Merus Stock Surges Over 35% On Strong Phase 2 Cancer Trial Results: What's Going On?

Merus N.V. MRUS shares are trading higher Friday after the company reported promising interim results from its ongoing phase 2 trial evaluating petosemtamab in combination with pembrolizumab for head and neck cancer.

What To Know: The data, which will be formally presented at the 2025 ASCO Annual Meeting, showed a 63% overall response rate and a 79% 12-month overall survival rate among 43 evaluable patients with PD-L1+ recurrent/metastatic head and neck squamous cell carcinoma.

The trial also reported a median progression-free survival of nine months, with six patients achieving complete responses and 21 showing partial responses. Importantly, no significant overlapping toxicities were observed in the treatment combination, which was generally well tolerated. Merus noted that 14 responders remained on therapy at the time of the Feb. 27 2025 data cutoff.

Analysts Weigh In: Needham raised its price target on Merus from $75 to $88, stating the updated data meaningfully de-risk the ongoing phase 3 trials. BMO Capital also raised its target from $96 to $110.

Topline data from one or both of the ongoing phase 3 studies are expected in 2026.

MRUS Price Action: Merus shares were up 34.9% at $56.11 at the time of writing, according to Benzinga Pro.

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