Moderna (MRNA), with its widely used COVID-19 vaccine, rose to prominence during the global pandemic. The stock soared an eye-catching 838.4% between 2020 and 2022.
But the company is now stepping into a new era to prove that its mRNA technology can deliver beyond COVID-19. With new vaccine approvals, an expanding pipeline, and ambitious bets on cancer and artificial intelligence, the company is attempting to reinvent itself. But as coronavirus sales fade and competition grows, the question arises whether Moderna’s comeback is built on real progress or just renewed hype.
Moderna stock is down 34% year-to-date, underperforming the overall market gain of 14.6%. Let’s find out if Moderna is still worth buying or holding on to.
Moderna’s second-quarter results showed a company still dealing with post-pandemic challenges but determined for a comeback built on discipline, cost control, and scientific execution. The company reported total revenue of just $142 million, a steep decline from its pandemic-era highs. It also posted a net loss of $825 million, though that represented a marked improvement from the $1.3 billion loss a year ago.
Despite the sharp loss, Moderna’s cash and investment reserves remain strong at $7.5 billion, providing a significant cushion as it navigates a post-COVID-19 environment. Moderna has slashed operational expenses by 40% year over year on a cash-cost basis, saving $581 million in spending compared to the same period in 2024. The company has reduced combined R&D, SG&A, and cost of sales by 35%, marking the fourth consecutive quarter of double-digit reductions in overheads.
On the commercial front, Moderna received three significant FDA approvals this year, including the next-generation COVID-19 vaccine mNEXSPIKE, mRESVIA (an RSV vaccination now approved for high-risk individuals aged 18-59), and full approval of Spikevax for children aged six months to 11 years old. These milestones show meaningful progress toward Moderna’s goal of stabilizing and expanding its vaccine portfolio in the post-pandemic era.
Moderna’s pipeline development is more important than ever. The company revealed promising Phase 3 data for its flu vaccine, which might lay the groundwork for a future flu-COVID-19 combination shot, a possible commercial differentiation in a crowded market. Aside from respiratory programs, Moderna’s non-respiratory vaccination and rare disease portfolios are continuously growing. Moderna is also deepening its oncology relationship with Merck (MRK), with a focus on customized neoantigen therapy and Intismeran (mRNA-4157).
