Novavax's Staff Cuts Boost Stock Prices Despite Profit Plunge

Novavax's stock surged 28% despite losing nearly $300 million and experiencing a drop in revenue. The struggling vaccine maker pledged to cut costs by at least 40% this year and disclosed promising results from clinical trials of a flu vaccine, a high-dose coronavirus vaccine, and a regimen that combines both shots. Novavax's one approved coronavirus vaccine doesn't rely on messenger RNA technology and doesn't require ultracold storage, making it easier to ship and store. However, the company is facing litigation over advance payments it received for vaccines, and analysts say its spending cuts may make it harder to compete against major rivals.