Merck's stock reversed a multi-day rally due to conflicting analyst actions and insider selling pressure. Seeking Alpha downgraded the stock, moving it from a deep-value trade to a fairly valued defensive compounder dependent on execution and pipeline delivery. The downgrade cited concerns about Keytruda erosion and revenue gaps from loss of exclusivity, particularly for the diabetes drug Januvia in 2026. However, offsetting positive developments included Scotiabank raising its price target to $136 from $120 and maintaining an Outperform rating, citing impressive execution. Merck reported fourth-quarter sales of $15.62 billion, up 7% year-over-year and beating estimates, with adjusted EPS of $1.72 exceeding consensus. Health Canada approved ENFLONSIA for RSV prevention, expanding the infectious disease portfolio.
Read full analysisMerck's stock reversed a multi-day rally due to conflicting analyst actions and insider selling pressure. Seeking Alpha downgraded the stock, moving it from a deep-value trade to a fairly valued defensive compounder dependent on execution and pipeline delivery. The downgrade cited concerns about Keytruda erosion and revenue gaps from loss of exclusivity, particularly for the diabetes drug Januvia in 2026. However, offsetting positive developments included Scotiabank raising its price target to $136 from $120 and maintaining an Outperform rating, citing impressive execution. Merck reported fourth-quarter sales of $15.62 billion, up 7% year-over-year and beating estimates, with adjusted EPS of $1.72 exceeding consensus. Health Canada approved ENFLONSIA for RSV prevention, expanding the infectious disease portfolio.
Merck & Co (MRK) is a publicly traded company in the Healthcare sector.