NEW YORK, United States — Moderna shares surged in U.S. trading on Wednesday after the company and Merck reported positive Phase 3 results for their personalised mRNA cancer vaccine, Intismeran, in combination with Keytruda for melanoma patients. The breakthrough trial result also lifted Merck shares and became the standout development among several major premarket stock movers.
- Moderna shares jumped as much as 135% after the late-stage melanoma trial met its key objectives.
- The Intismeran-Keytruda combination reduced the risk of melanoma recurrence and met a secondary measure involving cancer spread.
- Target shares fell despite stronger-than-expected comparable sales and an increased annual sales forecast.
- Lowe’s declined after quarterly revenue missed Wall Street expectations, while Estée Lauder gained ahead of its results.
Moderna shares lead premarket movers
Moderna became the biggest focus of the U.S. premarket session after the company announced that its INTerpath-001 Phase 3 study had met its primary endpoint of recurrence-free survival. The trial also achieved a key secondary endpoint measuring distant metastasis-free survival.
The study evaluated Intismeran, an investigational personalised mRNA-based neoantigen therapy, alongside Merck’s Keytruda in patients whose stage IIB-IV melanoma had been completely surgically removed.
Moderna shares climbed as high as $149.63 after closing the previous session at $62.96. The stock was reported to be up about 135% during Wednesday’s trading session.
Moderna cancer vaccine trial marks major milestone
The companies said the combination performed better than Keytruda alone in the late-stage study. The result represents an important development for Moderna as it seeks to build businesses beyond its COVID-19 vaccine franchise.
The trial enrolled 1,137 high-risk melanoma patients. Participants were randomly assigned to receive up to nine doses of the personalised vaccine together with Keytruda, or Keytruda alone, for approximately one year.
The companies reported that no new safety concerns had emerged during the study. Earlier, five-year results from a mid-stage trial had shown a 49% reduction in the risk of cancer recurrence or death for the combination.
Merck shares also rise on trial results
Merck shares gained about 11% in early trading as investors assessed the implications for Keytruda and the companies’ wider oncology strategies. The findings could be particularly important as Merck prepares for the eventual loss of patent protection for its blockbuster cancer treatment later this decade.
William Blair analyst Myles Minter said the interim findings placed the companies in a strong position to pursue regulatory approval. Merck research and development chief Dean Li said discussions with regulators were expected to begin within the next few months.
Analysts have also highlighted the commercial potential of the treatment. Barclays estimated last month that Intismeran could generate around $3 billion in melanoma-related sales by 2035.
Personalised treatment could shape Moderna’s next phase
Intismeran combines Keytruda with a made-to-order mRNA vaccine designed using mutations identified from an individual patient’s tumour. Moderna CEO Stéphane Bancel said the companies had not yet determined pricing because the latest data had become available only days earlier.
The treatment does not require the use of a patient’s own cells, unlike certain personalised cell therapies. Bancel said this could potentially make the manufacturing process easier to scale and reduce costs.
Target stock falls despite stronger sales
Target was among the notable decliners in premarket trading, with shares falling about 4%. The retailer had raised its annual sales forecast, but investors appeared more concerned about tariffs and the company’s underlying profit outlook.
Comparable sales for the quarter ended August 1 increased 3.8%, ahead of the 2.5% growth expected by analysts. Store traffic rose 3.6%, while digital comparable sales increased 8.7%, supported by greater use of same-day delivery.
Target said tariff refunds provided nearly $1 billion of support during the quarter, helping lift gross margin and operating income. Excluding about $1.65 per share in tariff-related benefits, the company raised the midpoint of its annual profit forecast by 75 cents.
Lowe’s falls after revenue misses expectations
Lowe’s shares declined 2.6% after the home improvement retailer reported quarterly earnings that slightly exceeded expectations but revenue that fell well short of Wall Street forecasts.
The company reported earnings of $4.28 per share, compared with consensus expectations of roughly $4.22 to $4.23. Revenue was approximately $24 billion, below estimates ranging from $26.1 billion to $26.5 billion.
Its full-year diluted earnings-per-share guidance of $11.75 to $12.25 also came toward the lower end of its previous adjusted outlook.
Estée Lauder gains ahead of results
Estée Lauder shares rose 6.3% in premarket trading as investors positioned ahead of the beauty company’s fiscal fourth-quarter and full-year results. The market was looking for evidence that its turnaround strategy was gaining traction.
The company was expected to report earnings of $0.32 per share on revenue of approximately $3.55 billion. Citi had placed the stock on a 90-day upside catalyst watch, while Jefferies had increased its price target.
U.S. futures point to cautious Wall Street opening
Broader U.S. stock futures were slightly lower during Asian trading as investors remained cautious following three consecutive sessions of losses for major indexes. A global bond selloff and elevated oil prices were weighing on sentiment, particularly for rate-sensitive technology stocks.
At 02:33 ET, S&P 500 futures were down 0.1% at 7,707.50 points, while Nasdaq futures fell 0.3% to 29,493.0 points. Dow Jones futures were little changed at 53,394.0 points.
Another newly independent aerospace company gained 2.8% after Morgan Stanley upgraded it to Overweight from Equalweight and assigned a $205 price target. The bank said the decline since its June 29 separation from Honeywell Technologies had created an attractive entry point based on longer-term earnings potential.
Speculative stock jumps sharply
At the more speculative end of the market, one stock surged 223.3% to $18.91 in premarket trading. The supplied reports did not identify a clear company-specific announcement or analyst action behind the move.
The rally came as the company pursued a proposed combination with HZJL Cayman Limited. The transaction, valued at approximately $350 million, would result in the combined company seeking a Nasdaq listing under the name Xpand Boom Technology Inc.
The proposed transaction remains subject to regulatory and listing approvals. The company’s relatively small tradable float, following the redemption of about 5.7 million public shares ahead of previous shareholder votes, could contribute to larger price swings when buying interest rises.
What investors are watching next
Moderna’s cancer vaccine results will remain a key focus as investors assess the potential commercial and regulatory path for Intismeran. The company’s move beyond COVID-19 vaccines has been central to its longer-term growth story, making the Phase 3 outcome particularly significant.
At the broader market level, investors are also watching bond yields, oil prices, tariffs and corporate earnings as Wall Street begins another trading session following recent declines.
Why did Moderna shares rise sharply?
Moderna shares surged after Intismeran, used with Merck’s Keytruda, met the primary recurrence-free survival endpoint and a key secondary endpoint in a Phase 3 melanoma trial.
What is Intismeran?
Intismeran is an investigational personalised mRNA-based neoantigen therapy designed using mutations identified from an individual patient’s tumour. It is being developed by Moderna in combination with Merck’s Keytruda.
Financial Disclaimer: This article is for informational and news-reporting purposes only and should not be considered investment, financial or trading advice. Stock prices can be volatile, and past or current market performance does not guarantee future results. Readers should conduct their own research and consult a qualified financial professional before making investment decisions.
Praveen Yadav is the Founder and Content Creator of The Nation Bulletin, an independent digital news platform focused on delivering timely, reliable and meaningful news from India and around the world.
