Moderna (MRNA) Outpaces Stock Market Gains: What You Should Know

·3 min read

Moderna (MRNA) closed the most recent trading day at $323.48, moving +0.74% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.2%.

Heading into today, shares of the biotechnology company had gained 51.44% over the past month, outpacing the Medical sector's loss of 3.49% and the S&P 500's gain of 3.28% in that time.

MRNA will be looking to display strength as it nears its next earnings release, which is expected to be August 5, 2021. In that report, analysts expect MRNA to post earnings of $6.01 per share. This would mark year-over-year growth of 2038.71%. Meanwhile, our latest consensus estimate is calling for revenue of $4.29 billion, up 6368.43% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $25.60 per share and revenue of $18.41 billion. These totals would mark changes of +1406.12% and +2191.26%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for MRNA. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.61% higher. MRNA is currently a Zacks Rank #3 (Hold).

In terms of valuation, MRNA is currently trading at a Forward P/E ratio of 12.54. Its industry sports an average Forward P/E of 25.7, so we one might conclude that MRNA is trading at a discount comparatively.

We can also see that MRNA currently has a PEG ratio of 1.07. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 1.53 based on yesterday's closing prices.

The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 206, which puts it in the bottom 19% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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