MRNA surged 176% after Moderna and Merck announced positive Phase 3 results for intismeran, an mRNA cancer therapy.
The stock then pulled back sharply, causing panic among retail investors who bought near the peak.
Reddit traders are comparing the setup to other biotech plays, with some eyeing SLS as a potential follow-up.
Moderna (![]()
The catalyst was a joint announcement from Moderna and Merck on August 19. The companies revealed that their mRNA-based cancer therapy, intismeran, met the primary endpoint of recurrence-free survival in a Phase 3 trial for melanoma patients when combined with Merck's Keytruda. The experimental treatment is designed to activate anti-tumor immune responses, and the companies plan to seek regulatory approval. Analysts see a potential $275 billion global oncology market by 2030, and Moderna's stock briefly soared on the news.
But the pullback hit hard. On r/wallstreetbets, one investor posted in a panic: "I was stupid and bought in around $160 and now it’s tanking and I already lost ~$800 do I hold or what do I do. PANICING." The post drew 69 upvotes and 213 comments, reflecting the widespread anxiety among retail traders who chased the rally.
Meanwhile, the r/Shortsqueeze community highlighted the other side of the trade. A post noted that Moderna was 13% short when the price took off, and the potential loss for short sellers could exceed $3 billion. "The price is up $111 at the end of the day," the post read, underscoring the massive short squeeze that amplified the initial move.
On r/smallstreetbets, traders were already looking for the next play. A post titled "Is $SLS new $MRNA?" compared the setup of ![]()
The emotional whiplash in Reddit discussions captures the challenge of trading biotech stocks on binary catalysts. Moderna's cancer vaccine breakthrough is a genuine long-term story, but the violent price action — a 176% spike followed by a sharp pullback — reminds retail investors that even game-changing news can lead to painful volatility. With regulatory filings still ahead, the narrative is far from over.
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