Merck & Co., Inc. (NYSE:MRK) Stock Has Average Price Target of $156.08 According to Brokerages

Key Points

• Analysts remain moderately bullish: Twenty-seven brokerages give Merck a consensus “Moderate Buy” rating, with 17 buys, 9 holds and 1 sell. The average 12-month price target is $156.08, modestly above the reported $149.75 share price.
• Quarterly results exceeded expectations: Merck reported adjusted earnings of $2.49 per share and revenue of $18.09 billion, beating estimates of $2.09 and $17.33 billion, respectively. Revenue increased 4.7% year over year, supported by Keytruda, WINREVAIR and progress in the oncology pipeline.
• Insiders have been selling while institutions remain major holders: Company insiders sold 228,238 shares worth nearly $30 million over the past 90 days, while institutional investors own 76.07% of Merck’s stock.

Shares of Merck & Co., Inc. (NYSE:MRK - Get Free Report) have been assigned an average rating of "Moderate Buy" from the twenty-seven brokerages that are currently covering the firm, MarketBeat.com reports. One investment analyst has rated the stock with a sell rating, nine have issued a hold rating and seventeen have assigned a buy rating to the company. The average twelve-month target price among analysts that have covered the stock in the last year is $156.08.

A number of equities research analysts recently commented on the company. TD Cowen upped their target price on Merck & Co., Inc. from $137.00 to $155.00 and gave the company a "hold" rating in a research report on Wednesday, September 23rd. UBS Group lifted their price objective on shares of Merck & Co., Inc. from $145.00 to $175.00 and gave the company a "buy" rating in a research note on Thursday, August 20th. Leerink Partners upped their price objective on shares of Merck & Co., Inc. from $127.00 to $161.00 and gave the company an "outperform" rating in a report on Wednesday, September 9th. Citigroup increased their price objective on shares of Merck & Co., Inc. from $125.00 to $145.00 and gave the stock a "neutral" rating in a research note on Monday, October 12th. Finally, The Goldman Sachs Group raised their target price on shares of Merck & Co., Inc. from $140.00 to $160.00 and gave the stock a "buy" rating in a report on Friday, August 21st.

Merck & Co., Inc. Price Performance

NYSE MRK opened at $149.75 on Friday. The company has a market cap of $369.46 billion, a price-to-earnings ratio of 154.38, a PEG ratio of 6.38 and a beta of 0.21. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.32 and a quick ratio of 1.10. The stock's fifty day moving average price is $146.90 and its 200 day moving average price is $126.69. Merck & Co., Inc. has a 1 year low of $82.01 and a 1 year high of $156.92.

Merck & Co., Inc. (NYSE:MRK - Get Free Report) last issued its quarterly earnings results on Thursday, October 29th. The company reported $2.49 EPS for the quarter, topping analysts' consensus estimates of $2.09 by $0.40. The company had revenue of $18.09 billion during the quarter, compared to analysts' expectations of $17.33 billion. Merck & Co., Inc. had a return on equity of 16.56% and a net margin of 3.64%. The firm's revenue was up 4.7% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $2.58 EPS. As a group, equities research analysts forecast that Merck & Co., Inc. will post 2.80 earnings per share for the current year.

Insider Buying and Selling

In other news, EVP David R. Maraldo sold 18,706 shares of the company's stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $128.72, for a total value of $2,407,836.32. Following the sale, the executive vice president owned 18,212 shares in the company, valued at $2,344,248.64. This represents a 50.67% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Chirfi Guindo sold 10,000 shares of the company's stock in a transaction dated Thursday, August 13th. The stock was sold at an average price of $135.00, for a total value of $1,350,000.00. Following the completion of the sale, the executive vice president owned 36,613 shares in the company, valued at $4,942,755. The trade was a 21.45% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 228,238 shares of company stock valued at $29,977,783 in the last 90 days. 0.17% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Merck & Co., Inc.

Hedge funds have recently bought and sold shares of the stock. Round Rock Advisors LLC lifted its position in shares of Merck & Co., Inc. by 0.7% during the second quarter. Round Rock Advisors LLC now owns 9,901 shares of the company's stock worth $1,272,000 after purchasing an additional 66 shares in the last quarter. Cypress Wealth Services LLC boosted its stake in shares of Merck & Co., Inc. by 0.5% in the third quarter. Cypress Wealth Services LLC now owns 13,807 shares of the company's stock valued at $1,960,000 after purchasing an additional 69 shares during the period. Code Waechter LLC grew its holdings in shares of Merck & Co., Inc. by 3.4% in the third quarter. Code Waechter LLC now owns 2,179 shares of the company's stock valued at $317,000 after purchasing an additional 71 shares in the last quarter. Cascade Financial Partners LLC grew its holdings in shares of Merck & Co., Inc. by 0.5% in the second quarter. Cascade Financial Partners LLC now owns 14,746 shares of the company's stock valued at $1,895,000 after purchasing an additional 80 shares in the last quarter. Finally, Somerset Trust Co grew its holdings in shares of Merck & Co., Inc. by 0.9% in the second quarter. Somerset Trust Co now owns 8,701 shares of the company's stock valued at $1,118,000 after purchasing an additional 81 shares in the last quarter. Hedge funds and other institutional investors own 76.07% of the company's stock.

More Merck & Co., Inc. News

Here are the key news stories impacting Merck & Co., Inc. this week:

• Positive Sentiment: Strong Q3 results and raised outlook: Merck reported adjusted earnings of $2.49 per share versus the $2.09 analyst consensus, while revenue rose 4.7% year over year to $18.09 billion, ahead of estimates. Management raised its 2026 sales and adjusted-profit outlook, providing the main catalyst for the stock’s advance. Merck tops quarterly estimates and hikes profit outlook
• Positive Sentiment: Growth beyond Keytruda: Keytruda, including the newer Qlex formulation, delivered stronger-than-expected sales, while WINREVAIR continued to expand rapidly. Newer product launches are helping offset losses from generic competition and support Merck’s growth outlook. Merck Q3 earnings call highlights pipeline progress and raised outlook
• Positive Sentiment: Pipeline progress: Positive Phase 3 endometrial-cancer data for Keytruda and sacituzumab tirumotecan, along with FDA priority review for the latter, strengthens confidence in Merck’s oncology pipeline and its ability to address future revenue pressure. Merck Phase 3 endometrial cancer data and FDA review
• Positive Sentiment: Supportive analyst action: Guggenheim raised its price target to $171 and maintained a buy rating, indicating additional potential upside based on the earnings and pipeline outlook.

About Merck & Co., Inc.

Merck & Co, Inc is a global healthcare company that develops, manufactures and markets prescription medicines, vaccines and animal-health products. Its pharmaceutical business focuses on oncology, infectious diseases, cardiology, immunology and other areas of significant medical need. The company serves patients, healthcare providers and institutions in markets worldwide.

Merck's principal products include Keytruda, an immunotherapy used to treat a range of cancers; Gardasil and Gardasil 9, vaccines that help protect against human papillomavirus; and Januvia and Janumet, medicines used to manage type 2 diabetes.

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