Shares in US vaccine-maker Moderna surged significantly after the company announced positive trial results for an experimental skin cancer therapy. The stock saw an increase of as much as 177% on Wednesday, reflecting a major success in the new field of cancer treatment. This significant jump follows a challenging five-year period for Moderna after its COVID-era highs, though even with this surge, shares remain down approximately two-thirds from their peak.
The experimental therapy, co-developed with Merck, is a personalized mRNA cancer vaccine designed to reduce the risk of recurrence and spread of melanoma. It is administered in combination with Merck's immunotherapy drug Keytruda. The Phase 3 trial, involving more than 1,100 patients with high-risk or advanced melanoma whose tumors had been surgically removed, met its primary goal of significantly extending the time patients lived without their melanoma returning compared to Keytruda alone. It also reduced the risk of the cancer spreading to distant parts of the body.
Analysts are optimistic about the therapy, expecting US regulatory approval as early as next year. This is the first positive late-stage trial result for an mRNA cancer vaccine, validating a personalized treatment approach that targets unique mutations in each patient's tumor. Barclays estimates that the therapy could generate about $3 billion in melanoma sales by 2035. Merck's shares also climbed more than 12% on the news. Moderna's CEO, Stephane Bancel, called it "a big moment for medicine, a big moment for patients."
Merck and Moderna are also studying the vaccine in trials for other cancer types, including non-small cell lung cancer, bladder cancer, and renal cell carcinoma. The success of this trial for melanoma suggests the potential for this new class of therapy to address other cancers in the future. The companies plan to present the full data at an upcoming international medical meeting.
