Merck & Co., Inc. (NYSE:MRK) Reaches New 12-Month High – Should You Buy?

Merck & Co., Inc. (NYSE:MRK) shares reached a new 52-week high during trading on Monday . The company traded as high as $132.12 and last traded at $131.81, with a volume of 455652 shares trading hands. The stock had previously closed at $131.07.

Key Headlines Impacting Merck & Co., Inc.

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

• Positive Sentiment: Merck reported that KEYTRUDA met the primary progression-free-survival endpoint in the Phase 3 KEYNOTE-C93 trial for advanced or recurrent endometrial cancer. The result represents a statistically significant benefit over platinum chemotherapy and could support future regulatory filings, strengthening the company’s oncology pipeline. Merck Says KEYTRUDA Beat Chemotherapy in Phase 3 Endometrial Cancer Trial
• Positive Sentiment: Merck is expanding its growth opportunities beyond KEYTRUDA. A royalty-free licensing agreement will enable generic HIV-prevention treatment supply across 129 low- and middle-income countries, while U.S. approval of LIPFENDRA, described as the first oral PCSK9 inhibitor for LDL reduction, broadens its cardiovascular portfolio. Merck Expands HIV PrEP Access and Launches Oral Cholesterol Drug
• Positive Sentiment: Wells Fargo maintained its Buy rating on MRK, signaling continued confidence in the company’s outlook despite near-term earnings pressure. Wells Fargo Sticks to Its Buy Rating for Merck
• Neutral Sentiment: Brokerage firms collectively assigned Merck an average “Moderate Buy” rating, indicating constructive sentiment but not a unanimous expectation of strong upside. Merck Given Average Moderate Buy Rating by Brokerages
• Negative Sentiment: Analysts expect Merck’s upcoming second-quarter earnings to decline, and previews indicate the company may lack the earnings and revenue momentum typically associated with a likely consensus beat. This could limit near-term gains ahead of the report. Merck Q2 Earnings Expected to Decline

Analyst Upgrades and Downgrades

Several research analysts have weighed in on the company. Scotiabank lifted their target price on Merck & Co., Inc. from $136.00 to $155.00 and gave the stock a “sector outperform” rating in a report on Tuesday, June 30th. Wells Fargo & Company increased their price target on Merck & Co., Inc. from $145.00 to $150.00 and gave the stock an “overweight” rating in a report on Wednesday, July 8th. BMO Capital Markets raised their price target on Merck & Co., Inc. from $135.00 to $142.00 and gave the stock an “outperform” rating in a research report on Monday, July 13th. Weiss Ratings cut Merck & Co., Inc. from a “hold (c+)” rating to a “hold (c)” rating in a report on Friday, May 15th. Finally, Morgan Stanley boosted their price objective on Merck & Co., Inc. from $112.00 to $113.00 and gave the company an “equal weight” rating in a research report on Thursday, July 9th. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and seven have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $133.94.

Merck & Co., Inc. Stock Up 0.8%

The firm has a market capitalization of $325.64 billion, a P/E ratio of 37.14, a PEG ratio of 5.19 and a beta of 0.19. The firm’s 50-day moving average is $122.39 and its 200 day moving average is $118.10. The company has a debt-to-equity ratio of 1.02, a quick ratio of 1.06 and a current ratio of 1.30.

Merck & Co., Inc. (NYSE:MRK) last released its quarterly earnings results on Thursday, April 30th. The company reported ($1.28) earnings per share (EPS) for the quarter, beating the consensus estimate of ($1.47) by $0.19. The firm had revenue of $16.29 billion for the quarter, compared to the consensus estimate of $15.85 billion. Merck & Co., Inc. had a return on equity of 27.55% and a net margin of 13.59%.The company’s revenue for the quarter was up 4.9% on a year-over-year basis. During the same quarter last year, the business posted $2.22 EPS. Merck & Co., Inc. has set its FY 2026 guidance at 5.040-5.160 EPS. As a group, equities research analysts predict that Merck & Co., Inc. will post 2.74 EPS for the current fiscal year.

Merck & Co., Inc. Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, July 8th. Investors of record on Monday, June 15th were given a $0.85 dividend. This represents a $3.40 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date of this dividend was Monday, June 15th. Merck & Co., Inc.’s dividend payout ratio (DPR) is currently 95.77%.

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

A number of large investors have recently bought and sold shares of the company. Kingdom Financial Group LLC. bought a new position in Merck & Co., Inc. in the fourth quarter valued at $25,000. Abound Financial LLC bought a new stake in Merck & Co., Inc. during the 4th quarter worth about $26,000. Prosperity Bancshares Inc acquired a new position in shares of Merck & Co., Inc. during the 4th quarter worth about $26,000. High Note Wealth LLC boosted its stake in shares of Merck & Co., Inc. by 58.9% during the 4th quarter. High Note Wealth LLC now owns 294 shares of the company’s stock worth $31,000 after buying an additional 109 shares during the last quarter. Finally, IFC & Insurance Marketing Inc. bought a new position in shares of Merck & Co., Inc. in the 4th quarter valued at about $31,000. Institutional investors and hedge funds own 76.07% of the company’s stock.

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.