#3 - Merck & Co. (NYSE:MRK)
Merck & Co., Inc. (NYSE: MRK) has been underperforming the market in the last 12 months. The stock is only up 7% in the last 12 months and only 4% in 2024. That's surprising because Merck flipped the script on year-over-year earnings in its most recent quarter. The company reported earnings per share (EPS) of $2.28, which was significantly larger than the negative 2.06 EPS it reported in the same quarter in 2023.
One issue the company faces is its dependence on two drugs in its portfolio: Keytruda and Gardisil. Both drugs are showing slowing growth, and Keytruda recently failed a clinical-stage trial that would have expanded its label for a type of colorectal cancer. This came after the company discontinued testing on a combination of Keytruda for skin and lung cancers.
That hasn’t dampened the enthusiasm of analysts who still have a Moderate Buy rating on MRK stock. Part of that enthusiasm may come from its partnership with Moderna Inc. (NASDAQ: MRNA). The companies recently announced positive Phase 3 clinical trial data for the drug, which may be launched in 2025.
About Merck & Co., Inc.
Merck & Co, Inc operates as a healthcare company worldwide. It operates through two segments, Pharmaceutical and Animal Health. The Pharmaceutical segment offers human health pharmaceutical products in the areas of oncology, hospital acute care, immunology, neuroscience, virology, cardiovascular, and diabetes under the Keytruda, Bridion, Adempas, Lagevrio, Belsomra, Simponi, and Januvia brands, as well as vaccine products consisting of preventive pediatric, adolescent, and adult vaccines under the Gardasil/Gardasil 9, ProQuad, M-M-R II, Varivax, RotaTeq, Live Oral, Vaxneuvance, Pneumovax 23, and Vaqta names.
Read More - Current Price
- $100.41
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 12 Buy Ratings, 6 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $130.86 (30.3% Upside)
