TLDRs
- Merck stock rises after strong kidney and ovarian cancer trial results.
- Keytruda combination therapies show reduced death and recurrence risks.
- Welireg plus Lenvima outperforms cabozantinib in Phase 3 kidney study.
- Investors focus on FDA review dates and upcoming regulatory decisions.
Merck & Co (NASDAQ:MRK) started the week with momentum after posting encouraging results from its latest kidney and ovarian cancer trials.
The stock closed Friday at $123.82, up 3.8%, and moved between $119.68 and $124.00 during the session, with 17.6 million shares changing hands. Investors are closely watching Merck’s reliance on Keytruda, its flagship immunotherapy, as patents for the drug are set to expire in 2028. Keytruda generated over $30 billion in 2025, accounting for nearly half of the company’s revenue.
James Harlow, senior vice president at Novare Capital Management, noted that Merck’s new Oncology Business Unit could sharpen the company’s drug pipeline and boost investor confidence.
Kidney cancer combo shows strong results
Merck released Phase 3 data over the weekend on renal cell carcinoma patients who underwent surgery. Combining Welireg with Keytruda reduced the risk of recurrence or death by 28% compared to Keytruda alone. Disease-free survival at 24 months reached an estimated 80.7% for the combination, up from 73.7% for Keytruda monotherapy. Dana-Farber’s Dr. Toni Choueiri called the combination a potential “practice-changer,” citing its ability to significantly improve patient outcomes.
Meanwhile, a joint Phase 3 study from Merck and Eisai indicated that Welireg with Lenvima outperformed cabozantinib in patients previously treated with PD-1/PD-L1 inhibitors. Progression-free survival (PFS) improved to 14.8 months compared to 10.7 months for cabozantinib, though overall survival data did not yet achieve statistical significance.
Ovarian cancer data lifts market sentiment
Merck also released Phase 3 KEYNOTE-B96 trial results showing that Keytruda combined with chemotherapy reduced the death risk by 18% in patients with platinum-resistant recurrent ovarian cancer. Median overall survival reached 17.7 months versus 14.0 months for the control group. Experts emphasize that platinum-resistant ovarian cancer has historically been difficult to treat, making these results particularly significant.
Dr. Nicoletta Colombo of the European Institute of Oncology remarked that the combination offers hope for patients with limited options and could shift standard care practices.
Investors weigh upcoming regulatory milestones
Merck has pinned down several U.S. regulatory dates that investors are watching closely. The FDA set June 19, 2026, as the PDUFA target for Welireg plus Keytruda in kidney cancer. Eisai’s supplemental filing for Welireg plus Lenvima in previously treated advanced kidney cancer carries an October 4, 2026, action date. Market participants will monitor these decisions carefully, particularly around long-term survival outcomes and risk-benefit considerations.
Merck has also reorganized its Human Health division into an Oncology Business Unit and a separate Specialty, Pharma & Infectious Diseases group. Brian Foard is slated to become president of the non-oncology segment on March 2, signaling a broader strategic focus. Investors will have additional insights during a fireside chat with CFO Caroline Litchfield and research chief Dean Li at the TD Cowen healthcare conference on March 3.
Monday’s opening session presents a clear question for traders: will these positive trial readouts sustain MRK’s momentum, or will investors wait for further FDA updates before committing?
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