Capital Research Global Investors Reduces Position in Merck & Co., Inc. $MRK

Key Points

• Capital Research Global Investors trimmed its Merck position by 8.6% in the fourth quarter, selling 198,473 shares and ending with about 2.11 million shares valued at roughly $222.3 million.
• Merck reported better-than-expected quarterly results, with EPS of ($1.28) versus estimates of ($1.47) and revenue of $16.29 billion topping forecasts; revenue also rose 4.9% year over year.
• The company continues to attract a Moderate Buy analyst consensus, supported by a $0.85 quarterly dividend and ongoing optimism around its oncology pipeline and recent positive developments.

Capital Research Global Investors cut its position in shares of Merck & Co., Inc. (NYSE:MRK - Free Report) by 8.6% in the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 2,112,142 shares of the company's stock after selling 198,473 shares during the period. Capital Research Global Investors owned approximately 0.09% of Merck & Co., Inc. worth $222,324,000 at the end of the most recent quarter.

A number of other large investors have also recently made changes to their positions in MRK. Norges Bank purchased a new stake in Merck & Co., Inc. in the 4th quarter valued at about $3,997,933,000. DLD Asset Management LP boosted its position in Merck & Co., Inc. by 30.1% in the 3rd quarter. DLD Asset Management LP now owns 47,500,000 shares of the company's stock valued at $3,986,675,000 after buying an additional 11,000,000 shares during the period. Jennison Associates LLC purchased a new stake in Merck & Co., Inc. in the 4th quarter valued at about $585,192,000. Invesco Ltd. boosted its position in Merck & Co., Inc. by 16.6% in the 3rd quarter. Invesco Ltd. now owns 19,844,936 shares of the company's stock valued at $1,665,585,000 after buying an additional 2,821,766 shares during the period. Finally, Ameriprise Financial Inc. boosted its position in Merck & Co., Inc. by 20.7% in the 3rd quarter. Ameriprise Financial Inc. now owns 15,933,909 shares of the company's stock valued at $1,336,877,000 after buying an additional 2,735,459 shares during the period. 76.07% of the stock is owned by hedge funds and other institutional investors.

Merck & Co., Inc. Stock Performance

Shares of NYSE:MRK opened at $121.05 on Monday. The company has a market capitalization of $298.96 billion, a price-to-earnings ratio of 34.10, a price-to-earnings-growth ratio of 2.72 and a beta of 0.21. Merck & Co., Inc. has a 52 week low of $76.66 and a 52 week high of $125.14. The company has a quick ratio of 1.06, a current ratio of 1.30 and a debt-to-equity ratio of 1.02. The firm has a 50 day moving average of $116.55 and a 200 day moving average of $112.52.

Merck & Co., Inc. (NYSE:MRK - Get Free Report) last issued its quarterly earnings data on Thursday, April 30th. The company reported ($1.28) EPS for the quarter, topping analysts' consensus estimates of ($1.47) by $0.19. The company had revenue of $16.29 billion during the quarter, compared to the consensus estimate of $15.85 billion. Merck & Co., Inc. had a net margin of 13.59% and a return on equity of 27.55%. Merck & Co., Inc.'s revenue for the quarter was up 4.9% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $2.22 earnings per share. Merck & Co., Inc. has set its FY 2026 guidance at 5.040-5.160 EPS. On average, sell-side analysts predict that Merck & Co., Inc. will post 5.17 earnings per share for the current fiscal year.

Merck & Co., Inc. Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 8th. Investors of record on Monday, June 15th will be paid a dividend of $0.85 per share. This represents a $3.40 annualized dividend and a dividend yield of 2.8%. The ex-dividend date is Monday, June 15th. Merck & Co., Inc.'s payout ratio is 95.77%.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on the stock. Wall Street Zen raised shares of Merck & Co., Inc. from a "hold" rating to a "buy" rating in a research report on Saturday. UBS Group boosted their price target on shares of Merck & Co., Inc. from $130.00 to $145.00 and gave the company a "buy" rating in a report on Monday, April 13th. Weiss Ratings cut shares of Merck & Co., Inc. from a "hold (c+)" rating to a "hold (c)" rating in a research report on Friday, May 15th. Royal Bank Of Canada reissued an "outperform" rating and set a $142.00 price objective on shares of Merck & Co., Inc. in a report on Monday, March 30th. Finally, Wells Fargo & Company reduced their price objective on shares of Merck & Co., Inc. from $150.00 to $145.00 and set an "overweight" rating for the company in a research note on Friday, May 1st. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and seven have given a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $128.18.

Key Stories Impacting Merck & Co., Inc.

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

• Positive Sentiment: Merck reached a settlement of more than $50 million to resolve over 200 Gardasil-related lawsuits, removing a significant legal overhang and helping investors refocus on the company’s core business and pipeline. Merck Gardasil Settlement Eases Legal Overhang And Refocuses Investor Attention
• Positive Sentiment: Merck recently broke above both its 20-day and 50-day moving averages, a technical signal that traders often view as a sign of improving short-term momentum. Merck (MRK) Recently Broke Out Above the 20-Day Moving Average
• Positive Sentiment: Merck’s oncology franchise continues to draw attention after ASCO 2026 updates highlighted Keytruda’s strength in solid tumors and other pipeline assets aimed at offsetting future exclusivity pressure. ASCO26: Solid tumour data readouts outline Merck & Co’s oncology prowess
• Positive Sentiment: Merck’s collaboration with Moderna on a personalized mRNA cancer vaccine also got a boost from positive long-term data disclosed by Moderna, reinforcing investor interest in the partnership. Why Is Moderna (MRNA) Stock Rocketing Higher Today
• Neutral Sentiment: Merck’s conference appearance and oncology strategy update likely kept investor focus on the pipeline, but the items available do not indicate a major new catalyst beyond ongoing progress. Merck & Co., Inc. (MRK) Discusses Oncology Strategy and Program Update With Focus on Clinical Progress and Pipeline Diversification - Slideshow

About Merck & Co., Inc.

Merck & Co, Inc is a global biopharmaceutical company engaged in the discovery, development, manufacture and marketing of prescription medicines, vaccines, biologic therapies and animal health products. Its portfolio spans multiple therapeutic areas with a particular emphasis on oncology, vaccines and infectious disease, as well as therapies for metabolic and chronic conditions. Among its well-known products are the cancer immunotherapy Keytruda (pembrolizumab) and the human papillomavirus vaccine Gardasil; the company also markets a range of medicines and vaccines for veterinary use through Merck Animal Health.

Founded in the late 19th century as the U.S.

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