Pharma Stock Skyrockets Over 100%

Shares of Moderna more than doubled Wednesday after the company and Merck announced positive results from a late-stage trial of an experimental cancer vaccine, though the companies have yet to release detailed data from the results.

The Phase 3 trial met its primary endpoint, according to the drugmakers, with the vaccine combination significantly improving the amount of time patients remained free of melanoma compared with Keytruda alone. But Moderna and Merck have not yet disclosed the specific effect size, survival times or full statistical results for the trial, leaving investors and outside researchers waiting for a clearer picture of how substantial the benefit actually was.

The trial tested Moderna’s mRNA-based vaccine alongside Merck’s Keytruda immunotherapy in 1,137 patients with higher-risk melanoma whose tumors had been surgically removed, as reported by CNBC. The combination also reduced the risk of melanoma spreading to distant parts of the body, according to the companies.

Moderna shares jumped more than 130% in morning trading, while Merck rose more than 10%. The dramatic difference reflects the companies’ relative sizes, with Merck valued at roughly $333 billion before the surge compared with about $25 billion for Moderna.

The companies said the results build on earlier Phase 2 findings and could eventually lead to the personalized vaccine becoming a new treatment option for melanoma. However, the Phase 3 study is still being evaluated for overall survival, and the drugmakers plan to release additional results at an upcoming medical meeting.

Earlier Phase 2 results showed a 49% reduction in the risk of recurrence or death and a 59% reduction in the risk of distant metastasis or death, but the Phase 3 results didn’t provide comparably detailed figures.

Moderna received criticism during the Covid-era for reportedly tracking online content that was critical of covid vaccines.

Merck and Moderna were also testing the personalized vaccine against other cancers, including lung, bladder and kidney cancer. Whether the approach can produce similarly strong results across those diseases remains an open question.

The companies didn’t announced when they would seek U.S. approval, though Merck executives said they expected to begin discussions with regulators about the treatment and its safety in the coming months.