Legato Capital Management LLC Buys 8,759 Shares of Merck & Co., Inc. $MRK

Key Points

• Legato Capital Management increased its Merck stake by 50.8% in the fourth quarter, buying 8,759 more shares and bringing its total holding to 25,999 shares worth about $2.74 million.
• Merck reported better-than-expected quarterly results, with EPS of -$1.28 versus -$1.47 expected and revenue of $16.29 billion versus $15.85 billion projected. The company also said revenue rose 4.9% year over year.
• Analysts remain generally upbeat on Merck, with a consensus rating of “Moderate Buy” and an average price target of $128.18. Recent coverage highlighted encouraging Keytruda combination trial data and a positive EU opinion for Keytruda plus Padcev, though Gardasil sales remain a headwind.

Legato Capital Management LLC raised its stake in Merck & Co., Inc. (NYSE:MRK - Free Report) by 50.8% in the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 25,999 shares of the company's stock after acquiring an additional 8,759 shares during the quarter. Legato Capital Management LLC's holdings in Merck & Co., Inc. were worth $2,737,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors also recently modified their holdings of the stock. Vanguard Group Inc. grew its stake in shares of Merck & Co., Inc. by 0.9% during the fourth quarter. Vanguard Group Inc. now owns 254,322,763 shares of the company's stock valued at $26,770,014,000 after purchasing an additional 2,185,853 shares during the last quarter. DLD Asset Management LP raised 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 worth $3,986,675,000 after purchasing an additional 11,000,000 shares during the last quarter. Legal & General Group Plc lifted its holdings in Merck & Co., Inc. by 5.9% during the 3rd quarter. Legal & General Group Plc now owns 20,659,157 shares of the company's stock worth $1,733,923,000 after buying an additional 1,156,112 shares in the last quarter. Invesco Ltd. lifted its holdings in Merck & Co., Inc. by 16.6% during the 3rd quarter. Invesco Ltd. now owns 19,844,936 shares of the company's stock worth $1,665,585,000 after buying an additional 2,821,766 shares in the last quarter. 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 last quarter. 76.07% of the stock is owned by institutional investors.

Merck & Co., Inc. Trading Up 5.8%

NYSE:MRK opened at $122.55 on Friday. The company has a current ratio of 1.30, a quick ratio of 1.06 and a debt-to-equity ratio of 1.02. Merck & Co., Inc. has a 1-year low of $75.40 and a 1-year high of $125.14. The firm has a market capitalization of $302.67 billion, a price-to-earnings ratio of 34.52, a PEG ratio of 2.61 and a beta of 0.18. The business's 50-day moving average price is $115.92 and its two-hundred day moving average price is $110.22.

Merck & Co., Inc. (NYSE:MRK - Get Free Report) last posted its earnings results on Thursday, April 30th. The company reported ($1.28) earnings per share (EPS) for the quarter, topping the consensus estimate of ($1.47) by $0.19. The company had revenue of $16.29 billion during the quarter, compared to analyst estimates of $15.85 billion. Merck & Co., Inc. had a return on equity of 27.55% and a net margin of 13.59%.The company's revenue for the quarter was up 4.9% compared to the same quarter last year. During the same period in the previous year, the company earned $2.22 EPS. Merck & Co., Inc. has set its FY 2026 guidance at 5.040-5.160 EPS. On average, equities analysts expect that Merck & Co., Inc. will post 5.16 earnings per share for the current year.

Analysts Set New Price Targets

Several equities research analysts have recently commented on the company. Barclays initiated coverage on Merck & Co., Inc. in a research note on Friday, February 20th. They issued an "overweight" rating and a $140.00 target price for the company. Cantor Fitzgerald raised their price target on Merck & Co., Inc. from $116.00 to $120.00 and gave the company a "neutral" rating in a report on Wednesday, February 4th. Guggenheim lifted their price objective on Merck & Co., Inc. from $122.00 to $140.00 and gave the stock a "buy" rating in a research report on Friday, February 6th. Citigroup assumed coverage on shares of Merck & Co., Inc. in a research report on Wednesday, May 6th. They set a "neutral" rating and a $125.00 target price on the stock. Finally, Wells Fargo & Company lowered their price target on shares of Merck & Co., Inc. from $150.00 to $145.00 and set an "overweight" rating for the company in a research report 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 issued a Hold rating to the stock. According to MarketBeat, Merck & Co., Inc. currently has a consensus rating of "Moderate Buy" and an average price target of $128.18.

Trending Headlines about Merck & Co., Inc.

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

• Positive Sentiment: Merck and partner Sichuan Kelun-Biotech reported encouraging late-stage lung cancer data for a Keytruda combination, with the treatment beating Keytruda alone and improving confidence in Merck’s cancer pipeline. Kelun, Merck's lung cancer combo improves survival in late-stage China trial
• Positive Sentiment: The European Medicines Agency’s CHMP issued a positive opinion for Keytruda plus Padcev as a perioperative treatment for certain bladder cancer patients, which could expand the drug pair’s commercial reach if formally approved. Merck Receives Positive EU CHMP Opinion for KEYTRUDA Plus Padcev
• Positive Sentiment: Additional coverage highlighted positive EU recommendations and trial momentum across Merck’s oncology portfolio, suggesting the company is building new growth drivers ahead of future Keytruda patent pressure. Merck stock jumps as Keytruda combo trials boost cancer pipeline
• Neutral Sentiment: Some commentary noted Gardasil sales remain weak due to soft demand in China and other markets, which is a reminder that Merck still has headwinds outside oncology. Will Weak Gardasil Sales Continue to Ail MRK's Vaccines Sales in 2026?
• Neutral Sentiment: Merck’s recent run-up also reflects broader investor optimism after strong quarterly results and improving sentiment around its pipeline, rather than a single one-day event. Merck Stock Climbs on Cancer Data. Why the Drugmaker Is More Than a One-Trick Pony.

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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