Moderna Stock Slides 7% on Morgan Stanley Neutral Rating Despite Price Target Hike

Key Facts

1Moderna stock fell 7% after Morgan Stanley maintained an 'equal-weight' (neutral) rating in its latest report.

2Morgan Stanley raised its price target for Moderna from $33 to $39.

3Morgan Stanley slashed EHang's price target from $26.00 to $7.70 due to regulatory delays in China.

Amid a cautious atmosphere in the healthcare sector, Moderna shares dropped by 7% following a report from Morgan Stanley. Although the bank raised its price target for the stock from $33 to $39, it maintained an 'equal-weight' (neutral) rating. This market reaction indicates that investors are prioritizing the analyst's cautious tone regarding future growth prospects over the modest increase in the valuation target.

This decline occurs as the broader biotech and emerging tech sectors face mixed pressures; Morgan Stanley also slashed EHang's price target from $26.00 to $7.70 due to regulatory delays in China. Per market data, peers like BioNTech and Pfizer have similarly struggled to maintain growth momentum in the post-pandemic era, justifying the conservative stance analysts are taking toward current sector valuations.

At the close on July 9, 2026, MRNA was priced at $76.56, while EH closed at $5.79 according to market data. Traders are now watching for new sector catalysts, especially as macroeconomic data continues to influence risk appetite for growth stocks, with Moderna's technical support levels remaining in focus near its session low of $73.14.