Merck & Co., Inc. (NYSE:MRK) Shares Down 0.4% - Here's Why

Merck & Co., Inc. (NYSE:MRK - Get Free Report) shares traded down 0.4% on Friday . The stock traded as low as $76.35 and last traded at $77.22. 4,781,440 shares traded hands during mid-day trading, a decline of 58% from the average session volume of 11,448,915 shares. The stock had previously closed at $77.55.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. Morgan Stanley lowered their price target on shares of Merck & Co., Inc. from $113.00 to $106.00 and set an "equal weight" rating on the stock in a report on Wednesday, February 5th. UBS Group reduced their target price on shares of Merck & Co., Inc. from $125.00 to $120.00 and set a "buy" rating for the company in a research report on Wednesday, January 8th. TD Cowen cut shares of Merck & Co., Inc. from a "buy" rating to a "hold" rating and dropped their price objective for the stock from $121.00 to $100.00 in a research note on Monday, February 10th. Guggenheim dropped their price target on shares of Merck & Co., Inc. from $122.00 to $115.00 and set a "buy" rating for the company in a research report on Wednesday, February 12th. Finally, Deutsche Bank Aktiengesellschaft downgraded Merck & Co., Inc. from a "buy" rating to a "hold" rating and reduced their price target for the stock from $128.00 to $105.00 in a research report on Tuesday, February 18th. Eleven analysts have rated the stock with a hold rating, eight have given a buy rating and three have assigned a strong buy rating to the stock. According to data from MarketBeat.com, Merck & Co., Inc. has a consensus rating of "Moderate Buy" and a consensus target price of $115.50.

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Merck & Co., Inc. Stock Down 1.1 %

The stock's 50-day moving average price is $88.22 and its 200-day moving average price is $97.04. The company has a market cap of $197.75 billion, a P/E ratio of 11.63, a PEG 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.

Merck & Co., Inc. (NYSE:MRK - Get Free Report) last announced its quarterly earnings results on Tuesday, February 4th. The company reported $1.72 EPS for the quarter, missing analysts' consensus estimates of $1.85 by ($0.13). Merck & Co., Inc. had a net margin of 26.67% and a return on equity of 45.35%. The business had revenue of $15.62 billion for the quarter, compared to the consensus estimate of $15.51 billion. During the same quarter last year, the firm posted $0.03 EPS. The business's revenue for the quarter was up 6.8% compared to the same quarter last year. As a group, research analysts forecast that Merck & Co., Inc. will post 9.01 EPS for the current year.

Merck & Co., Inc. Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, April 7th. Shareholders of record on Monday, March 17th were issued a dividend of $0.81 per share. This represents a $3.24 dividend on an annualized basis and a yield of 4.14%. The ex-dividend date was Monday, March 17th. Merck & Co., Inc.'s dividend payout ratio is 48.14%.

Merck & Co., Inc. declared that its board has authorized a share repurchase plan on Tuesday, January 28th that permits the company to buyback $10.00 billion in outstanding shares. This buyback authorization permits the company to purchase up to 4.1% of its shares through open market purchases. Shares buyback plans are typically a sign that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling

In other Merck & Co., Inc. news, Director Inge G. Thulin bought 2,833 shares of the firm's stock in a transaction dated 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 transaction, the director now directly owns 2,933 shares in the company, valued at $258,837.25. This trade represents a 2,833.00 % increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Cristal N. Downing sold 2,361 shares of the business's stock in a transaction dated Thursday, February 6th. The shares were sold at an average price of $88.76, for a total transaction of $209,562.36. Following the completion of the transaction, the insider now owns 7,085 shares in the company, valued at approximately $628,864.60. The trade was a 24.99 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.09% of the stock is owned by corporate insiders.

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

Several institutional investors and hedge funds have recently bought and sold shares of the company. Norges Bank bought a new position in Merck & Co., Inc. during the fourth quarter worth about $3,479,799,000. Bank of New York Mellon Corp lifted its position in shares of Merck & Co., Inc. by 29.7% during the fourth quarter. Bank of New York Mellon Corp now owns 24,213,537 shares of the company's stock worth $2,408,763,000 after acquiring an additional 5,550,824 shares in the last quarter. Wellington Management Group LLP boosted its holdings in shares of Merck & Co., Inc. by 6.5% in the fourth quarter. Wellington Management Group LLP now owns 80,742,030 shares of the company's stock worth $8,032,217,000 after acquiring an additional 4,932,647 shares during the period. Northern Trust Corp grew its position in shares of Merck & Co., Inc. by 16.8% in the fourth quarter. Northern Trust Corp now owns 31,377,107 shares of the company's stock valued at $3,121,395,000 after purchasing an additional 4,511,742 shares in the last quarter. Finally, Dimensional Fund Advisors LP raised its stake in shares of Merck & Co., Inc. by 63.1% during the 4th quarter. Dimensional Fund Advisors LP now owns 11,577,535 shares of the company's stock valued at $1,151,642,000 after purchasing an additional 4,480,007 shares during the period. 76.07% of the stock is owned by 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.