CVAC - UBS reveals a biotech stock that can nearly double from here

Shares of CureVac BV ( NASDAQ: CVAC ) have already almost doubled year-to-date but a UBS analyst says the stock still has a lot more room to the upside.

CureVac stock could gain close to 100%

On Thursday, Eliana Merle turned bullish on the biopharmaceutical firm and sharply increased her price objective to $18 that represents close to another 100% upside from here.

The upgrade arrives only weeks after the German company reported positive preliminary data for its joint COVID-19 and flu mRNA vaccine. Her note reads:

In our view, as the first data of the 2 ^nd -gen platform’s immunogenicity in humans, this is a major inflection point for the story, and suggests potentially competitive mRNA platform relative to mRNA peers.

Following the data, CEO Franz-Werner Haas had said the company was starting the new year as a competitive player in mRNA therapies.

CureVac recently named its next CEO

In November, CureVac reported a near 62% year-over-year decline in its third quarter revenue. But Merle’s upgrade today suggests that she is bullish on the new management.

We note the stock is up ~50% since the data in Jan. But we think shares trade higher with more data/trial starts and as awareness builds for this under-the-radar mRNA story. We note additional Ph1 data is expected near-term.

Earlier this month, the biotech firm named Alexander Zehnder as its new Chief Executive. Zehnder, who’s currently the Global Head of Oncology at Sanofi, will assume the role on April 1 ^st .

The biotech stock is still trading only at a fraction of its all-time high in February 2021.

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