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Wednesday, September 2, 2020

Muddy Waters goes short on Inovio, citing Covid ‘hype’

Inovio Pharmaceuticals (NASDAQ:INO), up 245% in 2020, is off more than 12% Wednesday as short seller Muddy Waters discloses they are short the name, citing a recent court decision against the company and its recent rise due to the “hype” around a Covid vaccine.

The court decision indicated that the company “lacks manufacturing capacity” to reach 1M doses in 2020 and 100M in 2021.

The competition among the 5 Operation Warp speed companies makes INO’s chances slim absent their ability to force their supplier to transfer manufacturing technology, the research firm wrote.

The Warp speed participants include Sanofi (NASDAQ:SNY), GlaxoSmithkline (NYSE:GSK), Vaxart (NASDAQ:VXRT), Pfizer (NYSE:PFE), Moderna (NASDAQ:MRNA), Merck (NYSE:MRK), Johnson & Johnson (NYSE:JNJ) and AstraZeneca (NYSE:AZN).


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