Moderna slips after Citi downgrades to 'sell'
MRNA•Moderna shares fell 6.2% in premarket trading after Citigroup downgraded the stock to “sell” from “neutral,” saying optimism about its cancer drugs was already priced in. Citi raised its price target to $80 from $60, implying nearly 61% downside to the stock’s last close of $203.46.
1. Citi cuts rating
Citigroup downgraded Moderna to “sell” from “neutral,” saying optimism related to the company’s cancer drugs had already been priced in. The brokerage said the stock’s re-rating reflected potential expansion into multiple tumor types and unrealistic implied sales expectations.
2. Price target raised
Citi raised its price target to $80 from $60 and said the stock’s valuation was unjustifiable, with a negatively skewed risk-reward profile. Moderna shares fell 6.2% to $190.89 in premarket trading; as of the prior close, they were up roughly seven-fold this year.
