Merck Life Science and Aragen Team Up to Advance Biotech R&D in India
Aug 10, 2024
Zacks Investment Management Increases Stake in Merck & Co., Inc. (NYSE:MRK)
Zacks Investment Management has recently updated its investment portfolio and increased its holdings in Merck & Co., Inc. (NYSE:MRK) by 10.8% in the third quarter. According to the latest filings with the Securities and Exchange Commission, the firm now owns a total of 1,191,718 shares after acquiring an additional 115,880 shares during this period. This increased stake represents approximately 1.2% of Zacks Investment Management's total investment portfolio, ranking Merck as the firm’s 22nd largest investment.
As of the latest reporting period, the value of Zacks Investment Management's shares in Merck & Co., Inc. stood at $135,332,000.
Other Institutional Investors Join In
In addition to Zacks, several other institutional investors and hedge funds have been actively trading shares in Merck & Co., Inc. China Universal Asset Management Co. Ltd. increased its stake by 16.6% during the third quarter, now holding 63,101 shares worth approximately $7,211,000 after acquiring 8,985 additional shares.
Meanwhile, Charles Schwab Investment Management Inc. boosted its holdings by 2.8%, resulting in 18,807,293 shares valued at roughly $2,135,785,000 following a purchase of 514,060 shares.
Thrivent Financial for Lutherans also increased its position by 3.5%, owning now 1,837,354 shares worth $208,649,000 after acquiring an additional 62,047 shares. Captrust Financial Advisors raised its stake by 3.3%, owning 1,102,540 shares valued at $125,204,000 after an acquisition of 34,715 shares.
Crossmark Global Holdings Inc. made a substantial increase of 30.2%, bringing its total to 246,414 shares worth $27,983,000 after purchasing 57,106 shares during the same period. Collectively, hedge funds and institutional investors own about 76.07% of Merck's stock.
Analyst Price Targets Adjusted
Citigroup has shifted its price target down from $140.00 to $130.00 while endorsing the stock as a "buy." On the other hand, HSBC lifted its rating from "hold" to "buy," setting a target of $130.00. Truist Financial decreased its price objective from $132.00 to $130.00 with a "buy" rating.
Overall, one analyst has issued a sell rating, six have placed hold ratings, eleven analysts have given buy ratings, while four view it as a strong buy, leading to an average rating of "Moderate Buy" with an average price target of $130.80, according to MarketBeat.com.
Current Stock Performance
As of last Friday, Merck's stock opened at $103.07. Over the past year, the stock has fluctuated between a low of $94.48 and a high of $134.63. The company holds a market capitalization of $260.73 billion, with a price-to-earnings ratio of 21.61 and a PEG ratio of 1.46. Merck's beta stands at 0.39, indicating lower volatility compared to the market.
Quarterly Earnings Report
Merck & Co., Inc. recently announced its quarterly earnings on October 31st, reporting earnings per share of $1.57. This figure surpassed the analysts' consensus estimate of $1.50 by $0.07. The company's return on equity was recorded at 36.42%, with a net margin of 19.23%. Merck's revenue for the quarter reached $16.66 billion, also exceeding analyst expectations of $16.47 billion, marking a 4.4% increase from the same quarter in the previous year. Analysts predict that Merck will achieve earnings per share of 7.73 for the current fiscal year.
Dividend Increase Announced
The healthcare giant has announced a raise in its quarterly dividend, which is set to be paid on January 8th. Shareholders on record by December 16th will receive a dividend of $0.81 per share. This represents an annualized dividend of $3.24, resulting in a yield of 3.14%, an increase from the previous quarterly rate of $0.77. Currently, Merck's dividend payout ratio stands at 64.57%.
About Merck & Co., Inc.
Merck & Co., Inc. is a leading global healthcare company engaged in research, development, and manufacturing in the pharmaceutical and animal health sectors. The pharmaceutical division provides a wide array of drugs targeting oncology, immunology, neuroscience, and more, while also offering various vaccines for preventive care.
Merck, Zacks, Investment