Shares of biotechnology company Moderna Inc. experienced a rare rally on Tuesday, with investors enjoying their first gain in two weeks. This positive movement came after the company announced that the first participant had been dosed in a Phase 3 trial of its combination vaccine candidate against the flu and COVID-19 in the U.S.
Adding to the optimistic sentiment, ARK Genomic Revolution exchange-traded fund ARKG, led by high-profile investor Cathie Wood, disclosed that it had purchased over $4 million worth of Moderna shares when they closed at a three-year low.
Moderna’s stock, MRNA, rose by 2.3% during morning trading, hinting at an end to its record-long losing streak. Over the past nine sessions, the stock had experienced a significant decline of 24.7% and closed at its lowest price since November 10, 2020. Such downturn was largely influenced by investor caution surrounding COVID vaccine sales.
With the initiation of a Phase 3 trial for its mRNA-1082 combo vaccine, Moderna builds upon previous trials that demonstrated a strong ability to generate an immune response with just a single injection. The safety profile of this combination vaccine holds up well when compared to separate flu and COVID vaccines.
Phase 3 Trial Enrollment
The Phase 3 trial is expected to enroll approximately 8,000 adults. This includes 4,000 individuals aged 65 and older, and an additional 4,000 individuals aged 55 to 64.
mRNA‐1083: Dual Protection Potential
In a recent statement, the company highlighted the potential of mRNA‐1083. This vaccine has the capability to effectively reduce the overall burden of acute viral respiratory diseases. By providing simultaneous protection against both influenza and SARS‐CoV‐2 viruses in a single injection, mRNA‐1083 offers a convenient solution. Moreover, it has the potential to encourage increased compliance with vaccine recommendations.
Moderna’s ETF Activity
The ARK Genomic Revolution ETF made a notable purchase of Moderna shares. On Monday, they acquired 55,271 shares, valued at approximately $4.38 million based on the volume-weighed average price of $79.33.
Moderna’s Position in the ETF
Moderna holds the 24th position among the ETF’s 39 equity holdings. With this recent purchase, the ETF’s stake in Moderna increased to 287,474 shares. This represents a 1.57% weighting within the ETF.
Stock Performance Update
Modern’s stock performance hasn’t been favorable this year. Year to date, it has experienced a significant decline of 55.2%. In contrast, the iShares Biotechnology ETF IBB has also faced a decline of 10.6%. Additionally, the ARK Genomic Revolution ETF has slid by 14%, while the S&P 500 SPX has shown a growth of 10.5%.
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