Moderna Stock Downgraded by UBS on Weak Profit Outlook

UBS analysts downgraded Moderna (MRNA) stock from Buy to Hold. The firm also reduced the price target from $40 to $34.

The downgrade stems from concerns over Moderna's nearly flat revenue outlook. Analysts question the company's ability to achieve profitability or break even by the 2028–2029 timeline.

The COVID-era boom has faded, leading to declining revenue and increasing losses. UBS asserts that Moderna requires a "new blockbuster product" to drive future growth.

The most significant near-term catalyst is the upcoming Phase III data. This data relates to the adjuvant melanoma cancer vaccine, which Moderna developed in partnership with Merck.