What's going on my fellow stock market gamblers, i hope you're having a great day. My name is matt, and in this video i will be doing both a fundamental and technical breakdown of the recently popular stock moderna. My hopes are to give you a better understanding of what you're dealing with if you're, considering the stock to be a long-term investment or short-term trade. If you're interested in this type of stock analysis, market updates or seasonal trade ideas subscribe to the channel and don't forget to turn on your notifications, so you don't miss any of the new videos.

Moderna has become a hot topic in the stock market world because it's currently working on a vaccine for the coronavirus. This effort has become increasingly important, especially in the united states, because we're breaking all sorts of records and not the ones you want to. It was just announced that a thousand people died of coven 19 in one day to make matters worse. Now the us is on track to hit one million new cases in two weeks.

It is pretty crazy when you realize that the first reported case came on january 21st after 99 days, when million americans became infected. It then just took 43 days after that, to reach 2 million cases and 28 days later on july, 8th the u.s reached 3 million cases. The 4 millionth case then came at the end of july. This map depicts how there's currently only 5 states that are trending in the right direction if you're lucky enough to live in arizona, arkansas, west, virginia, new jersey or hawaii.

I hope your fortune continues. Many people have the opinion that social, distancing and wearing a mask will help us fight this battle. But the main thing we need to defeat this virus is a vaccine and that's where moderna comes in. They use messenger rna to create various vaccines and therapies, and their current focus is on the coronavirus.

I truly do hope that the company is successful and i think it would be great if it came sooner rather than later, but that doesn't necessarily mean the stock. Is a smart investment to get a better idea if it's worth risking your hard-earned money? Let's start with a fundamental analysis: here's a look at the income statement, let's start with total revenues from 2016. Until now, the yearly revenue has been decreasing at a considerable rate, which isn't a good sign for that same time, frame moderna has been operating at a loss and it seemed to be increasing each year. To put it simply, this income statement isn't good when you're looking for companies to invest in you actually want the exact opposite trend.

You should be looking for year-over-year growth, not yearly declines like we're seeing here. So this income statement is definitely a cause for concern, but let's check out the balance sheet, the total current assets sits at 1 250 and the total current liabilities is 135.. This ratio is roughly 10 to 1, which is excellent. The same could be said when you consider long-term assets and long-term liabilities.

Moderna's total assets is just over 2000 and their total liabilities is 426.. These numbers are great and i would argue that the company has a solid balance sheet. I do want to quickly bring your attention to something that could be found in their cash flow when modernist stock first made its run above 80, the company decided to issue more stock. This dilution of 17 million shares upset some investors because it caused the stock price to go down as a counterpoint.

The company did argue that they needed the money to continue working on the vaccine. I thought this was worthwhile to bring to your attention because they could do it again. I find it more problematic that some modernity executives sold a considerable amount of stock in between the time of the run-up and the dilution announcement. Truthfully, though, none of these numbers really matter, the current situation will have a binary outcome: either they will create the vaccine or they won't.

If you're on the right side of that bet, you can make a considerable amount of money, but it does come with a high risk. This is what the analysts are saying, with one being very bearish and 5 being very bullish. The average analyst rating is 4.13 out of 15 analyst. Ratings 12 are either very bullish or bullish.

At the time i'm making this video modern is trading just above 80 and the average price target is 95. to get a better idea of the support and resistance. In this region, let's do a technical breakdown of the stocks chart. Since we live in the time of covin 19 modernist stock, whose ticker is mrna has been absolutely on fire from the start of this year.

It's up 333. I mean in july alone the stock has rallied an impressive 35 percent. Part of the reason for this recent run was because their phase 1 trial data was promising. On top of that, it was announced that the patient enrollment for phase 2 is complete, but we won't get the results of that trial until summer of 2021..

Until then, i would expect more of these volatile moves that are largely news and announcement. Dependent here are the key areas i would personally be paying attention to. The first resistance would be at 87, which was the high for may and also served as resistance recently, if the bull camp can push the stock above that the next resistance would be the all-time high at 95. If the bears can't defend this line a second time, i would expect the stock to improve upon this crazy run and push considerably higher.

I can't pick out specific resistance points above the all-time high because the stock hasn't developed in this region, but if moderna ever announces a viable vaccine, i would bet a lot of money that the stock would be trading above 100, if you're not already long on the Company and you want to invest it's best from a risk to reward perspective, to buy as close to support as possible from the most recent close. The first support would be at 78. If the bears pushed the market below this, i would then be paying attention to 67. If the bulls don't hold this line, a final reach target for the bear camp would be 56.

This region in general has proven to be an area of high demand, which means it wouldn't be surprising at all if the stock bounces off of it, regardless of if you're, bullish or bearish, you should be entering your trades as close to the support and resistance levels. As possible, so you can minimize your risk. As i said before, though, this particular stock has a high risk to reward binary outcome from a fundamental standpoint. I wouldn't personally invest in more data because their numbers aren't strong enough, but for more of a short to medium term outlook.

They are currently leading the pack in coronavirus vaccine creation. This doesn't mean that other big players, such as pfizer or asha zenika, won't beat moderna in the long run. This is just how i'm currently seeing the landscape, i'm not a financial advisor. So i would highly recommend to any of you watching this to do your own research.

I would be more than happy to hear your opinion because i'm always willing to learn something feel free to share your thoughts below also, let me know if you have an idea about what stock i should cover next, if you enjoyed the video, let me know by Hitting the like button, if you enjoy this type of content subscribe to the channel and don't forget to turn on your notifications, thanks for watching and until next time best of luck in the markets.