What is Erste Group Bank's Estimate for MRK FY2027 Earnings?

Key Points

• Erste Group Bank raised its FY2027 earnings estimate for Merck to $9.54 per share from $9.52.
• Analyst sentiment remains favorable, with 13 Buy ratings and seven Holds; Merck has a “Moderate Buy” consensus rating and an average price target of $134.50.
• Merck declared a quarterly dividend of $0.85 per share, or $3.40 annualized, representing a dividend yield of approximately 2.6%.

Merck & Co., Inc. (NYSE:MRK - Free Report) - Equities research analysts at Erste Group Bank increased their FY2027 earnings per share estimates for shares of Merck & Co., Inc. in a research report issued to clients and investors on Monday, July 27th. Erste Group Bank analyst H. Engel now forecasts that the company will earn $9.54 per share for the year, up from their prior estimate of $9.52. The consensus estimate for Merck & Co., Inc.'s current full-year earnings is $2.74 per share.

Other equities analysts have also recently issued reports about the stock. Bank of America raised their target price on shares of Merck & Co., Inc. from $130.00 to $141.00 and gave the company a "buy" rating in a research note on Tuesday, June 30th. UBS Group raised their target price on shares of Merck & Co., Inc. from $130.00 to $145.00 and gave the company a "buy" rating in a research note on Monday, April 13th. Citigroup started coverage on Merck & Co., Inc. in a research report on Wednesday, May 6th. They issued a "neutral" rating and a $125.00 price objective for the company. BMO Capital Markets raised their price target on Merck & Co., Inc. from $135.00 to $142.00 and gave the company an "outperform" rating in a report on Monday, July 13th. Finally, Barclays lifted their target price on shares of Merck & Co., Inc. from $140.00 to $150.00 and gave the stock an "overweight" rating in a report on Wednesday. Thirteen research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $134.50.

Merck & Co., Inc. Price Performance

NYSE:MRK opened at $130.45 on Thursday. Merck & Co., Inc. has a 52-week low of $77.53 and a 52-week high of $135.05. The company has a market cap of $322.18 billion, a P/E ratio of 36.75, a P/E/G ratio of 5.23 and a beta of 0.19. The company has a debt-to-equity ratio of 1.02, a quick ratio of 1.06 and a current ratio of 1.30. The stock's 50-day simple moving average is $122.73 and its 200 day simple moving average is $118.24.

Merck & Co., Inc. (NYSE:MRK - Get Free Report) last released its earnings results on Thursday, April 30th. The company reported ($1.28) earnings per share for the quarter, beating analysts' consensus estimates of ($1.47) by $0.19. The business 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%. The firm's revenue for the quarter was up 4.9% compared to the same quarter last year. During the same quarter last year, the firm earned $2.22 earnings per share.

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

Several hedge funds have recently modified their holdings of MRK. Brighton Jones LLC lifted its holdings in shares of Merck & Co., Inc. by 29.5% during the fourth quarter. Brighton Jones LLC now owns 38,278 shares of the company's stock worth $3,808,000 after purchasing an additional 8,710 shares during the period. Sivia Capital Partners LLC boosted its stake in shares of Merck & Co., Inc. by 52.2% in the 2nd quarter. Sivia Capital Partners LLC now owns 11,494 shares of the company's stock valued at $910,000 after purchasing an additional 3,941 shares during the last quarter. Diversify Advisory Services LLC raised its stake in Merck & Co., Inc. by 94.1% during the second quarter. Diversify Advisory Services LLC now owns 32,256 shares of the company's stock worth $2,590,000 after buying an additional 15,636 shares during the last quarter. Diversify Wealth Management LLC boosted its position in Merck & Co., Inc. by 22.2% during the second quarter. Diversify Wealth Management LLC now owns 38,031 shares of the company's stock valued at $3,054,000 after acquiring an additional 6,897 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Merck & Co., Inc. by 111.7% in the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 681,128 shares of the company's stock valued at $53,918,000 after purchasing an additional 359,356 shares during the period. Institutional investors and hedge funds own 76.07% of the company's stock.

Merck & Co., Inc. Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 7th. Shareholders of record on Tuesday, September 15th will be issued a $0.85 dividend. This represents a $3.40 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date of this dividend is Tuesday, September 15th. Merck & Co., Inc.'s dividend payout ratio (DPR) is currently 95.77%.

Trending Headlines about Merck & Co., Inc.

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

• Positive Sentiment: Barclays raises price target: Barclays increased its target for MRK from $140 to $150 and maintained an “overweight” rating, implying approximately 15% upside from the referenced share price. Barclays raises Merck price target
• Positive Sentiment: Higher long-term earnings forecast: Erste Group Bank raised its FY2027 earnings estimate for Merck to $9.54 per share from $9.52, a modestly favorable revision that suggests some confidence in the company’s longer-term outlook.
• Positive Sentiment: Ebola vaccine manufacturing initiative: Hilleman Laboratories, the Merck-Wellcome joint venture, is preparing to manufacture doses of an experimental vaccine targeting the Bundibugyo strain of Ebola for clinical trials. The effort could strengthen Merck’s public-health profile and create longer-term commercial opportunities, although it is not an immediate earnings driver. Merck and Wellcome Ebola vaccine partnership
• Neutral Sentiment: Dividend reaffirmed: Merck declared a quarterly dividend of $0.85 per share, payable October 7 to investors of record September 15. The annualized yield is approximately 2.6%, supporting the stock’s income appeal but offering little new information because the payment was expected. Merck announces fourth-quarter dividend
• Negative Sentiment: Upcoming earnings remain a concern: Analysts expect Merck’s second-quarter earnings to decline, and recent previews suggest the company lacks the factors typically associated with a likely earnings beat. This may be weighing on sentiment ahead of the report, despite the favorable longer-term estimate revision. Merck earnings preview

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.