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Merck (MRK) Gains As Market Dips: What You Should Know
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Merck (MRK - Free Report) closed at $71.93 in the latest trading session, marking a +0.35% move from the prior day. This change outpaced the S&P 500's 1.7% loss on the day.
Heading into today, shares of the pharmaceutical company had lost 8.9% over the past month, lagging the Medical sector's loss of 1.41% and the S&P 500's loss of 0.27% in that time.
Investors will be hoping for strength from MRK as it approaches its next earnings release, which is expected to be October 28, 2021. The company is expected to report EPS of $1.52, down 12.64% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $12.43 billion, down 0.94% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.51 per share and revenue of $47.03 billion. These totals would mark changes of -7.24% and -2.02%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for MRK. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.13% lower. MRK is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, MRK is currently trading at a Forward P/E ratio of 13. This represents a discount compared to its industry's average Forward P/E of 13.14.
Meanwhile, MRK's PEG ratio is currently 2.11. 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. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 2.04 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 114, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Merck (MRK) Gains As Market Dips: What You Should Know
Merck (MRK - Free Report) closed at $71.93 in the latest trading session, marking a +0.35% move from the prior day. This change outpaced the S&P 500's 1.7% loss on the day.
Heading into today, shares of the pharmaceutical company had lost 8.9% over the past month, lagging the Medical sector's loss of 1.41% and the S&P 500's loss of 0.27% in that time.
Investors will be hoping for strength from MRK as it approaches its next earnings release, which is expected to be October 28, 2021. The company is expected to report EPS of $1.52, down 12.64% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $12.43 billion, down 0.94% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.51 per share and revenue of $47.03 billion. These totals would mark changes of -7.24% and -2.02%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for MRK. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.13% lower. MRK is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, MRK is currently trading at a Forward P/E ratio of 13. This represents a discount compared to its industry's average Forward P/E of 13.14.
Meanwhile, MRK's PEG ratio is currently 2.11. 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. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 2.04 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 114, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.