Valneva (NASDAQ:VALN) Issues Quarterly Earnings Results, Misses Estimates By $0.21 EPS

Valneva (NASDAQ:VALN) released its quarterly earnings results on Wednesday. The company reported ($0.42) EPS for the quarter, missing the consensus estimate of ($0.21) by ($0.21), Zacks reports. Valneva had a negative return on equity of 76.81% and a negative net margin of 67.64%.

Here are the key takeaways from Valneva’s conference call:

• Valneva said the Lyme vaccine missed one pre-specified statistical criterion, although the second criterion was met and Pfizer still plans regulatory submissions. The company emphasized the readout was limited by fewer-than-expected Lyme cases, which widened confidence intervals.
• The company reported more than EUR 100 million in cash at quarter-end excluding recent financing proceeds, and it launched a restructuring aimed at cutting operating expenses by 25%–35% versus last year. Valneva also expects a 10%–15% workforce reduction.
• Q1 product sales fell to EUR 30.5 million from EUR 48.6 million a year ago, driven by lower IXIARO, DUKORAL, and IXCHIQ sales as well as a sharp drop in third-party product revenue. The company also cut full-year 2026 guidance to EUR 135 million–EUR 150 million in product sales and EUR 145 million–EUR 160 million in total revenues.
• Management said Q1 gross margin was hurt by manufacturing transfer costs, idle capacity, batch write-offs, and onerous contract charges, particularly for IXCHIQ. They expect margin to normalize later in the year, but also noted idle capacity costs remain elevated after the move to the Almeida facility.
• Valneva highlighted continued progress across its pipeline, including IXCHIQ rollout in Brazil, where more than 30,000 people have already been vaccinated, and upcoming Shigella data readouts expected over the summer. Management also reiterated that Pfizer is preparing regulatory meetings for Lyme and will present the full dataset at a future conference.

Valneva Trading Down 1.7%

Shares of NASDAQ:VALN traded down $0.10 during trading hours on Wednesday, hitting $5.90. 28,315 shares of the company’s stock traded hands, compared to its average volume of 65,575. Valneva has a 1 year low of $5.06 and a 1 year high of $12.25. The business has a fifty day moving average price of $7.38 and a 200-day moving average price of $8.66. The firm has a market capitalization of $508.05 million, a P/E ratio of -3.73 and a beta of 1.72. The company has a debt-to-equity ratio of 1.52, a current ratio of 2.38 and a quick ratio of 1.85.

Institutional Trading of Valneva

A number of large investors have recently modified their holdings of VALN. Marex Group plc purchased a new stake in shares of Valneva in the second quarter valued at approximately $64,000. JPMorgan Chase & Co. purchased a new stake in shares of Valneva in the third quarter valued at approximately $124,000. Finally, XTX Topco Ltd purchased a new stake in shares of Valneva in the fourth quarter valued at approximately $94,000. Hedge funds and other institutional investors own 11.39% of the company’s stock.

Wall Street Analyst Weigh In

Several research firms recently commented on VALN. The Goldman Sachs Group lowered Valneva from a “neutral” rating to a “sell” rating and set a $4.90 price target for the company. in a research report on Wednesday, April 22nd. Guggenheim set a $11.00 price target on Valneva in a research report on Thursday, April 16th. Finally, Wall Street Zen lowered Valneva to a “strong sell” rating in a research report on Saturday, April 25th. Three investment analysts have rated the stock with a Buy rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $11.98.

About Valneva

Valneva SE is a specialty vaccine company focused on the development and commercialization of prophylactic vaccines for infectious diseases. Headquartered in Saint-Herblain, France, the company applies inactivated whole-cell and recombinant technology platforms to address public health needs. Valneva’s research and development efforts span a range of viral and bacterial pathogens, with an emphasis on travel-related and emerging infectious diseases.

Among its marketed products, Valneva offers IXIARO®/JESPECT® for the prevention of Japanese encephalitis and DUKORAL® for the prevention of cholera and diarrhea caused by enterotoxigenic Escherichia coli.