We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Merck (MRK) Gains As Market Dips: What You Should Know
Read MoreHide Full Article
Merck (MRK - Free Report) closed at $111.14 in the latest trading session, marking a +0.17% move from the prior day. This move outpaced the S&P 500's daily loss of 0.4%. Elsewhere, the Dow lost 0.03%, while the tech-heavy Nasdaq lost 4.72%.
Heading into today, shares of the pharmaceutical company had gained 0.85% over the past month, outpacing the Medical sector's loss of 2.63% and the S&P 500's loss of 5.57% in that time.
Merck will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.54, down 14.44% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $13.71 billion, up 1.36% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for Merck. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.06% lower within the past month. Merck is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Merck is holding a Forward P/E ratio of 15.03. This represents a premium compared to its industry's average Forward P/E of 14.99.
Meanwhile, MRK's PEG ratio is currently 1.45. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. MRK's industry had an average PEG ratio of 2.17 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Merck (MRK) Gains As Market Dips: What You Should Know
Merck (MRK - Free Report) closed at $111.14 in the latest trading session, marking a +0.17% move from the prior day. This move outpaced the S&P 500's daily loss of 0.4%. Elsewhere, the Dow lost 0.03%, while the tech-heavy Nasdaq lost 4.72%.
Heading into today, shares of the pharmaceutical company had gained 0.85% over the past month, outpacing the Medical sector's loss of 2.63% and the S&P 500's loss of 5.57% in that time.
Merck will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.54, down 14.44% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $13.71 billion, up 1.36% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for Merck. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.06% lower within the past month. Merck is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Merck is holding a Forward P/E ratio of 15.03. This represents a premium compared to its industry's average Forward P/E of 14.99.
Meanwhile, MRK's PEG ratio is currently 1.45. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. MRK's industry had an average PEG ratio of 2.17 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.