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Merck (MRK) Gains As Market Dips: What You Should Know
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Merck (MRK - Free Report) closed the most recent trading day at $107.94, moving +1.36% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.32%. Elsewhere, the Dow gained 0.17%, while the tech-heavy Nasdaq lost 0.89%.
Coming into today, shares of the pharmaceutical company had gained 0.37% in the past month. In that same time, the Medical sector gained 2.04%, while the S&P 500 lost 0.12%.
Merck will be looking to display strength as it nears its next earnings release. On that day, Merck is projected to report earnings of $1.95 per share, which would represent year-over-year growth of 5.41%. Our most recent consensus estimate is calling for quarterly revenue of $15.31 billion, up 2.37% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.01 per share and revenue of $59.57 billion. These totals would mark changes of -59.76% and +0.48%, respectively, from last year.
Any recent changes to analyst estimates for Merck should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.33% lower within the past month. Merck is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Merck currently has a Forward P/E ratio of 35.4. Its industry sports an average Forward P/E of 14.12, so we one might conclude that Merck is trading at a premium comparatively.
It is also worth noting that MRK currently has a PEG ratio of 4.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 1.57 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 203, which puts it in the bottom 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MRK in the coming trading sessions, be sure to utilize Zacks.com.
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Merck (MRK) Gains As Market Dips: What You Should Know
Merck (MRK - Free Report) closed the most recent trading day at $107.94, moving +1.36% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.32%. Elsewhere, the Dow gained 0.17%, while the tech-heavy Nasdaq lost 0.89%.
Coming into today, shares of the pharmaceutical company had gained 0.37% in the past month. In that same time, the Medical sector gained 2.04%, while the S&P 500 lost 0.12%.
Merck will be looking to display strength as it nears its next earnings release. On that day, Merck is projected to report earnings of $1.95 per share, which would represent year-over-year growth of 5.41%. Our most recent consensus estimate is calling for quarterly revenue of $15.31 billion, up 2.37% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.01 per share and revenue of $59.57 billion. These totals would mark changes of -59.76% and +0.48%, respectively, from last year.
Any recent changes to analyst estimates for Merck should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.33% lower within the past month. Merck is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Merck currently has a Forward P/E ratio of 35.4. Its industry sports an average Forward P/E of 14.12, so we one might conclude that Merck is trading at a premium comparatively.
It is also worth noting that MRK currently has a PEG ratio of 4.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 1.57 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 203, which puts it in the bottom 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MRK in the coming trading sessions, be sure to utilize Zacks.com.