Merck (MRK - Free Report) closed the most recent trading day at $117.23, moving -1.19% from the previous trading session. This change lagged the S&P 500's 1.7% gain on the day. At the same time, the Dow added 1.26%, and the tech-heavy Nasdaq gained 2.51%.
Shares of the pharmaceutical company have appreciated by 2.25% over the course of the past month, outperforming the Medical sector's gain of 1.53% and the S&P 500's gain of 1.27%.
The upcoming earnings release of Merck will be of great interest to investors. The company's earnings report is expected on October 31, 2024. The company is forecasted to report an EPS of $1.77, showcasing a 16.9% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $16.48 billion, indicating a 3.24% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $8.01 per share and revenue of $64.14 billion, indicating changes of +430.46% and +6.69%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Merck should also be noted by investors. 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 exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.01% lower. Merck currently has a Zacks Rank of #4 (Sell).
From a valuation perspective, Merck is currently exchanging hands at a Forward P/E ratio of 14.81. This represents a discount compared to its industry's average Forward P/E of 16.03.
Also, we should mention that MRK has a PEG ratio of 1.65. 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. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.69 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 92, placing it within the top 37% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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.
Merck (MRK - Free Report) closed the most recent trading day at $117.23, moving -1.19% from the previous trading session. This change lagged the S&P 500's 1.7% gain on the day. At the same time, the Dow added 1.26%, and the tech-heavy Nasdaq gained 2.51%.
Shares of the pharmaceutical company have appreciated by 2.25% over the course of the past month, outperforming the Medical sector's gain of 1.53% and the S&P 500's gain of 1.27%.
The upcoming earnings release of Merck will be of great interest to investors. The company's earnings report is expected on October 31, 2024. The company is forecasted to report an EPS of $1.77, showcasing a 16.9% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $16.48 billion, indicating a 3.24% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $8.01 per share and revenue of $64.14 billion, indicating changes of +430.46% and +6.69%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Merck should also be noted by investors. 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 exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.01% lower. Merck currently has a Zacks Rank of #4 (Sell).
From a valuation perspective, Merck is currently exchanging hands at a Forward P/E ratio of 14.81. This represents a discount compared to its industry's average Forward P/E of 16.03.
Also, we should mention that MRK has a PEG ratio of 1.65. 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. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.69 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 92, placing it within the top 37% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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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