We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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) Falls More Steeply Than Broader Market: What Investors Need to Know
Read MoreHide Full Article
Merck (MRK - Free Report) closed the most recent trading day at $79.96, moving -1.91% from the previous trading session. The stock's change was less than the S&P 500's daily loss of 0.01%. At the same time, the Dow lost 0.32%, and the tech-heavy Nasdaq gained 0.05%.
Heading into today, shares of the pharmaceutical company had gained 2.81% over the past month, outpacing the Medical sector's loss of 1.59% and lagging the S&P 500's gain of 5.37%.
The upcoming earnings release of Merck will be of great interest to investors. The company's earnings report is expected on July 29, 2025. It is anticipated that the company will report an EPS of $2.01, marking a 11.84% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $15.71 billion, down 2.48% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $8.85 per share and a revenue of $64.82 billion, indicating changes of +15.69% and +1.02%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for Merck. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the 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.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.84% downward. Merck is currently a Zacks Rank #4 (Sell).
From a valuation perspective, Merck is currently exchanging hands at a Forward P/E ratio of 9.21. This expresses a discount compared to the average Forward P/E of 14.13 of its industry.
Meanwhile, MRK's PEG ratio is currently 0.85. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. MRK's industry had an average PEG ratio of 1.26 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 74, putting it in the top 30% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Merck (MRK) Falls More Steeply Than Broader Market: What Investors Need to Know
Merck (MRK - Free Report) closed the most recent trading day at $79.96, moving -1.91% from the previous trading session. The stock's change was less than the S&P 500's daily loss of 0.01%. At the same time, the Dow lost 0.32%, and the tech-heavy Nasdaq gained 0.05%.
Heading into today, shares of the pharmaceutical company had gained 2.81% over the past month, outpacing the Medical sector's loss of 1.59% and lagging the S&P 500's gain of 5.37%.
The upcoming earnings release of Merck will be of great interest to investors. The company's earnings report is expected on July 29, 2025. It is anticipated that the company will report an EPS of $2.01, marking a 11.84% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $15.71 billion, down 2.48% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $8.85 per share and a revenue of $64.82 billion, indicating changes of +15.69% and +1.02%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for Merck. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the 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.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.84% downward. Merck is currently a Zacks Rank #4 (Sell).
From a valuation perspective, Merck is currently exchanging hands at a Forward P/E ratio of 9.21. This expresses a discount compared to the average Forward P/E of 14.13 of its industry.
Meanwhile, MRK's PEG ratio is currently 0.85. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. MRK's industry had an average PEG ratio of 1.26 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 74, putting it in the top 30% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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.