Prognosis

Novavax Tumbles After Warning of ‘Substantial Doubt’ Over Future

  • Company fell short of estimates in its fourth-quarter results
  • Novavax struggled to develop and sell its Covid-19 vaccine
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Novavax Inc. said there’s substantial doubt about its ability to stay in business through next year, the latest warning from the company after it struggled to develop and sell a Covid-19 vaccine. The stock plunged in extended trading.

“Significant uncertainty” surrounds 2023 revenue even though there should be enough money to fund operations, the Gaithersburg, Maryland-based drugmaker said in a statement TuesdayBloomberg Terminal. The warning came as the company reported a fourth-quarter lossBloomberg Terminal almost twice as wide as analysts had estimated.