Moderna, Merck cancer vaccine shows promise in late-stage trial; Moderna stock soars 90%

Moderna's stock rose 5.56% after successful Phase 3 melanoma study results, potentially expanding its reach beyond COVID-19 vaccines. Investors question if this marks the start of a sustainable oncology franchise or if the market has overreacted to the early evidence.

A phase 3 trial found that a combo of pembrolizumab, chemotherapy, and olaparib improved progression-free survival in advanced ovarian cancer patients. The study, funded by Merck, showed a 37% risk reduction in disease progression or death for certain patients. Pembrolizumab alone did not show significant benefits. The findings were published in The Lancet Oncology.

Moderna's stock rose after Phase 3 results for its cancer vaccine, intismeran, showed improved recurrence-free survival in melanoma patients. The data, to be presented at ESMO Congress 2026, led to analyst upgrades. Moderna is expanding its respiratory and older-adult vaccine portfolio but remains unprofitable.

Merck (MRK) received FDA approval to update the label for WINREVAIR, adding efficacy and safety data from the Phase 3 HYPERION trial. The trial showed a 76% reduction in clinical worsening events for PAH patients compared with placebo. The update includes new warnings and monitoring advice for healthcare providers.

Merck (MRK) announced FDA approval for a label update of Winrevair, a drug co-marketed with Bristol Myers Squibb (BMY) for pulmonary arterial hypertension, recognizing its benefits for earlier patient use.

Merck (MRK) received Japanese approval for KEYTRUDA QLEX, a subcutaneous version of its cancer therapy KEYTRUDA. The new formulation allows for faster administration compared to intravenous infusion. This approval is part of Merck's broader effort to offer more convenient cancer treatments, potentially expanding its market opportunity in Japan.