Merck & Co., Inc. (NYSE:MRK) Trading 0.5% Higher – What’s Next?

Merck & Co., Inc. (NYSE:MRK)’s share price rose 0.5% during mid-day trading on Monday . The stock traded as high as $76.74 and last traded at $76.41. Approximately 2,804,340 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 12,409,497 shares. The stock had previously closed at $76.06.

Wall Street Analyst Weigh In

MRK has been the subject of several analyst reports. Guggenheim restated a “buy” rating and issued a $115.00 target price on shares of Merck & Co., Inc. in a report on Thursday, April 17th. Deutsche Bank Aktiengesellschaft lowered shares of Merck & Co., Inc. from a “buy” rating to a “hold” rating and lowered their target price for the stock from $128.00 to $105.00 in a report on Tuesday, February 18th. TD Cowen lowered shares of Merck & Co., Inc. from a “buy” rating to a “hold” rating and lowered their target price for the stock from $121.00 to $100.00 in a report on Monday, February 10th. Bank of America lowered their target price on shares of Merck & Co., Inc. from $118.00 to $112.00 and set a “buy” rating for the company in a report on Wednesday, February 5th. Finally, TD Securities cut shares of Merck & Co., Inc. from a “buy” rating to a “hold” rating and lowered their price objective for the company from $121.00 to $100.00 in a research report on Monday, February 10th. Thirteen research analysts have rated the stock with a hold rating, seven have issued a buy rating and three have given a strong buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $109.19.

Merck & Co., Inc. Price Performance

The firm’s fifty day moving average price is $83.46 and its 200 day moving average price is $92.17. The firm has a market capitalization of $193.75 billion, a PE ratio of 11.47, a P/E/G ratio of 0.77 and a beta of 0.43. The company has a current ratio of 1.36, a quick ratio of 1.15 and a debt-to-equity ratio of 0.79.

Merck & Co., Inc. (NYSE:MRK) last announced its quarterly earnings results on Thursday, April 24th. The company reported $2.22 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.16 by $0.06. Merck & Co., Inc. had a net margin of 26.67% and a return on equity of 45.35%. The firm had revenue of $15.53 billion for the quarter, compared to the consensus estimate of $15.59 billion. During the same period in the prior year, the firm posted $2.07 earnings per share. The firm’s quarterly revenue was down 1.6% compared to the same quarter last year. As a group, equities analysts forecast that Merck & Co., Inc. will post 9.01 earnings per share for the current year.

Merck & Co., Inc. announced that its board has authorized a stock repurchase plan on Tuesday, January 28th that permits the company to repurchase $10.00 billion in shares. This repurchase authorization permits the company to reacquire up to 4.1% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity

In related news, SVP Dalton E. Smart III sold 4,262 shares of the stock in a transaction that occurred on Friday, April 25th. The shares were sold at an average price of $82.76, for a total transaction of $352,723.12. Following the completion of the transaction, the senior vice president now owns 7,778 shares of the company’s stock, valued at approximately $643,707.28. This trade represents a 35.40% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.13% of the company’s stock.

Hedge Funds Weigh In On Merck & Co., Inc.

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Midwest Capital Advisors LLC purchased a new stake in shares of Merck & Co., Inc. in the fourth quarter valued at about $26,000. Barnes Dennig Private Wealth Management LLC purchased a new position in shares of Merck & Co., Inc. in the first quarter valued at $27,000. Financial Life Planners purchased a new position in shares of Merck & Co., Inc. in the fourth quarter valued at $28,000. Noble Wealth Management PBC bought a new position in Merck & Co., Inc. during the 4th quarter valued at $28,000. Finally, Halbert Hargrove Global Advisors LLC bought a new position in Merck & Co., Inc. during the 4th quarter valued at $28,000. Hedge funds and other institutional investors own 76.07% of the company’s stock.

About Merck & Co., Inc.

Merck & Co, Inc is a health care company, which engages in the provision of health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products. It operates through the following segments: Pharmaceutical, Animal Health, and Other. The Pharmaceutical segment includes human health pharmaceutical and vaccine products.