Fayez Sarofim & Co Buys 309,716 Shares of Merck & Co., Inc. (NYSE:MRK)

Fayez Sarofim & Co boosted its position in shares of Merck & Co., Inc. (NYSE:MRK) by 10.7% in the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 3,204,907 shares of the company’s stock after purchasing an additional 309,716 shares during the period. Fayez Sarofim & Co’s holdings in Merck & Co., Inc. were worth $318,824,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of the company. Norges Bank bought a new position in shares of Merck & Co., Inc. during the 4th quarter worth approximately $3,479,799,000. Bank of New York Mellon Corp lifted its position in Merck & Co., Inc. by 29.7% during the 4th quarter. Bank of New York Mellon Corp now owns 24,213,537 shares of the company’s stock worth $2,408,763,000 after buying an additional 5,550,824 shares in the last quarter. Wellington Management Group LLP boosted its stake in shares of Merck & Co., Inc. by 6.5% during the 4th quarter. Wellington Management Group LLP now owns 80,742,030 shares of the company’s stock worth $8,032,217,000 after buying an additional 4,932,647 shares during the last quarter. Dimensional Fund Advisors LP increased its position in shares of Merck & Co., Inc. by 63.1% in the fourth quarter. Dimensional Fund Advisors LP now owns 11,577,535 shares of the company’s stock valued at $1,151,642,000 after acquiring an additional 4,480,007 shares during the last quarter. Finally, Franklin Resources Inc. boosted its position in Merck & Co., Inc. by 23.8% during the fourth quarter. Franklin Resources Inc. now owns 19,872,444 shares of the company’s stock valued at $1,976,911,000 after purchasing an additional 3,823,283 shares during the last quarter. Institutional investors and hedge funds own 76.07% of the company’s stock.

Merck & Co., Inc. Stock Up 1.9 %

MRK stock opened at $77.93 on Monday. The stock has a market capitalization of $196.53 billion, a P/E ratio of 11.58, a price-to-earnings-growth ratio of 0.77 and a beta of 0.40. The company has a current ratio of 1.36, a quick ratio of 1.15 and a debt-to-equity ratio of 0.79. The firm has a 50-day moving average price of $87.47 and a 200-day moving average price of $96.06. Merck & Co., Inc. has a 12 month low of $75.93 and a 12 month high of $134.63.

Merck & Co., Inc. (NYSE:MRK) last posted its 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). Merck & Co., Inc. had a return on equity of 45.35% and a net margin of 26.67%. The company had revenue of $15.62 billion for the quarter, compared to the consensus estimate of $15.51 billion. During the same period in the previous year, the firm posted $0.03 EPS. The business’s quarterly revenue was up 6.8% compared to the same quarter last year. As a group, equities research analysts anticipate that Merck & Co., Inc. will post 9.01 EPS for the current fiscal year.

Merck & Co., Inc. declared that its Board of Directors has initiated a share buyback program on Tuesday, January 28th that permits the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization permits the company to reacquire up to 4.1% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board believes its shares are undervalued.

Merck & Co., Inc. Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, April 7th. Stockholders of record on Monday, March 17th were issued a dividend of $0.81 per share. This represents a $3.24 annualized dividend and a dividend yield of 4.16%. The ex-dividend date was Monday, March 17th. Merck & Co., Inc.’s dividend payout ratio (DPR) is currently 48.14%.

Insider Activity

In related news, Director Inge G. Thulin bought 2,833 shares of the stock in a transaction that occurred on Thursday, February 6th. The stock was acquired at an average cost of $88.25 per share, with a total value of $250,012.25. Following the transaction, the director now directly owns 2,933 shares in the company, valued at approximately $258,837.25. This trade represents a 2,833.00 % increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Cristal N. Downing sold 2,361 shares of the stock in a transaction dated Thursday, February 6th. The shares were sold at an average price of $88.76, for a total value of $209,562.36. Following the completion of the sale, the insider now directly owns 7,085 shares of the company’s stock, 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 currently owned by insiders.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on the stock. Citigroup decreased their target price on shares of Merck & Co., Inc. from $125.00 to $115.00 and set a “buy” rating for the company in a research note on Wednesday, February 5th. BMO Capital Markets lowered their price objective on shares of Merck & Co., Inc. from $105.00 to $96.00 and set a “market perform” rating on the stock in a research note on Wednesday, February 5th. Truist Financial reiterated a “hold” rating and issued a $110.00 target price (down from $130.00) on shares of Merck & Co., Inc. in a research note on Wednesday, January 8th. TD Cowen lowered Merck & Co., Inc. from a “buy” rating to a “hold” rating and dropped their price objective for the company from $121.00 to $100.00 in a research note on Monday, February 10th. Finally, Bank of America cut their price objective on Merck & Co., Inc. from $118.00 to $112.00 and set a “buy” rating for the company in a research report on Wednesday, February 5th. Eleven research analysts have rated the stock with a hold rating, eight have assigned a buy rating and three have given a strong buy rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $115.50.

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.