Moderna's About to Look Like a Value Stock
The biotech industry is a favorite among investors looking for companies with strong growth potential. It's a risky environment, with dozens of tiny biotech hopefuls flaming out every year as their prospects fail to keep up with their cash-burn rates. For the winners, though, the rewards can be truly astonishing.
Moderna (NASDAQ: MRNA) is one of the most obvious examples of what can happen when biotechs find themselves with cutting-edge treatments at the ideal time. It might be hard for some growth investors to stomach, but by this time next year -- or even sooner -- Moderna will have a lot of attributes usually associated with value stocks. As a result, investors might find themselves having to shift paradigms in order to assess the vaccine-maker's prospects beyond the immediate future.
It's easy to forget just how far Moderna has come so quickly. When it filed its S-1 registration in late 2018 prior to coming public, the transformative mRNA-based medicine specialist had only a single clinical program in phase 2 trials. Yet even then, some investors saw just how broad-based the applications of Moderna's technology could be, given the flexibility in designing treatments using mRNA coding.
Source Fool.com
