On Wednesday, the U.S. Food and Drug Administration approved the use of Novavax Inc’s (NVAX.O) COVID-19 vaccine, paving the way for a shot whose more conventional technology has raised optimism among vaccination doubters.
Novavax stock increased 1.3 percent to $70.89 after its two-dose COVID vaccine was approved for use in adults in the United States for the fourth time.
Before the vaccine may be made accessible to the public, the Centers for Disease Control and Prevention (CDC) in the United States must approve its use.
A group of CDC vaccine advisors is scheduled to meet on Tuesday, but the agenda has not yet been announced.
The US government said earlier this week that it has obtained 3.2 million Novavax vaccine doses, which it intends to deliver after the business completes quality testing in the coming weeks.
More than two-thirds of the U.S. population has been completely vaccinated with Moderna Inc (MRNA.O), Pfizer-BioNTech, or Johnson & Johnson vaccines (JNJ.N).
People who have opted out of Pfizer and Moderna’s vaccines, which are based on revolutionary messenger RNA (mRNA) technology, are encouraged to try Novavax’s protein-based injection.
The vaccine, which is currently licensed in Europe, is based on a technique that has been used to battle illnesses such as hepatitis B and influenza for decades.
“Today’s authorization offers adults in the United States who have not yet received a COVID-19 vaccine another option that meets the FDA’s rigorous standards,” said FDA Commissioner Robert Califf in a statement.
However, demand for the injection has been minimal in Europe, with just roughly 242,000 doses delivered since its debut in December, causing Novavax to shift its attention to lower-income nations.
The company’s first application for US approval of the injection was delayed by about a year due to development and manufacturing issues, making it a late arrival in the country’s COVID vaccination market.
This year, Novavax anticipates revenues of between $4 billion and $5 billion. According to Refinitiv, analysts predict sales to be at the lower end of that range.