31:59 EST: On Friday, May 09, 2025 Novavax Inc. stock [NASDAQ: NVAX] is trending down by -9.08%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

Novavax is navigating through rough financial waters as revenue dipped by approximately 16% over a three-year span, contrasting a substantial rise in a five-year period. Achieving $682M in revenue, the company’s current ratio stands at a slender 1, indicating weak short-term financial health. Additional trial funding challenges are looming, given a dreary operating cash flow and mounting debt, with a pretax profit margin plummeting to a stark -71.3%.

The stock performance hasn’t been steady, with a close of $6.055 on the latest trading day and prices swinging within a range over recent weeks. This volatility, coupled with a substantial drop in stock value thanks to market reactions, is a cause for concern. Given the margins and financial indicators, investors are grappling with the potential downturns given Novavax’s reliance on FDA approvals for its key vaccine product.

Market Reactions and Rising Investor Anxiety

When Robert F. Kennedy Jr., a notable figure and U.S. Health Secretary, raised questions about Novavax’s vaccine effectiveness, the repercussions were immediate. His comments triggered a market sell-off, reinforcing the existing doubts after the FDA’s call for further trials. There’s fear that the delays could hinder $175M in expected payments from Sanofi—a situation that hits hard against the backdrop of a $2B market cap valuation struggle.

In this landscape of uncertainty, analysts slashed their outlook, cutting the stock price target from $12 to $10. The lowered price target reflects apprehensions over the slow-moving approval process and its implications on the company’s ability to meet vital financial commitments. The need for additional, expensive trials serves as a significant blow, inviting skepticism from investors already wary of its profit margins.

More Breaking News

Conclusion

The culmination of recent events heralds a shaky road ahead for Novavax. The combined weight of strained financial metrics, mounting skepticism, and regulatory hurdles draws a concerning picture of the company’s future viability. As they face pressure to demonstrate the vaccine’s efficacy and satisfy FDA demands, these negative sentiments have solidified in the company’s tumbling stock price, making it a complex scenario for stakeholders on both an operational and financial front. In light of these challenges, some traders may align with the sentiment expressed by millionaire penny stock trader and teacher Tim Sykes, who says, “It’s better to go home at zero than to go home in the red.”

Overall, the road for Novavax remains steep, requiring strategic navigation to maintain market relevance in an unforgiving regulatory environment.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

Dive deeper into the world of trading with Timothy Sykes, renowned for his expertise in penny stocks. Explore his top picks and discover the strategies that have propelled him to success with these articles:

Once you’ve got some stocks on watch, elevate your trading game with StocksToTrade the ultimate platform for traders. With specialized tools for swing and day trading, StocksToTrade will guide you through the market’s twists and turns.
Dig into StocksToTrade’s watchlists here:

How much has this post helped you?

(0 votes, average: 0 out of 5)
Leave a reply
Author card Timothy Sykes picture

Jack Kellogg

He teaches webinars on Tim Sykes’ Trading Challenge He became Tim’s youngest millionaire student in 2020. Now he’s second on the Trading Challenge leaderboard with $12.9 million in career earnings. He’s a master of the 7-Step Pennystocking Framework. Jack is one of a rare breed of traders to profitably trade the entire penny stock framework.
Read More

* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”