Q2 EPS Estimate for Merck & Co., Inc. Reduced by Analyst

Merck & Co., Inc. (NYSE:MRK) – Zacks Research decreased their Q2 2025 earnings per share estimates for Merck & Co., Inc. in a report released on Wednesday, February 26th. Zacks Research analyst S. Ganoria now expects that the company will post earnings of $2.19 per share for the quarter, down from their previous estimate of $2.42. The consensus estimate for Merck & Co., Inc.’s current full-year earnings is $9.01 per share. Zacks Research also issued estimates for Merck & Co., Inc.’s Q4 2025 earnings at $2.17 EPS, Q2 2026 earnings at $2.30 EPS, Q3 2026 earnings at $2.64 EPS and Q4 2026 earnings at $2.35 EPS.

Several other equities research analysts have also recently commented on the company. Daiwa America cut Merck & Co., Inc. from a “strong-buy” rating to a “hold” rating in a report on Monday, November 11th. BMO Capital Markets reduced their price target on Merck & Co., Inc. from $105.00 to $96.00 and set a “market perform” rating on the stock in a report on Wednesday, February 5th. Deutsche Bank Aktiengesellschaft lowered shares of Merck & Co., Inc. from a “buy” rating to a “hold” rating and dropped their price objective for the company from $128.00 to $105.00 in a report on Tuesday, February 18th. Truist Financial reaffirmed a “hold” rating and set a $110.00 target price (down from $130.00) on shares of Merck & Co., Inc. in a research note on Wednesday, January 8th. Finally, Bank of America dropped their price target on shares of Merck & Co., Inc. from $118.00 to $112.00 and set a “buy” rating for the company in a research note on Wednesday, February 5th. 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. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $116.39.

Merck & Co., Inc. Trading Up 1.3 %

MRK opened at $90.58 on Friday. The firm has a market capitalization of $229.13 billion, a price-to-earnings ratio of 13.46, a price-to-earnings-growth ratio of 0.77 and a beta of 0.38. The company’s 50 day simple moving average is $94.75 and its two-hundred day simple moving average is $103.59. Merck & Co., Inc. has a 1-year low of $81.04 and a 1-year high of $134.63. The company has a debt-to-equity ratio of 0.79, a current ratio of 1.36 and a quick ratio of 1.15.

Merck & Co., Inc. (NYSE:MRK) last released its 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). The business had revenue of $15.62 billion for the quarter, compared to analysts’ expectations of $15.51 billion. Merck & Co., Inc. had a return on equity of 45.35% and a net margin of 26.67%. Merck & Co., Inc.’s quarterly revenue was up 6.8% compared to the same quarter last year. During the same period in the previous year, the company earned $0.03 EPS.

Merck & Co., Inc. Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, April 7th. Stockholders of record on Monday, March 17th will be given a dividend of $0.81 per share. The ex-dividend date is Monday, March 17th. This represents a $3.24 annualized dividend and a dividend yield of 3.58%. Merck & Co., Inc.’s dividend payout ratio is currently 48.14%.

Merck & Co., Inc. announced that its Board of Directors has initiated a stock repurchase plan on Tuesday, January 28th that authorizes the company to repurchase $10.00 billion in shares. This repurchase authorization authorizes the company to repurchase up to 4.1% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s management believes its shares are undervalued.

Insider Activity

In related news, insider Cristal N. Downing sold 2,361 shares of the stock in a transaction on Thursday, February 6th. The shares were sold at an average price of $88.76, for a total value of $209,562.36. Following the transaction, the insider now directly owns 7,085 shares of the company’s stock, valued at $628,864.60. This trade represents a 24.99 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Inge G. Thulin bought 2,833 shares of the firm’s stock in a transaction that occurred on Thursday, February 6th. The stock was purchased at an average cost of $88.25 per share, with a total value of $250,012.25. Following the completion of the transaction, the director now 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 disclosure for this purchase can be found here. Company insiders own 0.09% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Franklin Resources Inc. lifted its position in shares of Merck & Co., Inc. by 12.9% in the third quarter. Franklin Resources Inc. now owns 16,049,161 shares of the company’s stock valued at $1,759,800,000 after acquiring an additional 1,836,505 shares in the last quarter. Janney Montgomery Scott LLC grew its holdings in Merck & Co., Inc. by 1.9% in the fourth quarter. Janney Montgomery Scott LLC now owns 1,902,509 shares of the company’s stock valued at $189,262,000 after purchasing an additional 35,525 shares during the period. Charles Schwab Investment Management Inc. grew its stake in shares of Merck & Co., Inc. by 2.8% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 18,807,293 shares of the company’s stock valued at $2,135,785,000 after buying an additional 514,060 shares during the period. Littlejohn Financial Services Inc. acquired a new stake in Merck & Co., Inc. during the fourth quarter worth about $2,080,000. Finally, Thrivent Financial for Lutherans increased its position in Merck & Co., Inc. by 3.5% during the 3rd quarter. Thrivent Financial for Lutherans now owns 1,837,354 shares of the company’s stock worth $208,649,000 after purchasing an additional 62,047 shares in the last quarter. 76.07% of the stock is currently 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.