Finance

Is Novavax stock over? The company gave a terrible second-quarter report

Novavax, the manufacturer of vaccines against COVID-19, published a "killer" report. Revenue not only fell by 38% year-on-year, but was more than five times below analysts' expectations. The company cut its revenue forecast for 2022 from $4-4.5 billion to $2-2.3 billion.

There are several reasons for the terrible results. First, the company is not coping with competition from Moderna and Pfizer. Second, the cost of sales has risen because of overdue inventory. Third, demand for vaccines has declined because of a waning epidemic.

All of this led to a net loss of $510 million in the second quarter, versus $352 million a year earlier. Minutes before the report, trading in NVAX stock was suspended. The company was not saved by the approval of a protein vaccine against COVID-19.

Bottom line: Weakening COVID and strong competitor performance is a critical negative for the stock.

ECB tries to save EU economy - central bank will be flexible in reinvesting PEPP program

The pandemic has left persistent vulnerabilities in the eurozone economy that contribute to the uneven normalization of our monetary policy among different countries, the ECB said. The ECB has instructed Eurosystem committees and ECB services to accelerate the development of a new mechanism to combat fragmentation. Why it matters. Rising

Price for oil price cap yet to be determined, head of European Commission

"The EU is ready in principle to go to the oil price cap," von der Leyen added. Earlier, the head of the U.S. Treasury Yellen said that the U.S. is not against the purchase of oil by India above the price cap. The WSJ also reported citing sources

U.S. officials forced to roll back plan to limit Russian oil prices - Bloomberg

India and China - Russia's most important trading partners - will not participate, Bloomberg sources said. The price cap plan is still alive after all. However, the price cap will be higher than previously thought. Earlier, U.S. Treasury Secretary Yellen said the price ceiling could be in the range

Read next