Biotech Stocks Rout: Moderna -11%, ImmunityBio and Sarepta -8%

Shares of biotechnology companies Moderna (MRNA), ImmunityBio (IBRX), and Sarepta Therapeutics (SRPT) experienced a sharp decline today, with Moderna falling 11% and ImmunityBio and Sarepta each dropping 8%. The moves come without any clear negative catalysts, leaving investors puzzled and questioning whether the sector's strong 2026 rally has ended.

Possible Causes

None of the three companies issued negative news or profit warnings, suggesting the decline may be due to profit-taking or a shift in market sentiment toward the sector. Some analysts believe the sector may have become overvalued after a strong performance in 2026, prompting investors to cash out.

Context

Prior to this decline, Moderna, ImmunityBio, and Sarepta had posted significant gains in 2026, benefiting from new regulatory approvals and positive clinical trial results. For instance, Moderna's stock had risen over 50% year-to-date before this drop. The one-day decline erases a portion of those gains.

Similar Moves in the Sector

The selloff was not limited to these three stocks; the broader biotech sector also weakened, with the Nasdaq Biotechnology Index (NBI) falling 2.5% in the session. Other biotech stocks such as Biogen (BIIB) and Gilead Sciences (GILD) also declined, albeit by smaller percentages. This suggests a broad-based selloff that may be driven by concerns over monetary policy tightening or a rotation out of the sector.