Merck & Co., Inc. (NYSE:MRK) Receives Consensus Rating of “Moderate Buy” from Brokerages

Merck & Co., Inc. (NYSE:MRK) has been assigned an average recommendation of “Moderate Buy” from the twenty-three brokerages that are covering the company, MarketBeat.com reports. Eleven research analysts have rated the stock with a hold rating, nine have given a buy rating and three have given a strong buy rating to the company. The average twelve-month price target among brokers that have updated their coverage on the stock in the last year is $117.12.

Several research analysts have weighed in on MRK shares. Morgan Stanley lowered their price objective on Merck & Co., Inc. from $113.00 to $106.00 and set an “equal weight” rating on the stock in a research report on Wednesday, February 5th. Citigroup lowered their price objective on Merck & Co., Inc. from $125.00 to $115.00 and set a “buy” rating on the stock in a research report on Wednesday, February 5th. TD Cowen lowered Merck & Co., Inc. from a “buy” rating to a “hold” rating and reduced their target price for the stock from $121.00 to $100.00 in a report on Monday, February 10th. Leerink Partners reduced their target price on Merck & Co., Inc. from $136.00 to $119.00 and set an “outperform” rating on the stock in a report on Monday, January 13th. Finally, Guggenheim reduced their target price on Merck & Co., Inc. from $122.00 to $115.00 and set a “buy” rating on the stock in a report on Wednesday, February 12th.

Insider Activity

In other news, insider Cristal N. Downing sold 2,361 shares of Merck & Co., Inc. stock in a transaction dated 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 of the company’s stock, valued at approximately $628,864.60. This trade represents a 24.99 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Inge G. Thulin purchased 2,833 shares of the business’s stock in a transaction dated Thursday, February 6th. The shares were purchased at an average cost of $88.25 per share, for a total transaction of $250,012.25. Following the completion of the purchase, the director now directly owns 2,933 shares of the company’s stock, valued at approximately $258,837.25. This represents a 2,833.00 % increase in their position. The disclosure for this purchase can be found here. Insiders own 0.09% of the company’s stock.

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

Hedge funds have recently made changes to their positions in the stock. Midwest Capital Advisors LLC bought a new position in shares of Merck & Co., Inc. during the fourth quarter worth about $26,000. Financial Life Planners bought a new position in shares of Merck & Co., Inc. during the fourth quarter worth about $28,000. Noble Wealth Management PBC bought a new position in shares of Merck & Co., Inc. during the fourth quarter worth about $28,000. Halbert Hargrove Global Advisors LLC bought a new position in shares of Merck & Co., Inc. during the fourth quarter worth about $28,000. Finally, Promus Capital LLC bought a new position in shares of Merck & Co., Inc. during the fourth quarter worth about $30,000. 76.07% of the stock is currently owned by institutional investors.

Merck & Co., Inc. Price Performance

Shares of MRK opened at $94.72 on Monday. Merck & Co., Inc. has a 52-week low of $81.04 and a 52-week high of $134.63. The company has a debt-to-equity ratio of 0.79, a quick ratio of 1.15 and a current ratio of 1.36. The stock has a 50 day simple moving average of $93.57 and a 200 day simple moving average of $101.78. The firm has a market capitalization of $239.27 billion, a PE ratio of 14.07, a P/E/G ratio of 0.77 and a beta of 0.35.

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

Merck & Co., Inc. announced that its Board of Directors has approved a share buyback plan on Tuesday, January 28th that permits the company to buyback $10.00 billion in outstanding shares. This buyback authorization permits the company to repurchase up to 4.1% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its stock is undervalued.

Merck & Co., Inc. Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, April 7th. Investors of record on Monday, March 17th will be paid a $0.81 dividend. This represents a $3.24 annualized dividend and a yield of 3.42%. The ex-dividend date is Monday, March 17th. Merck & Co., Inc.’s dividend payout ratio (DPR) is presently 48.14%.

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.