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Merck (MRK) Stock Moves -1.63%: What You Should Know
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Merck (MRK - Free Report) closed at $75.23 in the latest trading session, marking a -1.63% move from the prior day. This change was narrower than the S&P 500's daily loss of 2.08%. Elsewhere, the Dow lost 2.11%, while the tech-heavy Nasdaq lost 2.27%.
Prior to today's trading, shares of the pharmaceutical company had gained 2.19% over the past month. This has outpaced the Medical sector's loss of 1.48% and the S&P 500's loss of 3.6% in that time.
MRK will be looking to display strength as it nears its next earnings release, which is expected to be February 1, 2019. In that report, analysts expect MRK to post earnings of $1.04 per share. This would mark year-over-year growth of 6.12%. Our most recent consensus estimate is calling for quarterly revenue of $11.05 billion, up 5.91% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.34 per share and revenue of $42.29 billion. These totals would mark changes of +9.05% and +5.41%, 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate remained stagnant within the past month. MRK is currently a Zacks Rank #2 (Buy).
Investors should also note MRK's current valuation metrics, including its Forward P/E ratio of 17.64. For comparison, its industry has an average Forward P/E of 14.42, which means MRK is trading at a premium to the group.
Also, we should mention that MRK has a PEG ratio of 2.08. 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. The Large Cap Pharmaceuticals was holding an average PEG ratio of 2.04 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 62, putting it in the top 24% 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) Stock Moves -1.63%: What You Should Know
Merck (MRK - Free Report) closed at $75.23 in the latest trading session, marking a -1.63% move from the prior day. This change was narrower than the S&P 500's daily loss of 2.08%. Elsewhere, the Dow lost 2.11%, while the tech-heavy Nasdaq lost 2.27%.
Prior to today's trading, shares of the pharmaceutical company had gained 2.19% over the past month. This has outpaced the Medical sector's loss of 1.48% and the S&P 500's loss of 3.6% in that time.
MRK will be looking to display strength as it nears its next earnings release, which is expected to be February 1, 2019. In that report, analysts expect MRK to post earnings of $1.04 per share. This would mark year-over-year growth of 6.12%. Our most recent consensus estimate is calling for quarterly revenue of $11.05 billion, up 5.91% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.34 per share and revenue of $42.29 billion. These totals would mark changes of +9.05% and +5.41%, 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate remained stagnant within the past month. MRK is currently a Zacks Rank #2 (Buy).
Investors should also note MRK's current valuation metrics, including its Forward P/E ratio of 17.64. For comparison, its industry has an average Forward P/E of 14.42, which means MRK is trading at a premium to the group.
Also, we should mention that MRK has a PEG ratio of 2.08. 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. The Large Cap Pharmaceuticals was holding an average PEG ratio of 2.04 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 62, putting it in the top 24% 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.