Merck & Co., Inc. (NYSE:MRK) Shares Up 0.8% – Should You Buy?

Merck & Co., Inc. (NYSE:MRK) traded up 0.8% during mid-day trading on Tuesday . The company traded as high as $79.18 and last traded at $77.87. 4,159,180 shares traded hands during trading, a decline of 66% from the average session volume of 12,412,550 shares. The stock had previously closed at $77.23.

Wall Street Analyst Weigh In

MRK has been the topic of a number of recent analyst reports. Bank of America decreased their price objective on Merck & Co., Inc. from $118.00 to $112.00 and set a “buy” rating on the stock in a report on Wednesday, February 5th. BMO Capital Markets reduced their target price on Merck & Co., Inc. from $105.00 to $96.00 and set a “market perform” rating on the stock in a research report on Wednesday, February 5th. Cantor Fitzgerald started coverage on Merck & Co., Inc. in a research report on Tuesday, April 22nd. They set a “neutral” rating and a $85.00 price objective for the company. TD Cowen lowered shares of Merck & Co., Inc. from a “buy” rating to a “hold” rating and reduced their price objective for the company from $121.00 to $100.00 in a report on Monday, February 10th. Finally, Citigroup reaffirmed a “neutral” rating and issued a $84.00 target price (down previously from $115.00) on shares of Merck & Co., Inc. in a research report on Wednesday, May 14th. Thirteen analysts have rated the stock with a hold rating, seven have given a buy rating and three have issued a strong buy rating to the company’s stock. According to MarketBeat, Merck & Co., Inc. has an average rating of “Moderate Buy” and an average price target of $109.19.

Merck & Co., Inc. Trading Up 1.1%

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 company has a market cap of $196.05 billion, a PE ratio of 11.53, a P/E/G ratio of 0.77 and a beta of 0.43. The company has a fifty day simple moving average of $83.13 and a two-hundred day simple moving average of $91.99.

Merck & Co., Inc. (NYSE:MRK) last released its earnings results on Thursday, April 24th. The company reported $2.22 earnings per share for the quarter, topping analysts’ consensus estimates of $2.16 by $0.06. The firm had revenue of $15.53 billion for the quarter, compared to analyst estimates of $15.59 billion. Merck & Co., Inc. had a net margin of 26.67% and a return on equity of 45.35%. The business’s quarterly revenue was down 1.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.07 earnings per share. Analysts anticipate that Merck & Co., Inc. will post 9.01 EPS for the current year.

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

Insider Transactions at Merck & Co., Inc.

In related news, SVP Dalton E. Smart III sold 4,262 shares of the stock in a transaction on Friday, April 25th. The stock was sold at an average price of $82.76, for a total value of $352,723.12. Following the transaction, the senior vice president now owns 7,778 shares of the company’s stock, valued at $643,707.28. This represents a 35.40% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Corporate insiders own 0.13% of the company’s stock.

Institutional Trading of Merck & Co., Inc.

A number of institutional investors have recently bought and sold shares of the business. TI Trust Inc. grew its holdings in Merck & Co., Inc. by 0.6% during the 4th quarter. TI Trust Inc. now owns 19,834 shares of the company’s stock valued at $1,973,000 after buying an additional 111 shares in the last quarter. Hengehold Capital Management LLC boosted its position in shares of Merck & Co., Inc. by 0.3% during the fourth quarter. Hengehold Capital Management LLC now owns 39,989 shares of the company’s stock worth $3,978,000 after acquiring an additional 112 shares during the last quarter. Peterson Wealth Services boosted its position in shares of Merck & Co., Inc. by 0.5% during the fourth quarter. Peterson Wealth Services now owns 21,479 shares of the company’s stock worth $2,137,000 after acquiring an additional 113 shares during the last quarter. Independent Wealth Network Inc. grew its stake in Merck & Co., Inc. by 4.8% during the fourth quarter. Independent Wealth Network Inc. now owns 2,609 shares of the company’s stock valued at $260,000 after acquiring an additional 119 shares in the last quarter. Finally, Hemington Wealth Management increased its holdings in Merck & Co., Inc. by 3.2% in the 4th quarter. Hemington Wealth Management now owns 4,050 shares of the company’s stock valued at $402,000 after acquiring an additional 125 shares during the last quarter. 76.07% of the stock is owned by hedge funds and other institutional investors.

About Merck & Co., Inc.

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.