Piper Sandler Lowers Moderna Price Target Amid Challenges but Sees Long-Term Potential

Piper Sandler analysts reduced their price target for Moderna (NASDAQ:MRNA) from $115 to $69 while maintaining an Overweight rating on the stock. The adjustment reflects near-term challenges but underscores the company’s long-term growth prospects.

Moderna shares recently hit a 52-week low, reaching levels not seen since the early stages of the pandemic. Contributing factors include declining COVID-19 vaccination rates, underwhelming performance from mRESVIA, and uncertainty linked to Robert F. Kennedy Jr.'s nomination to lead the Department of Health and Human Services. Despite these headwinds, the analysts view the current valuation as an attractive entry point for long-term investors.

Management reiterated its 2024 product sales guidance of $3–3.5 billion, with revenue expected to bottom out at $2.9 billion in 2025 before resuming growth. This recovery is anticipated to be driven by the launch of eight new vaccines and products by 2028. Notable launches include the next-generation COVID-19 vaccine (mRNA-1283) and mRESVIA for high-risk adults in 2025, as well as a combination flu and COVID-19 vaccine (mRNA-1083) in 2026.

While short-term sales pressures persist, Piper Sandler remains optimistic about Moderna's ability to capitalize on its innovative pipeline and long-term opportunities, justifying the continued Overweight rating despite the reduced price target.