Valneva SE receives reiterated ‘Buy’ rating despite Q2 sales decline

First Berlin Equity Research has reiterated a ‘Buy’ rating for Valneva SE, adjusting its 12-month price target from €4.50 to €4.40 following the company’s Q2 2026 results.

Product sales for the second quarter declined by 21.0%, falling 3.5% below the consensus estimate of €34.7 million due to various one-off factors. However, the company’s full-year product sales guidance remains unchanged at a midpoint of €142.5 million. This implies a projected 17.3% year-over-year increase in sales for the second half of 2026. Analysts suggest this growth is plausible, driven by anticipated stronger Ixiaro sales—supported by a new U.S. Department of Defense contract—and a more favorable comparison against the previous year.

Regarding margins, the gross margin dropped to 4.6% in Q2 2026 from 50.1% in Q2 2025, but a rebound to over 50% is expected in the second half of the year. Additionally, the Lyme disease vaccine candidate LB6V has had its marketing authorization documentation technically validated by the European Medicines Agency (EMA).