New York, January 10, 2026, 09:47 EST — Market closed
- RVMD jumped 10.7% on Friday amid renewed takeover rumors
- Revolution announced that the FDA has granted its drug zoldonrasib Breakthrough Therapy designation
- Insider filings reveal the CFO and COO cashed out shares through pre-arranged trading plans
Revolution Medicines shares jumped 10.7% to close at $118.64 on Friday, hitting a session high of $125.79 amid merger rumors. The Financial Times reported that Merck is negotiating a potential $28 billion to $32 billion acquisition of the biotech. (Financial Times)
The timing matters. A deal with Revolution would give Merck a new oncology boost as patents on its top-selling cancer drug Keytruda expire later this decade. This would mark the largest pharma acquisition since Pfizer’s buyout of Seagen. (Reuters)
The stock swung wildly on conflicting reports, including another round of takeover rumors involving AbbVie—which the company promptly denied. Stifel analyst Laura Prendergast noted that if Revolution does end up selling, a price tag above $30 billion wouldn’t be surprising. (Barron’s)
Revolution announced Thursday that the U.S. Food and Drug Administration has granted Breakthrough Therapy designation to zoldonrasib for treating advanced lung cancer with the KRAS G12D mutation. CEO Mark Goldsmith said the designation highlights the “significant unmet need” for these patients. The company noted the status aims to expedite development and regulatory review but doesn’t equate to approval. (GlobeNewswire)
Analysts scrambled to keep pace. Wedbush hiked its price target from $80 to $147, sticking with an Outperform rating. The firm said it was treating the Financial Times report as probably accurate. (TipRanks)
Friday’s close set a fresh peak for the stock, which has been pushing technical boundaries nearly every day amid swirling rumors. Macrotrends now puts the 52-week high at $121.61 following the recent surge. (MacroTrends)
Insider filings late Friday revealed insiders offloaded shares during the recent rally, using 10b5-1 plans that schedule trades ahead of time. CFO Jack Anders sold 10,000 shares at $98 each on Jan. 7. Meanwhile, Chief Operating Officer Margaret Horn sold 75,000 shares at weighted-average prices just over $100 and $101, according to the filings. (SEC)
The downside is clear as well. Talks could drag on or fall apart, and even a Breakthrough Therapy designation might prove premature if subsequent trial results disappoint or safety concerns arise.
As U.S. markets reopen Monday, traders will be on the lookout for any update from Merck or Revolution that clarifies the deal’s direction. Goldsmith is set to speak at the J.P. Morgan Healthcare Conference on Jan. 12 at 10:30 a.m. PT, according to the company. (Nasdaq)
Looking ahead, investors are eyeing the next earnings update and new timelines for key studies. Zacks’ earnings calendar marks Feb. 25 as the anticipated report date. (Zacks)
RVMD is trading on headlines for now. The next key date is Monday, when the company presents at a conference.
