- Moderna has just posted a record gain of +177% in a single trading session
- This surge is putting the biotech industry in the spotlight
- Which US biotech stocks are currently the best, according to models and analysts?
stock had a historic session on Wednesday, August 19, surging 176.97% to close at $174.38, its strongest single-day gain since its IPO.
The rally followed positive Phase 3 results for Intismeran, Moderna’s personalized melanoma vaccine developed in partnership with . Combined with Merck’s Keytruda, the treatment met its primary endpoint by reducing the risk of cancer recurrence in high-risk patients, as well as its secondary endpoint of limiting disease spread. Merck shares also jumped 12.6%.
The results mark the first successful Phase 3 trial for an mRNA-based cancer vaccine, a milestone Moderna CEO Stéphane Bancel described as “historic.”
However, Wednesday’s rally has pushed Moderna well above valuation estimates. InvestingPro’s Fair Value, which combines several recognized valuation models, stands at $57.43, implying 67.06% downside from the current price. Analysts are also cautious, with an average price target of $50.84, nearly 71% below the shares’ latest close.
The valuation gap raises the risk of profit-taking in the coming sessions, particularly after trading volume surged to more than 18 times its three-month average.
Still, the breakthrough has put biotechnology stocks firmly back in the spotlight, making it worth looking across the sector for companies that offer stronger risk-reward profiles.
These US Biotech Stocks Could Also Appeal to Investors
We therefore turned to the Investing.com screener, looking for stocks that meet the following criteria:
- Biotechnology sector, U.S. market
- Stocks covered by at least 5 analysts
- Upside potential of more than 15% based on the average analyst price target
- Upside potential of more than 15% based on InvestingPro Fair Value
- InvestingPro Health Score above 2.5/5
This research has allowed us to identify 7 stocks:
Specifically, these US biotech stocks are currently undervalued by 17.1% to 30% based on Fair Value, while analysts estimate their upside potential at +20.6% to +231.2%.
Among these stocks are:
- Arvinas (), a U.S. biotech focused on targeted protein degradation through its PROTAC technology, delivered a pivotal quarter following FDA approval of Veppanu, the first PROTAC-based drug to receive approval, and a global licensing deal with Rigel Pharmaceuticals. Revenue surged to $249.7 million, while diluted EPS reached $2.58, both ahead of expectations. With $567.9 million in cash providing funding visibility through the second half of 2028 and several clinical catalysts expected by 2027, Fair Value implies 17.4% upside, while the analyst consensus points to a much higher 36.7%.
- Janux Therapeutics () develops tumor-activated immunotherapies using its TRACTr, TRACIr, and ARM platforms, with JANX007 among its leading candidates for metastatic castration-resistant prostate cancer. The company reported $10.3 million in second-quarter revenue from its agreement with Bristol Myers Squibb, while its net loss narrowed to $22 million from $33.9 million a year earlier. Its balance sheet remains strong, with $970.9 million in cash, and several clinical milestones are expected in the second half of 2026. Fair Value suggests 17.1% upside, compared with 88.7% based on the analyst consensus.
However, many other stocks on the list offer more attractive profiles, particularly in terms of valuation.
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Disclaimer: This article is written for informational purposes only. It is not intended to encourage the purchase of any assets and does not constitute an offer, solicitation, recommendation, or advice to invest. I would like to remind you that all assets are evaluated from multiple perspectives and are highly risky; therefore, any investment decision and the associated risk are the sole responsibility of the investor. Additionally, we do not provide any investment advisory services.

