- NASDAQ: VXRT has crashed some 57% on Wednesday following disappointing results from its coronavirus vaccine trial.
- Thursday's premarket trading is pointing to a bounce, possibly related to a sliver-lining.
- Vaxart Inc's shares are still above the pre-boom and busy levels.
Not all covid vaccine trials end in success – as Vaxart Inc (NASDAQ: VXRT) has shown – and as investors have learned. Shares of the South San Francisco-based company crashed by 57.78% on Wednesday, all the way from $23.33 to $9.85.
VXRT erased three days of spectacular gains, as retail traders organizing on Reddit bought shares in droves in anticipation of the company's COVID-19 immunization Phase 1 results. Vaxart's solution is an oral one, which does not require extremely cold storage temperatures – making it an attractive alternative to the other jabs offered by Pfizer/BioNTech and Moderna.
However, the trial concluded that the product does not produce neutralizing antibodies – critical to beating the disease that is beating the world. High hopes and a disappointing outcome resulted in a crash.
VXRT Stock News
Nevertheless, Thursday's premarket trading is pointing to a bounce as there are some silver linings in Vaxart's trial. First, the vaccine was well-received and did not cause any adverse effects among those tested.
Secondly, it did create a substantial amount of T-cells, which are also able to give a fight to covid, potentially complementing other vaccines. VXA-CoV2-1 could provide some support against new variants, as they emerge.
Third, while other firms' vaccines are already being deployed, there is still a deficit in what the world needs and what the world gets – especially if booster shots are needed.
it is essential to remember that after the dust settles, NASDAQ:VXRT remains above levels seen before the recent frenzy, showing that some investors see Vacart's potential – either with improvements to its vaccine candidate or via other products.
Best Stocks to Buy Forecast 2021: Vaccines and zero rates to broaden recovery
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