New York, Jan 14, 2026, 12:57 EST — Regular session
- Terns shares climbed roughly 10% by midday, driven by investor interest following the company’s update at the JPMorgan Healthcare Conference.
- The company set 2026 targets for its main chronic myeloid leukemia drug, aiming for a regulatory meeting by mid-year.
- Traders are balancing early-stage efficacy claims with the possibility that later trials might tell a different story.
Terns Pharmaceuticals (TERN.O) shares jumped over 10% Wednesday, fueled by the company’s newest conference update on its lead cancer drug. By midday, the stock had risen 10.4% to $38.03, after trading in a range from $34.05 to $38.35.
The shift coincides with biotech investors flocking to the annual J.P. Morgan Healthcare Conference in San Francisco, a week known for reshaping trading views on smaller drugmakers. “The biotech sector right now is in a good place,” John Maraganore, former Alnylam CEO and industry trade group chair, told the conference, according to BioPharma Dive. 1
Terns’ timing is critical as it continues to rebuild its pipeline around oncology, having abandoned its obesity drug program last year after mid-stage trial results. In October, the company announced it would concentrate on its lead cancer candidate, TERN-701, following the decision to drop the obesity project. 2
In a Jan. 12 presentation, Terns reported its oral TERN-701 drug achieved a 75% major molecular response (MMR) at 24 weeks in a refractory Phase 1 group; MMR tracks how much leukemia has receded based on blood markers. The slide deck also set 2026 goals: picking a pivotal dose and holding an end-of-Phase 2 meeting with the FDA by midyear, with fresh data expected in H2. 3
At the JPMorgan conference, CEO Amy Burroughs said, “We have patients in our trial today who will provide data to help us pick a dose for pivotal studies.” She added, “We’ll engage with the FDA to go over our trial design.” 4
Competition is very real. Novartis’ Scemblix (asciminib) already holds FDA approval in the U.S. for Philadelphia chromosome-positive chronic myeloid leukemia, covering patients who have undergone multiple tyrosine kinase inhibitor treatments, the agency confirmed. 5
Investors are shifting focus from the headline response rate to upcoming milestones: dose selection, the FDA meeting, and data from larger patient groups with longer follow-up. The company indicated a regulatory meeting set for mid-2026, with an updated data package expected in the second half of that year—key events that could trigger stock movement.
MMR data from early trials often moves quickly on trading floors, but the initial excitement can fade once studies expand, doses change, or side effects emerge with longer use. Investors will be focused on how lasting the responses prove to be and if the safety profile holds steady as more patients receive higher doses.
But the risk is clear: Phase 1 results typically come from small, chosen groups, and larger trials can fade the initial benefits or reveal safety concerns missed before. Any delays in enrollment or regulatory steps might push key data releases back, a common hurdle for clinical-stage biotechs that rely entirely on funding without product sales.
The next major catalysts won’t hit until mid-2026 and the second half of that year. Until then, traders are expected to treat the stock as a headline-driven gamble on TERN-701, waiting for those key events to unfold.
