What happened

Shares of Moderna (NASDAQ:MRNA) climbed on Tuesday after the biotechnology company said the Swiss federal government ordered more of its COVID-19 vaccine candidate. 

As of 3:30 p.m. EST, Moderna's stock was up more than 5%.

So what

Swiss officials boosted the country's order commitment of Moderna's coronavirus vaccine candidate, mRNA-1273, from 4.5 million to 7.5 million doses. "We appreciate the continued confidence and support shown by the Swiss Federal Government as they increase their supply agreement with us," Moderna CEO Stephane Bancel said in a press release. "Since Moderna's founding ten years ago, Switzerland has played a key role in Moderna's development thanks to the long-term support of our Swiss investors."

Switzerland's increased order follows that of Canada, which raised its order commitment of mRNA-1273 by 20 million doses on Monday. 

A person in medical protective gear is holding out a liquid-filled vial labeled coronavirus.

Governments around the world are moving to acquire more of Moderna's coronavirus vaccine. Image source: Getty Images.

Additionally, analysts at Morgan Stanley said that Moderna could benefit from the Trump administration's decision to not lock in a greater supply of Pfizer's (NYSE:PFE) COVID-19 vaccine candidate earlier in the year. Pfizer will reportedly not be able to supply the U.S. with more of its drug until June. Thus, the U.S. government might turn to Moderna to provide the doses it needs for a nationwide vaccination program.

Now what

With its phase 3 study showing mRNA-1273 to be 94.1% effective against COVID-19 -- and 100% effective at preventing severe forms of the disease -- Moderna's vaccine candidate has emerged as one of the most promising drugs that could potentially help to bring the pandemic to an end. The drugmaker hopes to make as many as 1 billion doses available worldwide by the end of 2021. 

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