Moderna Shares Surge 150% on Positive mRNA Cancer Vaccine Results

Moderna's shares experienced a remarkable 150% increase after the company and Merck announced positive Phase 3 results for a personalized mRNA treatment targeting melanoma. The treatment, known as intismeran autogene or V940/mRNA-4157, combines individual patient tumor genetic information with Merck's immunotherapy Keytruda. In the trial, 1,137 patients, who had undergone surgery for high-risk melanoma, were given Keytruda alone or in combination with the personalized mRNA treatment.

The results demonstrated a significant delay in cancer recurrence and a reduced risk of distant metastasis. This marks the first successful Phase 3 outcome for an individualized mRNA cancer treatment, providing Moderna with strong clinical evidence for its oncology business as demand for its COVID-19 vaccines declines. Moderna CEO Stéphane Bancel highlighted that the process does not require the patient's own cells, simplifying production as the company expands the program.

The stock-market reaction reflects the importance of oncology to Moderna's future, with Merck's shares also rising by 11%. Analysts at William Blair upgraded Moderna's stock to Outperform, citing a clearer path towards diversifying revenue beyond COVID-19 products. The positive trial outcome, along with earlier Phase 2b study results, strengthens Moderna and Merck's case for seeking regulatory approval, which could eventually generate billions in annual melanoma revenue by 2035.