Trump Team Weighs Pulling Funds for Moderna's Bird Flu Vaccine: Implications for Public Health and Investors

The Trump Administration is reportedly considering pulling funding for Moderna's (MRNA) bird flu vaccine, a move that could have significant implications for public health preparedness and the company's financial outlook. The potential withdrawal of funds comes as the U.S. grapples with a growing number of bird flu cases and the need for a vaccine to protect against potential human infections.



Moderna received a $176 million award from the U.S. Biomedical Advanced Research and Development Authority (BARDA) in July 2023 to develop a prepandemic vaccine against H5 avian influenza. The company is leveraging its domestic large-scale commercial mRNA vaccine manufacturing platforms and ongoing development of mRNA-based seasonal flu vaccines to accelerate the development of the bird flu vaccine. In 2023, Moderna launched a phase 1/2 clinical trial of an investigational pandemic flu vaccine in healthy adults, which included candidates against H5 and H7 viruses. The results of this trial are expected later this year.

The potential withdrawal of funding for Moderna's bird flu vaccine development could have several consequences. First, it could delay the timeline for the vaccine's approval and availability, leaving the public vulnerable to outbreaks and hindering pandemic preparedness. Second, it could impact the company's financial outlook, as the bird flu vaccine is seen as a promising product with significant market potential. Investors may react negatively to the news of funding cuts, leading to a decline in the company's stock price.



Moderna's stock has been volatile in recent months, with shares trading at around $100 as of February 2025. The company's financial performance has been driven by its COVID-19 vaccine, but the potential withdrawal of funding for the bird flu vaccine could add uncertainty to the company's future prospects.

The Trump Administration's consideration to cut funding for Moderna's bird flu vaccine is a strategic decision that aligns with its broader healthcare and public health policies, focusing on fiscal responsibility and prioritizing resources for immediate public health threats. However, the potential consequences for public health preparedness and the company's financial outlook should be carefully considered before making a final decision.

In conclusion, the Trump Administration's consideration to withdraw funding for Moderna's bird flu vaccine has significant implications for public health preparedness and the company's financial outlook. Investors should closely monitor the situation and consider the potential impacts on the company's stock performance. The decision to cut funding should be made with careful consideration of the long-term implications for pandemic preparedness and the potential risks and benefits for the U.S. healthcare system.