Uncle Sam Just Gifted This Stock $176M! (A Major Rally Ahead?)

Alright friends, I’d like to put a quick disclaimer here before I start rambling on: Put your political think-so’s behind, because when it comes to making money… well the market simply doesn't give a damn. 

(Source: Reddit) 

The big news on the street this morning is that the U.S. government has decided to play favorites again, with none other than their swamp friends over at Moderna (NASDAQ:MRNA). This time, it’s a juicy $176 million contract to whip up a bird flu vaccine. Yep… bird flu. 

(Source: Reuters) 

Now while this is the same Moderna that brought us the Covid-19 vaccine, which some folks swear by and others… well no so much (again, not dwelling on that here), the urgency of the matter is understandable.

Apparently while we were all enjoying our 4th of July beef patties yesterday, there’s been an outbreak of the H5N1 virus spreading among dairy cows and even infecting some dairy workers. Brotha ewwww… 

(Source: Giphy) 

Which is why the government, in its infinite wisdom, decided that mRNA technology is the knight in shining armor we need. And who better to lead this charge than the “trusted” steads over at Moderna, right? 

Now for those keeping score at home, the Biomedical Advanced Research and Development Authority (BARDA) is the one cutting this fat check. And they’re all about being prepared for whatever microscopic menace decides to gate-crash our party next. 

(Source: Giphy) 

So, they’re funding late-stage development and testing of this bird flu vaccine, which Moderna has cleverly named mRNA-1018. Such creativity I tell ya… 

Of course, none of this is on a spontaneous whimb. Moderna’s already been busy testing this bad boy on healthy adults, initially kicking off the study last year. And while we’re supposed to get some results soon. I’m personally not holding my breath simply for two reasons: 

1. Since Cassava Sciences Alzheimer's scam, (refer to this article for context) I have about as much faith in medical study results right now as Republicans had in mail-in ballot counts back in 2020. 
2.  Plus, the big-big trials aren’t slated until 2025. You know ‘cause science actually takes time to perfect. (Cough cough - sorry I couldn’t resist). 

Now, despite those two factors, here’s where it gets interesting.  The government’s already gearing up with 4.8 million doses of a similar vaccine for those at high risk. Such as farm workers who are up close and personal with infected cows. So while the rush is a tad bit concerning, it’s definitely understandable. But the even better news is that the FDA says pasteurization kills the virus in dairy products. 

(Source: Scientific American) 

So, I guess it's some reassurance as I literally sip on my caramel macchiato while writing this article. (Think, seeing a spider in your house and you immediately start itching everywhere.) 

(Source: Giphy) 

But real quick, let’s circle back to Moderna for a minute. Despite the mixed reviews on their Covid-19 vaccine, the U.S. government is betting big on their mRNA tech. Why? Because it’s fast, scalable, and apparently pretty darn effective. 

Plus, it’s just another reason for Moderna’s CEO, Stéphane Bancel, to remind us all how awesome mRNA is at tackling infectious diseases. Sort of like the Oprah of vaccines—"You get a vaccine! And you get a vaccine!"

(Source: Imgflip) 

Keep in mind though, this isn’t just about saving the cows and the farmhands. This is a solid business move too. Moderna’s stock is no doubt in correction territory after it slipped north of 36% during the month of June. 

So not only do they need a justifiable reason to get a lift in their stock price, but they definitely could use a new revenue stream now that the Covid-19 vaccine market is cooling off faster than most American’s social distancing beliefs. 

(Source: Market Watch) 

But even still, the U.S. response to the bird flu outbreak has been a bit of a hot mess. Farms are dragging their feet on testing, and the virus is spreading like gossip at a high school reunion. Experts are shaking their heads, wondering if we’ve learned anything from the Covid-19 chaos. 

(Source: Giphy) 

Yet, here we are, once again putting our faith (and our tax dollars) in Moderna to save the day. And who knows? If the bird flu vaccine works out, Moderna will no doubt get to play hero again while rewarding investors. And if not, well, we’ll have a front-row seat to another chapter in the never-ending saga of government and Big Pharma.

So, in addition to all of my rambling, what’s the takeaway my friends? 

Simply put, keep an eye on Moderna’s stock. 

If the U.S. government is willing to throw $176 million their way, it might just be worth a look. Because when it comes to mixing greed and making money with Big Pharma… well hell, it’s seriously a match made in corrupt heaven. 

Stocks.News has positions in Moderna as mentioned in the article.