Merck KGaA (OTCMKTS:MKKGY) Shares Gap Up - Still a Buy?

Key Points

• Merck KGaA's share price gapped up from $26.01 to $27.60 before trading on Wednesday, closing at $27.75 with a trading volume of 10,414 shares.
• Analysts have mixed ratings, with Zacks Research upgrading to a "hold" while Barclays downgraded from "strong buy" to "hold," resulting in an average rating of "Hold" for the stock.
• In the latest earnings report, Merck KGaA exceeded expectations with an EPS of $0.57 and revenue of $6.11 billion, beating estimates of $0.51 and $5.34 billion, respectively.

Merck KGaA (OTCMKTS:MKKGY - Get Free Report)'s share price gapped up prior to trading on Wednesday . The stock had previously closed at $26.01, but opened at $27.60. Merck KGaA shares last traded at $27.75, with a volume of 10,414 shares trading hands.

Wall Street Analyst Weigh In

A number of equities research analysts recently issued reports on MKKGY shares. Zacks Research raised shares of Merck KGaA to a "hold" rating in a research note on Friday, August 8th. Barclays cut shares of Merck KGaA from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, August 19th. Two investment analysts have rated the stock with a Hold rating, According to MarketBeat, the stock presently has an average rating of "Hold".

Merck KGaA Stock Performance

The firm's 50-day moving average price is $25.60 and its two-hundred day moving average price is $26.31. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.78 and a current ratio of 1.24. The stock has a market cap of $18.22 billion, a price-to-earnings ratio of 11.85, a PEG ratio of 3.10 and a beta of 0.90.

Merck KGaA (OTCMKTS:MKKGY - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported $0.57 EPS for the quarter, beating analysts' consensus estimates of $0.51 by $0.06. Merck KGaA had a net margin of 13.49% and a return on equity of 9.78%. The company had revenue of $6.11 billion for the quarter, compared to analysts' expectations of $5.34 billion. On average, analysts expect that Merck KGaA will post 1.87 EPS for the current fiscal year.

About Merck KGaA

Merck KGaA operates as a science and technology company in Germany. It operates through Life Science, Healthcare, and Electronics segments. The company's Life Science segment offers tools, chemicals, and equipment for academic labs, biotech, and pharmaceutical manufacturers, as well as industrial sector.

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