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CureVac (CVAC)
NASDAQ:CVAC
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CureVac (CVAC) AI Stock Analysis

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CVAC

CureVac

(NASDAQ:CVAC)

Rating:76Outperform
Price Target:
$6.00
▲(9.89%Upside)
CureVac demonstrates a strong overall performance led by its solid financial health and attractive valuation. The technical indicators support a bullish outlook, further enhancing the stock's appeal. While there is room for improvement in revenue growth, the company's low leverage and efficient cash flow management contribute significantly to its positive score.
Positive Factors
Acquisition
BNTX announced an all-stock acquisition offer for CVAC for ~$1.25B, with CVAC shares exchanged for $5.46 in BNTX ADS – a ~55% premium to CVAC’s trailing 3-month average price.
Patent Rulings
CureVac obtained a positive ruling from the European Patent Office that upheld the validity of a European patent.
Negative Factors
Financial Performance
Operating loss was significantly higher than both the company and consensus estimates.
Legal Challenges
CVAC is currently dealing with ongoing patent litigation, which adds a layer of complexity to its operations.

CureVac (CVAC) vs. SPDR S&P 500 ETF (SPY)

CureVac Business Overview & Revenue Model

Company DescriptionCureVac N.V., a clinical-stage biopharmaceutical company, focuses on developing various transformative medicines based on messenger ribonucleic acid (mRNA). It is developing prophylactic vaccines, such as mRNA-based vaccine candidates CV2CoV, which is in Phase 1 clinical trial against SARS-CoV-2; CV7202, a prophylactic mRNA-based vaccine, which has completed Phase 1 clinical trial for rabies virus glycoprotein; and CVSQIV, which is in Phase 1 clinical trial against influenza, as well as vaccine for lassa fever, yellow fever, respiratiory syncytial virus, rotavirus, malaria, and universal influenza. The company also develops RNA-based cancer immunotherapies, including CV8102, which is in Phase 1 clinical trial for treating cutaneous melanoma and adenoidcystic carcinoma, as well as squamous cell cancer of skin, head, and neck. The company was founded in 2000 and is headquartered in Tübingen, Germany.
How the Company Makes MoneyCureVac makes money through the development and commercialization of its mRNA-based products. The company's revenue model is centered on the sale of its vaccines and therapeutics, which are developed in-house or in collaboration with strategic partners. Key revenue streams include licensing agreements, milestone payments, and royalties from commercialized products. Significant partnerships, such as those with pharmaceutical companies and research institutions, contribute to its earnings by providing additional funding, resources, and access to broader markets. These collaborations often involve joint development efforts, sharing of research data, and co-marketing of resultant products, which help CureVac expand its reach and accelerate product development.

CureVac Earnings Call Summary

Earnings Call Date:May 20, 2025
(Q4-2024)
|
% Change Since: 41.09%|
Next Earnings Date:Aug 14, 2025
Earnings Call Sentiment Positive
CureVac has demonstrated strong financial health with a solid cash runway and strategic partnerships, particularly with GSK. Significant progress in oncology and patent validation are positive indicators. However, operational challenges, including a major restructuring and associated costs, pose concerns.
Q4-2024 Updates
Positive Updates
Strong Financial Position
CureVac closed 2024 with a cash position of EUR482 million, providing a solid expected financial runway into 2028.
Strategic Collaboration with GSK
Licensing agreement with GSK valued up to EUR1.45 billion plus royalties, significant upfront payment of EUR400 million received.
Pipeline Advancements in Oncology
Progress in glioblastoma and squamous non-small cell lung cancer programs with anticipated new data and regulatory milestones.
Patent Office Ruling
European Patent Office upheld the validity of CureVac's split poly-A tail 668 patent in amended forms.
Negative Updates
Operational Challenges
Completion of a strategic corporate restructuring involving a headcount reduction of approximately 30%.
Impairment Costs
Impairment of a large-scale production facility, with extraordinary payments amounting to EUR137 million related to past commitments and patent litigation.
Company Guidance
During CureVac's Fourth Quarter and Full Year 2024 financial results and business update call, several key metrics and strategic developments were highlighted. The company ended 2024 with a strong cash position of EUR 482 million, providing a financial runway into 2028. Key achievements included the completion of a strategic restructuring, which involved a 30% reduction in workforce, anticipated to decrease operating expenses by over 30% and reduce personnel costs by EUR 25 million. CureVac's collaboration with GSK, valued at up to EUR 1.45 billion plus royalties, generated a EUR 400 million upfront payment and a EUR 10 million milestone payment in the fourth quarter. In oncology, CureVac's Phase 1 glioblastoma study demonstrated promising results, and the company plans to advance to Phase 2 pending further data in the second half of 2025. In infectious diseases, a licensing agreement with GSK continues to progress, with a combined Phase 1/2 study for a seasonal influenza and COVID combination vaccine underway. The company also emphasized progress in its IP litigation, with the European Patent Office upholding the validity of a critical patent, reinforcing CureVac's leadership in mRNA technology.

