Moderna recently experienced a 17% decline in share price over the past week, a significant downturn that occurs amidst market-wide turbulence triggered by escalating global trade concerns, coupled with inflation and recession fears. While the broader market witnessed a 6% drop due to sweeping tariffs and economic uncertainties, Moderna's decline may have been aggravated by these macroeconomic factors affecting investor sentiment. The biotech sector, being particularly sensitive to policy shifts and economic forecasts, might have contributed to the drastic movement observed in the company's stock performance during the period.

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The last five years have seen Moderna's (NasdaqGS:MRNA) total shareholder returns decrease by 19.24%. This decline contrasts with the broader biotech industry, where Moderna underperformed the industry one-year return of a 10.4% decline. During this period, Moderna faced challenges including a significant drop in COVID-19 product sales and ongoing legal battles, notably the patent infringement lawsuits from Genevant Sciences and Arbutus Biopharma in March 2025 and Alnylam Pharmaceuticals in March 2022. These lawsuits could affect Moderna's cost structure and product portfolio.

Moreover, Moderna's financial performance highlights the difficulties in maintaining revenue levels post-pandemic, including a reported net loss of US$3.6 billion in 2024. Despite interim successes, such as clinical trial advancements and regulatory approvals in Canada for the RSV vaccine, financial stability remains a concern. The company's revenue guidance for 2025 projects US$1.5 to US$2.5 billion, reflecting ongoing uncertainties in vaccine demand and market competition.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include NasdaqGS:MRNA.

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