Moderna stock dropped 9.1% on Monday despite little fundamental news being reported on the company.
The most notable headline involved Noubar Afeyan, a co-founder of Moderna (ticker: MRNA) and board member, who sold 15,000 shares of Moderna for a total value of $1.65 million, according to a filing with the Securities and Exchange Commission made public on Friday. When individuals closely associated with a company start selling their positions, it can be seen as a warning sign for investors.
Still, the filing showed that the sales were made as part of “Rule 10b5-1,” which allows executives to schedule sales as a way to reduce large positions without running afoul of insider trading rules.
What’s more, Pfizer (PFE) and BioNTech (BNTX) shares also declined Monday– 1.3% and 3.6% respectively — suggesting that there was weakness in vaccine-related stocks.
Moderna also gained 8.3% from Monday through Friday of last week, suggesting that today’s move might have simply been the kind of volatility typically associated with Moderna shares.
And there’s always the possibility that something happened that isn’t in the headlines yet. Remember, the market makes the narrative.