Moderna Stock Jumps 8.8% Amid COVID-19 Vaccine Support from Medical Organizations

Moderna's stock rose 8.83% to $32.54 after six medical organizations sued Health Secretary Robert F. Kennedy Jr. over COVID-19 vaccine policies. The plaintiffs sought to restore the vaccine to the list of recommended immunizations for healthy children and pregnant women. The lawsuit was viewed as a tailwind for Moderna, one of the few pharmaceutical companies that successfully developed its own COVID-19 vaccine during the pandemic.

Moderna's stock surged by 8.83% to $32.54 on Monday, July 2, 2025, following a lawsuit filed by six major medical organizations against Health Secretary Robert F. Kennedy Jr. The lawsuit seeks to restore the COVID-19 vaccine to the list of recommended immunizations for healthy children and pregnant women. The move is seen as a positive development for Moderna, one of the few pharmaceutical companies that successfully developed its own COVID-19 vaccine during the pandemic.

The lawsuit, filed in the U.S. District Court for the District of Massachusetts, alleges that Kennedy's recent changes to vaccine recommendations were unlawful and pose a threat to public health. The plaintiffs, which include the American Academy of Pediatrics (AAP), the American College of Physicians (ACP), and the Society for Maternal-Fetal Medicine (SMFM), among others, argue that Kennedy's decisions were made without following the usual process and have eroded trust in vaccine recommendations.

The suit specifically targets Kennedy's May decision to remove COVID-19 vaccines from the federal list of recommended immunizations for healthy children and pregnant women. The plaintiffs argue that this change was made without proper consultation and undermines the CDC's vaccine advisory committee, which has traditionally guided vaccine recommendations.

The lawsuit seeks preliminary and permanent injunctions to enjoin Kennedy's new COVID vaccine recommendations and a declaratory judgment pronouncing the change as unlawful. The plaintiffs also express concern over Kennedy's removal of all members from the CDC's Advisory Committee on Immunization Practices (ACIP) and his appointment of new members with anti-vaccine sentiments.

Analysts at B. Riley Securities, including Mayank Mamtani, attribute the positive movement in Moderna's stock to a reversal of negative investor sentiment and the potential for near-term events related to the lawsuit. Other vaccine makers, such as Pfizer and Novavax, also saw positive movements in their stock prices, with Pfizer up 1.6% and Novavax up 6.7% [1].

Moderna's stock has been volatile in recent months, with a year-to-date (YTD) loss of 20.2%. However, the lawsuit and the potential for a restoration of vaccine recommendations could provide a boost to the company's stock price. The lawsuit is seen as a positive development for Moderna, as it is one of the few companies that has successfully developed and distributed a COVID-19 vaccine.

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L4N3T515F:0-moderna-shares-jump-analysts-cite-u-s-hhs-lawsuit/
[2] https://abcnews.go.com/Health/medical-groups-sue-hhs-rfk-jr-unlawful-vaccine/story?id=123531646
[3] https://www.chicagotribune.com/2025/07/07/american-academy-pediatrics-robert-kennedy/