What happened
Modern (NASDAQ: MRNA) closed Wednesday nearly 6.5% higher due to the results of an early clinical study of its coronavirus candidate in elderly patients.
In the study, mRNA-1273 was found to produce the neutralizing antibodies that the body needs to immunize against the coronavirus. It did so even at levels comparable to those of younger patients who received the vaccine, and without serious adverse effects.
So what
News of mRNA-1273 has been consistently positive, with so far clinical research indicating that it is effective. It is particularly encouraging that this also seems to apply to older patients, as they are considered to be particularly vulnerable to the coronavirus, and more broadly because vaccines are generally less effective in older people.
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Moderna is considered by many experts and analysts to be the leader in the race to develop a coronavirus vaccine, and this latest news scrap will improve its position.
Well what
While Moderna’s news is certainly heartbreaking for investors, they need to keep a few caveats in mind.
At first, this was a very limited study of only 20 people, and its results have yet to be published in a peer-reviewed journal. Second, as a young biotech, the company has never marketed a product. Finally, there is a long way to go in testing the late stage mRNA-1273 for approval, and there is no guarantee that it will be proven efficient enough, let alone given the green light by regulators.
