Merck & Co., Inc. (NYSE:MRK) Trading 1.2% Higher – Here’s What Happened

Merck & Co., Inc. (NYSE:MRK) shares were up 1.2% on Friday . The company traded as high as $88.46 and last traded at $88.74. Approximately 3,247,490 shares changed hands during trading, a decline of 78% from the average daily volume of 14,878,731 shares. The stock had previously closed at $87.68.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on MRK shares. HSBC upgraded shares of Merck & Co., Inc. from a “hold” rating to a “buy” rating and set a $130.00 price target for the company in a research report on Wednesday, December 4th. Daiwa Capital Markets cut shares of Merck & Co., Inc. from a “buy” rating to a “neutral” rating in a research report on Monday, November 11th. Citigroup dropped their price target on shares of Merck & Co., Inc. from $125.00 to $115.00 and set a “buy” rating for the company in a research report on Wednesday, February 5th. Wells Fargo & Company lowered their price objective on shares of Merck & Co., Inc. from $125.00 to $110.00 and set an “equal weight” rating for the company in a research note on Friday, November 1st. Finally, TD Cowen lowered shares of Merck & Co., Inc. from a “buy” rating to a “hold” rating and lowered their price objective for the company from $121.00 to $100.00 in a research note on Monday, February 10th. One equities research analyst has rated the stock with a sell rating, eleven have assigned a hold rating, nine have given a buy rating and three have given a strong buy rating to the company’s stock. According to MarketBeat.com, Merck & Co., Inc. currently has a consensus rating of “Moderate Buy” and an average target price of $116.39.

Merck & Co., Inc. Stock Up 2.0 %

The business’s 50 day moving average is $95.46 and its 200-day moving average is $104.16. The company has a debt-to-equity ratio of 0.79, a current ratio of 1.36 and a quick ratio of 1.15. The company has a market cap of $226.14 billion, a PE ratio of 13.28, a P/E/G ratio of 0.77 and a beta of 0.38.

Merck & Co., Inc. (NYSE:MRK) last issued its quarterly earnings results on Tuesday, February 4th. The company reported $1.72 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.85 by ($0.13). Merck & Co., Inc. had a return on equity of 45.35% and a net margin of 26.67%. The firm had revenue of $15.62 billion during the quarter, compared to analysts’ expectations of $15.51 billion. During the same quarter in the prior year, the firm earned $0.03 EPS. The firm’s revenue was up 6.8% compared to the same quarter last year. As a group, analysts predict that Merck & Co., Inc. will post 9.01 EPS for the current year.

Merck & Co., Inc. Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, April 7th. Shareholders of record on Monday, March 17th will be issued a dividend of $0.81 per share. The ex-dividend date of this dividend is Monday, March 17th. This represents a $3.24 dividend on an annualized basis and a yield of 3.62%. Merck & Co., Inc.’s payout ratio is currently 48.14%.

Merck & Co., Inc. announced that its board has authorized a share repurchase program on Tuesday, January 28th that authorizes the company to buyback $10.00 billion in outstanding shares. This buyback authorization authorizes the company to buy up to 4.1% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s management believes its shares are undervalued.

Insiders Place Their Bets

In related news, Director Inge G. Thulin acquired 2,833 shares of the business’s stock in a transaction on Thursday, February 6th. The shares were bought at an average price of $88.25 per share, with a total value of $250,012.25. Following the completion of the acquisition, the director now owns 2,933 shares in the company, valued at $258,837.25. This trade represents a 2,833.00 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Cristal N. Downing sold 2,361 shares of the firm’s stock in a transaction that occurred on Thursday, February 6th. The stock was sold at an average price of $88.76, for a total transaction of $209,562.36. Following the sale, the insider now directly owns 7,085 shares in the company, valued at approximately $628,864.60. The trade was a 24.99 % decrease in their position. The disclosure for this sale can be found here. 0.09% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Merck & Co., Inc.

Institutional investors have recently modified their holdings of the business. Midwest Capital Advisors LLC acquired a new position in shares of Merck & Co., Inc. in the 4th quarter valued at $26,000. Darwin Wealth Management LLC acquired a new position in shares of Merck & Co., Inc. in the 3rd quarter valued at $32,000. Financial Life Planners acquired a new position in shares of Merck & Co., Inc. in the 4th quarter valued at $28,000. Noble Wealth Management PBC acquired a new position in shares of Merck & Co., Inc. in the 4th quarter valued at $28,000. Finally, Halbert Hargrove Global Advisors LLC acquired a new position in shares of Merck & Co., Inc. in the 4th quarter valued at $28,000. 76.07% of the stock is owned by institutional investors and hedge funds.

Merck & Co., Inc. Company Profile

Merck & Co, Inc is a health care company, which engages in the provision of health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products. It operates through the following segments: Pharmaceutical, Animal Health, and Other. The Pharmaceutical segment includes human health pharmaceutical and vaccine products.