CureVac Financial Statement Overview

Summary
CureVac's financial statements indicate a positive trajectory with substantial improvements in profitability and cash flow. The company has managed to turn previous losses into profits, maintaining a strong balance sheet with low leverage. However, the slight decline in revenue growth and asset base suggests areas for focus to sustain long-term growth.
Income Statement
65
Positive
CureVac's income statement shows a significant improvement in profitability with a positive net income and gross profit in the TTM period, compared to previous losses. The TTM gross profit margin stands at approximately 87.6%, and the net profit margin is about 34.5%. However, the revenue growth rate is slightly negative from the previous annual report, indicating a need to sustain top-line growth. The EBIT and EBITDA margins are strong at 37.5% and 43.5%, respectively, reflecting improved operational efficiency.
Balance Sheet
72
Positive
CureVac's balance sheet is solid with a low debt-to-equity ratio of around 0.06, signifying low financial leverage. The equity ratio is strong at approximately 87.1%, indicating high asset financing through equity. The return on equity (ROE) is about 27.9% in the TTM period, demonstrating effective use of equity to generate profits. Nonetheless, the decrease in total assets and stockholders' equity compared to previous periods could indicate challenges in asset growth.
Cash Flow
78
Positive
The cash flow statement reveals significant improvement in operating cash flow and free cash flow in the TTM period. The free cash flow to net income ratio is robust at about 0.79, showing strong cash generation relative to profits. The operating cash flow to net income ratio is approximately 0.87, reflecting efficient cash operations. The free cash flow growth rate from the previous period is substantial, highlighting strong cash flow management.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue535.18M53.76M67.42M102.99M48.90M
Gross Profit429.35M-70.61M-116.57M-135.21M34.73M
EBITDA209.69M-234.09M-209.39M-386.49M-123.09M
Net Income162.19M-260.17M-249.03M-411.72M-129.07M
Balance Sheet
Total Assets802.83M788.25M860.47M1.16B1.51B
Cash, Cash Equivalents and Short-Term Investments485.37M405.11M500.28M816.11M1.33B
Total Debt38.97M41.82M42.09M28.89M30.09M
Total Liabilities106.22M271.31M327.22M469.77M800.01M
Stockholders Equity696.61M516.94M533.25M688.48M711.35M
Cash Flow
Free Cash Flow83.41M-323.09M-379.40M-861.03M475.05M
Operating Cash Flow101.85M-267.89M-286.18M-733.13M522.40M
Investing Cash Flow-18.44M-55.20M-93.50M-127.90M-45.27M
Financing Cash Flow-5.11M230.89M63.17M344.96M819.83M

CureVac Technical Analysis

Technical Analysis Sentiment
Positive
Last Price5.46
Price Trends
50DMA
4.83
Positive
100DMA
3.97
Positive
200DMA
3.59
Positive
Market Momentum
MACD
0.15
Positive
RSI
60.37
Neutral
STOCH
22.84
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CVAC, the sentiment is Positive. The current price of 5.46 is above the 20-day moving average (MA) of 5.42, above the 50-day MA of 4.83, and above the 200-day MA of 3.59, indicating a bullish trend. The MACD of 0.15 indicates Positive momentum. The RSI at 60.37 is Neutral, neither overbought nor oversold. The STOCH value of 22.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CVAC.

CureVac Risk Analysis

CureVac disclosed 97 risk factors in its most recent earnings report. CureVac reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 3 New Risks
1.
If we cannot maintain our corporate culture, we could lose the innovation, teamwork and passion that we believe contribute to our success. Q4, 2023
2.
If we are not successful in discovering, developing and commercializing additional products, our ability to expand our business and achieve our strategic objectives would be impaired. Q4, 2023
3.
The increasing use of social media platforms presents risks and challenges. Q4, 2023

CureVac Peers Comparison

Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
$1.23B6.0134.46%799.36%
59
Neutral
$1.47B-15.59%-35.41%-12.26%
56
Neutral
$792.10M-44.59%-73.79%-5.24%
55
Neutral
$681.10M-33.48%-25.88%-29.16%
55
Neutral
$1.13B-63.56%270.02%32.69%
53
Neutral
$860.06M-50.67%41.86%10.48%
52
Neutral
$7.61B0.04-62.94%2.44%16.14%0.33%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CVAC
CureVac
5.46
1.82
50.00%
XNCR
Xencor
9.57
-11.70
-55.01%
VIR
Vir Biotechnology
5.85
-4.81
-45.12%
NRIX
Nurix Therapeutics
11.63
-9.41
-44.72%
PRAX
Praxis Precision Medicines
57.09
-0.45
-0.78%
ABCL
AbCellera Biologics
4.99
1.89
60.97%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 28, 2025