Merck (MRK) Advances While Market Declines: Some Information for Investors

Merck (MRK) closed at $110.42 in the latest trading session, marking a +1.92% move from the prior day. The stock outperformed the S&P 500, which registered a daily loss of 0.43%. Meanwhile, the Dow experienced a drop of 0.37%, and the technology-dominated Nasdaq saw a decrease of 0.94%. Shares of the pharmaceutical company have appreciated by 2.93% over the course of the past month, outperforming the Medical sector's loss of 2.36%, and the S&P 500's gain of 0.89%.Investors will be eagerly watching for the performance of Merck in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 3, 2026. The company is forecasted to report an EPS of $2.03, showcasing a 18.02% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $16.19 billion, indicating a 3.59% upward movement from the same quarter last year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $8.95 per share and revenue of $64.8 billion. These totals would mark changes of +16.99% and 0%, respectively, from last year. 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, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, 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 27.02% downward. Merck presently features a Zacks Rank of #4 (Sell). Digging into valuation, Merck currently has a Forward P/E ratio of 17.46. For comparison, its industry has an average Forward P/E of 16.41, which means Merck is trading at a premium to the group. Meanwhile, MRK's PEG ratio is currently 1.52. 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. By the end of yesterday's trading, the Large Cap Pharmaceuticals industry had an average PEG ratio of 1.74. The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 194, which puts it in the bottom 21% 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. You can find more information on all of these metrics, and much more, on Zacks.com. 5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They includeStock #1: A Disruptive Force with Notable Growth and ResilienceStock #2: Bullish Signs Signaling to Buy the DipStock #3: One of the Most Compelling Investments in the MarketStock #4: Leader In a Red-Hot Industry Poised for GrowthStock #5: Modern Omni-Channel Platform Coiled to SpringMost of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.See Our Newest 5 Stocks Set to Double Picks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Merck & Co., Inc. (MRK): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks